Finance and Other Receivables (Tables)

3 Months Ended

Mar. 31, 2025

Receivables [Abstract]

Finance and Other Receivables

Finance and other receivables include the following:

	March 31			December 31
	2025			2024
Loans	$	9,579.2		$	9,442.4
Finance leases		5,051.5			4,906.6
Dealer wholesale financing		4,947.3			4,944.1
Operating lease receivables and other		177.9			166.4
		19,755.9			19,459.5
Less allowance for losses:
Loans and leases		(138.7	)		(139.2	)
Dealer wholesale financing		(3.0	)		(3.0	)
Operating lease receivables and other		(2.9	)		(3.0	)
	$	19,611.3		$	19,314.3

Allowance for Credit Losses

The allowance for credit losses is summarized as follows:

	2025
	DEALER					CUSTOMER
	WHOLESALE		RETAIL			RETAIL			OTHER*			TOTAL
Balance at January 1	$	3.0	$	1.5		$	137.7		$	3.0		$	145.2
Provision for losses				(.1	)		18.2			.2			18.3
Charge-offs							(23.0	)		(.3	)		(23.3	)
Recoveries							2.2			.1			2.3
Currency translation and other							2.2			(.1	)		2.1
Balance at March 31	$	3.0	$	1.4		$	137.3		$	2.9		$	144.6

	2024
	DEALER					CUSTOMER
	WHOLESALE		RETAIL			RETAIL			OTHER*			TOTAL
Balance at January 1	$	2.7	$	1.9		$	125.1		$	3.3		$	133.0
Provision for losses				(.2	)		15.9			.4			16.1
Charge-offs							(10.4	)		(.4	)		(10.8	)
Recoveries							2.2						2.2
Currency translation and other							(1.2	)					(1.2	)
Balance at March 31	$	2.7	$	1.7		$	131.6		$	3.3		$	139.3

* Operating leases and other trade receivables.

Amortized Cost Basis of Finance Receivables and Charge-offs by Credit Quality Indicator and Portfolio Class

The tables below summarize the amortized cost basis of the Company’s finance receivables within each credit quality indicator by year of origination and portfolio class and current period gross charge-offs of the Company’s finance receivables by year of origination and portfolio class.

	REVOLVING
At March 31, 2025	LOANS		2025		2024		2023		2022		2021		PRIOR		TOTAL
Amortized cost:
Dealer:
Wholesale:
Performing	$	4,940.6													$	4,940.6
Watch		6.7														6.7
	$	4,947.3													$	4,947.3
Retail:
Performing	$	227.2	$	120.7	$	648.1	$	595.3	$	379.0	$	175.3	$	201.8	$	2,347.4
Watch				5.9		2.0		13.9		5.7		1.8		3.1		32.4
	$	227.2	$	126.6	$	650.1	$	609.2	$	384.7	$	177.1	$	204.9	$	2,379.8
Total dealer	$	5,174.5	$	126.6	$	650.1	$	609.2	$	384.7	$	177.1	$	204.9	$	7,327.1
Customer retail:
Fleet:
Performing			$	1,027.2	$	4,326.3	$	2,826.7	$	1,492.3	$	556.5	$	255.7	$	10,484.7
Watch				6.3		19.2		48.7		46.0		24.2		2.9		147.3
At-risk				1.5		60.6		157.6		55.3		14.8		2.5		292.3
			$	1,035.0	$	4,406.1	$	3,033.0	$	1,593.6	$	595.5	$	261.1	$	10,924.3
Owner/operator:
Performing			$	159.0	$	517.7	$	277.4	$	183.4	$	113.5	$	45.7	$	1,296.7
Watch						3.9		5.7		4.3		1.7		.9		16.5
At-risk						2.4		5.6		2.8		1.4		1.2		13.4
			$	159.0	$	524.0	$	288.7	$	190.5	$	116.6	$	47.8	$	1,326.6
Total customer retail			$	1,194.0	$	4,930.1	$	3,321.7	$	1,784.1	$	712.1	$	308.9	$	12,250.9
Total	$	5,174.5	$	1,320.6	$	5,580.2	$	3,930.9	$	2,168.8	$	889.2	$	513.8	$	19,578.0
	REVOLVING
At March 31, 2025	LOANS		2025		2024		2023		2022		2021		PRIOR		TOTAL
Gross charge-offs:
Customer retail:
Fleet			$	.1	$	4.9	$	12.5	$	1.8	$	1.3	$	.6	$	21.2
Owner/operator				.1		.3		.4		.8				.2		1.8
Total			$	.2	$	5.2	$	12.9	$	2.6	$	1.3	$	.8	$	23.0

	REVOLVING
At December 31, 2024	LOANS		2024		2023		2022		2021		2020		PRIOR		TOTAL
Amortized cost:
Dealer:
Wholesale:
Performing	$	4,936.1													$	4,936.1
Watch		7.1														7.1
At-risk		.9														.9
	$	4,944.1													$	4,944.1
Retail:
Performing	$	229.8	$	680.8	$	641.5	$	404.6	$	192.8	$	98.0	$	141.6	$	2,389.1
Watch				2.0		23.1		6.1		2.1		4.6		.4		38.3
	$	229.8	$	682.8	$	664.6	$	410.7	$	194.9	$	102.6	$	142.0	$	2,427.4
Total dealer	$	5,173.9	$	682.8	$	664.6	$	410.7	$	194.9	$	102.6	$	142.0	$	7,371.5
Customer retail:
Fleet:
Performing			$	4,306.5	$	2,991.4	$	1,761.1	$	781.9	$	298.2	$	71.0	$	10,210.1
Watch				11.2		17.6		13.9		5.8		2.1		.9		51.5
At-risk				49.5		196.8		80.8		41.9		6.0		1.5		376.5
			$	4,367.2	$	3,205.8	$	1,855.8	$	829.6	$	306.3	$	73.4	$	10,638.1
Owner/operator:
Performing			$	524.1	$	303.7	$	206.2	$	145.1	$	57.6	$	12.7	$	1,249.4
Watch				2.5		12.1		8.0		2.9		1.3		.4		27.2
At-risk				.9		1.8		2.2		.9		1.0		.1		6.9
			$	527.5	$	317.6	$	216.4	$	148.9	$	59.9	$	13.2	$	1,283.5
Total customer retail			$	4,894.7	$	3,523.4	$	2,072.2	$	978.5	$	366.2	$	86.6	$	11,921.6
Total	$	5,173.9	$	5,577.5	$	4,188.0	$	2,482.9	$	1,173.4	$	468.8	$	228.6	$	19,293.1
	REVOLVING
At December 31, 2024	LOANS		2024		2023		2022		2021		2020		PRIOR		TOTAL
Gross charge-offs:
Customer retail:
Fleet:			$	.9	$	19.4	$	12.1	$	7.5	$	4.2	$	7.8	$	51.9
Owner/operator:				.1		2.4		3.7		1.0		1.3		.8		9.3
Total			$	1.0	$	21.8	$	15.8	$	8.5	$	5.5	$	8.6	$	61.2

Financing Receivables by Aging Category

The tables below summarize the Company’s finance receivables by aging category. In determining past due status, the Company considers the entire contractual account balance past due when any installment is over 30 days past due. Substantially all customer accounts that were greater than 30 days past due prior to credit modification became current upon modification for aging purposes.

	DEALER				CUSTOMER RETAIL
							OWNER/
At March 31, 2025	WHOLESALE		RETAIL		FLEET		OPERATOR		TOTAL
Current and up to 30 days past due	$	4,947.3	$	2,379.8	$	10,772.9	$	1,304.6	$	19,404.6
31 – 60 days past due						38.6		12.8		51.4
Greater than 60 days past due						112.8		9.2		122.0
	$	4,947.3	$	2,379.8	$	10,924.3	$	1,326.6	$	19,578.0

	DEALER				CUSTOMER RETAIL
							OWNER/
At December 31, 2024	WHOLESALE		RETAIL		FLEET		OPERATOR		TOTAL
Current and up to 30 days past due	$	4,942.1	$	2,427.4	$	10,462.5	$	1,266.9	$	19,098.9
31 – 60 days past due		1.1				71.8		7.9		80.8
Greater than 60 days past due		.9				103.8		8.7		113.4
	$	4,944.1	$	2,427.4	$	10,638.1	$	1,283.5	$	19,293.1

Summary of Amortized Cost Basis of Finance Receivables that are on Non-Accrual Status

The amortized cost basis of finance receivables that are on non-accrual status was as follows:

	DEALER		CUSTOMER RETAIL
					OWNER/
At March 31, 2025	WHOLESALE	RETAIL	FLEET		OPERATOR		TOTAL
Amortized cost basis with a specific reserve			$	196.2	$	6.2	$	202.4
Amortized cost basis with no specific reserve				95.1		1.0		96.1
Total			$	291.3	$	7.2	$	298.5

	DEALER			CUSTOMER RETAIL
						OWNER/
At December 31, 2024	WHOLESALE		RETAIL	FLEET		OPERATOR		TOTAL
Amortized cost basis with a specific reserve				$	350.0	$	5.5	$	355.5
Amortized cost basis with no specific reserve	$	.9			25.8		1.4		28.1
Total	$	.9		$	375.8	$	6.9	$	383.6

The decrease in amortized cost basis with a specific reserve and the increase in amortized cost basis with no specific reserve at March 31, 2025 are both primarily due to one large fleet customer in the U.S. The decrease in the total amortized cost basis of finance receivables that are on non-accrual status primarily reflected customers paying current and recognition of interest income resumed.

Interest Income Recognized on Cash Basis for Finance Receivables that are on Non-Accrual Status

Interest income recognized on a cash basis for finance receivables that are on non-accrual status was as follows:

Three Months Ended March 31,	2025		2024
Customer retail:
Fleet	$	4.6	$	1.0
Owner/operator		.1		.1
	$	4.7	$	1.1

Amortized Cost Basis of Finance Receivables Modified by Portfolio Class

The amortized cost basis of finance receivables for other than insignificant term extensions and payment delays to customers in financial difficulty was as follows:

Three Months Ended March 31,	2025			2024
Customer retail:
Fleet	$	11.6		$	5.1
Owner/operator		.1			.1
	$	11.7		$	5.2
Annualized % of total retail portfolio		.3	%		.2	%