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Item 1. Financial Statements

2025-05-01 compared with 2024-11-07 · 283 added, 630 removed, 636 unchanged (59% of the section changed)

3 unchanged sentences

(unaudited and in millions, except share amounts)

September 30, 2024 December 31, 2023

March 31, 2025 December 31, 2024

Current Assets:

3 unchanged sentences

Other current assets 533.3 526.6

Current assets held for sale

Total current assets 5,289.2 5,138.0

4 unchanged sentences

Other assets 449.4 435.2

Noncurrent assets held for sale 459.0 —

Intangible assets, net 718.4 728.9

7 unchanged sentences

Other current liabilities 122.3 128.2

Current liabilities held for sale

Total current liabilities 3,460.9 3,826.0

4 unchanged sentences

Other noncurrent liabilities 730.3 680.3

Noncurrent liabilities held for sale 26.9 —

Total liabilities 7,371.6 7,147.7

2 unchanged sentences

Stockholders’ Equity:

AGCO Corporation stockholders’ equity:

Preferred stock;

1 unchanged sentence

Common stock;

$ 0.01 par value, 150,000,000 shares authorized, 74,644,933 and 74,517,973 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively

$ 0.01 par value, 150,000,000 shares authorized, 74,581,953 and 74,420,952 shares issued and outstanding at March 31, 2025 and December 31, 2024, respectively

Additional paid-in capital 0.7 —

1 unchanged sentence

Accumulated other comprehensive loss ( 1,821.6 ) ( 1,902.9 )

Total AGCO Corporation stockholders’ equity 4,148.8 4,656.7

Noncontrolling interests — 0.1

Total stockholders’ equity 3,809.4 3,742.8

4 unchanged sentences

(unaudited and in millions, except per share data)

Three Months Ended September 30,

Net sales $ 2,599.3 $ 3,455.5

Cost of goods sold 1,996.2 2,521.5

Gross profit 603.1 934.0

Operating expenses:

Selling, general and administrative expenses 344.3 355.6

Engineering expenses

Amortization of intangibles

Impairment charges 0.2 —

Restructuring and business optimization expenses

Loss on business held for sale

Income from operations

Interest expense, net

Other expense, net

Income before income taxes and equity in net earnings of affiliates

Income tax provision

Income before equity in net earnings of affiliates

Equity in net earnings of affiliates

Net loss attributable to noncontrolling interests 1.1 0.1

Net income attributable to AGCO Corporation and subsidiaries

$ 30.0 $ 280.6

Net income per common share attributable to AGCO Corporation and subsidiaries:

$ 0.40 $ 3.75

$ 0.40 $ 3.74

Cash dividends declared and paid per common share $ 0.29 $ 0.29

Weighted average number of common and common equivalent shares outstanding:

See accompanying notes to condensed consolidated financial statements.

AGCO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited and in millions, except per share data)

Nine Months Ended September 30,

Three Months Ended March 31,

Net sales $ 2,050.5 $ 2,928.7

7 unchanged sentences

Restructuring and business optimization expenses

Loss on business held for sale

Income from operations 49.4 273.6

7 unchanged sentences

Equity in net earnings of affiliates

Net income (loss)

( 172.0 ) 832.3

Net income 8.7 168.0

Net loss attributable to noncontrolling interests 1.8 —

Net income (loss) attributable to AGCO Corporation and subsidiaries

Net income attributable to AGCO Corporation

$ 10.5 $ 168.0

Net income (loss) per common share attributable to AGCO Corporation and subsidiaries:

Net income per common share attributable to AGCO Corporation:

$ 0.14 $ 2.25

4 unchanged sentences

AGCO CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(unaudited and in millions)

Three Months Ended September 30,

Three Months Ended March 31,

$ 8.7 $ 168.0

7 unchanged sentences

Comprehensive loss attributable to noncontrolling interests

Comprehensive income attributable to AGCO Corporation and subsidiaries

$ 113.5 $ 228.5

Nine Months Ended September 30,

Net income (loss)

$ ( 172.0 ) $ 832.3

Other comprehensive income (loss):

Foreign currency translation adjustments ( 107.1 ) 64.1

Defined pension and postretirement benefit plans, net of tax

Deferred gains and losses on derivatives, net of tax 6.5 ( 3.5 )

Other comprehensive income (loss)

( 95.0 ) 66.2

Comprehensive income (loss)

( 267.0 ) 898.5

Comprehensive loss attributable to noncontrolling interests 2.8 0.1

Comprehensive income (loss) attributable to AGCO Corporation and subsidiaries

Comprehensive income attributable to AGCO Corporation

$ 91.8 $ 124.6

3 unchanged sentences

(unaudited and in millions)

Nine Months Ended September 30,

Three Months Ended March 31,

Cash flows from operating activities:

Net income (loss)

$ 8.7 $ 168.0

Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:

Adjustments to reconcile net income to net cash used in operating activities:

Depreciation 60.5 63.3

2 unchanged sentences

Impairment charges 1.1 —

Loss on business held for sale 497.8 —

Equity in net earnings of affiliates, net of cash received ( 12.1 ) ( 16.2 )

10 unchanged sentences

Total adjustments ( 220.9 ) ( 538.0 )

Net cash provided by (used in) operating activities

Net cash used in operating activities

( 212.2 ) ( 370.0 )

2 unchanged sentences

Proceeds from sale of property, plant and equipment 1.1 0.2

Purchase of businesses, net of cash acquired

( 1,902.2 ) ( 0.9 )

Investments in unconsolidated affiliates, net

( 1.6 ) ( 21.3 )

Other ( 4.1 ) —

6 unchanged sentences

Payment of debt issuance costs — ( 11.9 )

Investments by noncontrolling interests, net

Net cash provided by financing activities 205.2 2,337.0

5 unchanged sentences

$ 562.6 $ 2,455.8

____________________________________

(1) Includes $ 20.0 million of cash and cash equivalents classified as held for sale as of September 30, 2024.

See accompanying notes to condensed consolidated financial statements.

4 unchanged sentences

GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission.

In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which are of a normal recurring nature, necessary to present fairly the Company’s financial position, results of operations, comprehensive income (loss) and cash flows at the dates and for the periods presented.

In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which are of a normal recurring nature, necessary to present fairly the Company’s financial position, results of operations, comprehensive income and cash flows at the dates and for the periods presented.

These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

6 unchanged sentences

Remeasurement adjustments for financial statements in highly inflationary economies and other transactional exchange gains and losses are reported in “Other expense, net” within the Company's Condensed Consolidated Statements of Operations.

For the nine months ended and as of September 30, 2024, the Company's wholly-owned subsidiary in Turkey had net sales of approximately $ 317.9 million and total assets of approximately 5.9 billion Turkish lira (or approximately $ 173.1 million).

The monetary assets and liabilities denominated in the Turkish lira were approximately 4.6 billion Turkish lira (or approximately $ 134.0 million) and approximately 2.5 billion Turkish lira (or approximately $ 72.0 million), respectively, as of September 30, 2024.

The monetary assets and liabilities were remeasured into United States dollar based on exchange rates as of September 30, 2024.

For the three months ended and as of March 31, 2025, the Company's wholly-owned subsidiary in Turkey had net sales of approximately $ 67.9 million and total assets of approximately 6.6 billion Turkish lira (or approximately $ 173.1 million).

The monetary assets and liabilities denominated in the Turkish lira were approximately 4.7 billion Turkish lira (or approximately $ 125.2 million) and approximately 3.1 billion Turkish lira (or approximately $ 81.9 million), respectively, as of March 31, 2025.

The monetary assets and liabilities were remeasured into United States dollars based on exchange rates as of March 31, 2025.

The Company has a wholly-owned subsidiary in Argentina that assembles and distributes agricultural equipment and replacement parts.

3 unchanged sentences

In December 2023, the central bank of Argentina adjusted the official foreign currency exchange rate for the Argentine peso, significantly devaluing the currency relative to the United States dollar.

For the nine months ended and as of September 30, 2024, the Company's wholly-owned subsidiary in Argentina had net sales of approximately $ 167.3 million and total assets of approximately 254.7 billion pesos (or approximately $ 262.3 million).

The monetary assets of the Company's operations in Argentina denominated in pesos at the official government rate were approximately 104.4 billion pesos (or approximately $ 107.5 million), inclusive of approximately 59.8 billion pesos (or approximately $ 61.6 million) in cash and cash equivalents, as of September 30, 2024.

The monetary liabilities of the Company's operations in Argentina denominated in pesos at the official government rate were approximately 15.3 billion pesos (or approximately $ 15.8 million) as of September 30, 2024.

The monetary assets and liabilities were remeasured into United States dollar based on exchange rates as of September 30, 2024.

For the three months ended and as of March 31, 2025, the Company's wholly-owned subsidiary in Argentina had net sales of approximately $ 39.3 million and total assets of approximately 289.0 billion pesos (or approximately $ 268.8 million).

The monetary assets of the Company's operations in Argentina denominated in pesos at the official government rate were approximately 128.8 billion pesos (or approximately $ 119.8 million), inclusive of approximately 87.0 billion pesos (or approximately $ 80.9 million) in cash and cash equivalents, as of March 31, 2025.

The monetary liabilities of the Company's operations in Argentina denominated in pesos at the official government rate were approximately 29.1 billion pesos (or approximately $ 27.1 million) as of March 31, 2025.

The monetary assets and liabilities were remeasured into United States dollar based on exchange rates as of March 31, 2025.

The Company's finance joint venture in Argentina, AGCO Capital Argentina S.A.

("AGCO Capital"), had net monetary assets denominated in pesos at the official government rate of approximately 9.0 billion pesos (or approximately $ 9.3 million) as of September 30, 2024.

(“AGCO Capital”), had net monetary assets denominated in pesos at the official government rate of approximately 7.9 billion pesos (or approximately $ 7.3 million) as of March 31, 2025.

All gains and losses resulting from AGCO Capital's remeasurement of its monetary assets and liabilities are reported as part of AGCO Capital's net income, our share of which is included in “Equity in net earnings of affiliates” within our Condensed Consolidated Statements of Operations.

New Accounting Pronouncements to be Adopted

In November 2023, the FASB issued ASU 2023-07, "Segment Reporting (Topic 280):

Improvements to Reportable Segment Disclosures," which expands annual and interim disclosure requirements and requires entities to disclose its significant segment expense categories and amounts for each reportable segment.

The ASU is effective for public entities for fiscal years

Notes to Condensed Consolidated Financial Statements - Continued

beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024, with early adoption permitted.

The Company is currently evaluating the potential effect that the updated standard will have on its financial statement disclosures.

In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740):

2 unchanged sentences

The requirements will be effective for annual periods beginning after December 15, 2024.

Notes to Condensed Consolidated Financial Statements - Continued

The guidance will be applied on a prospective basis with the option to apply the standard retrospectively.

Early adoption is permitted.

The Company plans to adopt this standard as of December 31, 2025 and is currently evaluating the potential effect that the updated standard will have on its financial statement disclosures.

In November 2024, the FASB issued ASU 2024-03, “Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40):

Disaggregation of Income Statement Expenses,” which requires disaggregation of certain expense captions into specified natural expense categories in the disclosures within the notes to the consolidated financial statements.

In addition, the guidance requires disclosure of selling expenses and its definition.

The amendments in the ASU are effective for annual reporting periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027, with early adoption permitted.

The ASU will be applied prospectively with an option to simultaneously apply retrospectively.

The Company is currently evaluating the potential effect that the updated standard will have on its financial statement disclosures.

6 unchanged sentences

AGCO began consolidating PTx Trimble within its consolidated financial statements on April 1, 2024.

The Company is accounting for the Joint Venture transaction as a business combination using the acquisition method of accounting which requires assets acquired and liabilities assumed to be recorded at their acquisition date fair value.

The Company preliminarily allocated the purchase price of the acquisition to identified assets acquired, liabilities assumed, and noncontrolling interests based on their estimated fair values as of the acquisition date.

The Company accounted for the Joint Venture transaction as a business combination using the acquisition method of accounting which requires assets acquired and liabilities assumed to be recorded at their acquisition date fair value.

The Company allocated the purchase price of the acquisition to identified assets acquired, liabilities assumed, and noncontrolling interests based on their estimated fair values as of the acquisition date.

The excess of the purchase price over the aggregate fair values was recorded as goodwill.

1 unchanged sentence

Fair values of certain assets were determined based on Level 3 inputs, including estimated future cash flows, discount rates, royalty rates, growth rates and sales projections, all of which require significant management judgment and are susceptible to change.

The purchase price allocation was based upon preliminary information and is subject to change if additional information about the facts and circumstances that existed at the acquisition date becomes available.

Measurement period adjustments to the previously disclosed preliminary fair values of developed technologies, tradename, favorable contracts, customer relationships and redeemable noncontrolling interests as a result of updated valuations were recorded resulting in a decrease of intangible assets of $ 94.9 million, redeemable noncontrolling interests of $ 167.2 million and goodwill of $ 72.0 million during the three months ended September 30, 2024.

The adjustment to intangible assets resulted in a reduction of amortization expense of approximately $ 5.9 million being recorded during the three months ended September 30, 2024.

The Company continues to evaluate the valuation of the assets acquired and liabilities assumed related to the acquisition, including inventories, developed technologies, tradename, favorable contracts, customer relationships, deferred taxes and redeemable noncontrolling interests.

The final fair value of the net assets acquired may result in adjustments to these assets and liabilities, including goodwill.

Any subsequent measurement period adjustments are not expected to have a material impact on the Company's results of operations.

The goodwill consists of expected future economic benefits that will arise from expected future product sales, operating efficiencies and sales channel synergies that may result from the Joint Venture.

The Company expects that the portion of the goodwill balance allocated to the US business will be deductible for tax purposes, and the goodwill allocated to the Joint Venture’s investments in foreign subsidiaries, primarily in Germany and France, will not be deductible for tax purposes.

At this time, the assignment of goodwill to reporting units has not yet been completed.

The Company expects that the portion of the goodwill balance allocated to the U.S.

business will be deductible for tax purposes, and the goodwill allocated to the Joint Venture’s investments in foreign subsidiaries, primarily in Germany and France, will not be deductible for tax purposes.

The goodwill arising from the Joint Venture has been assigned to four new reporting units within our North America, South America, Europe/Middle East and Asia/Pacific/Africa operating segments.

Notes to Condensed Consolidated Financial Statements - Continued

The estimated purchase consideration transferred consisted of the following (in millions):

The purchase consideration transferred consisted of the following (in millions):

Purchase Consideration

Total cash consideration for OneAg $ 1,954.0

Estimated working capital and other adjustments ( 45.6 )

Working capital and other adjustments

Equity transaction associated with JCA noncontrolling interest (a) 3.1

1 unchanged sentence

(a) Equity transaction associated with JCA noncontrolling interest

The transfer of the 15 % interest in AGCO's JCA business is accounted for as an equity transaction.

The transfer of the 15 % interest in AGCO's JCA business was accounted for as an equity transaction.

The adjustment to additional paid-in-capital represents the excess of the fair value of the JCA business transferred over its historical carrying amount.

The fair value of the JCA business was determined using a discounted cash flow model.

The preliminary fair values of the assets acquired, liabilities assumed and noncontrolling interests as of the acquisition date are presented in the following table (in millions):

The fair values of the assets acquired, liabilities assumed and noncontrolling interests as of the acquisition date are presented in the following table (in millions):

As of April 1, 2024

22 unchanged sentences

The put and call options prices are based on multiples of EBITDA, subject to the terms of the Agreement.

We estimated the preliminary fair value of the put and call options using a Monte Carlo simulation along with a Black Scholes model assuming an exercise date of three years from the close of the transaction, the first allowable exercise date.

We estimated the fair value of the put and call options using a Monte Carlo simulation along with a Black Scholes model assuming an exercise date of three years from the close of the transaction, the first allowable exercise date.

We evaluated the put and call options for the

13 unchanged sentences

OneAg's pre-acquisition results have been added to the Company's historical results.

The pro forma results (in millions) contained in the table below include adjustments for (i) the elimination of sales between the Company and OneAg, (ii) amortization of acquired intangible assets (iii) interest expense and amortization of debt issuance costs related to borrowings under the Senior Notes due 2027 and 2034 and term loan facility and (iv) transaction-related costs as if these had been incurred on January 1, 2023 for the periods ending September 30, 2023 and 2024, respectively.

Three Months Ended September 30, Nine Months Ended September 30,

2024 2023 2024 2023

Three Months Ended March 31,

Unaudited Consolidated Pro Forma Results

Net sales $ 3,012.1

Net income (loss) attributable to AGCO Corporation and subsidiaries

30.6 277.8 ( 165.5 ) 799.5

Net income attributable to AGCO Corporation

These pro forma results have been prepared for comparative purposes only and are not necessarily indicative of the results of operations as they would have been had the acquisitions occurred on the assumed dates, nor are they necessarily an indication of future operating results.

The amounts of PTx Trimble's net sales and net loss attributable to AGCO Corporation and subsidiaries consolidated by the Company since the acquisition date were $ 122.1 million and $ 21.3 million, respectively.

During the nine months ended September 30, 2024, transaction-related costs of approximately $ 24.1 million were expensed as incurred to “Selling, general and administrative expenses” in the Company's Condensed Consolidated Statements of Operations.

BUSINESS HELD FOR SALE

BUSINESS DIVESTITURE

On July 25, 2024, the Company entered into a Stock and Asset Purchase Agreement to sell the majority of its Grain & Protein (“G&P”) business, which includes the GSI®, Automated Production® (AP), Cumberland®, Cimbria® and Tecno® brands for a purchase price of $ 700.0 million, subject to customary working capital and other adjustments.

As of June 30, 2024, the business met the criteria to be classified as held for sale.

The Company recognizes assets and liabilities held for sale at the lower of carrying value or fair market value less costs to sell.

The fair market value less costs to sell of the disposal group is evaluated at each reporting period to determine if it has changed, and any subsequent changes are recognized as a gain or loss with a corresponding adjustment to the carrying amount of the disposal group.

The loss on business held for sale will be finalized in the fourth quarter upon the closing of the transaction based on the carrying value of the disposal group at the date of

Notes to Condensed Consolidated Financial Statements - Continued

The Company determined the intended sale of the G&P business does not represent a strategic shift that will have a major effect on the consolidated results of operations, and therefore results of this business were not classified as discontinued operations.

The results of the G&P business are included within our North America, South America, Europe/Middle East and Asia/Pacific/Africa segments.

As of September 30, 2024, the Company recognized a loss on business held for sale of $ 497.8 million, which represents the estimated loss on the business held for sale, and is included within “Loss on business held for sale” in the Company's Condensed Consolidated Statements of Operations.

The estimated loss includes $ 71.6 million of cumulative translation adjustment losses related to the assets expected to be divested and an estimate of costs to sell the business.

On November 1, 2024, the Company completed the previously announced sale of the Company’s G&P business to A-AG Holdco Limited, an affiliate of American Industrial Partners.

Additionally, on November 1, 2024, the Company repaid the $ 500.0 million outstanding under the Term Loan Facility and $ 150.0 million outstanding under the Credit Facility utilizing proceeds from the sale of the Company’s G&P business.

On November 1, 2024, the Company completed the sale of the G&P business to A-AG Holdco Limited, an affiliate of American Industrial Partners.

The Company previously classified the G&P business as held for sale as of June 30, 2024.

The Company determined the sale of the G&P business did not represent a strategic shift that had or will have a major effect on the consolidated results of operations, and therefore results of this business were not classified as discontinued operations.

The Company received net proceeds of $ 630.7 million on the transaction date, which is subject to the finalization of preliminary working capital and other adjustments, and recognized a loss on the sale of business of $ 507.3 million.

The loss on sale of business includes $ 93.6 million of cumulative translation adjustment losses representing amounts previously recorded in accumulated other comprehensive loss.

The proceeds from the sale were used to repay the Term Loan Facility and reduce borrowings under the Credit Facility.

Refer to Note 9 for further information.

The major categories of assets and liabilities of the business classified as held for sale as of September 30, 2024 were as follows:

September 30, 2024

Current assets held for sale:

Notes to Condensed Consolidated Financial Statements - Continued

The major categories of divested assets and liabilities as of the date of the divestiture were as follows (in millions):

Assets divested

Cash and cash equivalents $ 25.0

2 unchanged sentences

Other current assets 21.6

Total current assets held for sale 417.0

Total current assets

Property, plant and equipment, net 101.8

3 unchanged sentences

Goodwill 203.6

Total assets held for sale $ 876.0

Current liabilities held for sale:

Liabilities divested

Accounts payable $ 90.4

1 unchanged sentence

Other current liabilities 54.7

Total current liabilities held for sale 259.6

Total current liabilities

Deferred tax liabilities 8.3

1 unchanged sentence

Other noncurrent liabilities 5.2

Total liabilities held for sale $ 286.5

Total liabilities

Disposal group, net $ 571.7

1 unchanged sentence

The Company has accounts receivable sales agreements that permit the sale, on an ongoing basis, of a majority of its wholesale receivables in North America, Europe and Brazil to its U.S., Canadian, European and Brazilian finance joint ventures.

The cash received from receivables sold under the U.S., Canadian, European and Brazilian accounts receivable sales agreements that remain outstanding as of September 30, 2024 and December 31, 2023 was approximately $ 2.2 billion and $ 2.5 billion, respectively.

The cash received from receivables sold under these accounts receivable sales agreements that remain outstanding as of March 31, 2025 and December 31, 2024 was approximately $ 2.1 billion and $ 2.3 billion, respectively.

Under the terms of the accounts receivable sales agreements in the U.S., Canada, Europe and Brazil, the Company pays an annual fee related to the servicing of the receivables sold.

The Company also pays the respective AGCO Finance

Notes to Condensed Consolidated Financial Statements - Continued

entities a subsidized interest payment with respect to the accounts receivable sales agreements, calculated based upon the interest rate charged by Rabobank to its affiliate, and such affiliate then lends to the AGCO Finance entities plus an agreed-upon margin.

The Company also pays the respective AGCO Finance entities a subsidized interest payment with respect to the accounts receivable sales agreements, calculated based upon the interest rate charged by Rabobank to its affiliate, and such affiliate then lends to the AGCO Finance entities plus an agreed-upon margin.

These fees are reflected within losses on the sales of receivables included within “Other expense, net” in the Company’s Condensed Consolidated Statements of Operations.

2 unchanged sentences

In addition, the Company sells certain trade receivables under factoring arrangements to other financial institutions around the world.

The cash received from trade receivables sold under factoring arrangements that remain outstanding as of September 30, 2024 and December 31, 2023 was approximately $ 205.4 million and $ 254.1 million, respectively.

The cash received from trade receivables sold under factoring arrangements that remain outstanding as of March 31, 2025 and December 31, 2024 was approximately $ 210.1 million and $ 220.5 million, respectively.

Under these arrangements, the Company is required to continue to service the sold receivables at market rates.

The Company does not maintain any direct retained interest in the receivables.

The Company reviewed its accounting for the accounts receivable sales agreements and determined that receivables sold under these agreements should be accounted for as off-balance sheet transactions.

Losses on sales of receivables associated with the accounts receivable sales agreements discussed above, reflected within “Other expense, net” in the Company’s Condensed Consolidated Statements of Operations, were approximately $ 28.4 million and $ 92.2 million during the three and nine months ended September 30, 2024, respectively.

Losses on sales of receivables associated with the accounts receivable sales agreements discussed above, reflected within “Other expense, net” in the Company’s Condensed Consolidated Statements of Operations, were approximately and $ 40.5 million and $ 99.3 million during the three and nine months ended September 30, 2023, respectively.

The Company reviewed its accounting for the accounts receivable sales

Notes to Condensed Consolidated Financial Statements - Continued

agreements and determined that receivables sold under these agreements should be accounted for as off-balance sheet transactions.

Losses on sales of receivables associated with the accounts receivable sales agreements discussed above, reflected within “Other expense, net” in the Company’s Condensed Consolidated Statements of Operations, were approximately $ 18.9 million and $ 27.9 million during the three months ended March 31, 2025 and 2024, respectively.

The Company’s finance joint ventures in Europe, Brazil and Australia also provide wholesale financing directly to the Company’s dealers.

As of September 30, 2024 and December 31, 2023, these finance joint ventures had approximately $ 203.2 million and $ 211.3 million, respectively, of outstanding accounts receivable associated with these arrangements.

As of March 31, 2025 and December 31, 2024, these finance joint ventures had approximately $ 115.8 million and $ 139.2 million, respectively, of outstanding accounts receivable associated with these arrangements.

In certain foreign countries, the Company invoices its finance joint ventures directly and the finance joint ventures retain a form of title to the goods delivered to dealers until the dealer makes payment so that the finance joint ventures can recover the goods in the event of dealer or end customer default on payment.

3 unchanged sentences

GOODWILL AND OTHER INTANGIBLE ASSETS

Changes in the carrying amount of goodwill during the nine months ended September 30, 2024 are summarized as follows (in millions):

North America South America Europe/Middle East Asia/Pacific/Africa Unallocated (1)

Changes in the carrying amount of goodwill during the three months ended March 31, 2025 are summarized as follows (in millions):

North America South America Europe/Middle East Asia/Pacific/Africa Consolidated

Balance as of December 31, 2024 $ 742.8 $ 94.9 $ 962.3 $ 20.4 $ 1,820.4

Acquisitions — — 8.7 — 1,731.3 1,740.0

Reclassified to held for sale (2)

( 524.1 ) ( 13.1 ) ( 62.1 ) ( 116.5 ) — ( 715.8 )

Foreign currency translation — 4.6 18.3 — 22.9

Balance as of September 30, 2024 $ 143.3 $ 70.2 $ 410.1 $ — $ 1,734.8 $ 2,358.4

____________________________________

(1) Unallocated goodwill relates to the PTx Trimble joint venture transaction.

Refer to Note 2 for additional information.

(2) Reclassification resulting from the Company's classification of the G&P business as held for sale, $ 497.8 million is included within “Loss on business held for sale” in the Company’s Condensed Consolidated Statements of Operations and $ 218.0 million is included within “Assets held for sale” in the Company’s Condensed Consolidated Balance Sheets.

Refer to Note 3 for additional information.

Balance as of March 31, 2025 $ 742.8 $ 99.5 $ 980.6 $ 20.4 $ 1,843.3

Goodwill is tested for impairment on an annual basis and more often if indications of impairment exist.

1 unchanged sentence

Notes to Condensed Consolidated Financial Statements - Continued

Changes in the carrying amount of acquired intangible assets during the nine months ended September 30, 2024 are summarized as follows (in millions):

Changes in the carrying amount of acquired intangible assets during the three months ended March 31, 2025 are summarized as follows (in millions):

Gross carrying amounts:

1 unchanged sentence

Balance as of December 31, 2024 $ 75.1 $ 179.1 $ 604.7 $ 50.9 $ 909.8

Acquisitions 6.1 39.9 359.3 44.8 450.1

Reclassified to held for sale (1)

( 124.6 ) ( 420.6 ) ( 60.0 ) — ( 605.2 )

Foreign currency translation 0.4 4.5 5.3 — 10.2

Balance as of September 30, 2024 $ 75.4 $ 196.4 $ 445.3 $ 51.2 $ 768.3

Balance as of March 31, 2025 $ 75.5 $ 183.6 $ 610.0 $ 50.9 $ 920.0

Accumulated amortization:

2 unchanged sentences

Amortization expense 1.0 1.7 11.3 1.3 15.3

Reclassified to held for sale (1)

( 75.0 ) ( 370.2 ) ( 50.0 ) — ( 495.2 )

Foreign currency translation 0.4 3.9 2.1 0.1 6.5

Balance as of September 30, 2024 $ 45.1 $ 130.8 $ 81.5 $ 9.0 $ 266.4

Balance as of March 31, 2025 $ 47.0 $ 115.2 $ 108.4 $ 16.3 $ 286.9

Indefinite-lived intangible assets:

2 unchanged sentences

Foreign currency translation 1.3

Balance as of September 30, 2024 $ 86.2

____________________________________

(1) Reclassification resulting from the Company's classification of the G&P business as held for sale.

Refer to Note 3 for additional information.

The Company amortizes certain acquired identifiable intangible assets primarily on a straight-line basis over their estimated useful lives, which range from one to 50 years.

External-use software, net, developed by the Company and marketed externally, was approximately $ 0.7 million and $ 6.3 million as of September 30, 2024 and December 31, 2023, respectively, and classified within “Intangible assets, net.” As of September 30, 2024, $ 4.6 million of external-use software, net was reclassified to held for sale.

Inventories, net at September 30, 2024 and December 31, 2023, excluding amounts classified as held for sale, were as follows (in millions):

September 30, 2024 December 31, 2023

Balance as of March 31, 2025 $ 85.1

The Company amortizes certain acquired identifiable intangible assets primarily on a straight-line basis over their estimated useful lives, which range from four to 50 years.

External-use software, net, developed by the Company and marketed externally, was approximately $ 0.2 million and $ 0.4 million as of March 31, 2025 and December 31, 2024, respectively, and classified within “Intangible assets, net.”

Inventories, net at March 31, 2025 and December 31, 2024, were as follows (in millions):

March 31, 2025 December 31, 2024

Finished goods $ 1,244.8 $ 1,187.9

3 unchanged sentences

Inventories, net $ 2,958.0 $ 2,731.3

Notes to Condensed Consolidated Financial Statements - Continued

At September 30, 2024 and December 31, 2023, the Company had recorded $ 285.9 million and $ 238.9 million respectively, as a reserve for surplus and obsolete inventories.

At March 31, 2025 and December 31, 2024, the Company had recorded $ 269.3 million and $ 251.1 million respectively, as a reserve for surplus and obsolete inventories.

These reserves are reflected within “Inventories, net” within the Company's Condensed Consolidated Balance Sheets.

Notes to Condensed Consolidated Financial Statements - Continued

PRODUCT WARRANTY

The warranty reserve activity for the three and nine months ended September 30, 2024 and 2023, including deferred revenue associated with the Company's extended warranties that have been sold, was as follows (in millions):

Three Months Ended September 30, Nine Months Ended

September 30,

2024 2023 2024 2023

The warranty reserve activity for the three months ended March 31, 2025 and 2024, including deferred revenue associated with the Company's extended warranties that have been sold, was as follows (in millions):

Three Months Ended March 31,

Balance at beginning of period $ 743.0 $ 800.8

Accruals for warranties issued

106.8 123.9 292.7 321.4

Settlements made and deferred revenue recognized

( 89.1 ) ( 82.0 )

Reclassified to held for sale (1)

( 0.3 ) — ( 11.9 ) —

Foreign currency translation 26.3 ( 17.8 )

Balance at September 30 $ 792.8 $ 735.2 $ 792.8 $ 735.2

____________________________________

(1) Reclassification resulting from the Company's classification of the G&P business as held for sale.

Refer to Note 3 for additional information.

Balance at March 31 $ 746.6 $ 793.1

The Company’s agricultural equipment products generally are warranted against defects in material and workmanship for a period of one to four years .

2 unchanged sentences

Revenue is recognized for the extended warranty contracts on a straight-line basis, which the Company believes approximates the cost expected to be incurred in satisfying the obligations, over the extended warranty period.

Approximately $ 645.2 million, $ 679.9 million and $ 625.6 million of warranty reserves are included in “Accrued expenses” in the Company’s Condensed Consolidated Balance Sheets as of September 30, 2024, December 31, 2023 and September 30, 2023, respectively.

Approximately $ 147.6 million, $ 120.9 million and $ 109.6 million of warranty reserves are included in “Other noncurrent liabilities” in the Company’s Condensed Consolidated Balance Sheets as of September 30, 2024, December 31, 2023, and September 30, 2023, respectively.

Approximately $ 589.4 million, $ 598.7 million and $ 661.9 million of warranty reserves are included in “Accrued expenses” in the Company’s Condensed Consolidated Balance Sheets as of March 31, 2025, December 31, 2024 and March 31, 2024, respectively.

Approximately $ 157.2 million, $ 144.3 million and $ 131.2 million of warranty reserves are included in “Other noncurrent liabilities” in the Company’s Condensed Consolidated Balance Sheets as of March 31, 2025, December 31, 2024, and March 31, 2024, respectively.

The Company recognizes potential recoveries of the costs associated with warranties it provides when the collection is probable.

1 unchanged sentence

Estimates of the amount of warranty claim recoveries to be received from the Company’s suppliers based upon contractual supplier arrangements are recorded within “Other current assets” in the Company's Condensed Consolidated Balance Sheets.

Notes to Condensed Consolidated Financial Statements - Continued

SUPPLIER FINANCE PROGRAMS

6 unchanged sentences

The Company has no economic interest in a supplier’s decision to participate in the programs, and the Company has no direct financial relationship with the banks or other intermediaries as it relates to the supplier finance programs.

As of September 30, 2024, payment terms with the majority of the Company’s suppliers are generally 30 to 180 days, which correspond to the contractual terms, with rates that are based on market rates (such as SOFR) plus a credit spread.

As of March 31, 2025, payment terms with the majority of the Company’s suppliers are 30 to 180 days, which correspond to the contractual terms, with rates that are based on market rates (such as SOFR) plus a credit spread.

There are no assets pledged as security under the programs.

As of September 30, 2024 and December 31, 2023, the amounts outstanding that remain unpaid to the banks or other intermediaries totaled $ 77.7 million and $ 82.7 million, respectively, and are reflected in “Accounts payable” in the Company’s Condensed Consolidated Balance Sheets.

Long-term debt, excluding amounts classified as held for sale, consisted of the following at September 30, 2024 and December 31, 2023 (in millions):

September 30, 2024 December 31, 2023

As of March 31, 2025 and December 31, 2024, the amounts outstanding that remain unpaid to the banks or other intermediaries totaled $ 37.0 million and $ 50.6 million, respectively, and are reflected in “Accounts payable” in the Company’s Condensed Consolidated Balance Sheets.

Notes to Condensed Consolidated Financial Statements - Continued

Long-term debt consisted of the following at March 31, 2025 and December 31, 2024 (in millions):

March 31, 2025 December 31, 2024

Credit Facility, expires 2027

Term Loan Facility borrowings

5.450 % Senior notes due 2027

10 unchanged sentences

1.002 % EIB Senior term loan due 2025

Senior term loans due 2025, net of debt issuance costs

Senior term loans due 2025

( 68.0 ) ( 65.3 )

Total long-term indebtedness

$ 2,757.5 $ 2,233.3

Credit Facility and Term Loan Facility

In December 2022, the Company, certain of its subsidiaries and Rabobank, and other named lenders entered into an amendment to its credit facility providing for a $ 1.25 billion multi-currency unsecured revolving credit facility (“Credit Facility”), which replaced the Company’s former $ 800.0 million multi-currency unsecured revolving credit facility.

The amendment provided an additional $ 450.0 million in borrowing capacity.

An initial borrowing under the credit facility was used to repay and retire a $ 240.0 million short-term multi-currency revolving credit facility with Rabobank that matured on March 31, 2023.

The Credit Facility consists of a $ 325.0 million United States dollar tranche and a $ 925.0 million multi-currency tranche for loans denominated in United States dollars, Euros or other currencies to be agreed upon.

The Credit Facility matures on December 19, 2027.

Interest accrues on amounts outstanding for any borrowings denominated in United States dollars, at the

Notes to Condensed Consolidated Financial Statements - Continued

Company’s option, at either (1) the Secured Overnight Financing Rate (“SOFR”) plus 0.1 % plus a margin ranging from 0.875 % to 1.875 % based on the Company’s credit rating, or (2) the base rate, which is the highest of (i) the Prime Rate, (ii) the Federal Funds Effective Rate plus 0.5 %, and (iii) Term SOFR for a one-month tenor plus 1.0 %, plus a margin ranging from 0.000 % to 0.875 % based on the Company’s credit rating.

Interest accrues on amounts outstanding for any borrowings denominated in Euros at the Euro Interbank Offered Rate (“EURIBOR”) plus a margin ranging from 0.875 % to 1.875 % based on the Company’s credit rating.

As of September 30, 2024, the Company had $ 790.0 million in outstanding borrowings under the revolving credit facility and had the ability to borrow $ 459.9 million.

Subsequent to the end of the quarter, on November 1, 2024, the Company repaid $ 150.0 million outstanding under the Credit Facility utilizing proceeds from the sale of the Company’s G&P business.

In December 2023, the Company amended the Credit Facility to allow for incremental borrowings in the form of a delayed draw term loan facility in an aggregate principal amount of $ 250.0 million.

In March 2024, the Company further amended the Credit Facility to increase this amount by $ 250.0 million, for an aggregate amount of $ 500.0 million (“Term Loan Facility”).

The Company drew down the Term Loan Facility on March 28, 2024.

Borrowings under the Term Loan Facility bear interest at the same rate and margin as the Credit Facility.

The Term Loan Facility matures on December 19, 2027.

As of September 30, 2024, the Company had $ 500.0 million outstanding under the Term Loan Facility.

Subsequent to the end of the quarter, on November 1, 2024, the Company repaid the $ 500.0 million outstanding under the Term Loan Facility utilizing proceeds from the sale of the Company’s G&P business.

Refer to Note 3 for further information on the sale of the Company's G&P business.

Credit Facility

The Company has a credit facility providing for a $ 1.25 billion multi-currency unsecured revolving credit facility (“Credit Facility”) that matures on December 19, 2027.

As of March 31, 2025, the Company had $ 476.2 million in outstanding borrowings under the revolving credit facility and had the ability to borrow $ 773.8 million.

Uncommitted Credit Facility

In June 2022, the Company entered into an uncommitted revolving credit facility that allows the Company to borrow up to € 100.0 million (or approximately $ 111.7 million as of September 30, 2024).

The Company has an uncommitted revolving credit facility that allows the Company to borrow up to € 100.0 million (or approximately $ 108.1 million as of March 31, 2025).

The credit facility expires on December 31, 2026.

Any loans will bear interest at the EURIBOR plus a credit spread.

As of September 30, 2024 and December 31, 2023, the Company had no outstanding borrowings under the revolving credit facility and had the ability to borrow € 100.0 million (or approximately $ 111.7 million).

5.450 % Senior Notes due 2027 and 5.800 % Senior Notes due 2034

On March 21, 2024, the Company issued (i) $ 400.0 million aggregate principal amount of 5.450 % Senior Notes due 2027 (the “2027 Notes”) and (ii) $ 700.0 million aggregate principal amount of 5.800 % Senior Notes due 2034 (the “2034 Notes”, and together with the 2027 Notes, the “Notes”).

The Notes are unsecured and guaranteed on a senior unsecured basis by AGCO International Holdings B.V., AGCO International GmbH, Massey Ferguson Corp.

and The GSI Group, LLC, direct and indirect subsidiaries of the Company (collectively, the “Guarantors”).

The 2027 Notes mature on March 21, 2027, and interest is payable semi-annually, in arrears, at 5.450 %.

The 2034 Notes mature on March 21, 2034, and interest is payable semi-annually, in arrears, at 5.800 %.

The Notes contain covenants restricting among other things, the incurrence of certain secured indebtedness.

Prior to February 21, 2027, in the case of the 2027 Notes, and December 21, 2033, in the case of the 2034 Notes, the Company may redeem the 2027 Notes and/or the 2034 Notes at its option, in whole or in part, at any time and from time to time, at the applicable “make-whole” redemption price (calculated as set forth in the the Senior Note Indenture and First Supplemental Indenture and applicable series of the Notes).

On or after February 21, 2027, in the case of the 2027 Notes, and December 21, 2033, in the case of the 2034 Notes, the Company may redeem the 2027 Notes or the 2034 Notes, as the case may be, in whole or in part, at any time and from time to time, at a redemption price equal to 100 % of the principal amount of the Notes being redeemed plus accrued and unpaid interest thereon to, but not including, the redemption date.

0.800 % Senior Notes due 2028

On October 6, 2021, the Company issued € 600.0 million (or approximately $ 670.2 million as of September 30, 2024) of senior notes at an issue price of 99.993 %.

The notes mature on October 6, 2028, and interest is payable annually, in arrears, at 0.800 %.

The notes contain covenants restricting, among other things, the incurrence of certain secured indebtedness.

The senior notes are subject to both optional and mandatory redemption in certain events.

Notes to Condensed Consolidated Financial Statements - Continued

As of March 31, 2025 and December 31, 2024, the Company had no outstanding borrowings under the revolving credit facility.

1.002 % European Investment Bank ( “ EIB ” ) Senior Term Loan due 2025

On January 25, 2019, the Company borrowed € 250.0 million (or approximately $ 279.3 million as of September 30, 2024) from the EIB.

The loan matures on January 24, 2025.

The Company is permitted to prepay the loan before its maturity date.

Interest is payable on the loan at 1.002 % per annum, payable semi-annually in arrears.

EIB Senior Term Loans due 2029 and 2030

On September 29, 2023, the Company entered into a multi-currency Finance Contract with the EIB permitting the Company to borrow up to € 250.0 million to fund up to 50 % of certain investments in research, development and innovation primarily in Germany, France and Finland during the period from 2023 through 2026.

On October 26, 2023, the Company borrowed € 250.0 million (or approximately $ 279.3 million as of September 30, 2024) under the arrangement.

The loan matures on October 26, 2029.

The loan generally can be prepaid at any time upon the election of the Company and must be prepaid upon the occurrence of certain events.

Interest is payable on the term loan at 3.980 % per annum, payable semi-annually in arrears.

The Company also has to fulfill financial covenants with respect to a net leverage ratio and an interest coverage ratio.

On January 25, 2024, the Company entered into an additional multi-currency Finance Contract with the EIB permitting the Company to borrow up to € 170.0 million, for which the proceeds will be used in a similar manner as described for the EIB Senior Term Loan due 2029 above.

On February 15, 2024, the Company borrowed € 170.0 million (or approximately $ 189.9 million as of September 30, 2024) under the arrangement.

The loan matures on February 15, 2030.

The loan generally can be prepaid at any time upon the election of the Company and must be prepaid upon the occurrence of certain events.

Interest is payable on the term loan at 3.416 % per annum, payable semi-annually in arrears.

The Company also has to fulfill financial covenants with respect to a net leverage ratio and an interest coverage ratio.

Senior Term Loans Due Between 2025 and 2028

In October 2016, the Company borrowed an aggregate amount of € 375.0 million through a group of seven related term loan agreements, and in August 2018, the Company borrowed an additional aggregate amount of € 338.0 million through a group of another seven related term loan agreements.

Of the 2016 term loans, the Company repaid an aggregate amount of € 322.5 million in October 2019, October 2021, April 2022 and October 2023.

Of the 2018 senior term loans, the Company repaid an aggregate amount of € 244.0 million in August 2021, February 2022 and August 2023.

In aggregate, as of September 30, 2024, the Company had indebtedness of € 146.5 million (or approximately $ 163.7 million as of September 30, 2024) through a group of four remaining related term loan agreements.

The provisions of the term loan agreements are substantially identical, with the exception of interest rate terms and maturities.

As of September 30, 2024, for the term loans with a fixed interest rate, interest is payable in arrears on an annual basis, with interest rates ranging from 1.67 % to 2.26 % and maturity dates between August 2025 and August 2028.

For the term loan with a floating interest rate, interest is payable in arrears on a semi-annual basis, with an interest rate based on the EURIBOR plus a margin of 1.10 % and a maturity date of August 2025.

Bridge Facility

On September 28, 2023, the Company entered into a bridge facility commitment letter with Morgan Stanley pursuant to which Morgan Stanley committed to provide a $ 2.0 billion senior unsecured 364-day bridge facility (the "Bridge Facility").

The availability under the Bridge Facility was reduced to zero by certain permanent financing transactions including the net proceeds from the issuance of the Notes, the Company's entry into the Term Loan Facility and by amounts based on the Company's cash flow, and the Company terminated the Bridge Facility on March 25, 2024.

On January 24, 2025, the Company repaid € 250.0 million (or approximately $ 262.3 million) upon maturity of the EIB Senior term loan due 2025.

Other Short-Term Borrowings

As of September 30, 2024 and December 31, 2023, the Company had short-term borrowings due within one year, excluding the current portion of long-term debt, of approximately $ 61.6 million and $ 12.7 million, respectively.

As of March 31, 2025 and December 31, 2024, the Company had short-term borrowings due within one year, excluding the current portion of long-term debt, of approximately $ 114.1 million and $ 90.4 million, respectively.

Standby Letters of Credit and Similar Instruments

The Company has arrangements with various banks to issue standby letters of credit or similar instruments, which guarantee the Company’s obligations for the purchase or sale of certain inventories and for potential claims exposure for

At March 31, 2025 and December 31, 2024, outstanding letters of credit totaled approximately $ 14.0 million and $ 13.2 million, respectively.

Notes to Condensed Consolidated Financial Statements - Continued

insurance coverage.

At September 30, 2024 and December 31, 2023, outstanding letters of credit totaled approximately $ 14.7 million and $ 14.7 million, respectively.

RESTRUCTURING AND BUSINESS OPTIMIZATION EXPENSES

Restructuring Expenses

On June 24, 2024, the Company announced a restructuring program (the “Program”) in response to increased weakening demand in the agriculture industry.

1 unchanged sentence

The Company estimates that it will incur charges for one-time termination benefits of approximately $ 150.0 million to $ 200.0 million in connection with this phase of the Program, primarily consisting of cash charges related to severance payments, employees benefits and related costs.

The Company expects the majority of these cash charges will be incurred in 2024 and the first half of 2025.

Additionally, in recent years, the Company announced and initiated several actions to rationalize employee headcount in various manufacturing facilities and administrative offices located in the U.S., Europe, South America, Africa and Asia, in order to reduce costs in response to fluctuating global market demand.

Restructuring expenses activity, which relates to severance and other related costs, during the three and nine months ended September 30, 2024 is summarized as follows (in millions):

The Company incurred the majority of charges in 2024 and expects to incur the remaining charges in 2025.

Restructuring expenses activity, which relates to severance and other related costs, during the three months ended March 31, 2025, is summarized as follows (in millions):

Balance as of December 31, 2024 $ 136.2

First quarter 2024 provision 1.1

First quarter 2025 provision, net of reversals ( 0.8 )

First quarter 2025 cash activity ( 30.3 )

1 unchanged sentence

Balance as of March 31, 2025 $ 109.5

Second quarter 2024 provision, net of reversals 30.1

Second quarter 2024 cash activity ( 2.1 )

Reclassified to held for sale (1)

Foreign currency translation ( 0.3 )

Balance as of June 30, 2024 $ 32.6

Third quarter 2024 provision, net of reversals 5.2

Reclassified to held for sale (1)

Third quarter 2024 cash activity ( 8.9 )

Foreign currency translation 0.6

Balance as of September 30, 2024 $ 29.9

____________________________________

(1) Reclassification resulting from the Company's classification of the G&P business as held for sale.

Refer to Note 3 for additional information.

Business optimization expenses primarily related to professional services costs incurred as part of the restructuring program aimed to reduce structural costs, enhance global efficiencies by changing the Company’s operating model for certain corporate and back-office functions.

During the three and nine months ended September 30, 2024, the Company recognized approximately $ 5.3 million of business optimization expenses.

Approximately $ 98.4 million and $ 125.2 million of restructuring expenses are included in “Accrued expenses” in the Company’s Condensed Consolidated Balance Sheets as of March 31, 2025 and December 31, 2024, respectively.

Approximately $ 11.1 million and $ 11.0 million of restructuring expenses are included in “Other noncurrent liabilities” in the Company’s Condensed Consolidated Balance Sheets as of March 31, 2025 and December 31, 2024, respectively.

Business Optimization Expenses

Business optimization expenses primarily relate to professional services costs incurred as part of the restructuring program aimed at reducing structural costs, enhancing global efficiencies by changing the Company’s operating model for certain corporate and back-office functions.

During the three months ended March 31, 2025, the Company recognized approximately $ 13.8 million of business optimization expenses.

Notes to Condensed Consolidated Financial Statements - Continued

7 unchanged sentences

The Company designates certain foreign currency contracts as cash flow hedges of expected future sales and purchases.

The total notional value of derivatives that were designated as cash flow hedges was approximately $ 234.7 million and $ 262.2 million as of September 30, 2024 and December 31, 2023, respectively.

The total notional value of derivatives that were designated as cash flow hedges was approximately $ 247.0 million and $ 356.7 million as of March 31, 2025 and December 31, 2024, respectively.

Steel Commodity Contracts

The Company designates certain steel commodity contracts as cash flow hedges of expected future purchases of steel.

The total notional value of derivatives that were designated as cash flow hedges was approximately $ 0.0 million and $ 2.5 million as of September 30, 2024 and December 31, 2023, respectively.

The Company did not have any derivatives that were designated as cash flow hedges related to steel commodity contracts as of March 31, 2025 and December 31, 2024, respectively.

Interest Rate Risk

The Company entered into treasury rate locks in early March 2024 to fix the interest rate for the 2034 Notes issued on March 21, 2024.

The Company entered into treasury rate locks in early March 2024 to fix the interest rate for the 5.800 % Senior Notes due 2034 (the “2034 Notes”) issued on March 21, 2024.

The derivative position settled on March 28, 2024 with a cash settlement that offset changes in the benchmark treasury rate between the execution of the treasury rate lock and the debt pricing date for the 2034 Notes.

2 unchanged sentences

Notes to Condensed Consolidated Financial Statements - Continued

The following tables summarize the after-tax impact that changes in the fair value of derivatives designated as cash flow hedges had on accumulated other comprehensive loss and net income (loss) during the three and nine months ended September 30, 2024 and 2023 (in millions):

Recognized in Net Income (Loss)

Three Months Ended September 30, Gain (Loss) Recognized in Accumulated

Other Comprehensive Loss

Classification of Gain (Loss)

Gain (Loss) Reclassified from Accumulated

Other Comprehensive Loss into Income

Total Amount of the Line Item in the Condensed Consolidated Statements of Operations Containing Hedge Gains (Losses)

The following table summarizes the activity in accumulated other comprehensive loss related to the derivatives held by the Company during the three months ended March 31, 2025 (in millions):

Before-Tax Amount Income Tax Expense (Benefit) After-Tax Amount

Accumulated derivative net gains as of December 31, 2024

$ 11.7 $ 2.8 $ 8.9

Net changes in fair value of derivatives

Foreign currency contracts (1)

$ ( 0.3 ) Cost of goods sold $ ( 1.9 ) $ 1,996.2

Commodity contracts (2)

— Cost of goods sold ( 0.1 ) $ 1,996.2

Treasury rate locks — Interest expense, net 0.1 $ 33.9

Total $ ( 0.3 ) $ ( 1.9 )

Foreign currency contracts $ ( 1.7 ) Cost of goods sold $ ( 2.5 ) $ 2,521.5

Commodity contracts ( 0.1 ) Cost of goods sold 0.2 $ 2,521.5

Total $ ( 1.8 ) $ ( 2.3 )

Recognized in Net Income (Loss)

Nine Months Ended September 30, Gain (Loss) Recognized in Accumulated

Other Comprehensive Loss Classification of Gain (Loss) Gain (Loss) Reclassified from Accumulated

Other Comprehensive Loss into Income

Total Amount of the Line Item in the Condensed Consolidated Statements of Operations Containing Hedge Gains (Losses)

Net gains reclassified from accumulated other comprehensive loss into income

Foreign currency contracts (1)

$ ( 5.0 ) Cost of goods sold $ ( 5.7 ) $ 6,564.2

Commodity contracts (2)

( 0.3 ) Cost of goods sold ( 0.3 ) $ 6,564.2

Treasury rate locks 6.1 Interest expense, net 0.3 $ 65.7

Total $ 0.8 $ ( 5.7 )

Foreign currency contracts $ ( 8.6 ) Cost of goods sold $ ( 5.1 ) $ 7,817.1

Commodity contracts 0.1 Cost of goods sold 0.1 $ 7,817.1

Total $ ( 8.5 ) $ ( 5.0 )

( 2.3 ) ( 0.7 ) ( 1.6 )

(1) The outstanding contracts as of September 30, 2024 range in maturity through December 2024.

(2) As of September 30, 2024, there were no outstanding contracts with future maturity dates.

Notes to Condensed Consolidated Financial Statements - Continued

The following table summarizes the activity in accumulated other comprehensive loss related to the derivatives held by the Company during the three months ended September 30, 2024 (in millions):

Before-Tax Amount Income Tax Expense (Benefit) After-Tax Amount

Accumulated derivative net gains as of June 30, 2024

Treasury rate locks

( 0.2 ) ( 0.1 ) ( 0.1 )

Net changes in fair value of derivatives ( 0.1 ) 0.2 ( 0.3 )

Net losses reclassified from accumulated other comprehensive loss into income 2.1 0.2 1.9

Accumulated derivative net gains as of September 30, 2024

Total ( 2.5 ) ( 0.8 ) ( 1.7 )

Accumulated derivative net gains as of March 31, 2025

$ 9.8 $ 2.2 $ 7.6

The following table summarizes the activity in accumulated other comprehensive loss related to the derivatives held by the Company during the nine months ended September 30, 2024 (in millions):

____________________________________

(1) The outstanding contracts as of March 31, 2025 range in maturity through December 2025.

As of March 31, 2025, approximately $ 0.2 million of realized derivative net losses, before taxes, remain in accumulated other comprehensive loss related to foreign currency contracts associated with inventory that had not yet been sold.

The following table summarizes the activity in accumulated other comprehensive loss related to the derivatives held by the Company during the three months ended March 31, 2024 (in millions):

Before-Tax Amount Income Tax Expense (Benefit) After-Tax Amount

Accumulated derivative net losses as of December 31, 2023

$ ( 1.3 ) $ ( 0.5 ) $ ( 0.8 )

Net changes in fair value of derivatives

Foreign currency contracts

( 1.1 ) 0.1 ( 1.2 )

Commodity contracts

( 0.3 ) — ( 0.3 )

Treasury rate locks

Net losses reclassified from accumulated other comprehensive loss into income

Accumulated derivative net gains as of September 30, 2024 $ 8.8 $ 3.1 $ 5.7

As of September 30, 2024, approximately $ 3.5 million loss of realized derivatives, before taxes, remain in accumulated other comprehensive loss related to foreign currency contracts associated with inventory that had not yet been sold.

Foreign currency contracts

Total 2.6 0.3 2.3

Accumulated derivative net gains as of March 31, 2024

$ 8.1 $ 2.0 $ 6.1

Net Investment Hedges

3 unchanged sentences

To the extent foreign currency denominated debt is de-designated from a net investment hedge relationship, changes in the value of the foreign currency denominated debt are recorded in earnings through the maturity date.

On January 29, 2021, the Company entered into a cross currency swap contract as a hedge of its net investment in foreign operations to offset foreign currency translation gains or losses on the net investment.

The cross currency swap has an expiration date of January 29, 2028.

At maturity of the cross currency swap contract, the Company was expected to deliver the notional amount of approximately € 247.9 million (or approximately $ 277.0 million as of September 30, 2024) and receive $ 300.0 million from the counterparties.

The Company receives quarterly interest payments from the counterparties based on a fixed interest rate until the maturity of the cross currency swap.

In addition, the Company executed new $ 600.0 million cross currency swap contracts comprising of $ 200.0 million tranche for 3 years tenor, $ 200 million tranche for 5 years tenor and $ 200.0 million tranche for 7 years tenor.

During the nine months ended September 30, 2023, the Company designated € 150.0 million of its multi-currency revolving credit facility maturing December 2027 as a hedge of its net investment in foreign operations to offset foreign currency translation gains or losses on the net investment.

This portion of the multi-currency revolving credit facility was repaid in December 2023.

The Company recognized the change in fair value of the foreign currency denominated debt designated as a net investment hedge, a gain of $ 1.7 million and $ 2.7 million, net of tax, in accumulated other comprehensive loss during the three and nine months ended September 30, 2023, respectively.

Notes to Condensed Consolidated Financial Statements - Continued

The cross currency swap had an expiration date of January 29, 2028.

At maturity of the cross currency swap contract, the Company was expected to deliver the notional amount of approximately € 247.9 million and receive $ 300.0 million from the counterparties.

The Company received quarterly interest payments from the counterparties based on a fixed interest rate until the maturity of the cross currency swap.

On November 4, 2024, the Company's existing cross currency swap contract was terminated and the Company delivered the notional amount of approximately $ 277.4 million and received $ 300.0 million from the counterparties, resulting in a gain of approximately $ 22.6 million that was recognized in accumulated other comprehensive loss.

On November 4, 2024, the Company entered into new $ 600.0 million cross currency swap contracts comprising a $ 200.0 million tranche for three years tenor, $ 200.0 million tranche for five years tenor and $ 200.0 million tranche for seven years tenor as a hedge of its net investment in foreign operations to offset foreign currency translation gains or losses on the net investment.

The cross currency swap contracts have an expiration date of November 6, 2027, November 6, 2029 and November 6, 2031, respectively.

At maturity of the cross currency swap contracts, the Company is expected to deliver the notional amount of approximately € 385.5 million (or approximately $ 416.7 million as of March 31, 2025) and 155.5 million Swiss francs (or approximately $ 176.2 million as of March 31, 2025), respectively, and receive $ 600.0 million from the counterparties.

The Company receives quarterly interest payments from the counterparties based on a fixed interest rate until maturity of the cross currency swap.

The following table summarizes the notional values of the instrument designated as a net investment hedge (in millions):

Notional Amount as of

September 30, 2024 December 31, 2023

Cross currency swap contract $ 300.0 $ 300.0

The following table summarizes the changes in the fair value of the cross currency swap contract designated as a net investment hedge during the three and nine months ended September 30, 2024 and 2023 (in millions):

Gain (Loss) Recognized in Accumulated Other Comprehensive Loss for the

Three Months Ended Gain (Loss) Recognized in Accumulated Other Comprehensive Loss for the

Nine Months Ended

Before-Tax Amount Income Tax Expense (Benefit) After-Tax Amount Before-Tax Amount Income Tax Expense (Benefit) After-Tax Amount

September 30, 2024 $ ( 7.1 ) $ ( 1.8 ) $ ( 5.3 ) $ 1.0 $ 0.2 $ 0.8

September 30, 2023 4.1 1.0 3.1 ( 2.6 ) ( 0.7 ) ( 1.9 )

March 31, 2025 December 31, 2024

Cross currency swap contracts

$ 600.0 $ 600.0

The following table summarizes the changes in the fair value of the cross currency swap contracts designated as a net investment hedge during the three months ended March 31, 2025 and 2024 (in millions):

Gain (Loss) Recognized in Other Comprehensive Income (Loss) for the

Three Months Ended

Before-Tax Amount Income Tax Expense (Benefit) After-Tax Amount

March 31, 2025 $ ( 10.0 ) $ ( 2.6 ) $ ( 7.4 )

March 31, 2024 4.7 1.2 3.5

Derivative Transactions Not Designated as Hedging Instruments

2 unchanged sentences

Gains and losses on such contracts are substantially offset by losses and gains on the remeasurement of the underlying asset or liability being hedged and are immediately recognized into earnings.

As of September 30, 2024 and December 31, 2023, the Company had outstanding foreign currency contracts with a notional amount of approximately $ 2,710.6 million and $ 3,125.1 million, respectively.

As of March 31, 2025 and December 31, 2024, the Company had outstanding foreign currency contracts with a notional amount of approximately $ 2,122.1 million and $ 3,231.2 million, respectively.

Notes to Condensed Consolidated Financial Statements - Continued

The following table summarizes the results on net income of derivatives not designated as hedging instruments (in millions):

Gain (Loss) Recognized in Net Income for the Three Months Ended

Gain (Loss) Recognized in Net Income for the Nine Months Ended

Classification of Gain (Loss)

September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023

March 31, 2025 March 31, 2024

Foreign currency contracts Other expense, net $ 17.9 $ ( 8.3 )

Notes to Condensed Consolidated Financial Statements - Continued

The table below sets forth the fair value of derivative instruments as of September 30, 2024 (in millions):

The table below sets forth the fair value of derivative instruments as of March 31, 2025 (in millions):

Asset Derivatives as of

September 30, 2024

March 31, 2025

Liability Derivatives as of

September 30, 2024

March 31, 2025

Balance Sheet Location Fair Value Balance Sheet Location Fair Value

1 unchanged sentence

Foreign currency contracts Other current assets $ 4.2 Other current liabilities $ 1.9

Cross currency swap contract Other noncurrent assets 21.3 Other noncurrent liabilities —

Cross currency swap contracts

Other noncurrent assets 6.2 Other noncurrent liabilities —

Derivative instruments not designated as hedging instruments:

3 unchanged sentences

____________________________________

(1) The outstanding contracts as of September 30, 2024 range in maturity through November 2024.

(1) The outstanding contracts as of March 31, 2025 range in maturity through May 2025.

The table below sets forth the fair value of derivative instruments as of December 31, 2024 (in millions):

Asset Derivatives as of

December 31, 2023 Liability Derivatives as of

December 31, 2024

Liability Derivatives as of

December 31, 2024

Balance Sheet Location Fair Value Balance Sheet Location Fair Value

1 unchanged sentence

Foreign currency contracts Other current assets $ 3.7 Other current liabilities $ 1.6

Cross currency swap contract Other noncurrent assets 20.3 Other noncurrent liabilities —

Commodity contracts Other current assets — Other current liabilities —

Cross currency swap contracts

Other noncurrent assets 16.2 Other noncurrent liabilities —

Derivative instruments not designated as hedging instruments:

2 unchanged sentences

Total derivative instruments $ 46.0 $ 14.2

___________________________________

(1) The outstanding contracts as of December 31, 2023 range in maturity through February 2024.

Notes to Condensed Consolidated Financial Statements - Continued

STOCKHOLDERS’ EQUITY

The following tables set forth changes in redeemable noncontrolling interests and stockholders’ equity attributed to AGCO Corporation and its subsidiaries and to noncontrolling interests for the three and nine months ended September 30, 2024 and 2023 (in millions):

The following tables set forth changes in redeemable noncontrolling interests and stockholders’ equity attributed to AGCO Corporation and to noncontrolling interests for the three months ended March 31, 2025 and 2024 (in millions):

Redeemable Noncontrolling Interests

2 unchanged sentences

Earnings Accumulated Other

Comprehensive Loss Noncontrolling

Interests Total Stockholders’

Balance, June 30, 2024 $ 504.7 $ 0.7 $ 9.2 $ 5,930.6 $ ( 1,886.7 ) $ 0.1 $ 4,053.9

Stock compensation — — 3.8 — — — 3.8

Issuance of stock awards

— — ( 0.6 ) ( 0.1 ) — — ( 0.7 )

Sale of minority interest

— — — — — ( 0.1 ) ( 0.1 )

Comprehensive income:

Net income (loss) ( 1.1 ) — — 30.0 — — 30.0

Other comprehensive income:

Foreign currency translation adjustments

1.1 — — — 79.9 — 79.9

Defined pension and postretirement benefit plans, net of tax

— — — — 2.0 — 2.0

Deferred gains and losses on derivatives, net of tax

— — — — 1.6 — 1.6

Payment of dividends to stockholders — — — ( 21.6 ) — — ( 21.6 )

Redeemable noncontrolling interests measurement period adjustment (Note 2)

( 167.2 ) — — — — — —

Balance, September 30, 2024 $ 337.5 $ 0.7 $ 12.4 $ 5,938.9 $ ( 1,803.2 ) $ — $ 4,148.8

Notes to Condensed Consolidated Financial Statements - Continued

Redeemable Noncontrolling Interests Common

Stock Additional

Paid-in Capital Retained

Earnings Accumulated Other

Comprehensive Loss Noncontrolling

Interests Total Stockholders’

Comprehensive Loss Total Stockholders’

Balance, December 31, 2024 $ 300.1 $ 0.7 $ — $ 5,645.0 $ ( 1,902.9 ) $ 3,742.8

1 unchanged sentence

Issuance of stock awards

SSARs exercised — — ( 0.1 ) — — — ( 0.1 )

Sale of minority interest

— — ( 5.5 ) ( 4.3 ) — ( 9.8 )

Comprehensive income:

( 2.9 ) — — ( 169.1 ) — — ( 169.1 )

Other comprehensive income (loss):

Foreign currency translation adjustments 0.1 — — — ( 107.2 ) — ( 107.2 )

Defined pension and postretirement benefit plans, net of tax

— — — — 5.6 — 5.6

Deferred gains and losses on derivatives, net of tax — — — — 6.5 — 6.5

Payment of dividends to stockholders — — — ( 251.5 ) — — ( 251.5 )

Equity transaction associated with JCA noncontrolling interest (Note 2)

— — 3.1 — — — 3.1

Initial fair value of redeemable noncontrolling interests (Note 2)

332.2 — — — — — —

Investment by redeemable noncontrolling interest (Note 2)

8.1 — — — — — —

Balance, September 30, 2024 $ 337.5 $ 0.7 $ 12.4 $ 5,938.9 $ ( 1,803.2 ) $ — $ 4,148.8

Notes to Condensed Consolidated Financial Statements - Continued

Stock Additional

Paid-in Capital Retained

Earnings Accumulated Other

Comprehensive Loss Noncontrolling

Interests Total Stockholders’

Balance, June 30, 2023 $ 0.7 $ 36.1 $ 5,786.8 $ ( 1,684.8 ) $ 0.2 $ 4,139.0

Stock compensation — 10.2 — — — 10.2

Issuance of stock awards

— ( 0.3 ) — — — ( 0.3 )

SSARs exercised — — — — — —

Comprehensive income:

— — 280.6 — ( 0.1 ) 280.5

Comprehensive income (loss):

Net income (loss) ( 1.8 ) — — 10.5 — 10.5

Other comprehensive income (loss):

6 unchanged sentences

Payment of dividends to stockholders — — — ( 21.6 ) — ( 21.6 )

— — ( 21.7 ) — — ( 21.7 )

Balance, September 30, 2023 $ 0.7 $ 46.0 $ 6,045.7 $ ( 1,736.9 ) $ 0.1 $ 4,355.6

Balance, March 31, 2025 $ 299.8 $ 0.7 $ 0.7 $ 5,629.6 $ ( 1,821.6 ) $ 3,809.4

Stock Additional

9 unchanged sentences

Comprehensive income:

Net income — — 832.4 — ( 0.1 ) 832.3

— — 168.0 — — 168.0

Other comprehensive income (loss):

7 unchanged sentences

— — ( 21.6 ) — — ( 21.6 )

Adoption of ASU 2016-13 by finance joint ventures — — ( 5.5 ) — — ( 5.5 )

Balance, September 30, 2023 $ 0.7 $ 46.0 $ 6,045.7 $ ( 1,736.9 ) $ 0.1 $ 4,355.6

Balance, March 31, 2024 $ 0.7 $ — $ 6,505.9 $ ( 1,751.5 ) $ 0.1 $ 4,755.2

Notes to Condensed Consolidated Financial Statements - Continued

The following table sets forth changes in accumulated other comprehensive loss by component, net of tax, attributed to AGCO Corporation and its subsidiaries for the nine months ended September 30, 2024 (in millions):

The following table sets forth changes in accumulated other comprehensive loss by component, net of tax, attributed to AGCO Corporation for the three months ended March 31, 2025 (in millions):

Defined Pension and Postretirement Benefit Plans

4 unchanged sentences

$ ( 218.8 ) $ 8.9 $ ( 1,693.0 ) $ ( 1,902.9 )

Other comprehensive income (loss) before reclassifications

Other comprehensive income before reclassifications

— 0.4 80.7 81.1

Net losses reclassified from accumulated other comprehensive loss 5.6 5.7 — 11.3

Net losses (gains) reclassified from accumulated other comprehensive loss

1.9 ( 1.7 ) — 0.2

Other comprehensive income (loss)

1.9 ( 1.3 ) 80.7 81.3

Accumulated other comprehensive income (loss),

September 30, 2024

Accumulated other comprehensive loss,

March 31, 2025

$ ( 216.9 ) $ 7.6 $ ( 1,612.3 ) $ ( 1,821.6 )

The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation and its subsidiaries for the three and nine months ended September 30, 2024 and 2023 (in millions):

The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation for the three months ended March 31, 2025 and 2024 (in millions):

Amount Reclassified from Accumulated Other Comprehensive Loss Affected Line Item within the Condensed Consolidated

Statements of Operations

Details about Accumulated Other Comprehensive Loss Components Three Months Ended September 30, 2024 (1)

Three Months Ended September 30, 2023 (1)

Net losses on foreign currency contracts $ 2.2 $ 3.0 Cost of goods sold

Net losses (gains) on commodity contracts

Details about Accumulated Other Comprehensive Loss Components Three Months Ended March 31, 2025 (1)

Three Months Ended March 31, 2024 (1)

Net losses (gains) on foreign currency contracts

$ ( 2.3 ) $ 2.6 Cost of goods sold

2 unchanged sentences

Reclassification before tax ( 2.5 ) 2.6

Income tax benefit

Income tax expense (benefit)

0.8 ( 0.3 ) Income tax provision

9 unchanged sentences

____________________________________

(1) Losses (Gains) included within the Condensed Consolidated Statements of Operations for the three months ended September 30, 2024 and 2023, respectively.

(1) Losses (Gains) included within the Condensed Consolidated Statements of Operations for the three months ended March 31, 2025 and 2024, respectively.

(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost.

See Note 15 for additional information.

Refer to Note 15 for additional information.

Notes to Condensed Consolidated Financial Statements - Continued

Amount Reclassified from Accumulated Other Comprehensive Loss Affected Line Item within the Condensed Consolidated

Statements of Operations

Details about Accumulated Other Comprehensive Loss Components Nine Months Ended September 30, 2024 (1)

Nine Months Ended September 30, 2023 (1)

Net losses on foreign currency contracts $ 6.4 $ 6.5 Cost of goods sold

Net losses (gains) on commodity contracts

0.3 ( 0.1 ) Cost of goods sold

Net gains on treasury rate locks

( 0.5 ) — Interest expense, net

Reclassification before tax 6.2 6.4

Income tax benefit

( 0.5 ) ( 1.4 ) Income tax provision

Reclassification net of tax $ 5.7 $ 5.0

Defined pension and postretirement benefit plans:

Amortization of net actuarial losses $ 6.7 $ 6.4 Other expense, net (2)

Amortization of prior service cost 1.2 1.1 Other expense, net (2)

Reclassification before tax 7.9 7.5

Income tax benefit

( 2.3 ) ( 1.9 ) Income tax provision

Reclassification net of tax $ 5.6 $ 5.6

Net losses reclassified from accumulated other comprehensive loss $ 11.3 $ 10.6

__________________________________

(1) Losses (Gains) included within the Condensed Consolidated Statements of Operations for the nine months ended September 30, 2024 and 2023, respectively.

(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost.

See Note 15 for additional information.

Share Repurchase Program

In November 2024, the Company entered into an accelerated share repurchase (“ASR”) agreement with a financial institution to repurchase $ 22.0 million of shares of its common stock.

The Company received approximately 228,969 shares associated with the completion of this transaction as of December 31, 2024.

In November 2023, the Company entered into an ASR agreement with a financial institution to repurchase $ 53.0 million of shares of its common stock.

The Company received approximately 371,669 shares associated with this transaction as of December 31, 2023.

1 unchanged sentence

All shares received under the ASR agreement were retired upon receipt, and the excess of the purchase price over par value per share was recorded to a combination of “Additional paid-in capital” and “Retained earnings” within the Company’s Condensed Consolidated Balance Sheets.

During the three and nine months ended September 30, 2024, the Company did no t purchase any shares directly or enter into any accelerated share repurchase agreements.

As of September 30, 2024, the remaining amount authorized to be repurchased under board-approved share repurchase authorizations was approximately $ 57.0 million, which has no expiration date.

On April 25, 2024, the Company's Board of Directors declared a special variable dividend of $ 2.50 per common share that was paid during the second quarter of 2024.

During the three months ended September 30, 2024 and September 30, 2023, the Company declared and paid cash dividends of $ 0.29 and $ 0.29 per common share, respectively.

During the nine months ended September 30, 2024 and September 30, 2023, the Company declared and paid cash dividends of $ 3.37 and $ 5.81 per common share, respectively.

On October 24, 2024, the Company's Board of Directors declared a regular quarterly dividend of $ 0.29 per common share to be paid on December 16, 2024, to all stockholders of record as of the close of business on November 15, 2024.

Notes to Condensed Consolidated Financial Statements - Continued

NET INCOME (LOSS) PER COMMON SHARE

Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during each period.

Diluted net income (loss) per common share assumes the exercise of outstanding stock-settled stock appreciation rights ("SSARs") and the vesting of restricted stock unit awards ("RSUs") using the treasury stock method when there is no other circumstance other than the passage of time under which they would not be issued, and the effects of such assumptions are dilutive.

A reconciliation of net income (loss) attributable to AGCO Corporation and subsidiaries and weighted average common shares outstanding for purposes of calculating basic and diluted net income (loss) per share for the three and nine months ended September 30, 2024 and 2023 is as follows (in millions, except per share data):

Three Months Ended September 30, Nine Months Ended September 30,

2024 2023 2024 2023

Basic net income (loss) per share:

Net income (loss) attributable to AGCO Corporation and subsidiaries

During the three months ended March 31, 2025, the Company did no t purchase any shares directly or enter into any accelerated share repurchase agreements.

As of March 31, 2025, the remaining amount authorized to be repurchased under board-approved share repurchase authorizations was approximately $ 35.0 million, which has no expiration date.

During the three months ended March 31, 2025 and 2024, the Company declared and paid cash dividends of $ 0.29 and $ 0.29 per common share, respectively.

On April 24, 2025, the Company's Board of Directors declared a regular quarterly dividend of $ 0.29 per common share to be paid on June 16, 2025, to all stockholders of record as of the close of business on May 15, 2025.

NET INCOME PER COMMON SHARE

Basic net income per common share is computed by dividing net income by the weighted average number of common shares outstanding during each period.

Diluted net income per common share assumes the exercise of outstanding stock-settled stock appreciation rights (“SSARs”) and the vesting of restricted stock unit awards (“RSUs”) using the treasury stock method when there is no other circumstance other than the passage of time under which they would not be issued, and the effects of such assumptions are dilutive.

A reconciliation of net income attributable to AGCO Corporation and weighted average common shares outstanding for purposes of calculating basic and diluted net income per share for the three months ended March 31, 2025 and 2024 is as follows (in millions, except per share data):

Three Months Ended March 31,

Basic net income per share:

Net income attributable to AGCO Corporation

$ 10.5 $ 168.0

Weighted average number of common shares outstanding 74.6 74.6

Basic net income (loss) per share attributable to AGCO Corporation and subsidiaries

Basic net income per share attributable to AGCO Corporation

$ 0.14 $ 2.25

Diluted net income (loss) per share:

Net income (loss) attributable to AGCO Corporation and subsidiaries

Diluted net income per share:

Net income attributable to AGCO Corporation

$ 10.5 $ 168.0

1 unchanged sentence

Dilutive SSARs and RSUs

0.1 0.1 0.1 0.1

Weighted average number of common shares and common share equivalents outstanding for purposes of computing diluted net income per share

Diluted net income (loss) per share attributable to AGCO Corporation and subsidiaries

Diluted net income per share attributable to AGCO Corporation

$ 0.14 $ 2.25

At September 30, 2024 and December 31, 2023, the Company had approximately $ 398.5 million and $ 351.2 million, respectively, of gross unrecognized income tax benefits, all of which would affect the Company’s effective tax rate if recognized.

Gross unrecognized income tax benefits as of September 30, 2024 and December 31, 2023 exclude certain indirect favorable effects that relate to other tax jurisdictions of approximately $ 125.6 million and $ 103.9 million, respectively.

In addition, the gross unrecognized income tax benefits as of September 30, 2024 and December 31, 2023 exclude certain deposits made in a foreign jurisdiction of approximately $ 27.1 million, net of $ 20.0 million refunds received, and $ 26.9 million, net of $ 19.7 million refunds received, respectively, associated with an ongoing audit.

At September 30, 2024 and December 31, 2023, the Company had approximately $ 11.7 million and $ 9.9 million, respectively, of accrued or deferred taxes related to uncertain income tax positions connected with ongoing income tax audits in various jurisdictions that it expects to settle or pay in the next 12 months, reflected in “Other current liabilities” in the Company’s Condensed Consolidated Balance Sheets.

At September 30, 2024 and December 31, 2023, the Company had approximately $ 389.4 million and $ 344.2 million, respectively, of accrued taxes reflected in “Other noncurrent liabilities” in the Company’s Condensed Consolidated Balance Sheets.

Notes to Condensed Consolidated Financial Statements - Continued

At March 31, 2025 and December 31, 2024, the Company had approximately $ 421.5 million and $ 387.4 million, respectively, of gross unrecognized income tax benefits, all of which would affect the Company’s effective tax rate if recognized.

Gross unrecognized income tax benefits as of March 31, 2025 and December 31, 2024 exclude certain indirect favorable effects that relate to other tax jurisdictions of approximately $ 141.4 million and $ 126.4 million, respectively.

In addition, the gross unrecognized income tax benefits as of March 31, 2025 and December 31, 2024 exclude certain deposits made in a foreign jurisdiction of approximately $ 26.2 million, net of $ 19.3 million refunds received, and $ 25.2 million, net of $ 18.5 million refunds received, respectively, associated with an ongoing audit.

At March 31, 2025 and December 31, 2024, the Company had approximately $ 9.9 million and $ 9.3 million, respectively, of accrued or deferred taxes related to uncertain income tax positions connected with ongoing income tax audits in various jurisdictions that it expects to settle or pay in the next 12 months, reflected in “Other current liabilities” in the Company’s Condensed Consolidated Balance Sheets.

At March 31, 2025 and December 31, 2024, the Company had approximately $ 411.8 million and $ 378.4 million, respectively, of accrued taxes reflected in “Other noncurrent liabilities” in the Company’s Condensed Consolidated Balance Sheets.

The Company accrues interest and penalties related to unrecognized tax benefits in its provision for income taxes.

At September 30, 2024 and December 31, 2023, the Company had accrued interest and penalties related to unrecognized tax benefits of approximately $ 32.8 million and $ 27.9 million, respectively.

At March 31, 2025 and December 31, 2024, the Company had accrued interest and penalties related to unrecognized tax benefits of approximately $ 33.9 million and $ 30.9 million, respectively.

Generally, tax years 2019 through 2024 remain open to examination by taxing authorities in the United States and certain other foreign tax jurisdictions.

The Company and its subsidiaries are routinely examined by tax authorities in the United States and in various state, local and foreign jurisdictions.

As of September 30, 2024, a number of income tax examinations in foreign jurisdictions are ongoing.

The Company maintains a valuation allowance to reserve against its net deferred tax assets in certain foreign jurisdictions.

A valuation allowance is established when it is more likely than not that some portion or all of the deferred tax

Notes to Condensed Consolidated Financial Statements - Continued

assets will not be realized.

The Company regularly assesses the likelihood that its deferred tax assets will be recovered from estimated future taxable income and available tax planning strategies and has determined that all adjustments to the valuation allowances have been appropriate.

As of March 31, 2025, a number of income tax examinations in foreign jurisdictions are ongoing.

The Company maintains a valuation allowance to reserve a portion of its net deferred tax assets in the United States and certain foreign jurisdictions.

A valuation allowance is established when it is more likely than not that some portion or all of the deferred tax assets will not be realized.

In making this assessment, all available evidence was considered including the current economic climate, as well as reasonable tax planning strategies.

The Company believes it is more likely than not that the Company will realize its remaining net deferred tax assets, net of the valuation allowance, in future years.

In recent decisions, the Brazilian courts have confirmed a favorable tax ruling regarding the taxability of certain state value added tax incentive benefits, which allowed the Company to record a $ 31.7 million reduction in the provision for income taxes during the nine months ended September 30, 2024.

In 2008 and 2012, as part of routine audits, the Brazilian taxing authorities disallowed deductions relating to the amortization of certain goodwill recognized in connection with a reorganization of the Company’s Brazilian operations and the related transfer of certain assets to the Company’s Brazilian subsidiaries.

The amount of the tax disallowance through December 31, 2023 would have been approximately 131.5 million Brazilian reais (or approximately $ 27.1 million) and subject to significant interest and penalties.

In the first quarter of 2023, the Brazilian government issued a “Litigation Zero” tax amnesty program, whereby cases being disputed at the administrative court level of review for a period of more than ten years could be considered for amnesty.

Enrollment in the amnesty program was not considered an admission of guilt and allowed for outstanding contested cases to be settled at a significant monetary discount.

The Company contested the disallowance and had been historically advised by its legal and tax advisors that its position was allowable under the tax laws of Brazil.

After weighing various impacts involved with enrollment, including the avoidance of potential interest, penalties and legal costs, the Company enrolled in the program in the quarter ended March 31, 2023.

The Company recorded approximately 182.6 million Brazilian reais (or approximately $ 34.8 million) within “Income tax provision” net of associated U.S.

income tax credits of approximately $ 8.4 million and completed its installment payments related to its enrollment in the program during the year ended December 31, 2023.

The Company believes it is more likely than not that it will realize its remaining net deferred tax assets, net of the valuation allowance, in future years.

PENSION AND POSTRETIREMENT BENEFIT PLANS

Net periodic pension and postretirement benefit cost for the Company’s defined pension and postretirement benefit plans for the three and nine months ended September 30, 2024 and 2023 are set forth below (in millions):

Three Months Ended September 30, Nine Months Ended September 30,

Net periodic pension and postretirement benefit cost for the Company’s defined pension and postretirement benefit plans for the three months ended March 31, 2025 and 2024 are set forth below (in millions):

Three Months Ended March 31,

Pension benefits 2025 2024

5 unchanged sentences

Net periodic pension cost $ 4.6 $ 3.9

Three Months Ended September 30, Nine Months Ended September 30,

Three Months Ended March 31,

Postretirement benefits 2025 2024

3 unchanged sentences

Net periodic postretirement benefit cost $ 0.5 $ 0.6

The components of net periodic pension and postretirement benefits cost, other than the service cost component, are included in “Other expense, net” in the Company’s Condensed Consolidated Statements of Operations.

Notes to Condensed Consolidated Financial Statements - Continued

During the nine months ended September 30, 2024, the Company made approximately $ 22.0 million of contributions to its defined pension benefit plans.

During the three months ended March 31, 2025, the Company made approximately $ 5.3 million of contributions to its defined pension benefit plans.

The Company currently estimates its minimum contributions for 2025 to its defined pension benefit plans will aggregate to approximately $ 14.3 million.

During the nine months ended September 30, 2024, the Company made approximately $ 1.2 million of contributions to its postretirement health care and life insurance benefit plans.

During the three months ended March 31, 2025, the Company made approximately $ 0.4 million of contributions to its postretirement health care and life insurance benefit plans.

The Company currently estimates that it will make approximately $ 1.7 million of contributions to its postretirement health care and life insurance benefit plans during 2025.

15 unchanged sentences

Such models used for option contracts also use implied volatility.

See Note 11 for additional information on the Company’s derivative instruments and hedging activities.

Assets and liabilities measured at fair value on a recurring basis as of September 30, 2024 and December 31, 2023 are summarized below (in millions):

As of September 30, 2024

Refer to Note 11 for additional information on the Company’s derivative instruments and hedging activities.

Assets and liabilities measured at fair value on a recurring basis as of March 31, 2025 and December 31, 2024 are summarized below (in millions):

As of March 31, 2025

Level 1 Level 2 Level 3 Total

5 unchanged sentences

Derivative liabilities — 14.2 — 14.2

The carrying amounts of long-term debt under the Company’s 1.002 % EIB senior term loan due 2025, EIB senior term loans due 2029 and 2030 and senior term loans due between 2025 and 2028 approximate fair value based on the borrowing rates currently available to the Company for loans with similar terms and average maturities.

At September 30, 2024, the estimated fair value of the Company's 0.800 % senior notes due 2028, based on listed market values, was approximately € 544.5 million (or approximately $ 608.2 million), compared to the carrying value of € 600.0 million (or approximately $ 670.2 million).

At September 30, 2024, the estimated fair value of the Company's 5.450 % senior notes due 2027, based on listed market values, was approximately $ 408.2 million, compared to the carrying value of $ 400.0 million.

At September 30, 2024, the estimated fair value of the Company's 5.800 % senior notes due 2034, based on listed market values, was approximately $ 732.1 million, compared to the carrying value of $ 700.0 million.

See Note 9 for additional information on the Company’s long-term debt.

The carrying amounts of long-term debt under the Company’s EIB Senior term loans due 2029 and 2030 and Senior term loans due between 2025 and 2028 approximate fair value based on the borrowing rates currently available to the Company for loans with similar terms and average maturities.

At March 31, 2025, the estimated fair value of the Company's 0.800 % Senior notes due 2028, based on listed market values, was approximately € 549.4 million (or approximately $ 593.8 million), compared to the carrying value of € 600.0 million (or approximately $ 648.5 million).

At March 31, 2025, the estimated fair value of the Company's 5.450 % senior notes due 2027, based on listed market values, was approximately $ 405.4 million,

Notes to Condensed Consolidated Financial Statements - Continued

compared to the carrying value of $ 400.0 million.

At March 31, 2025, the estimated fair value of the Company's 5.800 % senior notes due 2034, based on listed market values, was approximately $ 710.1 million, compared to the carrying value of $ 700.0 million.

Refer to Note 9 for additional information on the Company’s long-term debt.

COMMITMENTS AND CONTINGENCIES

Lease payment amounts for operating and finance leases with remaining terms greater than one year, including leases classified as held for sale, as of September 30, 2024 and December 31, 2023 were as follows (in millions):

September 30, 2024 December 31, 2023

Lease payment amounts for operating and finance leases with remaining terms greater than one year as of March 31, 2025 and December 31, 2024 were as follows (in millions):

March 31, 2025 December 31, 2024

Operating Leases (1)

15 unchanged sentences

Off-Balance Sheet Arrangements

At September 30, 2024, the Company had outstanding guarantees issued to its Argentine finance joint venture, AGCO Capital Argentina S.A.

At March 31, 2025, the Company had outstanding guarantees issued to its Argentine finance joint venture, AGCO Capital Argentina S.A.

(“AGCO Capital”), of approximately $ 64.2 million.

1 unchanged sentence

The Company also has obligations to guarantee indebtedness owed to certain of its finance joint ventures if dealers or end users default on loans.

Losses under such guarantees historically have been insignificant, and the guarantees are not material.

Losses under such guarantees historically have been insignificant.

The Company believes the credit risk associated with these guarantees is not material.

In addition, at September 30, 2024, the Company had accrued approximately $ 13.0 million of outstanding guarantees of residual values that may be owed to its finance joint ventures in the United States and Canada due upon expiration of certain eligible operating leases between the finance joint ventures and end users.

In addition, at March 31, 2025, the Company had accrued approximately $ 12.4 million of outstanding guarantees of residual values that may be owed to its finance joint ventures in the United States and Canada due upon expiration of certain eligible operating leases between the finance joint ventures and end users.

The maximum potential amount of future payments under these guarantees is approximately $ 212.3 million.

13 unchanged sentences

Court of Appeals for the Federal Circuit.

The appeal is fully briefed and is awaiting oral arguments before the court.

The Company has an indemnity right under the purchase agreement related to the acquisition of Precision Planting from its previous owner.

Pursuant to that right, the previous owner of Precision Planting currently is responsible for the litigation costs associated with the complaint and is obligated to reimburse AGCO for some or all of the damages in the event of an adverse outcome in the litigation.

On January 24, 2025, the Court ruled in favor of the Company and Precision Planting.

Deere did not file for a writ of certiorari from the U.S.

Supreme Court within the required time period, and, as a result, the District Court judgement is final.

The Company is a party to various other legal claims and actions incidental to its business.

2 unchanged sentences

Contract liabilities relate to the following:

(1) unrecognized revenues where payment of consideration precedes the Company’s performance with respect to extended warranty and maintenance contracts and where the performance obligation is satisfied over time, (2) unrecognized revenues where payment of consideration precedes the Company’s performance with respect to certain grain storage and protein production systems and where the performance obligation is satisfied over time and (3) unrecognized revenues where payment of consideration precedes the Company’s performance with respect to precision agriculture technology services and where the performance obligation is satisfied over time.

Notes to Condensed Consolidated Financial Statements - Continued

Significant changes in the balance of contract liabilities for the three and nine months ended September 30, 2024 and 2023 were as follows (in millions):

Three Months Ended September 30,

Balance at beginning of period $ 331.7 $ 274.6

Advance consideration received 50.4 47.7

Revenue recognized during the period for extended warranty contracts, maintenance services and technology services ( 40.0 ) ( 25.1 )

Revenue recognized during the period related to grain storage and protein production systems ( 4.0 ) ( 6.8 )

Reclassified to held for sale (1)

Foreign currency translation 8.9 ( 5.8 )

Balance at September 30 $ 346.6 $ 284.6

Nine Months Ended September 30,

(1) unrecognized revenues where payment of consideration precedes the Company’s performance with respect to extended warranty and maintenance contracts and where the performance obligation is satisfied over time, (2) unrecognized revenues where payment of consideration precedes the Company’s performance with respect to precision agriculture technology services and where the performance obligation is satisfied over time and (3) unrecognized revenues where payment of consideration precedes the Company’s performance with respect to certain grain storage and protein production systems and where the performance obligation is satisfied over time.

The Company divested the majority of its Grain & Protein business on November 1, 2024.

Significant changes in the balance of contract liabilities for the three months ended March 31, 2025 and 2024 were as follows (in millions):

Three Months Ended March 31,

Balance at beginning of period $ 341.5 $ 310.7

2 unchanged sentences

Revenue recognized during the period related to grain storage and protein production systems ( 0.4 ) ( 4.7 )

Reclassified to held for sale (1)

Foreign currency translation 8.8 ( 4.8 )

Balance at September 30 $ 346.6 $ 284.6

____________________________________

(1) Reclassification resulting from the Company's classification of the G&P business as held for sale.

Refer to Note 3 for additional information.

Balance at March 31 $ 359.8 $ 321.5

The contract liabilities are classified as either “Accrued expenses” or “Other current liabilities” and “Other noncurrent liabilities” in the Company’s Condensed Consolidated Balance Sheets.

During the three and nine months ended September 30, 2024, the Company recognized approximately $ 35.7 million and $ 106.9 million of revenue that was recorded as a contract liability at the beg inning of 2024.

During the three and nine months ended September 30, 2023, the Company recognized approximately $ 26.9 million and $ 96.9 million of revenue that was recorded as a contract liability at the beginning of 2023.

During the three months ended March 31, 2025, the Company recognized approximately $ 35.5 million of revenue that was recorded as a contract liability at the beg inning of 2025.

During the three months ended March 31, 2024, the Company recognized approximately $ 33.2 million of revenue that was recorded as a contract liability at the beginning of 2024.

Notes to Condensed Consolidated Financial Statements - Continued

Remaining Performance Obligations

The estimated revenues expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) as of September 30, 2024 are $ 47.3 million for the remainder of 2024, $ 117.4 million in 2025, $ 94.0 million in 2026, $ 49.7 million in 2027 and $ 28.6 million ther eafter, and relate primarily to extended warranty contracts.

The estimated revenues expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) as of March 31, 2025 are $ 108.8 million for the remainder of 2025, $ 116.7 million in 2026, $ 71.9 million in 2027, $ 33.9 million in 2028 and $ 14.6 million ther eafter, and relate primarily to extended warranty contracts.

The Company applied the practical expedient in ASU 2014-09 and has not disclosed information about remaining performance obligations that have original expected durations of 12 months or less.

Notes to Condensed Consolidated Financial Statements - Continued

Disaggregated Revenue

Net sales for the three months ended September 30, 2024 disaggregated by primary geographical markets and major products consisted of the following (in millions):

Net sales for the three months ended March 31, 2025 disaggregated by primary geographical markets and major products consisted of the following (in millions):

North America

24 unchanged sentences

$ 395.6 $ 229.9 $ 1,330.5 $ 94.5 $ 2,050.5

____________________________________

(1) Rounding may impact the summation of amounts.

Notes to Condensed Consolidated Financial Statements - Continued

Net sales for the three months ended September 30, 2023 disaggregated by primary geographical markets and major products consisted of the following (in millions):

Net sales for the three months ended March 31, 2024 disaggregated by primary geographical markets and major products consisted of the following (in millions):

North America

1 unchanged sentence

Europe/Middle East Asia/Pacific/Africa

Primary geographical markets:

United States $ 744.6 $ — $ — $ — $ 744.6

Canada 157.3 — — — 157.3

Brazil — 600.3 — — 600.3

Other South America — 115.9 — — 115.9

Germany — — 342.3 — 342.3

France — — 339.2 — 339.2

United Kingdom and Ireland — — 134.3 — 134.3

Finland and Scandinavia — — 181.5 — 181.5

Italy — — 103.4 — 103.4

Other Europe — — 398.2 — 398.2

Middle East and Algeria — — 88.0 — 88.0

Africa — — — 40.9 40.9

Asia — — — 72.7 72.7

Australia and New Zealand — — — 94.1 94.1

Mexico, Central America and Caribbean 39.2 3.6 — — 42.8

$ 941.1 $ 719.8 $ 1,586.9 $ 207.7 $ 3,455.5

Major products:

Tractors $ 347.5 $ 418.3 $ 1,126.4 $ 116.9 $ 2,009.1

Replacement parts 107.1 41.8 292.6 26.0 467.5

Grain storage and protein production systems 169.8 33.0 32.9 25.5 261.2

Combines, application equipment and other machinery 316.7 226.7 135.0 39.3 717.7

$ 941.1 $ 719.8 $ 1,586.9 $ 207.7 $ 3,455.5

Notes to Condensed Consolidated Financial Statements - Continued

Net sales for the nine months ended September 30, 2024 disaggregated by primary geographical markets and major products consisted of the following (in millions):

North America

South America Europe/Middle East

Asia/Pacific/Africa

Total Segments

Primary geographical markets:

21 unchanged sentences

$ 601.1 $ 273.0 $ 1,706.9 $ 147.6 $ 2,728.6 $ 200.1 $ 2,928.7

Notes to Condensed Consolidated Financial Statements - Continued

Net sales for the nine months ended September 30, 2023 disaggregated by primary geographical markets and major products consisted of the following (in millions):

North America South America Europe/Middle East Asia/Pacific/Africa Consolidated

Primary geographical markets:

United States $ 2,276.4 $ — $ — $ — $ 2,276.4

Canada 469.9 — — — 469.9

Brazil — 1,537.8 — — 1,537.8

Other South America — 273.0 — — 273.0

Germany — — 1,190.9 — 1,190.9

France — — 1,014.3 — 1,014.3

United Kingdom and Ireland — — 482.1 — 482.1

Finland and Scandinavia — — 587.4 — 587.4

Italy — — 337.2 — 337.2

Other Europe — — 1,355.2 — 1,355.2

Middle East and Algeria — — 314.4 — 314.4

Africa — — — 106.4 106.4

Asia — — — 261.5 261.5

Australia and New Zealand — — — 279.1 279.1

Mexico, Central America and Caribbean 114.7 11.4 — — 126.1

____________________________________

Major products:

Tractors $ 995.0 $ 1,072.9 $ 3,725.4 $ 356.0 $ 6,149.3

Replacement parts 339.1 124.1 874.9 76.8 1,414.9

Grain storage and protein production systems 506.1 112.6 116.7 94.7 830.1

Combines, application equipment and other machinery 1,020.8 512.6 564.5 119.5 2,217.4

$ 2,861.0 $ 1,822.2 $ 5,281.5 $ 647.0 $ 10,611.7

(1) “Other” represents the results for the three months ended March 31, 2024 for the majority of the Company’s Grain & Protein business which was divested on November 1, 2024.

The results of the G&P business through the date of the divestiture were previously included within our North America, South America, Europe/Middle East and Asia/Pacific/Africa segments.

Notes to Condensed Consolidated Financial Statements - Continued

SEGMENT REPORTING

The Company has four operating segments that are also its reportable segments, which consist of the North America, South America, Europe/Middle East and Asia/Pacific/Africa regions.

The Company has four operating segments which are also its reportable segments which consist of the North America, South America, Europe/Middle East and Asia/Pacific/Africa regions.

The Company’s reportable segments are geography based and distribute a full range of agricultural machinery and precision agriculture technology.

The Company evaluates segment performance primarily based on income from operations.

The Company’s Chief Operating Decision Maker (“CODM”), Eric P.

Hansotia, Chairman of the Board, President and Chief Executive Officer, evaluates segment performance primarily based on income from operations.

The CODM utilizes income from operations to evaluate each segment’s performance including the allocation of resources.

Sales for each segment are based on the location of the third-party customer.

The Company’s selling, general and administrative expenses and engineering expenses are generally charged to each segment based on the region and division where the expenses are incurred.

As a result, the components of income from operations for one segment may not be comparable to another segment.

Segment results for the three and nine months ended September 30, 2024 and 2023 and assets as of September 30, 2024 and December 31, 2023 based on the Company’s reportable segments are as follows (in millions):

Three Months Ended September 30, North America South America Europe/Middle East Asia/Pacific/Africa Total Segments

Net sales $ 736.1 $ 381.6 $ 1,298.2 $ 183.4 $ 2,599.3

Income from operations 52.7 45.1 83.0 7.0 187.8

Depreciation 15.6 8.5 33.2 3.6 60.9

Capital expenditures 10.6 9.5 65.3 0.9 86.3

Net sales $ 941.1 $ 719.8 $ 1,586.9 $ 207.7 $ 3,455.5

Income from operations 139.8 149.8 199.3 19.2 508.1

Depreciation 16.2 9.6 28.5 4.5 58.8

Capital expenditures 25.0 15.4 79.5 0.8 120.7

Nine Months Ended September 30, North America South America Europe/Middle East Asia/Pacific/Africa Total Segments

As a result, the components of income from operations (loss) for one segment may not be comparable to another segment.

Segment results for the three months ended March 31, 2025 and 2024 and assets as of March 31, 2025 and December 31, 2024 based on the Company’s reportable segments are as follows (in millions):

Three Months Ended March 31, North America South America Europe/Middle East Asia/Pacific/Africa Total Segments Other (1)

Net sales $ 395.6 $ 229.9 $ 1,330.5 $ 94.5 $ 2,050.5 $ — $ 2,050.5

Income from operations 171.8 73.9 654.4 27.4 927.5

Cost of goods sold

295.5 185.2 970.9 78.3 1,529.9 — 1,529.9

Selling, general and administrative expenses

86.6 32.4 135.2 16.4 270.6 — 270.6

Engineering expenses

33.3 10.2 70.0 2.5 116.0 — 116.0

Income (loss) from operations

$ ( 19.8 ) $ 2.1 $ 154.4 $ ( 2.7 ) $ 134.0 $ — $ 134.0

Depreciation $ 15.2 $ 7.9 $ 35.1 $ 2.3 $ 60.5 $ — $ 60.5

1 unchanged sentence

Net sales (2)

$ 601.1 $ 273.0 $ 1,706.9 $ 147.6 $ 2,728.6 $ 200.1 $ 2,928.7

Cost of goods sold

458.2 224.1 1,199.8 117.9 2,000.0 158.9 2,158.9

Selling, general and administrative expenses

81.5 22.4 137.7 18.2 259.8 29.6 289.4

Engineering expenses

33.0 14.5 74.3 2.4 124.2 6.7 130.9

Income from operations (3)

$ 28.4 $ 12.0 $ 295.1 $ 9.1 $ 344.6 $ 4.9 $ 349.5

Depreciation $ 14.8 $ 8.9 $ 32.1 $ 4.0 59.8 $ 3.5 $ 63.3

Capital expenditures 16.3 15.1 60.9 0.6 92.9 2.1 95.0

As of September 30, 2024 $ 1,958.5 $ 1,261.5 $ 3,336.7 $ 894.0 $ 7,450.7

As of March 31, 2025 $ 1,536.3 $ 985.2 $ 3,047.1 $ 688.2 $ 6,256.8 $ — $ 6,256.8

As of December 31, 2024 1,527.9 946.9 2,841.4 697.7 6,013.9 — 6,013.9

Notes to Condensed Consolidated Financial Statements - Continued

A reconciliation from the segment information to the consolidated balances for income from operations and total assets is set forth below (in millions):

Three Months Ended September 30, Nine Months Ended September 30,

____________________________________

(1) “Other” represents the results for the three months ended March 31, 2024 for the majority of the Company’s Grain & Protein business which was divested on November 1, 2024.

The results of the G&P business through the date of the divestiture were previously included within our North America, South America, Europe/Middle East and Asia/Pacific/Africa segments.

(2) Of the $ 200.1 million of the net sales of the divested G&P business recast to “Other”, $ 128.5 million, $ 30.4 million, $ 22.1 million and $ 19.1 million were previously included within our North America, South America, Europe/Middle East and Asia/Pacific/Africa segments, respectively.

(3) Of the $ 4.9 million of the income (loss) from operations of the divested G&P business recast to “Other”, $ 14.0 million, $ 4.2 million, $( 12.2 ) million and $( 1.1 ) million were previously included within our North America, South America, Europe/Middle East and Asia/Pacific/Africa segments, respectively.

Notes to Condensed Consolidated Financial Statements - Continued

A reconciliation from the segment information to the consolidated balances for income from operations is set forth below (in millions):

Three Months Ended March 31,

Segment income from operations $ 134.0 $ 344.6

Impairment charges ( 1.1 ) —

Loss on business held for sale

( 3.2 ) — ( 497.8 ) —

Corporate expenses ( 48.1 ) ( 53.0 )

5 unchanged sentences

$ 49.4 $ 273.6

September 30, 2024 December 31, 2023

Segment assets $ 7,450.7 $ 7,170.7

Cash and cash equivalents

Investments in affiliates 551.5 512.7

Deferred tax assets, other current and noncurrent assets 1,547.3 1,500.1

Assets held for sale (1)

Intangible assets, net 588.8 308.8

Goodwill 2,358.4 1,333.4

Consolidated total assets $ 13,506.8 $ 11,421.2

____________________________________

(1) Represents non-segment assets related to the Company's G&P business, which the Company has classified as held for sale since June 30, 2024.

Segment assets include the G&P assets held for sale.

Refer to Note 3 for additional information.

(1) “Other” represents the results for the three months ended March 31, 2024 for the majority of the Company’s Grain & Protein business which was divested on November 1, 2024.

The results of the G&P business through the date of the divestiture were previously included within our North America, South America, Europe/Middle East and Asia/Pacific/Africa segments.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements