Deere: posts lower results, gives cautious outlook
(CercleFinance.com) - Deere on Friday reported lower quarterly earnings, citing uncertain conditions in the agricultural sector, which sent its shares down over 5 percent in pre-market trading.
Net income fell to 1.13 billion dollars, or 3.52 dollars per share, in the second quarter ended on 28 April, from 1.20 billion dollars, or 3.67 dollars per share, a year earlier.
Quarterly net sales rose 5 percent to 10.3 billion dollars.
However, softening conditions in the agricultural sector have led the company to adopt a "more cautious financial outlook for the year," the agricultural machinery maker said.
"Ongoing concerns about exportmarket access, near-term demand for commodities such as soybeans, and a delayed planting season in much of North America are causing farmers to become much more cautious about making major purchases," commented CEO Samuel Allen.
Net sales are expected to increase about 5 percent over this fiscal year, with net income forecast to be about 3.3 billion dollars, the group said.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
Net income fell to 1.13 billion dollars, or 3.52 dollars per share, in the second quarter ended on 28 April, from 1.20 billion dollars, or 3.67 dollars per share, a year earlier.
Quarterly net sales rose 5 percent to 10.3 billion dollars.
However, softening conditions in the agricultural sector have led the company to adopt a "more cautious financial outlook for the year," the agricultural machinery maker said.
"Ongoing concerns about exportmarket access, near-term demand for commodities such as soybeans, and a delayed planting season in much of North America are causing farmers to become much more cautious about making major purchases," commented CEO Samuel Allen.
Net sales are expected to increase about 5 percent over this fiscal year, with net income forecast to be about 3.3 billion dollars, the group said.
Copyright (c) 2019 CercleFinance.com. All rights reserved.