Economy

Deere profit beats on strong farm equipment demand, shares jump

Deere profit beats on strong farm equipment demand, shares jump

The Moline, IL-based farming and construction equipment maker reported Q2 earnings per share (EPS) of $2.49, which was $0.80 better than the Wall Street consensus estimate of $1.69.

Net income attributable to Deere rose to $802.4-million, or $2.49 cents per share, in the second quarter ended April 30 from $495.4-million, or $1.56 cents per share, a year earlier. Net sales of the equipment operations were $7.260 billion for the quarter and $11.958 billion for the first six months, compared with $7.107 billion and $11.876 billion for the same periods past year. Its adjusted revenue was $7.26 billion, which also topped Street forecasts.

The firm was less optimistic about gains in U.S. and Canada, citing low crop prices that are depressing demand for agriculture equipment.

For the fiscal year 2017, Deere now expects equipment sales to increase by about 9% and third-quarter sales to rise by about 18%.

Analysts have forecast fiscal year sales of $24.32 billion, about 5% higher than sales of $23.39 billion in 2016. Five analysts surveyed by Zacks expected $7.24 billion.

"We are seeing modestly higher overall demand for our products, with farm machinery sales in South America experiencing a strong recovery", CEO Samuel Allen declared.

Thanks to a strong second quarter, Deere and Company has raised its outlook for the year. Year-to-date, DE had gained 9.96% prior to today's report, versus a 6.38% rise in the benchmark S&P 500 index during the same period. The stock has climbed 36 percent in the last 12 months.


  • Isaiah Thomas on Wizards: 'We don't like them, they don't like us'

    He was also one of the sparks defensively in that massive third quarter, and he would finish the game with five steals. With two big leads in their loses in Boston, the Wizards still feel as though they can get a victory in Boston.

    Snap shares plummet 22% after first earnings report since IPO

    After revealing that the company had a net loss of $2.2 billion for the first quarter, shares of Snap are down over 25% to $17.20. The company generated around $8.3 million from the category in the first quarter of the year, up from $84.5 million in Q4, 2016.

    The Russia-Trump Campaign Investigation May Now Be "Considered a Criminal Investigation"

    He also defended his decision to fire Comey last week, saying it was because of his poor performance and popularity. The bipartisan consensus afterward is that the Trump-Russia investigation has taken on a new level of seriousness.
  • Macron talks to Putin, faces media troubles

    The statement added that the have voiced readiness to develop "traditionally friendly" economic, politic. French President Emmanuel Macron arrives to lay a wreath on the unknown Soldier's tomb on May 14, 2017.

    Bobby Moynihan to Exit 'Saturday Night Live' After 9 Seasons

    But all gigs eventually come to an end and as many SNL cast members do eventually, Moynihan has made a decision to leave the show. Moynihan's exit should not come as a shock to those who followed the news coming out of broadcast Upfronts.

    Oil prices give up earlier gains

    US crude stockpiles have declined for four weeks after reaching the highest level in more than three decades at the end of March. US crude output has grown by over 10% since mid-2016 but didn't let oil prices to surge.
  • Trump denies asking Comey to drop probe, decries 'witch hunt'

    Overall, presidents typically get far more credit or blame for the state of the economy than they deserve, economists say. And then he went back again to electoral politics, accusing Democrats of sour grapes.

    Derek Jeter, a dream fulfilled

    Carlos Beltran added an RBI double and Carlos Correa lifted a sacrifice fly as Houston improved to 11-3 in its last 14 games. One thing the Yankees know how to do is ceremonies. “Theres rumors out there that Buck suggested I be No. 2, ” Jeter said.

    Oil producers' talk of longer cuts spurs optimism

    This fluctuation had resulted in the rise of 2.5 percent in the stock price of the crude oil in the commodity market. The feature in the marketplace early this week is a continuation of the recent rally in the crude oil market.
  • Tom Hardy cast as Venom in Sony's Spider-Man film

    Scott Rosenberg and Jeff Pinkner will pen the script for the film, while Avi Arad , Matt Tolmach and Amy Pascal will produce. Until then, DC Fans have "Wonder Woman" releasing on June 2, 2017, and "Spider-Man: Homecoming" releasing on July 7, 2017.

    Duggar Sisters Sue Cops for Releasing Josh Molestation Docs

    Not only was their show 19 Kids And Counting canceled, but the whole scandal totally overshadowed Jessa's one and only wedding. The Duggars told TMZ that they are suing as a means to protect all children who are victims of abuse.

    Full tanks and tankers: a stubborn oil glut despite OPEC cuts

    West Texas Intermediate for June delivery rose 8 cents to $49.15/bbl at 10:58 a.m. on the New York Mercantile Exchange. Data released on Thursday shows that even Saudi Arabia has increased sales in the market by 275,000 barrels a day.