“It's important to note that the accrual for these programs drove pricing negative in the quarter, but that we've maintained our 2025 full year guide of approximately 1 point of positive price.”

In context

“pressure has been tougher. Importantly, what we saw was a favorable market response to these actions as our retail settlements were up mid-single digits year-over-year in the third quarter. On top of that, we've seen a pickup in our order book, where on a percentage basis, we're up mid-teens year-over-year. Additionally, the continued strength in customer backlog, ongoing infrastructure spending and a potential boost from recently enacted bonus depreciation give us optimism for earthmoving retail demand as we exit 2025. Shifting to large ag. The negative price that you saw in the quarter was primarily driven by actions taken to address used inventory in North America, which remains our top priority in the region. Specifically, we added incremental pool funds to the North American channel. It's important to note that the accrual for these programs drove pricing negative in the quarter, but that we've maintained our 2025 full year guide of approximately 1 point of positive price. The best way to think about that is we had room in our incentive budget to continue to support a healthy market and that we're putting those funds to work in the area of highest impact. Certainly, we have more work to do to improve used inventory levels, but it's also important to note that we are seeing progress. As we've talked before, late model equipment has been a particular challenge in North America. Therefore, it's notable that over the course of the quarter, inventory levels of used model year '22 and model year '23 8R tractors and combines decreased by over 10% for both product lines. Cory J. Reed: This is Cory again. The improvement that we're seeing in late model year equipment is encouraging. There's demand for these model years in the secondary market, and we're seeing that”