The world’s number-one farm equipment maker is reporting a higher-than-expected quarterly profit. Deere & Company says net earnings jumped 65% to $904 million, or $2.12 per share, in the fiscal second quarter ended April 30th. That compares with $547 million, or $1.28 per share, earned a year ago.
The company credits the performance on demand for large farm machinery, particularly in the United States, Canada and Brazil; better pricing; and a weak U.S. dollar. Deere says construction equipment shipments are moving higher in spite of lingering weakness in the residential and commercial construction sectors.
Total revenue rose 25% to nearly $9 billion. Equipment sales of more than $8 billion beat forecasts.
Deere is Iowa’s largest manufacturer with plants in Ankeny, Ottumwa, Waterloo, Dubuque and Davenport.
By Phil Roberts, Davenport