John Deere Reports Q4 2013 Financial Results

John Deere RSX850i

John Deere RSX850i utility vehicle

John Deere, manufacturer of the Gator utility vehicles, recently announced their quarterly earnings for the fourth quarter of fiscal year 2013. Net income attributable to Deere & Company was $806.8 million for the fourth quarter ended October 31, compared with $687.6 million for the same period last year.
For fiscal 2013, net income attributable to Deere & Company was $3.537 billion compared with $3.065 billion in 2012.

While it is difficult to isolate the sales figures for Gator utility vehicles because of all the other products the company sells, management reported that sales for the agriculture and turf division under which Gator sales fall decreased 4 percent for the quarter primarily due to lower shipment volumes and the unfavorable effects of currency translation, partially offset by price realization. However, sales increased 7 percent for the full year largely due to higher shipment volumes and price realization, partially offset by the unfavorable effects of currency translation. Operating profit was $996 million for the quarter and $4.680 billion for the year, compared with $931 million and $3.921 billion, respectively, in 2012.

For 2014 the industry retail sales of turf and utility equipment in the U.S. and Canada are projected to be up about 5% in 2014. Management reports that “Market conditions are improving in tandem with the slow economic recovery. Also the pent-up demand seen in late 2013 is expected to continue, mainly benefiting the riding lawn equipment and utility vehicle segments.

Learn more: Seekingalpha.com (Earnings call transcript)

 

Leave a Reply

Your email address will not be published. Required fields are marked *