The US company previously set a target for precision agriculture sales to hit $2 billion globally by 2029.
Key to this is its PTx brand, which includes smart farming and autonomous solutions for farmers irrespective of the product brands they use.
This includes solutions ranging from guidance and steering, to planting and spraying, as well as desktop and cloud-based farm management.
During its Q12025 earnings conference on May 1, the firm said it will expand PTx products through its dealership network.
“The main focus we’ve got is establishing the channel of the future, and that’s ramping up our AGCO dealers to also take on the PTx contract,” said Eric Hansotia, AGCO’s chairman, president and chief executive officer.
“From where we were at the end of 2024 till today, we’ve about tripled the amount of industry coverage that we’ve got covered by AGCO dealers that also carry PTx. We expect that the bulk of that work to be done by the end of the second quarter will have most of the large-sized dealers signed up. And so that channel is our most urgent to get activated and it’s underway in a good way.”
AGCO reshuffles precision ag
AGCO restructured its precision agriculture leadership in Q4, bringing Precision Planting and PTxTrimble under the PTx umbrella.
“We reorganised the leadership team of the PTx business in quarter four, where we had PTx Trimble as the JV and Precision Planting, along with the other tech companies that we had bought. We blended all that together and melded it together into one global PTx leadership team. And with that, in quarter one, we’ve seen a significant acceleration in the synergies both within PTx — ideas of revenue synergies and cost synergies — as well as with PTx to AGCO,” said Hansotia.
PTx was established in 2020 by AGCO as its in-house precision ag brand.
Precision Planting is an AGCO subsidiary that was acquired by AGCO in 2017 that specialises in planter technology.
The latter is a joint venture by AGCO and longtime partner, Trimble.
PTxTrimble combines AGCO’s machinery expertise with Trimble’s agtech solutions around guidance and automy.
AGCO owns a majority 85% stake in PTxTrimble with Trimble owning the remaining 15%. The company was consolidated into AGCO’s financial reporting from April 2024.
In Q1, PTx Trimble brought in revenue of $60m, the firm announced.
Better than expected
AGCO’s overall Q1 revenue was $2.1bn, down 30% year-over-year. The company reported sales declines across all regions.
“The lower net sales are a result of continued soft demand in the ag market, coupled with our efforts to destock dealer inventories as well as the impact of the divestiture of the grain and protein business,” said Hansotia.
Despite these factors, the results were better than it had originally expected, Hansotia added.
The firm expects its financial performance to be stronger in the second half.
“Our financials continue to be weighted toward the second half of the year as we expect the market to find bottom and start recovering along with optimising dealer inventories,” said Hansotia.
AGCO’s net sales for 2025 are expected to be approximately $9.6bn, reflecting lower sales volumes and assumed actions to mitigate tariff impacts
“Tariffs are creating significant demand uncertainty and increased cost for us. Our current full year guidance takes into consideration only the tariffs currently in effect across the company’s global markets and our anticipated plans to mitigate them through potential pricing actions or cost mitigation actions,” said Damon Adia, senior vice president and chief financial officer, AGCO.
“That said, the potential for retaliatory measures or additional tariffs, particularly targeting the EU, could influence our current outlook. We’re closely monitoring these developments and remain nimble in our approach.”
