What were the primary drivers of Deere & Company's revenue growth in the third quarter of 2007?

Revenue growth was primarily driven by strong performance in the Agricultural Equipment segment, which saw a 16% increase in sales due to higher volumes, improved price realization, and favorable currency translation. The Commercial and Consumer Equipment segment also contributed positively with a 15% increase in sales, partly due to the acquisition of LESCO, Inc. and improved pricing.

How did the Construction and Forestry segment perform during this period?

The Construction and Forestry segment experienced a decline in sales, with a 20% decrease in the third quarter and a 13% decrease for the nine-month period. This was attributed to lower sales and production volumes, as well as higher raw material costs, partially offset by positive price realization. The company forecasts a continued decrease for the full year.

What is the outlook for Deere & Company's financial performance for the remainder of fiscal year 2007?

Deere & Company anticipates continued growth, forecasting equipment sales to increase by about 7% for the full fiscal year 2007. The company expects full-year net income to be approximately $1,700 million, supported by positive global farm conditions and ongoing product innovation.

Are there any significant new developments or corporate actions mentioned in this filing?

Yes, the company announced its intention to declare a two-for-one stock split, pending shareholder approval, and an increase in its quarterly dividend to $0.50 per share on a pre-split basis. Additionally, Deere acquired LESCO, Inc. in May 2007 and the Ningbo Benye Tractor & Automobile Manufacturing Co., Ltd. business in August 2007.

DE 10-Q Quarterly Report Q3 FY2007 — Revenue, Net Income, EPS

Summary

Deere & Company's (DE) third quarter and nine-month report for the period ending July 31, 2007, demonstrates robust financial performance, particularly in its agricultural and commercial/consumer equipment segments. The company reported significant year-over-year increases in net sales and income from continuing operations for both the quarter and the year-to-date period. This growth is driven by positive global farm conditions, high commodity prices, and strong demand for renewable fuels, which are boosting agricultural equipment sales. The financial services division also showed continued strength, with an increase in operating profit due to portfolio growth. While the construction and forestry segment experienced a sales decline, this was largely offset by the overall positive performance of the other segments. The company's outlook remains optimistic, with continued sales growth anticipated for the remainder of the fiscal year, supported by new product introductions and expanding market presence.

Key Highlights

1Net income for the third quarter increased to $537.2 million ($2.37 per share) from $436.0 million ($1.85 per share) in the prior year, representing a substantial improvement.
2Nine-month net income from continuing operations reached $1,399.5 million ($6.12 per share), up significantly from $1,176.6 million ($4.95 per share) in the comparable period last year.
3Worldwide net sales and revenues grew by 6% in the third quarter to $6,634 million and by 5% for the nine-month period to $17,941 million, reflecting strong demand across key segments.
4Agricultural equipment sales saw a strong 16% increase in the third quarter, driven by higher volumes, improved pricing, and favorable currency translation.
5The company's Financial Services segment reported increased operating profit, benefiting from growth in its credit portfolio.
6Deere & Company announced its intention to declare a two-for-one stock split, pending shareholder approval, signaling confidence in future performance.
7The company anticipates full-year net income to be approximately $1,700 million, projecting continued growth for fiscal year 2007.

DEERE & CO Quarterly Report for Q3 Ended Jul 31, 2007

Summary

Key Highlights

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