Net sales for Deere & Co. rose 25 percent in its third quarter to $13.0 billion from $10.4 billion. The company cited increased factory output as a driver in the face of continuing supply issues.
“Looking ahead, we believe favorable conditions will continue into 2023 based on the strong response we have experienced to early-order programs,” said John C. May, chairman and CEO, in a prepared statement. “We are working closely with our factories and suppliers to meet higher levels of customer demand next year.”
Q3 sales in the construction & forestry division were $3.3 billion, up 8 percent from the $3.0 billion recorded in the same period last year. The company cited price realization for the increase, noting that operating profit also grew for the quarter. The 11-percent gain was also a result of price realization, although it was offset by higher production costs, according to the company.
The company expects construction sales to be up about 10 percent by the end of its fiscal year, with compact equipment sales flat to down 5 percent. Global roadbuilding, including Wirtgen brands, is projected to be flat to up 5 percent.
Source: Deere & Co.
