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Sales & Profits Increase Again for Deere

John Deere

Despite a lot of challenges, sales and profits rose for John Deere in its second quarter. Friday the company reported sales rose 9 per cent and net income jumped 17 per cent.

Director of Investor Relations, Brent Norwood, says it was a "complicated" quarter, including inflation and the war in Ukraine, but sales of its large ag equipment still went up 13 per cent.

"Demand, particularly for our large ag equipment, is very robust. In the environment we're operating in has enabled us to meet that demand and in many cases come in ahead of investor expectations in some of the prior quarters."

Sales of Small Ag and Turf equipment rose 5 per cent, while sales of construction and forestry equipment increased 9 per cent.

But supply chain problems kept the results from being even better - preventing the sale of some machines because they could not be completely assembled.

"We definitely fielded a lot of questions today about our ability to meet production in the back half of the year. The company has an awful lot of demand that will be reliant on being able to produce in our third and fourth quarter."

For the full year, Deere now predicts sales for its three business segments will go up anywhere from 10 to 30 per cent. And it's sticking with a previous prediction for full year profits of 6.7 to 7.1 billion dollars.

A native of Detroit, Herb Trix began his radio career as a country-western disc jockey in Roswell, New Mexico (“KRSY, your superkicker in the Pecos Valley”), in 1978. After a stint at an oldies station in Topeka, Kansas (imagine getting paid to play “Louie Louie” and “Great Balls of Fire”), he wormed his way into news, first in Topeka, and then in Freeport Illinois. While a graduate student in the Public Affairs Reporting Program at the University of Illinois at Springfield (then known as Sangamon State University), he got his first taste of public radio, covering Illinois state government for WUIS. Here in the Quad Cities, Herb worked for WHBF Radio before coming to WVIK in 1987. Herb also produces the weekly public affairs feature Midwest Week – covering the news behind the news by interviewing reporters about the stories they cover.