Deere and Co (DE)

Deere & Company Announces Quarterly DividendMay 27, 2026 11:58 AM
PR Newswire (Canada) MOLINE, Ill., May 27, 2026 /CNW/ -- The Deere & Company (NYSE: DE) Board of Directors today declared a quarterly dividend of $1.62 per share payable August 10, 2026, to stockholders of record on June 30, 2026. View original content:https://www.prnewswire.com/news-releases/deere--company-announces-quarterly-dividend-302783352.htmlSOURCE John Deere Company Original: Deere & Company Announces Quarterly Dividend

DE reports FY2Q26 results—reiterates FY2026 guidance:

https://www.prnewswire.com/news-releases/deere-reports-second-quarter-net-income-of-1-773-billion-302778847.html

FY2026 sales were +5% YoY, but all of the growth came from the Small Ag & Turf (+16% YoY) and Construction & Forestry (+29% YoY) segments. FY2Q26 sales in the Precision Ag segment—the technology-oriented segment investors care the most about—were -14% YoY.

Moreover, the FY2026* guidance for the Precision Ag segment growth is unchanged at -5-10% YoY, which includes +3% from currency and +1% from pricing. By simple arithmetic, the FY2026 guidance for volume growth in this segment is -9-14% YoY.

The stock is down about 4% as I’m typing; the impetus for the selloff is presumably that DE did not raise FY2026 guidance for either the Precision Ag segment or the company as a whole.

--
Reiterated FY2026* net-income guidance is $4.5-5.0B. Based on 270M diluted shares, the FY2026 net-income guidance equates to FY2026 GAAP EPS of $16.70-18.50.

At the current share price ($530 as I’m typing), the midpoint of the above EPS range ($17.60) represents a P/E ratio of 30x, down from 38x following the FY1Q26 earnings release three months ago. 30X is still pretty high, but DE thinks FY2026 will mark the bottom of the agriculture cycle, so investors expect strong EPS growth during the rest of the decade.

FY2Q26 CC slides:
https://s22.q4cdn.com/253594569/files/doc_financials/2026/q2/DE-2Q26-Earnings-Call-Slides.pdf

*DE’s fiscal years end on the Sunday closest to Oct 31.

Deere tops forecasts as construction and small agriculture divisions drive growth (DE)May 21, 2026 6:41 AM
IH Market News Deere & Company (NYSE:DE) reported second-quarter earnings ahead of analyst expectations, supported by strong momentum in its construction and small agriculture businesses, sending shares up 2.2% in premarket trading on Thursday.The machinery manufacturer posted adjusted earnings per share of US$6.55 for the quarter ended May 3, exceeding analyst forecasts of US$5.70 by US$0.85.Quarterly revenue reached US$13.37 billion, comfortably above estimates of US$11.56 billion and up 5% from US$12.76 billion in the same period last year.Net income attributable to Deere totaled US$1.773 billion, slightly below the US$1.804 billion recorded a year earlier.The stronger-than-expected performance came despite weakness in the company’s Production & Precision Agriculture division, where sales declined 14% year-on-year to US$4.50 billion due to lower shipment volumes.However, Deere’s Small Agriculture & Turf segment delivered a strong performance, with revenue rising 16% to US$3.49 billion.Meanwhile, revenue from the Construction & Forestry division surged 29% to US$3.79 billion, benefiting from higher shipment volumes and improved pricing.“Our performance in the current market environment demonstrates the strength of our diversified portfolio. This is particularly reflected in the strong outcomes achieved by our Small Ag and Construction & Forestry divisions during this year,” stated John May, chairman and CEO.For fiscal 2026, Deere maintained its net income guidance in the range of US$4.5 billion to US$5.0 billion.The company expects sales in its Production & Precision Agriculture division to decline between 5% and 10%, while Small Agriculture & Turf revenue is projected to increase by approximately 15%.Construction & Forestry sales are forecast to rise by roughly 20% during the fiscal year.Deere & Company stock price Original: Deere tops forecasts as construction and small agriculture divisions drive growth (DE)

Deere Reports Second Quarter Net Income of $1.773 BillionMay 21, 2026 6:20 AM
PR Newswire (US) Strong execution across segments drives solid performance, reflecting portfolio strength.Net income guidance maintained, reinforcing confidence amid market volatility.Investment in new products and technology supports long-term growth and value creation.MOLINE, Ill., May 21, 2026 /PRNewswire/ -- Deere & Company (NYSE: DE) reported net income of $1.773 billion for the second quarter ended May 3, 2026, or $6.55 per share, compared with net income of $1.804 billion, or $6.64 per share, for the quarter ended April 27, 2025. For the first six months of the year, net income attributable to Deere & Company was $2.429 billion, or $8.97 per share, compared with $2.673 billion, or $9.82 per share, for the same period last year.Worldwide net sales and revenues increased 5 percent, to $13.369 billion, for the second quarter of 2026 and rose 8 percent, to $22.981 billion, for six months. Net sales were $11.778 billion for the quarter and $19.779 billion for six months, compared with $11.171 billion and $17.980 billion last year, respectively."Our performance in the current market environment demonstrates the strength of our diversified portfolio. This is particularly reflected in the strong outcomes achieved by our Small Ag and Construction & Forestry divisions during this year," stated John May, chairman and CEO of John Deere. "As we address ongoing challenges within global agricultural markets, our comprehensive portfolio continues to drive market share expansion and support our targets for sustained growth."Company Outlook & SummaryNet income attributable to Deere & Company for fiscal 2026 is forecasted to be in a range of $4.5 billion to $5.0 billion."While our customers face ongoing challenges, John Deere remains firmly committed to supporting their success through disciplined operations and resilience," said May. "By continuing to invest in innovation through the cycle and leveraging the strength of our dealer network, we are well positioned to deliver increasing value for customers and shareholders as market conditions improve."Deere & Company
Second Quarter
Year to Date
$ in millions, except per share amounts
2026
2025
% Change
2026
2025
% Change
Net sales and revenues
$13,369
$12,763
5 %
$22,981
$21,272
8 %
Net income
$1,773
$1,804
-2 %
$2,429
$2,673
-9 %
Fully diluted EPS
$6.55
$6.64


$8.97
$9.82


The prior period year to date results presented were affected by special items. See Note 2 of the financial statements for further details. On February 20, 2026, the Supreme Court of the United States issued a decision invalidating tariffs imposed pursuant to the International Emergency Economic Powers Act (IEEPA). The company recorded a recovery of $272 million for refund claims related to IEEPA tariffs which have been filed and accepted by the U.S. Customs and Border Protection. The tariff impact for each segment is primarily included in the "Production Costs" category below.Production & Precision Agriculture
Second Quarter
$ in millions
2026
2025
% Change
Net sales
$4,503
$5,230
-14 %
Operating profit
$706
$1,148
-39 %
Operating margin

15.7 %

22.0 %


Production & Precision Agriculture sales decreased for the quarter as a result of lower shipment volumes, partially offset by the positive effects of foreign currency translation. Operating profit decreased primarily due to lower shipment volumes and higher production costs, partially offset by the favorable effects of foreign currency exchange.Small Agriculture & Turf
Second Quarter
$ in millions
2026
2025
% Change
Net sales
$3,485
$2,994
16 %
Operating profit
$719
$574
25 %
Operating margin

20.6 %

19.2 %


Small Agriculture & Turf sales increased for the quarter as a result of higher shipment volumes and the positive effects of foreign currency translation. Operating profit increased primarily due to higher shipment volumes and favorable price realization.Construction & Forestry
Second Quarter
$ in millions
2026
2025
% Change
Net sales
$3,790
$2,947
29 %
Operating profit
$561
$379
48 %
Operating margin

14.8 %

12.9 %


Construction & Forestry sales increased for the quarter primarily as a result of higher shipment volumes and the positive effects of foreign currency translation. Operating profit increased primarily due to higher shipment volumes and favorable price realization, partially offset by higher production costs.Financial Services
Second Quarter
$ in millions
2026
2025
% Change
Net income
$190
$161
18 %
Financial Services net income increased primarily due to favorable financing spreads and favorable derivative valuation adjustments, partially offset by the impact of a lower average portfolio.Industry Outlook for Fiscal 2026






Agriculture & Turf






U.S. & Canada:






Large Ag




Down 15 to 20%
Small Ag & Turf




Flat to up 5%
Europe




Flat to up 5%
South America (Tractors & Combines)




Down ~15%
Asia




Flat








Construction & Forestry






U.S. & Canada:






Construction Equipment




Up ~5%
Compact Construction Equipment




Up ~5%
Global Forestry




Down ~5%
Global Roadbuilding




Up ~10%
 Deere Segment Outlook for Fiscal 2026












Currency
Price
$ in millions
Net Sales
Translation
Realization
Production & Precision Ag
Down 5 to 10%
+3.0 %
~ +1.0%
Small Ag & Turf
Up ~15%
+1.0 %
~ +1.5%
Construction & Forestry
Up ~20%
+2.0 %
~ +2.5%








Financial Services
Net Income
~ $860


FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the sections entitled "Company Outlook & Summary," "Industry Outlook for Fiscal 2026," "Deere Segment Outlook for Fiscal 2026," and "Condensed Notes to Interim Consolidated Financial Statements" relating to future events, expectations, and trends constitute "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of the company's operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, the company expressly disclaims any obligation to update or revise its forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to:the agricultural business cycle, which can be unpredictable and is affected by factors such as farm income, international trade, world grain stocks, crop yields, available farm acres, soil conditions, prices for commodities and livestock, input costs including the availability and price of fertilizer, government farm programs, and availability of transport for cropsmacroeconomic conditions, including unemployment, inflation, interest rate volatility, energy price increases resulting from geopolitical conflicts, changes in consumer practices due to slower economic growth or a recession, regional or global liquidity constraintsthe uncertainty of government policies and actions with respect to the global trade environment including increased and contested tariffs announced by the U.S. government and retaliatory trade regulationspolitical, economic, and social instability in the geographies in which the company operatesworldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for the company's equipmentrationalization, restructuring, relocation, expansion, and/or reconfiguration of manufacturing and warehouse facilitiesaccurately forecasting customer demand for products and services, and adequately managing inventoryuncertainty of the company's ability to sell products domestically or internationally, manage increased costs of production, absorb or pass on increased expenses, and accurately predict financial results and industry trendsavailability and price of raw materials, components, and whole goodsdelays or disruptions in the company's supply chain, including those arising from geopolitical conflictschanges in climate patterns, unfavorable weather events, and natural disasterssuppliers' and manufacturers' business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wageshigher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for the company's products and solutionsthe ability to attract, develop, engage, and retain qualified employeesthe company's ability to adapt in highly competitive markets, including understanding and meeting customers' changing expectations for products and solutions, including delivery and utilization of precision technologythe ability to execute business strategies, including the company's Smart Industrial Operating Model and refined Leap Ambitionsdealer practices and their ability to manage new and used inventory, distribute the company's products, and to provide support and service for precision technology solutionsthe ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processesnegative claims or publicity that damage the company's reputation or brandthe impact of workforce reductions on company culture, employee retention and morale, and institutional knowledgelabor relations and contracts, including work stoppages and other disruptionssecurity breaches, cybersecurity attacks, technology failures, and other disruptions to the company's information technology infrastructure and productsleveraging artificial intelligence and machine learning within the company's business processeschanges to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign, and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, health and safety, human rights, import / export and trade, labor and employment, product liability, tariffs, tax, telematics, and telecommunicationsgovernmental and other actions designed to address climate change in connection with a transition to a lower-carbon economywarranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations because of the deficient operation of the company's productsinvestigations, claims, lawsuits, or other legal proceedings, including the lawsuit filed by the Federal Trade Commission (FTC) and the Attorneys General of the States of Arizona, Illinois, Michigan, Minnesota, and Wisconsin alleging that the company unlawfully withheld self-repair capabilities from farmers and independent repair providersloss of or challenges to intellectual property rightsFurther information concerning the company or its businesses, including factors that could materially affect the company's financial results, is included in the company's filings with the SEC (including, but not limited to, the factors discussed in Item 1A. "Risk Factors" of the company's most recent Annual Report on Form 10-K and subsequent Quarterly Report on Form 10-Q). There also may be other factors that the company cannot anticipate or that are not described herein because the company does not currently perceive them to be material.DEERE & COMPANY
SECOND QUARTER 2026 PRESS RELEASE
(In millions of dollars) Unaudited


Three Months Ended
Six Months Ended


May 3 
April 27
%
May 3 
April 27
%


2026
2025
Change
2026
2025
Change
Net sales and revenues:
















Production & Precision Ag net sales
$4,503
$5,230
-14
$7,666
$8,297
-8
Small Ag & Turf net sales

3,485

2,994
+16

5,653

4,742
+19
Construction & Forestry net sales

3,790

2,947
+29

6,460

4,941
+31
Financial Services revenues

1,366

1,385
-1

2,751

2,856
-4
Other revenues

225

207
+9

451

436
+3
 Total net sales and revenues
$13,369
$12,763
+5
$22,981
$21,272
+8


















Operating profit: *
















Production & Precision Ag
$706
$1,148
-39
$845
$1,486
-43
Small Ag & Turf

719

574
+25

916

698
+31
Construction & Forestry

561

379
+48

698

444
+57
Financial Services

251

207
+21

552

473
+17
 Total operating profit

2,237

2,308
-3

3,011

3,101
-3
Reconciling items **

54

35
+54

132

138
-4
Income taxes

(518)

(539)
-4

(714)

(566)
+26
Net income attributable to Deere & Company
$1,773
$1,804
-2
$2,429
$2,673
-9


*Operating profit is income from continuing operations before corporate expenses, certain external interest expenses, certain foreign exchange gains and losses, and income taxes. Operating profit of Financial Services includes the effect of interest expense and foreign exchange gains and losses.

**Reconciling items are primarily corporate expenses, certain interest income and expenses, certain foreign exchange gains and losses, pension and postretirement benefit costs excluding the service cost component, and net income attributable to noncontrolling interests. DEERE & COMPANY
STATEMENTS OF CONSOLIDATED INCOME
For the Three and Six Months Ended May 3, 2026 and April 27, 2025
(In millions of dollars and shares except per share amounts) Unaudited


Three Months Ended
Six Months Ended


2026
2025
2026
2025
Net Sales and Revenues












Net sales
$11,778
$11,171
$19,779
$17,980
Finance and interest income

1,314

1,354

2,658

2,807
Other income

277

238

544

485
Total

13,369

12,763

22,981

21,272














Costs and Expenses












Cost of sales

8,266

7,609

14,547

12,646
Research and development expenses

583

549

1,137

1,075
Selling, administrative and general expenses

1,209

1,197

2,181

2,169
Interest expense

712

784

1,431

1,614
Other operating expenses

306

287

556

536
Total

11,076

10,426

19,852

18,040














Income of Consolidated Group before Income Taxes

2,293

2,337

3,129

3,232
Provision for income taxes

518

539

714

566














Income of Consolidated Group

1,775

1,798

2,415

2,666
Equity in income (loss) of unconsolidated affiliates

(5)

3

10

1














Net Income

1,770

1,801

2,425

2,667
Less: Net loss attributable to noncontrolling interests

(3)

(3)

(4)

(6)
Net Income Attributable to Deere & Company
$1,773
$1,804
$2,429
$2,673














Per Share Data












Basic
$6.57
$6.65
$8.99
$9.85
Diluted

6.55

6.64

8.97

9.82
Dividends declared

1.62

1.62

3.24

3.24
Dividends paid

1.62

1.62

3.24

3.09














Average Shares Outstanding












Basic

270.1

271.1

270.2

271.3
Diluted

270.8

271.8

270.9

272.1


See Condensed Notes to Interim Consolidated Financial Statements. DEERE & COMPANYCONDENSED CONSOLIDATED BALANCE SHEETS(In millions of dollars) Unaudited

May 3 
November 2
April 27

2026
2025
2025Assets








Cash and cash equivalents
$7,905
$8,276
$7,991Marketable securities

1,430

1,411

1,272Trade accounts and notes receivable – net

7,571

5,317

6,748Financing receivables – net

42,916

44,575

43,029Financing receivables securitized – net

6,100

6,831

7,765Other receivables

2,582

2,403

2,975Equipment on operating leases – net

7,514

7,600

7,336Inventories

8,188

7,406

7,870Property and equipment – net

8,035

8,079

7,555Goodwill

4,513

4,188

4,094Other intangible assets – net

975

892

964Retirement benefits

3,450

3,273

3,133Deferred income taxes

2,361

2,284

2,088Other assets

3,461

3,461

3,483Total Assets
$107,001
$105,996
$106,303









Liabilities and Stockholders' Equity


















Liabilities








Short-term borrowings
$15,632
$13,796
$15,948Short-term securitization borrowings

5,929

6,596

7,562Accounts payable and accrued expenses

13,653

13,909

13,345Deferred income taxes

422

434

496Long-term borrowings

42,261

43,544

42,811Retirement benefits and other liabilities

1,644

1,710

1,763Total liabilities

79,541

79,989

81,925









Redeemable noncontrolling interest

47

51

83









Stockholders' Equity








Total Deere & Company stockholders' equity

27,406

25,950

24,287Noncontrolling interests

7

6

8Total stockholders' equity

27,413

25,956

24,295Total Liabilities and Stockholders' Equity
$107,001
$105,996
$106,303
See Condensed Notes to Interim Consolidated Financial Statements. DEERE & COMPANYSTATEMENTS OF CONSOLIDATED CASH FLOWSFor the Six Months Ended May 3, 2026 and April 27, 2025(In millions of dollars) Unaudited

2026
2025Cash Flows from Operating Activities





Net income
$2,425
$2,667Adjustments to reconcile net income to net cash provided by operating activities:





Provision for credit losses

127

174Depreciation and amortization

1,184

1,104Impairments and other adjustments




(32)Share-based compensation expense

69

54Provision (credit) for deferred income taxes

(68)

11Changes in assets and liabilities:





Receivables related to sales

(1,084)

(1,069)Inventories

(738)

(772)Accounts payable and accrued expenses

(333)

(898)Accrued income taxes payable/receivable

(5)

(147)Retirement benefits

(290)

(794)Other

(245)

270Net cash provided by operating activities

1,042

568






Cash Flows from Investing Activities





Collections of receivables (excluding receivables related to sales)

14,385

14,348Proceeds from maturities and sales of marketable securities

258

245Proceeds from sales of equipment on operating leases

1,019

1,001Cost of receivables acquired (excluding receivables related to sales)

(13,157)

(12,744)Acquisition of business, net of cash acquired

(439)


Purchases of marketable securities

(284)

(347)Purchases of property and equipment

(451)

(555)Cost of equipment on operating leases acquired

(1,295)

(1,254)Collections of receivables from unconsolidated affiliates

152

234Collateral on derivatives – net

(8)

27Other

(87)

(176)Net cash provided by investing activities

93

779






Cash Flows from Financing Activities





Net proceeds in short-term borrowings (original maturities three months or less)

2,246

551Proceeds from borrowings issued (original maturities greater than three months)

3,451

5,156Payments of borrowings (original maturities greater than three months)

(5,935)

(4,837)Repurchases of common stock

(500)

(838)Dividends paid

(878)

(843)Other

(11)

(10)Net cash used for financing activities

(1,627)

(821)






Effect of Exchange Rate Changes on Cash, Cash Equivalents, and
     Restricted Cash

94

20






Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash

(398)

546Cash, Cash Equivalents, and Restricted Cash at Beginning of Period

8,533

7,633Cash, Cash Equivalents, and Restricted Cash at End of Period
$8,135
$8,179
See Condensed Notes to Interim Consolidated Financial Statements.DEERE & COMPANY
Condensed Notes to Interim Consolidated Financial Statements
(In millions of dollars) Unaudited(1)   AcquisitionIn February 2026, the company acquired Tenna LLC (Tenna), a U.S. construction technology company that offers mixed-fleet equipment operations and asset tracking solutions. The purchase price, net of cash acquired, was $439 million. Tenna was assigned to the CF segment. Most of the purchase price for this acquisition was allocated to goodwill and other intangible assets.(2)   Special ItemsDiscrete Tax ItemsIn the first quarter of 2025, the company recorded favorable net discrete tax items primarily due to tax benefits of $110 million related to the realization of foreign net operating losses from the consolidation of certain subsidiaries and $53 million from an adjustment to an uncertain tax position of a foreign subsidiary.Banco John Deere S.A.In 2024, the company entered into an agreement with a Brazilian bank, Banco Bradesco S.A. (Bradesco), for Bradesco to invest and become a 50% owner of the company's wholly-owned subsidiary in Brazil, Banco John Deere S.A. (BJD). BJD finances retail and wholesale loans for agricultural, construction, and forestry equipment. The transaction is intended to reduce the company's incremental risk as it continues to grow in the Brazilian market.The BJD business was reclassified as held for sale in 2024. In January 2025, the valuation allowance on assets held for sale decreased, resulting in a pretax and after-tax gain (reversal of previous losses) of $32 million recorded in "Selling, administrative and general expenses" in the six months ended April 27, 2025. The valuation allowance changes are presented in "Impairments and other adjustments" in the statements of consolidated cash flows.The company deconsolidated BJD upon completion of the transaction in February 2025. The company accounts for its investment in BJD using the equity method of accounting and results of its operations are reported in "Equity in income (loss) of unconsolidated affiliates" within the Financial Services segment. The company reports investments in unconsolidated affiliates and receivables from unconsolidated affiliates in "Other assets" and "Other receivables," respectively.(3)   The consolidated financial statements represent the consolidation of all the company's subsidiaries. The supplemental consolidating data in Note 4 to the financial statements is presented for informational purposes. Equipment operations represent the enterprise without Financial Services. Equipment operations include the company's Production & Precision Agriculture operations, Small Agriculture & Turf operations, Construction & Forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within Financial Services. Transactions between the equipment operations and Financial Services have been eliminated to arrive at the consolidated financial statements.DEERE & COMPANY
(4) SUPPLEMENTAL CONSOLIDATING DATA
STATEMENTS OF INCOME
For the Three Months Ended May 3, 2026 and April 27, 2025
(In millions of dollars) Unaudited


EQUIPMENT
FINANCIAL







OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED



2026
2025
2026
2025
2026
2025
2026
2025

Net Sales and Revenues

























Net sales
$11,778
$11,171












$11,778
$11,171

Finance and interest income

110

108
$1,359
$1,380
$(155)
$(134)

1,314

1,3541
Other income

212

187

150

121

(85)

(70)

277

2382, 3, 4
Total

12,100

11,466

1,509

1,501

(240)

(204)

13,369

12,763




























Costs and Expenses

























Cost of sales

8,277

7,617







(11)

(8)

8,266

7,6094
Research and development expenses

583

549













583

549

Selling, administrative and general expenses

980

961

231

238

(2)

(2)

1,209

1,1974
Interest expense

102

94

649

721

(39)

(31)

712

7841
Interest compensation to Financial Services

116

103







(116)

(103)





1
Other operating expenses

9

12

369

335

(72)

(60)

306

2873, 4, 5
Total

10,067

9,336

1,249

1,294

(240)

(204)

11,076

10,426




























Income before Income Taxes

2,033

2,130

260

207







2,293

2,337

Provision for income taxes

452

490

66

49







518

539




























Income after Income Taxes

1,581

1,640

194

158







1,775

1,798

Equity in income (loss) of unconsolidated affiliates

(1)




(4)

3







(5)

3




























Net Income

1,580

1,640

190

161







1,770

1,801

Less: Net loss attributable to
     noncontrolling interests

(3)

(3)













(3)

(3)

Net Income Attributable to Deere & Company
$1,583
$1,643
$190
$161






$1,773
$1,804




























1Elimination of intercompany interest income and expense.2Elimination of equipment operations' margin from inventory transferred to equipment on operating leases.3Elimination of income and expenses between equipment operations and Financial Services related to intercompany guarantees of investments in certain international markets.4Elimination of intercompany service revenues and fees.5Elimination of Financial Services' lease depreciation expense related to inventory transferred to equipment on operating leases. DEERE & COMPANY
SUPPLEMENTAL CONSOLIDATING DATA (Continued)
STATEMENTS OF INCOME
For the Six Months Ended May 3, 2026 and April 27, 2025
(In millions of dollars) Unaudited


EQUIPMENT
FINANCIAL







OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED



2026
2025
2026
2025
2026
2025
2026
2025

Net Sales and Revenues

























Net sales
$19,779
$17,980












$19,779
$17,980

Finance and interest income

230

217
$2,710
$2,835
$(282)
$(245)

2,658

2,8071
Other income

425

391

287

239

(168)

(145)

544

4852, 3, 4
Total

20,434

18,588

2,997

3,074

(450)

(390)

22,981

21,272




























Costs and Expenses

























Cost of sales

14,568

12,662







(21)

(16)

14,547

12,6464
Research and development expenses

1,137

1,075













1,137

1,075

Selling, administrative and general expenses

1,787

1,761

398

412

(4)

(4)

2,181

2,1694
Interest expense

195

178

1,313

1,487

(77)

(51)

1,431

1,6141
Interest compensation to Financial Services

205

194







(205)

(194)





1
Other operating expenses

(37)

(38)

736

699

(143)

(125)

556

5363, 4, 5
Total

17,855

15,832

2,447

2,598

(450)

(390)

19,852

18,040




























Income before Income Taxes

2,579

2,756

550

476







3,129

3,232

Provision for income taxes

587

477

127

89







714

566




























Income after Income Taxes

1,992

2,279

423

387







2,415

2,666

Equity in income (loss) of unconsolidated affiliates

(1)

(3)

11

4







10

1




























Net Income

1,991

2,276

434

391







2,425

2,667

Less: Net loss attributable to
     noncontrolling interests

(4)

(6)













(4)

(6)

Net Income Attributable to Deere & Company
$1,995
$2,282
$434
$391






$2,429
$2,673




























1Elimination of intercompany interest income and expense.2Elimination of equipment operations' margin from inventory transferred to equipment on operating leases.3Elimination of income and expenses between equipment operations and Financial Services related to intercompany guarantees of investments in certain international markets.4Elimination of intercompany service revenues and fees.5Elimination of Financial Services' lease depreciation expense related to inventory transferred to equipment on operating leases. DEERE & COMPANY
SUPPLEMENTAL CONSOLIDATING DATA (Continued)
CONDENSED BALANCE SHEETS
(In millions of dollars) Unaudited


EQUIPMENT
FINANCIAL







OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED



May 3 
Nov 2
Apr 27
May 3 
Nov 2
Apr 27
May 3 
Nov 2
Apr 27
May 3 
Nov 2
Apr 27



2026
2025
2025
2026
2025
2025
2026
2025
2025
2026
2025
2025

Assets





































Cash and cash equivalents
$5,917
$6,340
$6,331
$1,988
$1,936
$1,660









$7,905
$8,276
$7,991

Marketable securities

173

217

139

1,257

1,194

1,133










1,430

1,411

1,272

Receivables from Financial
     Services

4,642

4,649

2,497









$(4,642)
$(4,649)
$(2,497)








6
Trade accounts and notes
     receivable – net

1,579

1,316

1,429

8,001

5,900

7,406

(2,009)

(1,899)

(2,087)

7,571

5,317

6,7487
Financing receivables – net

102

88

82

42,814

44,487

42,947










42,916

44,575

43,029

Financing receivables
     securitized – net

1

1

2

6,099

6,830

7,763










6,100

6,831

7,765

Other receivables

2,062

1,809

2,009

573

658

1,009

(53)

(64)

(43)

2,582

2,403

2,9758
Equipment on operating
     leases – net










7,514

7,600

7,336










7,514

7,600

7,336

Inventories

8,188

7,406

7,870



















8,188

7,406

7,870

Property and equipment – net

8,004

8,047

7,523

31

32

32










8,035

8,079

7,555

Goodwill

4,513

4,188

4,094



















4,513

4,188

4,094

Other intangible assets – net

975

892

964



















975

892

964

Retirement benefits

3,351

3,181

3,046

101

94

89

(2)

(2)

(2)

3,450

3,273

3,133

Deferred income taxes

2,532

2,507

2,377

45

46

42

(216)

(269)

(331)

2,361

2,284

2,0889
Other assets

2,358

2,218

2,349

1,126

1,244

1,152

(23)

(1)

(18)

3,461

3,461

3,483

Total Assets
$44,397
$42,859
$40,712
$69,549
$70,021
$70,569
$(6,945)
$(6,884)
$(4,978)
$107,001
$105,996
$106,303








































Liabilities and
     Stockholders' Equity












































































Liabilities





































Short-term borrowings
$397
$414
$241
$15,235
$13,382
$15,707









$15,632
$13,796
$15,948

Short-term securitization
     borrowings

1

1

1

5,928

6,595

7,561










5,929

6,596

7,562

Payables to equipment operations










4,642

4,649

2,497
$(4,642)
$(4,649)
$(2,497)








6
Accounts payable and
     accrued expenses

12,600

12,757

12,180

3,138

3,116

3,313

(2,085)

(1,964)

(2,148)

13,653

13,909

13,3457, 8
Deferred income taxes

331

347

405

307

356

422

(216)

(269)

(331)

422

434

4969
Long-term borrowings

8,857

8,756

8,685

33,404

34,788

34,126










42,261

43,544

42,811

Retirement benefits and
     other liabilities

1,579

1,646

1,695

67

66

70

(2)

(2)

(2)

1,644

1,710

1,763

Total liabilities

23,765

23,921

23,207

62,721

62,952

63,696

(6,945)

(6,884)

(4,978)

79,541

79,989

81,925








































Redeemable noncontrolling
     interest

47

51

83



















47

51

83








































Stockholders' Equity





































Total Deere & Company
     stockholders' equity

27,406

25,950

24,287

6,828

7,069

6,873

(6,828)

(7,069)

(6,873)

27,406

25,950

24,28710
Noncontrolling interests

7

6

8



















7

6

8

Financial Services' equity

(6,828)

(7,069)

(6,873)










6,828

7,069

6,873








10
Adjusted total stockholders'
     equity

20,585

18,887

17,422

6,828

7,069

6,873










27,413

25,956

24,295

Total Liabilities and
     Stockholders' Equity
$44,397
$42,859
$40,712
$69,549
$70,021
$70,569
$(6,945)
$(6,884)
$(4,978)
$107,001
$105,996
$106,303








































6 Elimination of receivables / payables between equipment operations and Financial Services.7 Primarily reclassification of sales incentive accruals on receivables sold to Financial Services.8 Reclassification of other receivables / payables.9 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions.10 Elimination of Financial Services' equity. DEERE & COMPANY
SUPPLEMENTAL CONSOLIDATING DATA (Continued)
STATEMENTS OF CASH FLOWS
For the Six Months Ended May 3, 2026 and April 27, 2025
(In millions of dollars) Unaudited


EQUIPMENT
FINANCIAL







OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED



2026
2025
2026
2025
2026
2025
2026
2025

Cash Flows from Operating Activities

























Net income
$1,991
$2,276
$434
$391






$2,425
$2,667

Adjustments to reconcile net income to net cash provided
     by operating activities:

























Provision for credit losses

1

11

126

163







127

174

Depreciation and amortization

689

643

546

529
$(51)
$(68)

1,184

1,10411
Impairments and other adjustments










(32)










(32)

Share-based compensation expense













69

54

69

5412
Distributed earnings of Financial Services

734

984







(734)

(984)





13
Provision (credit) for deferred income taxes

(19)

(153)

(49)

164







(68)

11

Changes in assets and liabilities:

























Receivables related to sales

(225)

(185)







(859)

(884)

(1,084)

(1,069)14, 16
Inventories

(649)

(691)







(89)

(81)

(738)

(772)15
Accounts payable and accrued expenses

(237)

(1,069)

14

102

(110)

69

(333)

(898)16
Accrued income taxes payable/receivable

15

(77)

(20)

(70)







(5)

(147)

Retirement benefits

(285)

(753)

(5)

(41)







(290)

(794)

Other

(335)

59

140

224

(50)

(13)

(245)

27011, 12, 15
Net cash provided by operating activities

1,680

1,045

1,186

1,430

(1,824)

(1,907)

1,042

568




























Cash Flows from Investing Activities

























Collections of receivables (excluding receivables related
     to sales)







14,641

14,684

(256)

(336)

14,385

14,34814
Proceeds from maturities and sales of marketable
     securities

91

18

167

227







258

245

Proceeds from sales of equipment on operating leases







1,019

1,001







1,019

1,001

Cost of receivables acquired (excluding receivables related
     to sales)







(13,273)

(12,875)

116

131

(13,157)

(12,744)14
Acquisition of business, net of cash acquired

(439)
















(439)




Purchases of marketable securities

(42)

(20)

(242)

(327)







(284)

(347)

Purchases of property and equipment

(451)

(555)













(451)

(555)

Cost of equipment on operating leases acquired







(1,415)

(1,363)

120

109

(1,295)

(1,254)15
Increase in trade and wholesale receivables







(1,110)

(1,019)

1,110

1,019





14
Collections of receivables from unconsolidated affiliates




183

152

51







152

234

Collateral on derivatives – net

2

3

(10)

24







(8)

27

Other

(54)

(72)

(33)

(104)







(87)

(176)

Net cash provided by (used for) investing activities

(893)

(443)

(104)

299

1,090

923

93

779




























Cash Flows from Financing Activities

























Net proceeds (payments) in short-term borrowings (original
     maturities three months or less)

(4)

65

2,250

486







2,246

551

Change in intercompany receivables/payables

21

428

(21)

(428)













Proceeds from borrowings issued (original maturities
     greater than three months)

252

2,043

3,199

3,113







3,451

5,156

Payments of borrowings (original maturities greater than
     three months)

(181)

(766)

(5,754)

(4,071)







(5,935)

(4,837)

Repurchases of common stock

(500)

(838)













(500)

(838)

Dividends paid

(878)

(843)

(734)

(984)

734

984

(878)

(843)13
Other

5

(4)

(16)

(6)







(11)

(10)

Net cash provided by (used for) financing activities

(1,285)

85

(1,076)

(1,890)

734

984

(1,627)

(821)




























Effect of Exchange Rate Changes on Cash, Cash
     Equivalents, and Restricted Cash

79

22

15

(2)







94

20




























Net Increase (Decrease) in Cash, Cash Equivalents,
     and Restricted Cash

(419)

709

21

(163)







(398)

546

Cash, Cash Equivalents, and Restricted Cash at
     Beginning of Period

6,364

5,643

2,169

1,990







8,533

7,633

Cash, Cash Equivalents, and Restricted Cash at
     End of Period
$5,945
$6,352
$2,190
$1,827






$8,135
$8,179




























11Elimination of depreciation on leases related to inventory transferred to equipment on operating leases.12Reclassification of share-based compensation expense.13Elimination of dividends from Financial Services to the equipment operations, which are included in the equipment operations operating activities.14Primarily reclassification of receivables related to the sale of equipment.15Reclassification of direct lease agreements with retail customers.16Reclassification of sales incentive accruals on receivables sold to Financial Services.  View original content to download multimedia:https://www.prnewswire.com/news-releases/deere-reports-second-quarter-net-income-of-1-773-billion-302778847.htmlSOURCE Deere & Company Original: Deere Reports Second Quarter Net Income of $1.773 Billion

DE FY2Q16 results and FY2026 guidance will have several moving parts, including tariff refunds and the shortage of fertilizer due to the Middle East war. DE's C&F division should do well based on CAT's recent results (#msg-177557749).

Deere to Announce Second Quarter 2026 Financial ResultsMay 6, 2026 10:30 AM
PR Newswire (US) MOLINE, Ill., May 6, 2026 /PRNewswire/ -- Deere & Company (NYSE: DE) will hold its second quarter 2026 earnings call on Thursday, 21 May, beginning at 9:00 a.m. central time. During the call, the company's financial and operating performance will be discussed with analysts, investors and other members of the financial community.The earnings call can be accessed at www.JohnDeere.com/earnings. The recorded call will be available on the Deere website for a period of time afterward. The Deere earnings release, other financial information and earnings call presentation can be accessed at the link above.About Deere & Company
It doesn't matter if you've never driven a tractor, mowed a lawn, or operated a dozer. With John Deere's role in helping produce food, fiber, fuel, and infrastructure, we work for every single person on the planet. It all started nearly 200 years ago with a steel plow. Today, John Deere drives innovation in agriculture, construction, forestry, turf, power systems, and more. View original content:https://www.prnewswire.com/news-releases/deere-to-announce-second-quarter-2026-financial-results-302764173.htmlSOURCE John Deere Company Original: Deere to Announce Second Quarter 2026 Financial Results

Deere & Company Board Elects Brent Norwood as Chief Financial OfficerMay 1, 2026 6:00 AM
PR Newswire (Canada)

MOLINE, Ill., May 1, 2026 /CNW/ -- Deere & Company (NYSE: DE) announced today that its Board of Directors has elected Brent Norwood, 44, as senior vice president and chief financial officer, effective May 1. Norwood's appointment follows an internal and external search and a rigorous vetting process.







"Brent is a proven leader with deep financial expertise, strong strategic judgment, and a disciplined approach to capital allocation," said John C. May, chairman and chief executive officer of Deere & Company. "His experience and perspective will be critical as we execute our strategy and deliver long-term value for our shareholders."Norwood has more than 20 years of experience at Deere and in the financial industry. Since 2023, he has served as vice president and finance director for the company's Construction and Forestry division and John Deere Power Systems, with responsibility for financial planning and analysis, forecasting, capital budgeting, and strategic investments. He joined Deere as a program manager and later held roles in global marketing operations, corporate business development, and investor relations.During his tenure, Norwood played an integral role in Deere's acquisitions of Wirtgen and Blue River Technology and later helped shape the early foundations of the company's Smart Industrial strategy and Leap Ambitions—goals designed to drive economic value and sustainability for customers. He was also recognized by Institutional Investor as the top investor relations professional and for the top investor relations program in the machinery sector.Prior to joining Deere, Norwood worked in the investment industry, with experience spanning capital markets, equity research, and principal investing related to mergers and acquisitions, leveraged buyouts, and capital projects.About Deere & CompanyIt doesn't matter if you've never driven a tractor, mowed a lawn, or operated a dozer. With John Deere's role in helping produce food, fiber, fuel, and infrastructure, we work for every single person on the planet. It all started nearly 200 years ago with a steel plow. Today, John Deere drives innovation in agriculture, construction, forestry, turf, power systems, and more.For more information on Deere & Company, visit us at www.deere.com/en/news/.



View original content to download multimedia:https://www.prnewswire.com/news-releases/deere--company-board-elects-brent-norwood-as-chief-financial-officer-302759713.htmlSOURCE John Deere Company

Original: Deere & Company Board Elects Brent Norwood as Chief Financial Officer

Deere & Company Reaches Settlement in Repair Services Antitrust LitigationApril 6, 2026 8:53 PM
PR Newswire (Canada)

MOLINE, Ill., April 6, 2026 /CNW/ -- Deere & Company (NYSE: DE) announced today that it has reached a settlement agreement to resolve the multidistrict "right to repair" litigation pending in the United States District Court for the Northern District of Illinois. This settlement addresses the issues raised in the 2022 complaint and brings this case to an end with no finding of wrongdoing."As we continue to innovate industry leading equipment and technology solutions supported by our world-class dealer network, we are equally committed to providing customers and other service providers with access to repair resources," said Denver Caldwell, vice president, Aftermarket & Customer Support. "We're pleased that this resolution allows us to move forward and remain focused on what matters most – serving our customers."As part of the settlement, Deere will deposit funds into a class settlement fund. The funds will be distributed to class members pursuant to a Court-approved distribution plan and used to cover administrative and legal fees. Additionally, Deere will continue to support customers and other service providers with access to repair resources, including tools, manuals, and diagnostic software.Deere remains dedicated to supporting customers' ability and access to maintain, diagnose, and repair their equipment safely, efficiently and conveniently. "John Deere Operations Center™ PRO Service is designed to enhance customers' ability to care for their equipment how and when they want, and this settlement reaffirms Deere's commitment to customer choice of how they want their equipment supported and access to the tools that enable it," said Caldwell. The company will continue investing in customer uptime solutions and delivering industry-leading equipment and technology to help farmers and ranchers get their work done.The settlement remains subject to approval by the United States District Court for the Northern District of Illinois. To learn more about John Deere's commitment to supporting customer repair, please visit deere.com/repair.



View original content:https://www.prnewswire.com/news-releases/deere--company-reaches-settlement-in-repair-services-antitrust-litigation-302735143.htmlSOURCE John Deere Company

Original: Deere & Company Reaches Settlement in Repair Services Antitrust Litigation

Deere & Company Announces Quarterly DividendFebruary 25, 2026 11:45 AM
PR Newswire (US)

MOLINE, Ill., Feb. 25, 2026 /PRNewswire/ -- The Deere & Company (NYSE: DE) Board of Directors today declared a quarterly dividend of $1.62 per share payable May 8, 2026, to stockholders of record on March 31, 2026.




View original content:https://www.prnewswire.com/news-releases/deere--company-announces-quarterly-dividend-302697287.htmlSOURCE John Deere Company

Original: Deere & Company Announces Quarterly Dividend

DE soars_to all-time high on_raised FY2026 guidance:

https://www.prnewswire.com/news-releases/deere-reports-first-quarter-net-income-of-656-million-302692550.html

New FY2026* net-income guidance is $4.5-5.0B, up $0.25-0.50B from the prior guidance of $4.0-4.75B given three months ago.

Based on 270M diluted shares, the new FY2026 net-income guidance equates to FY2026 GAAP EPS of $16.70-18.50.

At the current share price ($670 as I’m typing), the midpoint of the above EPS range ($17.60) represents a P/E ratio of 38x. This is pretty high, but DE thinks FY2026 will mark the bottom of the agriculture cycle, so investors expect strong EPS growth during the rest of the decade.

FY1Q26 CC slides:
https://s22.q4cdn.com/253594569/files/doc_financials/2026/q1/DE-1Q26-Earnings-Call-Slides.pdf

*DE’s fiscal years end on the Sunday closest to Oct 31.

Deere rallies on strong Q1 revenue beat and higher full-year profit forecastFebruary 19, 2026 9:37 AM
IH Market News
Shares of Deere & Company (NYSE:DE) climbed 4.5% in premarket trading Thursday after the farm equipment maker delivered first-quarter results well ahead of expectations and lifted its earnings outlook for the year.For the quarter, Deere posted net income of $656 million, or $2.42 per share, topping analyst forecasts of $2.02 per share. Revenue jumped 13% year over year to $9.61 billion, comfortably above the $7.59 billion consensus estimate. Despite the revenue strength, net income was down 25% from the $869 million, or $3.19 per share, recorded in the same period last year.“While the global large agriculture industry continues to experience challenges, we’re encouraged by the ongoing recovery in demand within both the construction and small agriculture segments,” said John May, chairman and CEO of John Deere. “These positive developments reinforce our belief that 2026 represents the bottom of the current cycle and provides us with a strong foundation for accelerated growth going forward.”The company increased its fiscal 2026 net income projection to between $4.5 billion and $5.0 billion.Performance was especially strong in the Small Agriculture & Turf division, where sales rose 24% to $2.17 billion and operating profit surged 58% to $196 million. The Construction & Forestry unit also delivered solid growth, with revenue climbing 34% to $2.67 billion and operating income more than doubling to $137 million.Looking ahead, Deere anticipates Small Agriculture & Turf sales will grow around 15% in fiscal 2026, with Construction & Forestry revenue expected to increase by a similar percentage. However, the company projects a 5% to 10% decline in Production & Precision Agriculture sales, reflecting ongoing softness in the large-scale farming sector.Deere & Company stock price

Original: Deere rallies on strong Q1 revenue beat and higher full-year profit forecast

Fed minutes strike hawkish tone; Walmart earnings in focus – what’s driving markets: Dow Jones, S&P, Nasdaq, Wall Street FuturesFebruary 19, 2026 6:17 AM
IH Market News
U.S. equity futures moved modestly higher on Thursday, pointing to a continuation of the prior session’s tech-led gains. Investors weighed hawkish signals in the Federal Reserve’s January meeting minutes, while oil prices climbed on renewed Middle East tensions. Earnings from Walmart (NYSE:WMT) and Deere (NYSE:DE) are also due, offering fresh insight into key segments of the U.S. economy.



Futures inch up



By 03:09 ET, Dow futures were up 30 points, or 0.1%, S&P 500 futures had added 16 points, or 0.2%, and Nasdaq 100 futures were ahead by 86 points, or 0.3%.Wall Street’s main indices closed higher on Wednesday, led by strong gains in Nvidia (NASDAQ:NVDA). The chipmaker’s shares were lifted by news of a multi-year supply agreement with Meta Platforms, the parent of Facebook, covering both current and next-generation semiconductors. Markets are also preparing for Nvidia’s closely watched earnings next week, often viewed as a bellwether for the broader AI boom.Strength extended across the technology space, including digital storage names such as SanDisk and Seagate Technology, whose products are increasingly essential to AI infrastructure.The rally helped ease concerns about when substantial returns might materialize from heavy investment in AI-related assets like data centers. Software stocks also advanced, marking a constructive session for a sector recently unsettled by perceived disruption risks from emerging AI models.



Fed minutes hint at hawkish leanings



Attention also turned to the minutes from the Fed’s January meeting, with investors searching for signals on the future direction of U.S. interest rates.Analysts highlighted language stating that “several participants” would have supported a “two-sided description” of the Federal Open Market Committee’s outlook for rates — a potential indication that rate hikes remain possible if inflation fails to return to the Fed’s 2% target.After pausing its rate-cutting cycle last month, which had begun in mid-2025, policymakers are widely expected to resume easing later this year. With the labor market showing resilience and inflation cooling but still elevated, some market participants anticipate another rate cut as early as June.That view remains largely intact, though the minutes suggest the Fed is currently in “wait-and-see mode,” according to Capital Economics. They added that Kevin Warsh, President Donald Trump’s nominee to succeed Jerome Powell as Fed Chair and a known advocate of rate cuts, may find it difficult to “convince his new colleagues of the need” for aggressive easing.



Oil climbs on Middle East tensions



Crude prices edged higher as escalating military activity in the Middle East fueled concerns about potential disruptions to global supply.Brent crude futures rose 1% to $71.04 per barrel, while U.S. West Texas Intermediate gained 1.1% to $65.74.Both benchmarks had surged more than 4% on Wednesday, marking their highest closes since January 30.Reports of intensified naval and military movements in the Persian Gulf have heightened perceptions of supply risk. Meanwhile, expectations for any relaxation of sanctions on Russian energy exports diminished after Russia-Ukraine talks failed to produce progress.Additional support came from U.S. inventory data. The American Petroleum Institute reported a decline of around 609,000 barrels in crude stockpiles for the week ending February 13. Official figures from the Energy Information Administration are due later Thursday.



Walmart earnings ahead



Walmart is set to headline Thursday’s earnings releases.The retail giant’s shares have climbed sharply this year, pushing its market capitalization above $1 trillion and cementing its position as the largest company in the consumer staples sector.Given the central role of consumer spending in the U.S. economy, Walmart’s results — particularly as it has attracted cost-conscious shoppers seeking lower-priced essentials — may provide valuable insight into economic conditions during the critical holiday shopping period.The report will also set the tone ahead of upcoming earnings from peers such as Home Depot and Target. Together, these updates could further illuminate whether the U.S. economy continues to display a “K-shaped” pattern, with higher-income households and corporations maintaining spending while lower-income consumers struggle with cost pressures.



Deere also in focus



Deere & Company is also scheduled to report before the market opens.Often regarded as a gauge of industrial activity, Deere warned in November that sweeping U.S. tariffs would significantly impact its 2026 results.The farm equipment manufacturer is expected to see pressure on margins as a result, although CEO John May indicated that steady demand for forestry and smaller agricultural equipment, alongside cost-cutting efforts, may offset some of the effects.Tariffs on imported raw materials are projected to reduce Deere’s fiscal 2026 earnings by roughly $1.2 billion, compared with an estimated $600 million impact last year.At the same time, weaker crop prices and rising production costs have led many farmers to delay purchases of large equipment such as tractors, opting instead for rentals or used machinery.Walmart stock priceDeere & Company stock priceNvidia stock price

Original: Fed minutes strike hawkish tone; Walmart earnings in focus – what’s driving markets: Dow Jones, S&P, Nasdaq, Wall Street Futures

Deere Reports First Quarter Net Income of $656 MillionFebruary 19, 2026 6:21 AM
PR Newswire (Canada)

First quarter shipments ahead of plan as order books strengthenDiverse customer segments and geographies enable resilience and growthNet income guidance range increased to $4.5 billion - $5.0 billionMOLINE, Ill., Feb. 19, 2026 /CNW/ -- Deere & Company (NYSE: DE) reported net income of $656 million for the first quarter ended February 1, 2026, or $2.42 per share, compared with net income of $869 million, or $3.19 per share, for the quarter ended January 26, 2025. 







Worldwide net sales and revenues increased 13 percent, to $9,611 million, in the most recent quarter. Net sales were $8,001 million for the quarter, compared with $6,809 million in the same quarter of 2025."While the global large agriculture industry continues to experience challenges, we're encouraged by the ongoing recovery in demand within both the construction and small agriculture segments," said John May, chairman and CEO of John Deere. "These positive developments reinforce our belief that 2026 represents the bottom of the current cycle and provides us with a strong foundation for accelerated growth going forward."Company Outlook & SummaryNet income attributable to Deere & Company for fiscal 2026 is forecasted to be in a range of $4.5 billion to $5.0 billion."Our sustained investment in research and development throughout the cycle is yielding measurable results as we move toward launching a wide range of innovative products and solutions across all business segments," stated May. "These advancements underscore the value of maintaining a robust portfolio that spans broad markets and regions worldwide, which should position us for success as we transition out of the current cycle."









Deere & Company
First Quarter
$ in millions, except per share amounts
2026
2025
% Change
Net sales and revenues
$9,611
$8,508
13 %
Net income
$656
$869
-25 %
Fully diluted EPS
$2.42
$3.19


Results for the prior period were affected by special items. See Note 1 to the financial statements for further details. The cost of additional tariffs for each segment is included in the "Production costs" category below.









Production & Precision Agriculture
First Quarter
$ in millions
2026
2025
% Change
Net sales
$3,163
$3,067
3 %
Operating profit
$139
$338
-59 %
Operating margin

4.4 %

11.0 %


Production & Precision Agriculture sales increased for the quarter as a result of the positive effects of foreign currency translation. Operating profit decreased primarily due to higher tariffs, unfavorable sales mix, and higher warranty expenses.









Small Agriculture & Turf
First Quarter
$ in millions
2026
2025
% Change
Net sales
$2,168
$1,748
24 %
Operating profit
$196
$124
58 %
Operating margin

9.0 %

7.1 %


Small Agriculture & Turf sales increased for the quarter as a result of higher shipment volumes and the positive effects of foreign currency translation. Operating profit increased primarily due to higher shipment volumes / sales mix and price realization, partially offset by higher tariffs.









Construction & Forestry
First Quarter
$ in millions
2026
2025
% Change
Net sales
$2,670
$1,994
34 %
Operating profit
$137
$65
111 %
Operating margin

5.1 %

3.3 %


Construction & Forestry sales increased for the quarter as a result of higher shipment volumes and the positive effects of foreign currency translation. Operating profit increased primarily due to higher shipment volumes / sales mix and production efficiencies, partially offset by higher tariffs.









Financial Services
First Quarter
$ in millions
2026
2025
% Change
Net income
$244
$230
6 %
Financial Services net income increased primarily due to favorable financing spreads and a lower provision for credit losses, partially offset by a favorable special item recorded in the prior period described in Note 1 to the financial statements.







Industry Outlook for Fiscal 2026




Agriculture & Turf






U.S. & Canada:






Large Ag




Down 15 to 20%
Small Ag & Turf




Flat to up 5%
Europe




Flat to up 5%
South America (Tractors & Combines)




Down ~5%
Asia




Flat to down 5%








Construction & Forestry






U.S. & Canada:






Construction Equipment




Up ~5%
Compact Construction Equipment




Up ~5%
Global Forestry




Flat
Global Roadbuilding




Up ~5%
 Deere Segment Outlook for Fiscal 2026









Currency
Price
$ in millions
Net Sales
Translation
Realization
Production & Precision Ag
Down 5 to 10%
+3.0 %
~ +1.5%
Small Ag & Turf
Up ~15%
+2.0 %
~ +2.0%
Construction & Forestry
Up ~15%
+2.0 %
~ +2.5%








Financial Services
Net Income
~ $840


 FORWARD-LOOKING STATEMENTSCertain statements contained herein, including in the section entitled "Company Outlook & Summary," "Industry Outlook for Fiscal 2026," "Deere Segment Outlook for Fiscal 2026," and "Condensed Notes to Interim Consolidated Financial Statements" relating to future events, expectations, and trends constitute "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of the company's operations generally while others could more heavily affect a particular line of business.Forward-looking statements are based on currently available information and current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, the company expressly disclaims any obligation to update or revise its forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to:the agricultural business cycle, which can be unpredictable and is affected by factors such as farm income, international trade, world grain stocks, crop yields, available farm acres, soil conditions, prices for commodities and livestock, input costs, government farm programs, availability of transport for crops as well as adverse macroeconomic conditions, including unemployment, inflation, interest rate volatility, changes in consumer practices due to slower economic growth or a recession, and regional or global liquidity constraintsthe uncertainty of government policies and actions with respect to the global trade environment including increased and proposed tariffs announced by the U.S. government, and retaliatory trade regulationspolitical, economic, and social instability in the geographies in which the company operatesworldwide demand for food and different forms of renewable energy impacting the price of farm commodities and consequently the demand for the company's equipmentrationalization, restructuring, relocation, expansion and/or reconfiguration of manufacturing and warehouse facilitiesaccurately forecasting customer demand for products and services and adequately managing inventoryuncertainty of the company's ability to sell products domestically or internationally, manage increased costs of production, absorb or pass on increased expenses, and accurately predict financial results and industry trendsavailability and price of raw materials, components, and whole goodsdelays or disruptions in the company's supply chainchanges in climate patterns, unfavorable weather events, and natural disasterssuppliers' and manufacturers' business practices and compliance with laws applicable to topics such as human rights, safety, environmental, and fair wageshigher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and demand for the company's products and solutionsthe ability to attract, develop, engage, and retain qualified employeesability to adapt in highly competitive markets, including understanding and meeting customers' changing expectations for products and solutions, including delivery and utilization of precision technologythe ability to execute business strategies, including the company's Smart Industrial Operating Model and refined Leap Ambitionsdealer practices and their ability to manage new and used inventory, distribute the company's products, and to provide support and service for precision technology solutionsthe ability to realize anticipated benefits of acquisitions and joint ventures, including challenges with successfully integrating operations and internal control processesnegative claims or publicity that damage the company's reputation or brandthe impact of workforce reductions on company culture, employee retention and morale, and institutional knowledgelabor relations and contracts, including work stoppages and other disruptionssecurity breaches, cybersecurity attacks, technology failures, and other disruptions to the company's information technology infrastructure and productsleveraging artificial intelligence and machine learning within the company's business processeschanges to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, cybersecurity, data privacy, encryption, environmental (including climate change and engine emissions), farming, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, health and safety, human rights, import / export and trade, labor and employment, product liability, tariffs, tax, telematics, and telecommunicationsgovernmental and other actions designed to address climate change in connection with a transition to a lower-carbon economywarranty claims, post-sales repairs or recalls, product liability litigation, and regulatory investigations because of the deficient operation of the company's productsinvestigations, claims, lawsuits, or other legal proceedings, including the lawsuit filed by the Federal Trade Commission (FTC) and the Attorneys General of the States of Arizona, Illinois, Michigan, Minnesota, and Wisconsin alleging that the company unlawfully withheld self-repair capabilities from farmers and independent repair providersloss of or challenges to intellectual property rightsFurther information concerning the company or its businesses, including factors that could materially affect the company's financial results, is included in the company's filings with the SEC (including, but not limited to, the factors discussed in Item 1A. "Risk Factors" of the company's most recent Annual Report on Form 10-K). There also may be other factors that the company cannot anticipate or that are not described herein because the company does not currently perceive them to be material. DEERE & COMPANYFIRST QUARTER 2026 PRESS RELEASE(In millions of dollars) Unaudited

Three Months Ended


February 1
January 26
%


2026
2025
Change
Net sales and revenues:








Production & Precision Ag net sales
$3,163
$3,067
+3
Small Ag & Turf net sales

2,168

1,748
+24
Construction & Forestry net sales

2,670

1,994
+34
Financial Services revenues

1,384

1,470
-6
Other revenues

226

229
-1
Total net sales and revenues
$9,611
$8,508
+13










Operating profit: *








Production & Precision Ag
$139
$338
-59
Small Ag & Turf

196

124
+58
Construction & Forestry

137

65
+111
Financial Services

301

266
+13
Total operating profit

773

793
-3
Reconciling items **

79

103
-23
Income taxes

(196)

(27)
+626
Net income attributable to Deere & Company
$656
$869
-25


*     Operating profit is income from continuing operations before corporate expenses, certain external interest expenses, certain foreign exchange gains and losses, and income taxes. Operating profit of Financial Services includes the effect of interest expense and foreign exchange gains and losses.

**   Reconciling items are primarily corporate expenses, certain interest income and expenses, certain foreign exchange gains and losses, pension and postretirement benefit costs excluding the service cost component, and net income attributable to noncontrolling interests. DEERE & COMPANYSTATEMENTS OF CONSOLIDATED INCOMEFor the Three Months Ended February 1, 2026 and January 26, 2025(In millions of dollars and shares except per share amounts) Unaudited

2026
2025Net Sales and Revenues





Net sales
$8,001
$6,809Finance and interest income

1,343

1,453Other income

267

246Total

9,611

8,508






Costs and Expenses





Cost of sales

6,280

5,037Research and development expenses

554

526Selling, administrative and general expenses

972

972Interest expense

719

829Other operating expenses

250

249Total

8,775

7,613






Income of Consolidated Group before Income Taxes

836

895Provision for income taxes

196

27






Income of Consolidated Group

640

868Equity in income (loss) of unconsolidated affiliates

15

(1)






Net Income

655

867Less: Net loss attributable to noncontrolling interests

(1)

(2)Net Income Attributable to Deere & Company
$656
$869






Per Share Data





Basic                                                         
$2.43
$3.20Diluted

2.42

3.19Dividends declared

1.62

1.62Dividends paid

1.62

1.47






Average Shares Outstanding





Basic

270.3

271.6Diluted

270.9

272.3
See Condensed Notes to Interim Consolidated Financial Statements. DEERE & COMPANYCONDENSED CONSOLIDATED BALANCE SHEETS(In millions of dollars) Unaudited

February 1
November 2
January 26

2026
2025
2025Assets








Cash and cash equivalents
$6,798
$8,276
$6,601Marketable securities

1,398

1,411

1,214Trade accounts and notes receivable – net

5,993

5,317

4,931Financing receivables – net

42,113

44,575

41,396Financing receivables securitized – net

6,479

6,831

8,257Other receivables

2,411

2,403

2,979Equipment on operating leases – net

7,512

7,600

7,157Inventories

8,286

7,406

7,744Property and equipment – net

8,084

8,079

7,425Goodwill

4,280

4,188

3,872Other intangible assets – net

880

892

937Retirement benefits

3,378

3,273

3,018Deferred income taxes

2,268

2,284

1,852Other assets

3,556

3,461

2,807Assets held for sale







2,929Total Assets
$103,436
$105,996
$103,119









Liabilities and Stockholders' Equity


















Liabilities








Short-term borrowings
$14,392
$13,796
$12,811Short-term securitization borrowings

6,283

6,596

8,014Accounts payable and accrued expenses

12,533

13,909

12,162Deferred income taxes

434

434

448Long-term borrowings

41,804

43,544

43,556Retirement benefits and other liabilities

1,633

1,710

1,734Liabilities held for sale







1,830Total liabilities

77,079

79,989

80,555









Redeemable noncontrolling interest

50

51

78









Stockholders' Equity








Total Deere & Company stockholders' equity

26,300

25,950

22,479Noncontrolling interests

7

6

7Total stockholders' equity

26,307

25,956

22,486Total Liabilities and Stockholders' Equity
$103,436
$105,996
$103,119
See Condensed Notes to Interim Consolidated Financial Statements. DEERE & COMPANYSTATEMENTS OF CONSOLIDATED CASH FLOWSFor the Three Months Ended February 1, 2026 and January 26, 2025(In millions of dollars) Unaudited

2026
2025Cash Flows from Operating Activities





Net income
$655
$867Adjustments to reconcile net income to net cash used for operating activities:





Provision for credit losses

36

69Depreciation and amortization

590

549Impairments and other adjustments




(32)Share-based compensation expense

41

28Provision for deferred income taxes

18

208Changes in assets and liabilities:





Receivables related to sales

350

1,063Inventories

(746)

(795)Accounts payable and accrued expenses

(1,486)

(1,845)Accrued income taxes payable/receivable

(88)

(540)Retirement benefits

(194)

(688)Other

(66)

(16)Net cash used for operating activities

(890)

(1,132)






Cash Flows from Investing Activities





Collections of receivables (excluding receivables related to sales)

8,098

8,137Proceeds from maturities and sales of marketable securities

144

61Proceeds from sales of equipment on operating leases

377

433Cost of receivables acquired (excluding receivables related to sales)

(6,023)

(6,045)Purchases of marketable securities

(129)

(141)Purchases of property and equipment

(256)

(352)Cost of equipment on operating leases acquired

(432)

(439)Collections of receivables from unconsolidated affiliates

105


Collateral on derivatives – net

(11)

(191)Other

(51)

(47)Net cash provided by investing activities

1,822

1,416






Cash Flows from Financing Activities





Net proceeds (payments) in short-term borrowings (original maturities three months or less)

848

(1,484)Proceeds from borrowings issued (original maturities greater than three months)

780

3,168Payments of borrowings (original maturities greater than three months)

(3,360)

(1,753)Repurchases of common stock

(302)

(441)Dividends paid

(441)

(403)Other

(15)

(10)Net cash used for financing activities

(2,490)

(923)






Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash

98

(87)






Net Decrease in Cash, Cash Equivalents, and Restricted Cash

(1,460)

(726)Cash, Cash Equivalents, and Restricted Cash at Beginning of Period

8,533

7,633Cash, Cash Equivalents, and Restricted Cash at End of Period
$7,073
$6,907
See Condensed Notes to Interim Consolidated Financial Statements. DEERE & COMPANY
Condensed Notes to Interim Consolidated Financial Statements
(In millions of dollars) Unaudited(1)     Special ItemsDiscrete Tax ItemsIn the first quarter of 2025, the company recorded favorable net discrete tax items primarily due to tax benefits of $110 million related to the realization of foreign net operating losses from the consolidation of certain subsidiaries and $53 million from an adjustment to an uncertain tax position of a foreign subsidiary.Banco John Deere S.A.In 2024, the company entered into an agreement with a Brazilian bank, Banco Bradesco S.A. (Bradesco), for Bradesco to invest and become 50% owner of the company's wholly-owned subsidiary in Brazil, Banco John Deere S.A. (BJD). BJD finances retail and wholesale loans for agricultural, construction, and forestry equipment. The transaction is intended to reduce the company's incremental risk as it continues to grow in the Brazilian market.The BJD business was reclassified as held for sale in 2024. In January 2025, the valuation allowance on assets held for sale decreased, resulting in a pretax and after-tax gain (reversal of previous losses) of $32 million recorded in "Selling, administrative and general expenses" in the three months ended January 26, 2025. The valuation allowance changes are presented in "Impairments and other adjustments" in the statements of consolidated cash flows.The company deconsolidated BJD upon completion of the transaction in February 2025. The company accounts for its investment in BJD using the equity method of accounting and results of its operations are reported in "Equity in income (loss) of unconsolidated affiliates" within the Financial Services segment. The company reports investments in unconsolidated affiliates and receivables from unconsolidated affiliates in "Other assets" and "Other receivables," respectively.(2)     The consolidated financial statements represent the consolidation of all the company's subsidiaries. The supplemental consolidating data in Note 3 to the financial statements is presented for informational purposes. Equipment operations represent the enterprise without Financial Services. Equipment operations include the company's Production & Precision Agriculture operations, Small Agriculture & Turf operations, Construction & Forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within Financial Services. Transactions between the equipment operations and Financial Services have been eliminated to arrive at the consolidated financial statements. DEERE & COMPANY
(3) SUPPLEMENTAL CONSOLIDATING DATA
STATEMENTS OF INCOME
For the Three Months Ended February 1, 2026 and January 26, 2025
(In millions of dollars) Unaudited




























EQUIPMENT
FINANCIAL







OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED



2026
2025
2026
2025
2026
2025
2026
2025

Net Sales and Revenues

























Net sales
$8,001
$6,809












$8,001
$6,809

Finance and interest income

120

110
$1,351
$1,455
$(128)
$(112)

1,343

1,4531
Other income

213

202

137

118

(83)

(74)

267

2462, 3, 4
Total

8,334

7,121

1,488

1,573

(211)

(186)

9,611

8,508




























Costs and Expenses

























Cost of sales

6,291

5,045







(11)

(8)

6,280

5,0374
Research and development expenses

554

526













554

526

Selling, administrative and general expenses

806

800

168

174

(2)

(2)

972

9724
Interest expense

93

84

664

766

(38)

(21)

719

8291
Interest compensation to Financial Services

90

91







(90)

(91)





1
Other operating expenses

(46)

(51)

366

364

(70)

(64)

250

2493, 4, 5
Total

7,788

6,495

1,198

1,304

(211)

(186)

8,775

7,613




























Income before Income Taxes

546

626

290

269







836

895

Provision (credit) for income taxes

134

(13)

62

40







196

27




























Income after Income Taxes

412

639

228

229







640

868

Equity in income (loss) of
     unconsolidated affiliates

(1)

(2)

16

1







15

(1)




























Net Income

411

637

244

230







655

867

Less: Net loss attributable to
     noncontrolling interests

(1)

(2)













(1)

(2)

Net Income Attributable to Deere & Company
$412
$639
$244
$230






$656
$869


1 Elimination of intercompany interest income and expense.2 Elimination of equipment operations' margin from inventory transferred to equipment on operating leases.3 Elimination of income and expenses between equipment operations and Financial Services related to intercompany guarantees of investments in certain international markets.4 Elimination of intercompany service revenues and fees.5 Elimination of Financial Services' lease depreciation expense related to inventory transferred to equipment on operating leases. DEERE & COMPANYSUPPLEMENTAL CONSOLIDATING DATA (Continued)CONDENSED BALANCE SHEETS(In millions of dollars) Unaudited

EQUIPMENT
FINANCIAL







OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED



Feb 1
Nov 2
Jan 26
Feb 1
Nov 2
Jan 26
Feb 1
Nov 2
Jan 26
Feb 1
Nov 2
Jan 26



2026
2025
2025
2026
2025
2025
2026
2025
2025
2026
2025
2025

Assets





































Cash and cash equivalents
$4,769
$6,340
$4,840
$2,029
$1,936
$1,761









$6,798
$8,276
$6,601

Marketable securities

146

217

114

1,252

1,194

1,100










1,398

1,411

1,214

Receivables from Financial
     Services

4,132

4,649

1,826









$(4,132)
$(4,649)
$(1,826)








6
Trade accounts and notes
     receivable – net

1,284

1,316

1,053

6,609

5,900

5,812

(1,900)

(1,899)

(1,934)

5,993

5,317

4,9317
Financing receivables – net

105

88

78

42,008

44,487

41,318










42,113

44,575

41,396

Financing receivables
     securitized – net




1

2

6,479

6,830

8,255










6,479

6,831

8,257

Other receivables

1,841

1,809

2,367

621

658

654

(51)

(64)

(42)

2,411

2,403

2,9798
Equipment on operating
     leases – net










7,512

7,600

7,157










7,512

7,600

7,157

Inventories

8,286

7,406

7,744



















8,286

7,406

7,744

Property and equipment – net

8,053

8,047

7,392

31

32

33










8,084

8,079

7,425

Goodwill

4,280

4,188

3,872



















4,280

4,188

3,872

Other intangible assets – net

880

892

937



















880

892

937

Retirement benefits

3,282

3,181

2,933

98

94

86

(2)

(2)

(1)

3,378

3,273

3,018

Deferred income taxes

2,476

2,507

2,247

45

46

42

(253)

(269)

(437)

2,268

2,284

1,8529
Other assets

2,371

2,218

2,295

1,220

1,244

539

(35)

(1)

(27)

3,556

3,461

2,807

Assets held for sale
















2,929
















2,929

Total Assets
$41,905
$42,859
$37,700
$67,904
$70,021
$69,686
$(6,373)
$(6,884)
$(4,267)
$103,436
$105,996
$103,119








































Liabilities and
     Stockholders' Equity












































































Liabilities





































Short-term borrowings
$366
$414
$1,101
$14,026
$13,382
$11,710









$14,392
$13,796
$12,811

Short-term
     securitization borrowings




1

1

6,283

6,595

8,013










6,283

6,596

8,014

Payables to equipment
     operations










4,132

4,649

1,826
$(4,132)
$(4,649)
$(1,826)








6
Accounts payable and
     accrued expenses

11,387

12,757

10,869

3,132

3,116

3,296

(1,986)

(1,964)

(2,003)

12,533

13,909

12,1627, 8
Deferred income taxes

343

347

405

344

356

480

(253)

(269)

(437)

434

434

4489
Long-term borrowings

8,897

8,756

8,507

32,907

34,788

35,049










41,804

43,544

43,556

Retirement benefits and
     other liabilities

1,568

1,646

1,668

67

66

67

(2)

(2)

(1)

1,633

1,710

1,734

Liabilities held for sale
















1,830
















1,830

Total liabilities

22,561

23,921

22,551

60,891

62,952

62,271

(6,373)

(6,884)

(4,267)

77,079

79,989

80,555








































Redeemable noncontrolling
     interest

50

51

78



















50

51

78








































Stockholders' Equity





































Total Deere & Company
     stockholders' equity

26,300

25,950

22,479

7,013

7,069

7,415

(7,013)

(7,069)

(7,415)

26,300

25,950

22,47910
Noncontrolling interests

7

6

7



















7

6

7

Financial Services' equity

(7,013)

(7,069)

(7,415)










7,013

7,069

7,415








10
Adjusted total
     stockholders' equity

19,294

18,887

15,071

7,013

7,069

7,415










26,307

25,956

22,486

Total Liabilities and      Stockholders' Equity
$41,905
$42,859
$37,700
$67,904
$70,021
$69,686
$(6,373)
$(6,884)
$(4,267)
$103,436
$105,996
$103,119


6  Elimination of receivables / payables between equipment operations and Financial Services.7  Primarily reclassification of sales incentive accruals on receivables sold to Financial Services.8  Reclassification of other receivables / payables.9  Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions.10 Elimination of Financial Services' equity. DEERE & COMPANYSUPPLEMENTAL CONSOLIDATING DATA (Continued)STATEMENTS OF CASH FLOWSFor the Three Months Ended February 1, 2026 and January 26, 2025(In millions of dollars) Unaudited

EQUIPMENT
FINANCIAL







OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED



2026
2025
2026
2025
2026
2025
2026
2025

Cash Flows from Operating Activities

























Net income
$411
$637
$244
$230






$655
$867

Adjustments to reconcile net income to net cash provided by
     (used for) operating activities:

























Provision for credit losses

1

3

35

66







36

69

Depreciation and amortization

342

319

274

265
$(26)
$(35)

590

54911
Impairments and other adjustments










(32)










(32)

Share-based compensation expense













41

28

41

2812
Distributed earnings of Financial Services

350

162







(350)

(162)





13
Provision (credit) for deferred income taxes

29

(17)

(11)

225







18

208

Changes in assets and liabilities:

























Receivables related to sales

18

140







332

923

350

1,06314, 16
Inventories

(728)

(784)







(18)

(11)

(746)

(795)15
Accounts payable and accrued expenses

(1,410)

(2,073)

(74)

6

(2)

222

(1,486)

(1,845)16
Accrued income taxes payable/receivable

(71)

(479)

(17)

(61)







(88)

(540)

Retirement benefits

(191)

(647)

(3)

(41)







(194)

(688)

Other

(94)

(136)

49

117

(21)

3

(66)

(16)11, 12, 15
Net cash provided by (used for) operating activities

(1,343)

(2,875)

497

775

(44)

968

(890)

(1,132)




























Cash Flows from Investing Activities

























Collections of receivables (excluding receivables
     related to sales)







8,251

8,345

(153)

(208)

8,098

8,13714
Proceeds from maturities and sales of marketable securities

75

9

69

52







144

61

Proceeds from sales of equipment on operating leases







377

433







377

433

Cost of receivables acquired (excluding receivables
     related to sales)







(6,044)

(6,093)

21

48

(6,023)

(6,045)14
Purchases of marketable securities







(129)

(141)







(129)

(141)

Purchases of property and equipment

(256)

(352)













(256)

(352)

Cost of equipment on operating leases acquired







(456)

(454)

24

15

(432)

(439)15
Decrease in trade and wholesale receivables







198

985

(198)

(985)





14
Collections of receivables from unconsolidated affiliates







105










105




Collateral on derivatives – net

1




(12)

(191)







(11)

(191)

Other

(33)

(51)

(18)

4







(51)

(47)

Net cash provided by (used for) investing activities

(213)

(394)

2,341

2,940

(306)

(1,130)

1,822

1,416




























Cash Flows from Financing Activities

























Net proceeds (payments) in short-term borrowings (original
     maturities three months or less)

(38)

176

886

(1,660)







848

(1,484)

Change in intercompany receivables/payables

613

1,222

(613)

(1,222)













Proceeds from borrowings issued (original maturities greater
     than three months)

166

2,032

614

1,136







780

3,168

Payments of borrowings (original maturities greater than
     three months)

(78)

(12)

(3,282)

(1,741)







(3,360)

(1,753)

Repurchases of common stock

(302)

(441)













(302)

(441)

Dividends paid

(441)

(403)

(350)

(162)

350

162

(441)

(403)13
Other

(11)

(7)

(4)

(3)







(15)

(10)

Net cash provided by (used for) financing activities

(91)

2,567

(2,749)

(3,652)

350

162

(2,490)

(923)




























Effect of Exchange Rate Changes on Cash, Cash
     Equivalents, and Restricted Cash

78

(74)

20

(13)







98

(87)




























Net Increase (Decrease) in Cash, Cash Equivalents, and
     Restricted Cash

(1,569)

(776)

109

50







(1,460)

(726)

Cash, Cash Equivalents, and Restricted Cash at
     Beginning of Period

6,364

5,643

2,169

1,990







8,533

7,633

Cash, Cash Equivalents, and Restricted Cash at
     End of Period
$4,795
$4,867
$2,278
$2,040






$7,073
$6,907


11 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases.12 Reclassification of share-based compensation expense.13 Elimination of dividends from Financial Services to the equipment operations, which are included in the equipment operations operating activities.14 Primarily reclassification of receivables related to the sale of equipment.15 Reclassification of direct lease agreements with retail customers.16 Reclassification of sales incentive accruals on receivables sold to Financial Services. 














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Original: Deere Reports First Quarter Net Income of $656 Million