On Wednesday, Deere & Co. announced that it’s fiscal third quarter profit was up by 26%, which beat Wall Street expectations. The company said it was in part due to strong sales enjoyed in its farm equipment in both North and South America.
Deere is based in Moline, and said its net income for the last three months, ending on July 31 was up to close at $997 million, which was equivalent to $2.56 a share. That was compared to the same three months last year of $788 million and $1.98 a share.
Revenue for the period was up 4% to end the three months at $10 billion. Analysts were expecting earnings to come in at $2.18 a share on $9.26 billion in sales.
Deere announced that its fiscal fourth quarter sales are projected to fall by 5%. CEO and chairman at Deere, Samuel Allen said that fourth quarter sales last year had been very strong, partly due to factories running at a high rate of capacity as they were behind with orders from customers.
Nevertheless, Deere increased slightly its net income projection for the full year to $3.45 billion from the $3.3 billion it has originally projected. The company also reaffirmed that equipment sales for the full year would be up by 5%, its original forecast.
After Deere released its earnings report, shares of the company increased by 2.73% during premarket trading to reach $86.21 a share.
