Agco booked net sales of around US$4.7 billion in the first half of this year. This is 24% lower than the US$6.2 billion* in the same six months in 2024.
The Europe/Middle East region was one of the casualties for the Fendt, Massey Ferguson and Valtra parent company, where net sales dropped 13% to US$3.10 billion (US$3.57 billion in 2024), and the North American results were a third lower at US$816 million (US$1.22 billion in 2024).
The results were affected by lower sales volumes in North America, and especially of high-horsepower tractors, sprayers and grass equipment in the second three months of this year.
In Europe, environmental regulations and weather-related disruptions have put traditional equipment sales under pressure, with industry retail tractor sales down 12% (combines -8.0%) in the first half of 2025 compared to the same period in 2024.
There were double digit percentage decreases across most markets except Spain and Italy, which both saw modest growth. Lower sales across most of the Western European markets were also partially offset by growth in Eastern Europe and Scandinavia.
“Challenging farm economics in the first half of 2025 have dampened demand for agricultural equipment across Europe and the US,” says Agco boss Eric Hansotia, “with declining commodity prices and rising input costs specifically impacting US farmer sentiment.”
Demand is expected to remain soft throughout the rest of this year, as lower income levels weigh on arable farmers. However, steady demand from dairy and livestock producers is expected to partially offset the overall decline.
The company expects full-year 2025 net sales of approx. US$9.8 billion (US$11.7 billion in 2024, and a record US$14.4 billion in 2023).
*The first six months of 2024 included US$490 million from the divestiture of the majority of its grain and protein business.
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