U.S. Markets close in 5 hrs 19 mins

Free Post Earnings Research Report: Deere's Revenues Grew 29.4%; Earnings Soared 46.8%

Stock Monitor: Columbus McKinnon Post Earnings Reporting

LONDON, UK / ACCESSWIRE / June 21, 2018 / If you want access to our free earnings report on Deere & Co. (DE) ("Deere"), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=DE. The Company reported its financial results on May 18, 2018, for the second quarter of the fiscal year 2018 (Q2 FY18). The Moline, Illinois-based Company's revenues were in-line with market estimates for Q2 FY18. In addition, the Company provided its guidance for the third quarter fiscal 2018 and for the full fiscal year 2018. Register today and get access to over 1,000 Free Research Reports by joining our site below:

www.active-investors.com/registration-sg

Active-Investors.com is currently working on the research report for Columbus McKinnon Corporation (CMCO), which also belongs to the Industrial Goods sector as the Company Deere. Do not miss out and become a member today for free to access this upcoming report at:

www.active-investors.com/registration-sg/?symbol=CMCO

Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Deere most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

www.active-investors.com/registration-sg/?symbol=DE

Earnings Highlights and Summary

For the second quarter ended April 29, 2018, Deere's total revenues advanced 29.4% to $10.72 billion compared to $8.29 billion in the second quarter of 2017. The Company's net sales of the equipment operations surged 34.3% to $9.75 billion in Q2 FY18 compared to $7.26 billion in Q2 FY17, which were in-line with analysts' expectations.

During Q2 FY18, Deere incurred total cost and expenses of $9.34 billion compared to $7.12 billion in Q2 FY17, increasing 31.2% on a y-o-y basis. The Company's selling, general, and administrative expenses (SG&A) rose 19.9% to $939.2 million in the reported quarter compared to $783.6 million in the prior year's same quarter.

For the reported quarter, Deere's net income jumped 49.5% to $1.21 billion versus $808.5 million in the prior year's comparable period. The Company reported a net income of its equipment operations of $1.10 billion in Q2 FY18 compared to $700.0 million in Q2 FY17. For the reported quarter, the Company's posted a net income of $104.1 million from its Financial Services division compared to $103.5 million in Q2 FY17.

Deere's diluted earnings per share (EPS) grew 46.8% to $3.67 in Q2 FY18 compared to $2.50 in Q2 FY17. The Company posted adjusted EPS of $3.14 in the reported quarter, which lagged analysts' estimates of $3.33.

Segment Details

Deere's operating segments consists of: (i) Agriculture and Turf; (ii) Construction and Forestry; and Financial Services.

Deere's Agriculture and Turf segment's revenues grew 22% to $7.05 billion in Q2 FY18 compared to $5.79 billion in Q2 FY17, primarily driven by higher shipment volumes and a positive currency-translation impact. The segment's operating profit climbed 5% to $1.06 billion in the reported quarter compared to $1.01 billion in the corresponding quarter of last year.

For the reported quarter, Deere's Construction and Forestry segment generated revenues of $2.70 billion, up 84% from $1.47 billion in the year ago same period, led by higher shipment volumes and a favorable impact of currency translations. The segment's operating profit zoomed 133% to $259.0 million in Q2 FY18 compared to $111.0 million in Q2 FY17.

Deere's Financial Services segment added revenues of $795.0 million in the reported quarter versus $716.0 million in the year ago comparable period, increasing 11% on a y-o-y basis. The segment's operating profit was up 13% to $179.0 million in Q2 FY18 compared to $158.0 million in Q2 FY17.

Cash Matters

As of April 29, 2018, Deere's cash and cash equivalents stood at $4.20 billion compared to $4.53 billion as of April 30, 2017. The Company had a long-term debt balance of $26.28 billion as of April 29, 2018, compared to $23.25 billion as of April 30, 2017. For the six months ended April 29, 2018, the Company used net cash inflow for operating activities of $1.22 billion versus a usage of $163.7 million in the prior year's corresponding period.

Outlook

Deere expects equipment sales to increase by 30% for the full fiscal year 2018, and by 35% for the third quarter of 2018, compared to the same periods in the year ago. Deere stated that Wirtgen will contribute 12% to total sales for FY18 and about 18% for Q3 FY18. The forecasts also included a positive foreign-currency translation impact of about 1% for Q3 FY18 and FY18.

For FY18, Deere anticipates net sales to grow by 26% on a y-o-y basis, and projects net income of about $2.3 billion.

Deere expects Agriculture and Turf equipment sales to increase by about 14% in FY18, including a positive currency-translation impact of 1%. The Company projects industry sales for agricultural equipment in the United States and Canada to be up by 10% for FY18, led by a higher demand for large equipment.

Deere anticipates sales of construction and forestry equipment to be up by 83% for FY18, including a positive currency-translation effect of about 1%. The Company expects Wirtgen to add about 56% to total sales for the segment.

For FY18, Deere projects net income from its Financial Services division to be $800 million, which includes about $229 million of favorable changes associated with the recent tax reform.

Stock Performance Snapshot

June 20, 2018 - At Wednesday's closing bell, Deere's stock rose 1.45%, ending the trading session at $144.35.

Volume traded for the day: 2.47 million shares.

Stock performance in the past twelve-month period - up 14.53%

After yesterday's close, Deere's market cap was at $47.16 billion.

Price to Earnings (P/E) ratio was at 17.93.

The stock has a dividend yield of 1.91%.

The stock is part of the Industrial Goods sector, categorized under the Farm & Construction Machinery industry. This sector was up 0.1% at the end of the session.

Active-Investors:

Active-Investors (A-I) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. A-I has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

A-I has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third-party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email info@active-investors.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by A-I. A-I is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

A-I, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. A-I, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, A-I, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither A-I nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://active-investors.com/legal-disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: info@active-investors.com

Phone number:73 29 92 6381

Office Address: 6, Jalan Kia Peng, Kuala Lumpur, 50450 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Active-Investors