“For Production and Precision Ag, our net sales forecast for the full year remains down between 15% and 20%.”

In context

“vorably, driven by strong dairy fundamentals, stabilizing interest rates and an improving arable outlook. We now expect the industry to be flat to down 5% in fiscal year 2025. In South America, we continue to project industry sales of tractors and combines to remain flat in 2025. Positive sentiment in Brazil is supported by record crop production, improved corn and soy profitability levels and continued expansion of production acreage in the region. However, high interest rates, which continued to increase over the quarter and questions related to trade policy with the U.S. are causing some caution in the market. Industry sales for Asia are now expected to be flat to up 5%, driven by an improved outlook for the Indian tractor market. Moving on to our segment forecast beginning on Slide 7. For Production and Precision Ag, our net sales forecast for the full year remains down between 15% and 20%. The forecast assumes roughly 1 point of positive price realization, offset by 1 point of negative currency translation. For the segment's operating margin, our full year forecast remains between 15.5% and 17%. Slide 8 covers our forecast for the small ag and turf segment. With projected improvements in Europe, India and North American turf and compact utility tractors, we now expect net sales to be down about 10% this year. This guide includes 0.5 point of positive price realization as well as 0.5 point of positive currency translation. The segment's operating margin is now forecasted to be between 12% and 13.5%, in line with the improved sales outlook. Shifting now to Construction and Forestry on Slide 9. Net sales for the quarter were down 5% year-over-year to $3.059 billion, mainly due”