Agco sees FY24 adjusted EPS ~$12.00, consensus $12.90

Sees FY24 revenue ~$13.5B, consensus $13.59B. On April 1, 2024, AGCO acquired an 85% stake in PTx Trimble, and Trimble holds a 15% stake. Going forward, the PTx Trimble JV will be consolidated into AGCO’s financial statements. AGCO’s net sales for 2024, including the positive impact of PTx Trimble, are expected to be approximately $13.5 billion, reflecting lower sales volumes, adverse foreign currency translation and modest positive pricing. Adjusted operating margins are projected to be approximately 11.3%, reflecting the benefits of consolidating PTx Trimble as well as the impacts of lower sales, lower production volumes, increased cost controls and modestly lower investments in engineering and other technology efforts to support AGCO’s precision agriculture and digital initiatives. Based on these assumptions, 2024 adjusted earnings per share are targeted at approximately $12.00.