v3.26.1
RECEIVABLES
 6 Months Ended
Jun. 30, 2026
Receivables [Abstract]  
RECEIVABLES RECEIVABLES
Financing Receivables, net
June 30, 2026December 31, 2025
Retail$14,018 $14,616 
Wholesale8,434 8,437 
Other68 52 
Total$22,520 $23,105 
Unearned finance income and unamortized deferred fees and costs were $667 million and $722 million as of June 30, 2026 and December 31, 2025, respectively. Allowance for credit losses were $659 million and $572 million as of June 30, 2026 and December 31, 2025, respectively.
Transfers of Financial Assets
As part of the overall funding strategy, CNH periodically transfers certain receivables into bankruptcy-remote special purpose entities ("SPEs") as part of its asset-backed securitization ("ABS") programs or through factoring transactions.
Assets transferred to SPEs are legally isolated and their related cash flows are restricted to satisfy the SPEs' obligations. The SPEs, including certain VIE trusts, are consolidated as CNH has both the power to direct their significant activities and exposure to potentially significant benefits or losses. Accordingly, transfers to these entities do not qualify for sale accounting and are recorded as secured borrowings.
CNH may retain subordinated interests in the SPEs but does not guarantee the securities issued by the trusts. CNH provides customary representations and warranties, which may require it to repurchase receivables if those representations or warranties are breached. The trusts generally terminate upon final investor distributions or exercise of a cleanup call.
Factoring transactions may be with or without recourse. Transfers that include deferred purchase price features, first‑loss positions, or other forms of continuing involvement do not meet the criteria for derecognition. In those cases, CNH continues to recognize the receivables and records a corresponding liability within asset‑backed financing.
The secured borrowings related to the transferred receivables are obligations that are payable as the receivables are collected. As of June 30, 2026 and December 31, 2025, the carrying amount of such restricted assets included in financing receivables are the following:
June 30, 2026December 31, 2025
Retail$7,522 $8,041 
Wholesale5,354 5,053 
Total$12,876 $13,094 
Allowance for Credit Losses
Three Months Ended June 30, 2026Six Months Ended June 30, 2026
RetailWholesaleRetailWholesale
Balance as of beginning of period$580 $52 $518 $54 
Provision94 (3)171 (6)
Charge-offs(69)(1)(108)(1)
Recoveries4 1 10 1 
Foreign currency translation2 (1)20 — 
Balance as of end of period$611 $48 $611 $48 
Three Months Ended June 30, 2025Six Months Ended June 30, 2025
RetailWholesaleRetailWholesale
Balance as of beginning of period$420 $49 $376 $48 
Provision81 — 131 — 
Charge-offs(31)(1)(60)(1)
Recoveries4 1 7 1 
Foreign currency translation15 2 35 3 
Balance as of end of period$489 $51 $489 $51 
As of June 30, 2026, the allowance for credit losses included an increase in retail reserves of $104 million for Brazil as compared to June 30, 2025. This increase reflects Brazilian market conditions, primarily related to current crop prices, flooding and drought events. The provision for credit losses is included in "Selling, general and administrative" expenses in the Consolidated Statements of Operations.
CNH monitors the credit quality of its receivables based on delinquency status. Receivables are considered past due when scheduled principal or interest payments have not been received by the due date, with delinquency reported for receivables more than 30 days past due. Non-performing financing receivables represent receivables for which CNH has ceased accruing finance income. These receivables are generally 90 days past due and no longer accrue finance income. Interest income charged for the three and six months ended June 30, 2026 was not material.
The aging of financing receivables and gross charge-offs by vintage, net of allowance for credit losses, as of June 30, 2026 was as follows, with gross charge‑offs representing amounts written off during the period:
Current31-60 Days
Past Due		61-90 Days Past DueTotal
Performing		Non-
Performing		TotalGross Charge-offs
Retail
North America
2026$2,175 $2 $2,177 $4 
20253,154 6 3,160 7 
20241,992 10 2,002 13 
20231,018 8 1,026 8 
2022505 3 508 3 
Prior to 2022251 3 254 2 
Total9,019 64 12 9,095 32 9,127 37 
South America
2026420 1 421 — 
2025893 16 909 — 
2024885 51 936 3 
2023678 57 735 32 
2022257 25 282 23 
Prior to 2022142 11 153 11 
Total3,000 233 42 3,275 161 3,436 69 
Asia Pacific
2026274 — 274 — 
2025535 1 536 — 
2024331 1 332 1 
2023190 1 191 1 
202292 — 92 — 
Prior to 202218 — 18 — 
Total1,427 5 8 1,440 3 1,443 2 
Europe, Middle East and Africa ("EMEA")3 — — 3 9 12 — 
Total Retail$13,449 $302 $62 $13,813 $205 $14,018 $108 
Wholesale
North America$4,407 $— $— $4,407 $2 $4,409 $1 
South America902 1 1 904 8 912 — 
Asia Pacific841 3 1 845 1 846 — 
EMEA2,252 4 5 2,261 6 2,267 — 
Total Wholesale$8,402 $8 $7 $8,417 $17 $8,434 $1 
The aging of financing receivables and gross charge-offs by vintage, net of allowance for credit losses, as of December 31, 2025 was as follows, with gross charge‑offs representing amounts written off during the period.
Current31-60 Days
Past Due		61-90 Days
Past Due		Total
Performing		Non-
Performing		TotalGross Charge-offs
Retail
North America
2025$4,270 $9 $4,279 $7 
20242,549 15 2,564 17 
20231,343 9 1,352 23 
2022729 5 734 10 
2021374 2 376 3 
Prior to 202172 2 74 4 
Total9,274 60 3 9,337 42 9,379 64 
South America
20251,031 4 1,035 13 
20241,017 54 1,071 53 
2023826 84 910 70 
2022331 41 372 20 
2021159 12 171 4 
Prior to 202176 5 81 3 
Total3,368 42 30 3,440 200 3,640 163 
Asia Pacific
2025641 — 641 — 
2024426 1 427 — 
2023277 1 278 — 
2022164 — 164 — 
202160 — 60 1 
Prior to 202112 — 12 1 
Total1,574 3 3 1,580 2 1,582 2 
EMEA4— — 4 11 15 — 
Total Retail$14,220 $105 $36 $14,361 $255 $14,616 $229 
Wholesale
North America$4,142 $— $— $4,142 $17 $4,159 $— 
South America1,251 3 — 1,254 — 1,254 — 
Asia Pacific877 2 2 881 1 882 1 
EMEA2,133 6 3 2,142 — 2,142 3 
Total Wholesale$8,403 $11 $5 $8,419 $18 $8,437 $4 
Modifications
CNH periodically modifies the terms of finance receivable agreements with customers experiencing financial difficulties. Typically, the types of modifications granted are payment deferrals, extended contract maturities, modification of a contractual interest rate or waiving of interest and principal. As a collateral-based lender, CNH has recourse to the financed assets on default. The Company continues to monitor the credit quality of these modified financing receivables. CNH's allowance for credit losses incorporates historical loss information, including the effects of the modified financing receivables. Therefore, additional adjustments to the allowance are generally not recorded upon modification of the financing receivable.
As of June 30, 2026 and 2025, modifications of retail and wholesale receivables for customers experiencing financial difficulties were immaterial. Defaults and subsequent write-offs of receivables modified in the prior twelve months ended June 30, 2026 and 2025 were not significant.
Due to challenging market conditions in Brazil, where farmers' profitability is under pressure as global commodity prices decline while production costs continue to rise, CNH has offered payment refinancing to certain customers. These refinancings are considered insignificant contract adjustments and are not treated as modifications. Customers are required to make partial payments on their outstanding installments to qualify for refinancing. As of June 30, 2026, $149 million installments were refinanced related to $558 million of retail Agricultural receivables, compared with $126 million of installments related to $513 million as of December 31, 2025. These refinanced receivables demonstrated a higher delinquency rate, specifically those greater than 90 days past due, compared to non-refinanced receivables within the portfolio. CNH has taken this into account when provisioning for credit losses.