Sales and earnings rose sharply in the second quarter for John Deere.
Herb Trix reports today (Friday), the company reported results for February through April, compared to the same period a year ago when the pandemic was just getting underway.
Worldwide sales and revenue rose 30% to $12 billion, and went up 25% for the first half of its fiscal year to $21 billion. Net income for the quarter and for the first half of the year more than doubled from the same periods last year, up 169% and 155% respectively.
The company earned nearly $1.8 billion in the 2nd quarter, or $5.68 per share, compared to $2.11 per share for the same period a year ago.
Chairman and CEO John May called it "another quarter of solid performance, reflecting healthy worldwide markets for farm and construction equipment."
Josh Jepsen, Director of Investor Relations, says Deere farm equipment sales increased 35% compared to the 2nd quarter of 2020.
And after several challenging years, he says sales of construction equipment rose 36%.
Deere also raised its profit prediction for the full year. Previously it expected to earn $4.6 to 5 billion, but now predicts $5.3 to 5.7 billion. It also projects full year sales will rise 20% to 30% for its three main divisions.
The Associated Press reports Deere and Company shares have risen 32% since the beginning of the year, while the S&P 500 has risen 11%. The stock has more than doubled in the last 12 months.
