Deere Reports Best Quarter Ever
Pandemic - what Pandemic ! Despite the coronavirus John Deere has just finished one of the best quarters ever, reporting Friday the highest net income in company history, $1.2 billion.
Spokeswoman Jen Hartmann says during November, December, and January, sales jumped 19 per cent and net income more than doubled.
"Our customers and the industries we serve have really kept cranking. Market conditions have gotten better for one thing, crop prices have risen strongly, and construction activity has picked up."
Earnings per share were $3.87 compared to $1.63 at this time a year ago.
She also credits last year's reorganization, stressing advanced technology and responding faster to market conditions. Previously Deere predicted full year earnings would be $3.6 to 4 billion, but now has raised its forecast to $4.6 to 5 billion.
As part of its reorganization, the company split agriculture and turf operations.
For combines, large tractors and other machines, sales rose 22% in the first quarter, while sales for the smaller equipment went up 27%.
Construction and forestry sales increased 21%.