Summary
Deere & Company (DE) reported strong financial results for the quarter ending April 30, 2012, with net sales and revenues increasing significantly year-over-year. This growth was driven by robust performance in both the Agriculture and Turf, and Construction and Forestry segments, indicating a healthy demand for the company's equipment. The company's financial services division also contributed positively, showing growth in its credit portfolio. Despite some economic uncertainties globally, Deere & Company demonstrated resilience and a positive outlook, with projected sales increases and solid net income for the fiscal year. Key financial indicators show improved profitability and revenue generation compared to the previous year. The company's strong operational performance, coupled with strategic pricing and volume increases, has successfully offset rising production costs and R&D investments. Investors can take comfort in the company's continued ability to navigate market conditions and deliver shareholder value, supported by favorable agricultural economics and product innovation.
Financial Highlights
43 data points| Revenue | $10.01B |
| Cost of Revenue | $6.83B |
| Gross Profit | $2.57B |
| R&D Expenses | $352.00M |
| SG&A Expenses | $881.40M |
| Operating Income | $1.70B |
| Interest Expense | $195.70M |
| Net Income | $1.06B |
| EPS (Basic) | $2.64 |
| EPS (Diluted) | $2.61 |
| Shares Outstanding (Basic) | 400.20M |
| Shares Outstanding (Diluted) | 404.70M |
Key Highlights
- 1Net sales and revenues for the three months ended April 30, 2012, reached $10,008.6 million, a significant increase from $8,909.7 million in the prior year period.
- 2Net income attributable to Deere & Company for the quarter was $1,056.2 million, or $2.61 per diluted share, up from $904.3 million, or $2.12 per diluted share, in the same period last year.
- 3The Agriculture and Turf segment saw a 11% increase in net sales for the quarter, reaching $7,735 million, driven by higher shipment volumes and price realization.
- 4The Construction and Forestry segment experienced a substantial 26% increase in net sales, totaling $1,670 million, primarily due to higher shipment volumes and price realization.
- 5Financial Services operations reported an operating profit of $175 million, an increase from $163 million in the prior year's quarter, driven by growth in the credit portfolio.
- 6The company provided a positive outlook, forecasting company equipment sales to increase by about 15% for fiscal year 2012 and anticipating net income attributable to Deere & Company of about $3,350 million.
- 7Deere & Company repurchased approximately 4.385 million shares of its common stock during the second quarter of 2012.