DEERE & CO SEC 10-Q Report

Deere & Co, a leading manufacturer of agricultural, construction, and forestry machinery, has released its Form 10-Q report for the second quarter of fiscal year 2025. The report highlights a notable decline in key financial metrics compared to the same period in 2024, driven by reduced sales volumes and increased production costs. The company also provided insights into its operational performance across various segments and geographical regions.

Financial Highlights

Net Sales and Revenues: Deere & Co reported net sales and revenues of $12,763 million for the three months ended April 27, 2025, a decrease from $15,235 million in the same period of 2024. This decline was primarily due to lower sales in the Production and Precision Agriculture and Construction and Forestry segments.

Operating Profit: The company's operating profit for the three months ended April 27, 2025, was $2,308 million, down from $3,098 million in the same period of 2024, indicating a 26% decrease. This reduction was largely driven by reduced sales volumes and increased production costs.

Net Income: Deere & Co's net income for the three months ended April 27, 2025, was $1,804 million, compared to $2,370 million in the same period of 2024, a decline of 24%. The decrease in net income was influenced by lower operating profit and higher interest expenses.

Basic EPS: Basic earnings per share (EPS) for the three months ended April 27, 2025, was $6.65, down from $8.56 in the same period of 2024, reflecting the decrease in net income.

Diluted EPS: Diluted EPS for the three months ended April 27, 2025, was $6.64, compared to $8.53 in the same period of 2024, consistent with the decline in net income.

Business Highlights

Revenue Segments: The Production and Precision Agriculture (PPA) segment experienced a 21% decrease in net sales for the three months ended April 27, 2025, compared to the same period in 2024. The Small Agriculture and Turf (SAT) segment saw a 6% decline, while the Construction and Forestry (CF) segment reported a 23% decrease. Financial Services (FS) revenues decreased by 1%.

Geographical Performance: In the United States, net sales and revenues for the three months ended April 27, 2025, were $6,927 million, with the PPA segment contributing $2,512 million, SAT $1,626 million, CF $1,717 million, and FS $1,072 million. Canada reported $1,189 million in total sales, with significant contributions from PPA and CF segments.

Sales Units: The PPA segment reported a significant decline in operating profit by 30% for the three months ended April 27, 2025, compared to the same period in 2024. The SAT segment's operating profit increased slightly by 1%, while the CF segment's operating profit decreased by 43%.

Future Outlook: Deere & Co anticipates fiscal year 2025 to contain 53 weeks, with the additional week occurring in the fourth quarter. This may impact operational planning and financial reporting for the year.

SEC Filing: DEERE & CO [ DE ] - 10-Q - May. 29, 2025