Deere Reports Third Quarter Net Income of $1.379 Billion

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   EX-99.1 2 de-20260820xex99d1.htm EX-99.1

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   Media Inquiries: PublicRelations@JohnDeere.com

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   Deere Reports Third Quarter Net Income of $1.379 Billion

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   | ● | Disciplined execution drives stronger-than-expected results in a dynamic market. | | ● | Net income guidance improved to $4.75 billion to $5.00 billion. | | ● | Order book trends reinforce 2026 as the bottom of the ag equipment cycle. | MOLINE, Illinois (August 20, 2026) — Deere & Company reported net income of $1.379 billion for the third quarter ended August 2, 2026, or $5.10 per share, compared with net income of $1.289 billion, or $4.75 per share, for the quarter ended July 27, 2025. For the first nine months of the year, net income attributable to Deere & Company was $3.808 billion, or $14.06 per share, compared with $3.962 billion, or $14.57 per share, for the same period last year.

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   Worldwide net sales and revenues increased 5 percent, to $12.608 billion, for the third quarter of 2026 and rose 7 percent, to $35.589 billion, for nine months. Net sales were $10.999 billion for the quarter and $30.779 billion for nine months, compared with $10.357 billion and $28.338 billion last year, respectively.

6. #6John C. May · chairman and chief executive officer

   Deere delivered a strong quarter, reflecting disciplined execution by our teams and continued resilience across our portfolio,

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   Net income attributable to Deere & Company for fiscal 2026 is forecasted to be in a range of $4.75 billion to $5.00 billion.

8. #8May said

   As we look ahead, we continue to believe 2026 will mark the bottom of the current ag equipment cycle,

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   | $ in millions, except per share amounts

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    Results for the prior periods presented were affected by special items. See Note 2 of the financial statements for further details. The company recorded tariff recoveries in the third quarter and first nine months of 2026 of $110 million and $382 million, respectively. The tariff impact for each segment is primarily included in the “Production Costs” category below.

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    Production & Precision Agriculture sales decreased for the quarter as a result of lower shipment volumes, partially offset by favorable price realization and foreign currency translation. Operating profit decreased primarily due to lower shipment volumes / sales mix and higher production costs, partially offset by favorable price realization and the effects of foreign currency exchange.

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    Production & Precision Agriculture Operating Profit

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    Third Quarter 2026 Compared to Third Quarter 2025

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    Small Agriculture & Turf sales increased for the quarter as a result of higher shipment volumes and favorable price realization. Operating profit increased primarily due to higher shipment volumes / sales mix and favorable price realization, partially offset by higher production costs.

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    Small Agriculture & Turf Operating Profit

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    Third Quarter 2026 Compared to Third Quarter 2025

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    Construction & Forestry sales increased for the quarter primarily as a result of higher shipment volumes and favorable price realization. Operating profit increased primarily due to favorable price realization, partially offset by higher SA&G and R&D costs.

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    Construction & Forestry Operating Profit

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    Third Quarter 2026 Compared to Third Quarter 2025

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    Financial Services net income increased primarily due to favorable financing spreads, partially offset by the impact of a lower average portfolio.

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    Company Outlook & Summary,

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    Forward-looking statements are based on information currently available to the company and the company’s 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:

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    ● | 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 crops | ● | construction and forestry activity, which is affected by factors such as housing starts and supply, real estate and housing prices, levels of residential and non-residential construction, public and private infrastructure development, and government policies and regulations | ● | macroeconomic conditions, including unemployment, inflation, interest rate volatility, energy price increases resulting from geopolitical conflicts, changes in consumer sentiment and practices due to slower economic growth or a recession, and regional or global liquidity constraints | ● | the 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 regulations | ● | political, economic, and social i…

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    ● | worldwide demand for food and different forms of renewable energy impacting the price of farm commodities and the resulting impacts on the demand for the company’s equipment | ● | rationalization, restructuring, relocation, expansion, and/or reconfiguration of manufacturing and warehouse facilities | ● | accurately forecasting customer demand for products and services, and adequately managing inventory | ● | selling products domestically or internationally, managing increased costs of production, absorbing or passing on increased expenses, as well as accurately predicting financial results and industry trends | ● | availability and price of raw materials, components, and whole goods | ● | delays or disruptions in the company’s supply chain, including those arising from geopolitical conflicts | ● | changes in climate patterns, unfavorable weather events, and natural disasters | ● | suppliers’ and manufacturers’ business practices and compliance with applicable laws such as human rights, safety, environmental, and fair wages | ● | higher interest rates and currency fluctuations which could adversely affect the U.S. dollar, customer confidence, access to capital, and dema…

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    Further information concerning the company or its businesses, including factors that could materially affect the company’s financial results, is included in the company’s other 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 Reports 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 .

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    | Net income attributable to Deere & Company

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    * 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.

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    ** 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.

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    For the Three and Nine Months Ended August 2, 2026 and July 27, 2025

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    (In millions of dollars and shares except per share amounts) Unaudited