CNH
Cnh Industrial NV
NYSE
8-K: CNH Industrial Announces CFO Transition: Oddone Incisa Steps Down, James Nickolas Appointed
Sentiment:
8-K Filing
10 April 2025 4:54 PM
CNH Industrial N.V. announced that Oddone Incisa will step down as CFO, with James (Jim) Nickolas appointed as his successor, effective May 6, 2025.
Summary
- CNH Industrial N.V. announced a transition in its Chief Financial Officer (CFO) position.
- Oddone Incisa, the current CFO, will step down from his role effective May 6, 2025.
- James (Jim) Nickolas will succeed Mr. Incisa as the new CFO, also effective May 6, 2025.
- Mr. Nickolas will be based at the company's North American headquarters in Oak Brook, Illinois.
- Mr. Incisa will remain with the company as an employee until May 31, 2025, to ensure a smooth transition.
- Mr. Nickolas's employment agreement includes an annual base salary of $825,000.
- He is eligible for an annual cash bonus with a target of 100% of his base salary and annual long-term incentive awards valued at no less than 375% of his base salary.
- Mr. Nickolas will receive a one-time restricted stock unit grant of no less than $4,500,000, vesting in equal installments in 2026 and 2027, to offset forfeited equity from his prior employer.
- He will also receive a one-time restricted stock unit award of no less than $3,600,000, cliff vesting in 2030, to compensate for forfeited retirement benefits.
- Mr. Incisa is eligible to receive 4,201,485 under the statutory requirements of the collective bargaining agreement applicable to senior employees in Italy.
Sentiment
Score: 7
Explanation: The announcement is generally positive, highlighting the experience of the incoming CFO and expressing gratitude to the outgoing CFO. The transition is presented as a strategic move to support future growth.
Positives
- James Nickolas brings over 30 years of experience in corporate finance, M&A, business strategy, tax, and investment banking.
- The transition plan includes Mr. Incisa working alongside Mr. Nickolas to ensure a seamless handover.
- Mr. Nickolas's compensation package includes incentives designed to align his interests with the company's performance.
- The company is providing equity awards to offset forfeited benefits from his previous employer.
Risks
- Any disruption during the CFO transition period could potentially impact financial reporting and strategic decision-making.
- The success of the new CFO will depend on his ability to quickly integrate into the company and execute its strategic business plan.
- Failure to retain key personnel during the transition could negatively affect the company's operations.
Future Outlook
The company anticipates that Mr. Nickolas's expertise will support its growth ambitions. Mr. Nickolas will present the financial portion of the Company's Strategic Business Plan at Investor Day on May 8, 2025.
Management Comments
- Gerrit Marx, Chief Executive Officer at CNH, thanked Oddone Incisa for his contributions and dedication to CNH.
- Gerrit Marx welcomed Jim Nickolas to the team, highlighting his extensive finance and M&A expertise.
Industry Context
Executive transitions are common in large multinational corporations. CNH Industrial is positioning itself for future growth by bringing in an experienced financial executive with a background in M&A and corporate development.
Comparison to Industry Standards
- Executive compensation packages, including base salary, bonus targets, and long-term incentives, are generally competitive with those offered by similar-sized companies in the industrial sector.
- Companies like Deere & Company, AGCO Corporation, Caterpillar Inc., and Komatsu Ltd. are key competitors in the agricultural and construction equipment industries.
- CFO compensation at these companies typically includes a mix of base salary, annual bonus, stock options, and restricted stock units.
- The specific terms of Mr. Nickolas's employment agreement, including the one-time equity grants, are designed to attract and retain top talent.
Stakeholder Impact
- Shareholders may react positively to the appointment of an experienced CFO.
- Employees in the finance department will be directly affected by the change in leadership.
- Customers and suppliers may not be immediately impacted, but the CFO's strategic decisions could affect them in the long term.
Next Steps
- James Nickolas will assume the role of CFO on May 6, 2025.
- Mr. Nickolas will present the financial portion of the Company's Strategic Business Plan at Investor Day on May 8, 2025.
- Oddone Incisa will continue to serve as an employee through May 31, 2025, to assist with the transition.
Key Dates
- 2025-04-09: Date of the employment agreement between CNH Industrial N.V. and James A. Nickolas.
- 2025-04-10: Date of the 8-K filing and press release announcing the CFO transition.
- 2025-04-11: Effective date of the employment agreement.
- 2025-05-06: Transition date: James Nickolas assumes full responsibility as CFO, Oddone Incisa steps down.
- 2025-05-08: James Nickolas will present the financial portion of the Company's Strategic Business Plan at Investor Day.
- 2025-05-31: Oddone Incisa's last day as an employee of CNH Industrial N.V.
- 2026: First vesting installment of the one-time restricted stock unit grant for James Nickolas.
- 2027: Second vesting installment of the one-time restricted stock unit grant for James Nickolas.
- 2030: Cliff vesting of the supplemental equity award for James Nickolas.
Keywords
CFO, CNH Industrial, James Nickolas, Oddone Incisa, Chief Financial Officer, transition, executive compensation, appointment
CNH
Cnh Industrial NV
NYSE
Sector: Industrials
Filings with Classifications
Worse than expected
6 May 2025 10:45 AM
Quarterly Report
- The company's revenue, net sales, and net income were all significantly lower than the same period in the previous year.
- Adjusted EBIT for Industrial Activities decreased substantially, indicating a decline in profitability.
- Both the Agriculture and Construction segments experienced declines in net sales, reflecting weaker market conditions.
Worse than expected
1 May 2025 6:52 AM
Quarterly Report
- The company's net income, diluted EPS, consolidated revenues, and adjusted EBIT of Industrial Activities were all significantly lower compared to Q1 2024.
- The company has updated its 2025 outlook with lower projections for net sales and adjusted EBIT margin in both the agriculture and construction segments.
- Adjusted diluted EPS for 2025 is now projected to be between $0.50 and $0.70, down from the previous guidance of $0.65 to $0.75.
Capital raise
24 March 2025 9:03 PM
Proxy Statement
- The company seeks authorization to issue new shares and/or grant rights to subscribe for shares.
- The company seeks authorization to limit or exclude pre-emptive rights.
- The company seeks authorization to repurchase own shares.
Worse than expected
28 February 2025 3:56 PM
Annual Results
- Net sales for the fiscal year 2024 were down 23% from 2023 mainly due to decreased industry demand.
- 2024 consolidated net income was down 45% and diluted earnings per share decreased $0.70 per share compared to 2023 primarily driven by lower sales.
Worse than expected
4 February 2025 8:04 AM
Quarterly and Full Year Results
- The company's consolidated revenues decreased by 28% in Q4 2024 and 20% for the full year.
- Net income decreased by 70% in Q4 2024 and 45% for the full year.
- Diluted EPS decreased from $1.69 in 2023 to $0.99 in 2024.
- Adjusted EBIT of Industrial Activities decreased by 71% in Q4 2024 and 47% for the full year.
Worse than expected
12 November 2024 4:27 PM
Quarterly Report
- The company's revenue, net sales, and net income all decreased significantly compared to the same period last year.
- Adjusted EBIT for Industrial Activities also decreased substantially, indicating a decline in profitability.
- The company's cash and cash equivalents and restricted cash decreased significantly, indicating a worsening liquidity position.
Worse than expected
8 November 2024 6:34 AM
Quarterly Report
- The company's revenue, net income, and EPS all declined significantly year-over-year.
- The company lowered its full-year guidance for net sales, margins, and EPS.
- Free cash flow was negative, indicating a cash outflow rather than an inflow.
Worse than expected
2 August 2024 2:10 PM
Quarterly Report
- The company's net income decreased significantly compared to the same period last year.
- The company's adjusted EBIT for Industrial Activities declined due to lower volumes in the Agriculture segment.
- The company's cash and cash equivalents and restricted cash decreased significantly.
Worse than expected
31 July 2024 6:47 AM
Quarterly Report
- The company's revenue, net income, and free cash flow were all significantly lower than the same period last year.
- The company has lowered its full-year guidance for net sales, adjusted EBIT margin, free cash flow, and adjusted diluted EPS.
- The company is facing weaker market conditions in both agriculture and construction equipment markets.
Capital raise
9 May 2024 4:41 PM
Annual General Meeting Results
- The board was authorized to issue shares or grant rights to subscribe for shares up to 10% of the company's issued share capital for a period of 18 months.
- This authorization can be used for various purposes, including awards under equity incentive plans and funding acquisitions.
Worse than expected
6 May 2024 4:13 PM
Quarterly Report
- The company's net income and adjusted EBIT decreased compared to the same period last year, indicating worse than expected results.
Worse than expected
2 May 2024 6:51 AM
Quarterly Report
- The company's revenue and earnings per share were lower than the previous year.
- The company has lowered its full-year guidance for agriculture industry sales.
- The company's free cash flow was significantly lower than the previous year.
Delay expected
22 April 2024 7:54 AM
Executive Transition Announcement
- The Investor Day presentation scheduled for May 21, 2024, has been postponed to a later date.
Better than expected
19 March 2024 4:37 PM
Annual Results Amendment
- The company achieved record full-year revenue and EBIT margins in both Agriculture and Construction segments.
- The Financial Services segment achieved a record receivable portfolio balance and segment net income.
- The company's Cumulative Adjusted Diluted EPS and Average Industrial RoIC exceeded targets for the 2021-2023 Long-Term Incentive Plan.
Worse than expected
14 February 2024 7:49 AM
Quarterly Report
- The company's revenue decreased in Q4, and the outlook for 2024 indicates a significant downturn in both agriculture and construction equipment markets.
Disclaimer: This summary was generated by artificial intelligence and its accuracy is not guaranteed. The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.