Deere: profit rises despite lower sales
(CercleFinance.com) - Deere said that its fourth-quarter earnings rose 5%, despite lower sales, with the company expecting to benefit from higher crop prices and increasing demand for farm equipment.
Net income rose to 757 million dollars, or 2.41 dollars per share, in the three months to 1 November, from 722 million dollars, or 2.30 dollars per share, a year ago.
Total revenue, however, fell to 9.7 billion dollars from 9.9 billion dollars last year.
Deere said it managed to cut costs, amid a drop in revenue, with total expenses falling to 8.6 billion dollars in the last quarter, from 9.1 billion dollars a year ago.
Citing "renewed optimism" in the agricultural sector, the group said it expects net income for new fiscal year 2021 to be 3.6-4 billion dollars, up from 2.75 billion dollars in the last fiscal year that closed in October.
The company's shares rose about 2% in pre-market trading on Wednesday.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
Net income rose to 757 million dollars, or 2.41 dollars per share, in the three months to 1 November, from 722 million dollars, or 2.30 dollars per share, a year ago.
Total revenue, however, fell to 9.7 billion dollars from 9.9 billion dollars last year.
Deere said it managed to cut costs, amid a drop in revenue, with total expenses falling to 8.6 billion dollars in the last quarter, from 9.1 billion dollars a year ago.
Citing "renewed optimism" in the agricultural sector, the group said it expects net income for new fiscal year 2021 to be 3.6-4 billion dollars, up from 2.75 billion dollars in the last fiscal year that closed in October.
The company's shares rose about 2% in pre-market trading on Wednesday.
Copyright (c) 2020 CercleFinance.com. All rights reserved.