„AGCO Corporation“ (AGCO), which owns the „Fendt“, „Massey Ferguson“, „Valtra“ and other brands, has announced at a meeting with investors that the Corporation's revenues will fall by around 20% to $9.6 billion in 2025. This year's financial results show that AGCO's revenue was $14.4 billion, beating early expectations of only about $12 billion.

„Our Farmer First strategy has been a great success since its launch in 2021. (...) Throughout the cycle, we've had bigger ups and bigger downs, reinforcing our commitment to building a more resilient business focused on high-margin opportunities and positioning ourselves for sustainable and profitable growth, – said Eric Hansotia, AGCO chairman, president and chief executive officer.

The lower outlook for next year is linked to the fact that farmers will continue to face low grain prices.

The agricultural sector has reacted in recent years to the Russian invasion of Ukraine. The hostilities have led to a significant increase in grain prices, which has encouraged farmers in other countries to expand their grain and oilseed areas. Finally, this inevitably had a knock-on effect on global grain prices, which began to fall as a result of increased supply.

AGCO attributed the decline in sales to the divestment of the company's grain storage and livestock businesses.

AGCO itself plans to increase „Fendt“ sales in the Americas, reaching sales of up to $1.7 billion, as „the company continues to develop the full „Fendt“ product line“.

The corporation also plans to increase net sales of spare parts to USD 2.3 billion, while revenues from sales of precision agriculture products are expected to increase to USD 2.0 billion.