JOHN DEERE Q3 RESULTS
Sales forecast to be down 10% this year
JOHN DEERE has announced a further fall in nett income in Q3 ending 31 July (down 4% from $488.8 million against $511.6 million last year). For the first nine months of the year, net income $1.239 billion, representing a fall of 22 percent compared with the corresponding period last year.
Worldwide decreased 11 percent, to $6.724 billion in Q3 and declined 9 percent, to $20.124 billion, for nine months. Overall, equipment sales are forecast to fall by 10 per cent over the 12 months compared with last year. "John Deere's performance in the third quarter reflected the continuing impact of the global farm recession as well as difficult conditions in construction equipment markets," said Samuel R. Allen, chairman and chief executive officer. "All of Deere's businesses remained profitable with the Agriculture & Turf division reporting higher operating profit than last year. As in past quarters, our results benefited from the sound execution of our operating plans, the impact of a broad product portfolio, and our success keeping a tight rein on costs and assets. "Deere continues to perform well in the face of challenging market conditions, particularly in relation to agricultural downturns of the past," Allen added. "This underscores the success of our efforts to develop a more durable business model and a wider range of revenue sources."
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