John Deere revenue up 25 percent

The American John Deere starts the year with positive figures. The company shows a 23% increase in profit in the first quarter of the current fiscal year (until the end of October). As a result, revenues rise to $6,9 billion. 

With this surpasses John Deere the analysts' expectations for the sixth consecutive quarter. As a result, the group's turnover is expected to increase by 25% this year. According to John Deere, this is due to the increased demand for agricultural machinery, among other things.

The 25% mentioned is 3% higher than previously forecast. The company's net profit is therefore estimated at $2,1 billion.

Agricultural machinery
The group's agricultural division increased its turnover by 18%. John Deere announces that Europe, Canada and the United States in particular bought a lot of agricultural machinery. In addition, the exchange rates (low dollar exchange rate) also had a positive effect on the results of the American company.

US tax reforms resulted in a net loss of $535 million in the quarter, due to a large write-down. Excluding that charge, a profit of $430 million was made.

Deere & Company
The parent company of John Deere, Deere & Company also rose on the basis of good forecasts for the coming year and reached a share of $169,44, a record high.

Anne-Jan Doorn

Anne Jan Doorn is an arable expert at Boerenbusiness. He writes about the various arable farming markets and also focuses on the land and energy market.

aj.doorn@boerenbusiness. Nl

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