Summary
Deere & Company's first quarter fiscal year 2013 report (ending January 31, 2013) indicates a robust performance, with net income attributable to Deere & Company increasing by approximately 22% to $649.7 million, or $1.65 per diluted share, compared to $532.9 million, or $1.30 per diluted share, in the prior year's quarter. This growth was driven by a 10% increase in worldwide net sales and revenues, reaching $7.42 billion, primarily fueled by an 11% rise in equipment net sales. The agriculture and turf segment showed particularly strong growth with a 16% sales increase, while the construction and forestry segment experienced a 7% decline in sales. The company's financial services segment also contributed positively, with net income increasing year-over-year, driven by growth in the credit portfolio and improved crop insurance margins. Despite some macroeconomic uncertainties and concerns regarding global economic recovery and fiscal policies, Deere & Company's outlook for fiscal year 2013 remains positive, with projected equipment sales growth of approximately 6% and a full-year net income forecast of around $3.3 billion.
Financial Highlights
44 data points| Revenue | $7.42B |
| Cost of Revenue | $5.01B |
| Gross Profit | $1.78B |
| R&D Expenses | $356.50M |
| SG&A Expenses | $781.50M |
| Operating Expenses | $6.48B |
| Operating Income | $1.03B |
| Interest Expense | $180.10M |
| Net Income | $650.00M |
| EPS (Basic) | $1.67 |
| EPS (Diluted) | $1.65 |
| Shares Outstanding (Basic) | 388.40M |
| Shares Outstanding (Diluted) | 393.00M |
Key Highlights
- 1Net income attributable to Deere & Company increased by 22% to $649.7 million ($1.65 per diluted share) for the first quarter of fiscal year 2013, up from $532.9 million ($1.30 per diluted share) in the prior year.
- 2Worldwide net sales and revenues grew by 10% to $7.42 billion, driven by an 11% increase in equipment net sales.
- 3The Agriculture and Turf segment saw significant growth with sales up 16%, while the Construction and Forestry segment experienced a sales decline of 7%.
- 4Financial Services segment net income increased year-over-year, benefiting from portfolio growth and higher crop insurance margins.
- 5Company provided a positive fiscal year 2013 outlook, forecasting equipment sales growth of approximately 6% and total net income of around $3.3 billion.
- 6Cash and cash equivalents decreased by $980.1 million during the quarter, largely due to seasonal inventory buildup and changes in working capital.