Deere Sales Down 18 Percent

May 26, 2020

Net sales and revenues decreased 18 percent in the second quarter of 2020 for Deere & Co. to $9.3 billion, down from $11.3 billion in the same period last year. Construction & Forestry sales were down 25 percent, to $2.3 billion.

For the first six months of the year, net sales were down 13 percent to $16.9 billion, down from $19.3 billion in 2019.

Net income also declined, with a Q2 figure of $665.8 million, down from $1.6 billion in 2019, or about 60 percent.

Deere forecast full-year income in the range of $1.6 to $2 billion, but acknowledged in a press release that “many uncertainties remain regarding the effects of the Covid-19 global pandemic that could negatively affect the company's results and financial position in the future.”

The company anticipates that construction and forestry sales will be down 30 to 40 percent for 2020. It said in addition to the effects of the pandemic, efforts to reduce field inventory will contribute to the slowdown.

Source: Deere & Co.