Deere & Company Raises Earnings Guidance; Sets Goals To Create Sustainable Value For Stakeholders

(RTTNews) - Deere & Company (DE) said it now expects fiscal 2022 net income attributable to Deere & Company to be in a range of $6.7 billion to $7.1 billion. Looking ahead, the company expects demand for farm and construction equipment to continue benefiting from strong fundamentals.

Deere & Company also announced new goals, known as the Leap Ambitions, that are linked to the Smart Industrial strategy and operating model introduced in 2020. The company said it is committed to achieving these goals over the remainder of the decade.

"Deere's performance in the first quarter was impressive given production issues surrounding the delayed ratification of our UAW contract in late November as well as persistent challenges posed by the supply chain and pandemic. These factors led to higher production costs in the quarter. We continue to work closely with key suppliers to manage the situation," said John May, CEO.

First quarter EPS declined to $2.92 from $3.87, a year ago. Analysts on average had expected the company to earn $2.26 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

First quarter worldwide net sales and revenues increased 5 percent to $9.569 billion. Equipment operations net sales were $8.531 billion, compared to $8.051 billion, prior year.