Deere & Co

Latest Results (27.01.2026):

Deere & Company (Deere & Co) reported results for the fourth quarter of fiscal 2025 (quarter ended November 2, 2025). Q4 net income was $1.065 billion ($3.93 diluted EPS), down 14% from Q4 2024; full-year 2025 net income was $5.027 billion ($18.50 diluted EPS), down 29% year-over-year. Worldwide net sales and revenues rose 11% in Q4 to $12.394 billion but declined 12% for the full year to $45.684 billion.

Top-line and profitability

Q4 total net sales and revenues: $12.394B (+11% YoY). Consolidated operating profit for Q4 was $1.351B (-7% YoY). Q4 diluted EPS: $3.93 vs $4.55 a year earlier; full‑year 2025 diluted EPS: $18.50 vs $25.62 in FY24.

Segment — Production & Precision Agriculture

PPA Q4 net sales $4.740B (+10% YoY) with operating profit $604M (-8% YoY) and operating margin 12.7% (down from 15.3%). The decline in profit reflects higher production costs, tariffs and special items, partially offset by price realization and higher shipments.

Segment — Small Agriculture & Turf

SAT Q4 net sales $2.457B (+7% YoY) but operating profit collapsed to $25M (-89% YoY) and margin fell to 1.0% (from 10.1%), driven by higher tariffs, warranty expenses and production costs despite higher shipment volumes.

Segment — Construction & Forestry

CF Q4 net sales $3.382B (+27% YoY) with operating profit $348M (+6% YoY) and margin 10.3% (versus 12.3%), benefiting from higher shipments and favorable mix but partially offset by higher production costs and tariffs.

Financial Services

Financial Services Q4 net income was $293M (+69% YoY), aided by favorable financing spreads, special items and a lower provision for credit losses. Deere projects Financial Services net income around $830M for fiscal 2026.

Special items and headwinds

Q4 included a $95M pretax litigation accrual (antitrust class action) and continuing impacts from tariffs and higher production costs. The company also recorded earlier impairments and deconsolidated its Brazilian bank joint venture (Banco John Deere) in 2025.

Outlook for fiscal 2026

Deere forecasts full‑year 2026 net income of $4.00B–$4.75B and expects 2026 to mark the bottom of the large‑ag cycle. Company-guided segment trends: Production & Precision Ag down 5–10%; Small Ag & Turf up ~10%; Construction & Forestry up ~10% (currency translation and realization assumptions noted).

Balance sheet & cash flow snapshot

Year-end highlights: total assets $105.996B, cash and cash equivalents around $8.3B (consolidated cash, cash equivalents and restricted cash at end of year $8.533B). Operating cash flow for 2025 was $7.459B; free cash flow affected by equipment leases and financing activity.