(Reuters) -Agricultural and construction machinery maker CNH Industrial on Tuesday lowered its 2023 revenue forecast, citing the softening of end-market conditions, predominantly in South America.
The Italian-American company guided for an increase in net revenue from industrial activities, which account for the majority of CNH’s revenue, of between 3-6% this year, down from a previous forecast of 8-11%.
CNH, which houses brands such as Case IH and New Holland, reported third-quarter net sales from industrial activities down 1% year on year at $5.33 billion.
South American tractor demand was down 16% and combine demand fell 47% in the three months to Sept. 30.
The group is positioned to maintain its full-year adjusted earnings per share target of about $1.70, Chief Executive Scott Wine said in a statement.
CNH, which also announced a new share buyback programme as part of plans to achieve single listing on the New York Stock Exchange, reported quarterly adjusted operating profit from industrial activities of $657 million, down from $670 million a year earlier.
Its Milan-listed shares turned negative after the results were published and were automatically halted from trading after sliding almost 10% by 1305 GMT.
(Reporting by Alessandro Parodi and Bianca FlowersEditing by Kirsten Donovan and David Goodman)
