Latest news with #DamonAudia
Yahoo
15-05-2025
- Business
- Yahoo
AGCO Q1 Earnings Call: Cost Controls and Technology Investment Offset Industry Weakness
Agricultural and farm machinery company AGCO (NYSE:AGCO) beat Wall Street's revenue expectations in Q1 CY2025, but sales fell by 30% year on year to $2.05 billion. The company's full-year revenue guidance of $9.6 billion at the midpoint came in 1% above analysts' estimates. Its GAAP profit of $0.14 per share was significantly above analysts' consensus estimates. Is now the time to buy AGCO? Find out in our full research report (it's free). Revenue: $2.05 billion vs analyst estimates of $2.01 billion (30% year-on-year decline, 1.8% beat) EPS (GAAP): $0.14 vs analyst estimates of -$0.06 (significant beat) Adjusted EBITDA: $159.2 million vs analyst estimates of $133.9 million (7.8% margin, 18.9% beat) The company reconfirmed its revenue guidance for the full year of $9.6 billion at the midpoint EPS (GAAP) guidance for the full year is $4.25 at the midpoint, beating analyst estimates by 9.9% Operating Margin: 2.4%, down from 9.3% in the same quarter last year Free Cash Flow was -$260.4 million compared to -$465 million in the same quarter last year Organic Revenue fell 27.6% year on year (-13.1% in the same quarter last year) Market Capitalization: $7.81 billion AGCO's first quarter results reflected a challenging environment for agricultural equipment, with management pointing to soft demand, dealer inventory reductions, and ongoing geopolitical trade friction. CEO Eric Hansotia highlighted that net sales fell due to lower industry demand and deliberate efforts to destock dealer inventories, while also noting progress in cash usage and working capital. CFO Damon Audia cited improved pricing and product mix in Europe, alongside early cost control benefits, as factors that helped the company outperform its internal expectations for the quarter. Looking ahead, AGCO's leadership reaffirmed its full-year guidance and emphasized its commitment to navigating tariff risks and maintaining cost discipline. Management stated that ongoing production cuts and channel inventory reductions are expected to position the company for recovery as industry conditions stabilize. The company continues to invest in smart farming solutions and digital capabilities, with a focus on premium brands like Fendt, and is closely monitoring potential impacts from evolving global trade policies and retaliatory tariffs. AGCO's management addressed several meaningful drivers behind the first quarter's performance and outlined areas of strategic focus and risk for the remainder of the year. Dealer Inventory Reduction: AGCO made significant progress lowering dealer inventories across all regions, prioritizing the alignment of production with retail demand to support future margin stability. Cost Control Initiatives: Leadership noted that cost savings from restructuring and operational efficiency programs are ahead of schedule, with $160 million in expenses incurred and a targeted $100–$125 million in savings expected by year-end. Tariff and Trade Impacts: Management discussed the adverse effects of new and existing tariffs, especially those affecting imports from the EU and China. The company is pursuing mitigation strategies, including selective price increases and supply chain adjustments, but expects tariffs to remain a headwind for sales and earnings per share. Precision Ag and PTx Trimble Integration: The integration of the PTx Trimble joint venture and increased adoption of precision farming technology were highlighted as contributors to product differentiation and channel expansion. The company reported a near tripling of AGCO dealers carrying PTx products since the end of last year. Regional Market Dynamics: AGCO described the European market as relatively stable due to subsidy support, while North America and South America continue to face weaker demand, leading to deeper production cuts. Brazil showed early signs of recovery, particularly in smaller tractors, but larger equipment demand remains subdued. Management expects the remainder of the year to be shaped by continued dealer inventory reductions, cost discipline, and the ability to navigate trade-related uncertainties while advancing technology initiatives. Trade Policy and Tariffs: The evolving landscape of tariffs, particularly between the EU, China, and the US, poses ongoing uncertainty. Management believes that new tariffs could further impact North American sales volumes and profitability, and mitigation strategies will remain a focus. Smart Farming and Precision Ag: Ongoing investment in precision agriculture solutions, such as the PTx product suite, is expected to support premium product sales and longer-term market share gains, especially as channel readiness improves. Cost Structure Transformation: The structural cost reductions implemented over the past year are projected to enhance operating leverage when market demand rebounds, potentially leading to higher incremental margins as industry conditions improve. Jamie Cook (Truist): Asked about better-than-expected Q1 performance and tariff mitigation. Management credited favorable pricing and cost controls, noting that tariff actions are expected to be a net negative for sales and earnings. Kyle Menges (Citigroup): Inquired about European margin sustainability and the risk of product mix shifts. Leadership stated Fendt remains strong, with stable margins expected due to continued product innovation. Kristen Owen (Oppenheimer): Sought clarification on mechanics behind full-year guidance and capital allocation changes. Management detailed how tariff and FX impacts net out, and signaled ongoing discussions with a major shareholder could affect share buybacks. Jerry Revich (Goldman Sachs): Questioned contingency plans for shifting Fendt production to the US. AGCO said it routinely evaluates production footprint scenarios but will defer major changes until trade policy stabilizes. Tami Zakaria (JPMorgan): Asked about pricing strategy for premium brands if EU tariffs increase. Management said cost increases would be spread across the product portfolio rather than concentrated on a single brand or model. In future quarters, the StockStory team will be watching (1) progress on dealer inventory reductions and the timing of production realignment, (2) updates on precision agriculture adoption and channel expansion for the PTx Trimble partnership, and (3) developments in global trade policy and tariffs, particularly their impact on North American and European sales. The company's ability to maintain cost discipline and capitalize on early signs of recovery in Brazil will also be closely monitored. AGCO currently trades at a forward P/E ratio of 22.1×. Is the company at an inflection point that warrants a buy or sell? See for yourself in our free research report. Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today. Sign in to access your portfolio
Yahoo
12-05-2025
- Business
- Yahoo
AGCO to Present at the JP Morgan 53rd Annual Technology, Media & Communications Conference
DULUTH, Ga., May 12, 2025 /PRNewswire/ -- AGCO (NYSE: AGCO), a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology, announced today that it will participate in the JP Morgan 53rd Annual Technology, Media & Communications Conference on Wednesday, May 14, 2025. The conference will include a fireside chat with Damon Audia, Senior Vice President and Chief Financial Officer, and Andrew Sunderman, Vice President, PTx Product Creation & Delivery, at 10:40 a.m. Eastern Time. Investors may listen to a live webcast of the presentation by accessing the "Events" section of the company's Investor Relations website at The webcast will also be archived immediately afterward for 12 months. About AGCOAGCO (NYSE: AGCO) is a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology. AGCO delivers value to farmers and OEM customers through its differentiated brand portfolio including leading brands Fendt®, Massey Ferguson®, PTx and Valtra®. AGCO's full line of equipment, smart farming solutions and services helps farmers sustainably feed our world. Founded in 1990 and headquartered in Duluth, Georgia, USA, AGCO had net sales of approximately $11.7 billion in 2024. For more information, visit View original content to download multimedia: SOURCE AGCO Corporation Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Associated Press
12-05-2025
- Business
- Associated Press
AGCO to Present at the JP Morgan 53rd Annual Technology, Media & Communications Conference
DULUTH, Ga., May 12, 2025 /PRNewswire/ -- AGCO (NYSE: AGCO), a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology, announced today that it will participate in the JP Morgan 53rd Annual Technology, Media & Communications Conference on Wednesday, May 14, 2025. The conference will include a fireside chat with Damon Audia, Senior Vice President and Chief Financial Officer, and Andrew Sunderman, Vice President, PTx Product Creation & Delivery, at 10:40 a.m. Eastern Time. Investors may listen to a live webcast of the presentation by accessing the 'Events' section of the company's Investor Relations website at The webcast will also be archived immediately afterward for 12 months. About AGCO AGCO (NYSE: AGCO) is a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology. AGCO delivers value to farmers and OEM customers through its differentiated brand portfolio including leading brands Fendt®, Massey Ferguson®, PTx and Valtra®. AGCO's full line of equipment, smart farming solutions and services helps farmers sustainably feed our world. Founded in 1990 and headquartered in Duluth, Georgia, USA, AGCO had net sales of approximately $11.7 billion in 2024. For more information, visit View original content to download multimedia: SOURCE AGCO Corporation
Yahoo
02-05-2025
- Business
- Yahoo
AGCO to Present at the Oppenheimer 20th Annual Industrial Growth Conference
DULUTH, Ga., May 2, 2025 /PRNewswire/ -- AGCO (NYSE: AGCO), a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology, announced today that it will participate in the Oppenheimer 20th Annual Industrial Growth Conference on Tuesday, May 6, 2025. The conference will include a fireside chat with Damon Audia, Senior Vice President and Chief Financial Officer, at 11:15 a.m. Eastern Time. Investors may listen to a live webcast of the presentation by accessing the "Events" section of the company's Investor Relations website at The webcast will also be archived immediately afterward for 12 months. About AGCO:AGCO (NYSE: AGCO) is a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology. AGCO delivers value to farmers and OEM customers through its differentiated brand portfolio including leading brands Fendt®, Massey Ferguson®, PTx and Valtra®. AGCO's full line of equipment, smart farming solutions and services helps farmers sustainably feed our world. Founded in 1990 and headquartered in Duluth, Georgia, USA, AGCO had net sales of approximately $11.7 billion in 2024. For more information, visit Please visit our website at View original content to download multimedia: SOURCE AGCO Corporation Sign in to access your portfolio
Yahoo
14-02-2025
- Business
- Yahoo
AGCO to Present at Citi's 2025 Global Industrial Tech and Mobility Conference
DULUTH, Ga., Feb. 14, 2025 /PRNewswire/ -- AGCO (NYSE: AGCO), a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology, announced today that it will participate in Citi's 2025 Global Industrial Tech and Mobility Conference on Wednesday, February 19, 2025. The conference will include a fireside chat with Damon Audia, Senior Vice President and Chief Financial Officer, at 10:30 a.m. Eastern Time. Investors may listen to a live webcast of the presentation by accessing the "Events" section of the company's Investor Relations website at The webcast will also be archived immediately afterwards for 12 months. About AGCO:AGCO (NYSE: AGCO) is a global leader in the design, manufacture and distribution of agricultural machinery and precision ag technology. AGCO delivers value to farmers and OEM customers through its differentiated brand portfolio including leading brands Fendt®, Massey Ferguson®, PTx and Valtra®. AGCO's full line of equipment, smart farming solutions and services helps farmers sustainably feed our world. Founded in 1990 and headquartered in Duluth, Georgia, USA, AGCO had net sales of approximately $11.7 billion in 2024. For more information, visit Please visit our website at View original content to download multimedia: SOURCE AGCO Corporation Sign in to access your portfolio
