Deere & Company · NYSE:DE
Deere & — Q1 2025 Earnings Presentation
20 slides from Deere &'s earnings presentation, Feb 13, 2025
Slide 1: 1Q 2025 Earnings Call
1Q 2025 Earnings Call 13 February 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements This earnings call and accompanying materials may include forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as “forecast,” “guidanc
Slide 3: 1Q 2025 Results
1Q 2025 Results ($ millions except where noted) Net Sales and Net Sales Net Income Diluted EPS Revenues (Equipment Operations) (attributable to Deere & Company) ($ per share) $12,185 $10,486 $1,751 $6.23 $8,508 $6,809 $869 $3.19 1Q 2024 1Q 2025 1Q 2024 1Q 2025 1Q 2024 1Q 2025 1Q 2024 1Q 2025 30% 35%
Slide 4: Production and Precision Ag
Production and Precision Ag 1Q 2025 Results $ in millions Net Sales 37% Operating Profit Comparison ($896) $4,849 $1,045 $3,067 $81 $0 $13 $13 ($32) $62 $338 $52 1Q 2024 1Q 2025 1Q 2024 Volume/ Price Currency Warranty Production SA&G/ Special Other 1Q 2025 Mix Costs R&D Items 4 John Deere | 1Q 2025
Slide 5: Small Ag and Turf
Small Ag and Turf 1Q 2025 Results $ in millions Net Sales 28% Operating Profit Comparison ($252) $2,425 $326 $1,748 $4 $0 $7 $13 ($25) $32 $19 $124 1Q 2024 1Q 2025 1Q 2024 Volume/ Price Currency Warranty Production SA&G/ Special Other 1Q 2025 Mix Costs R&D Items 5 John Deere | 1Q 2025 Earnings Call
Slide 6: Ag and Turf Industry Outlook – FY 2025
Ag and Turf Industry Outlook (in units) – FY 2025 U.S. and CANADA U.S. and CANADA EUROPE AG LARGE AG SMALL AG and TURF ~30% ~10% ~5% SOUTH AMERICA AG ASIA AG (tractors and combines) Flat Down slightly Source: Deere & Company forecast as of 13 February 2025 6 John Deere | 1Q 2025 Earnings Call | Febr
Slide 7: Production and Precision Ag Business Segment Outlook
Production and Precision Ag Business Segment Outlook $ in millions Net Sales Operating Margin 15-20% 16-17% $20,834 21.7% FY 2024 FY 2025 Fcst FY 2024 FY 2025 Fcst Source: Deere & Company forecast as of 13 February 2025 7 John Deere | 1Q 2025 Earnings Call | February 13, 2025
Slide 8: Small Ag and Turf Business Segment Outlook
Small Ag and Turf Business Segment Outlook $ in millions Net Sales Operating Margin 13-14% ~10% $10,969 14.8% FY 2024 FY 2025 Fcst FY 2024 FY 2025 Fcst Source: Deere & Company forecast as of 13 February 2025 8 John Deere | 1Q 2025 Earnings Call | February 13, 2025
Slide 9: Construction and Forestry
Construction and Forestry 1Q 2025 Results $ in millions Net Sales 38% Operating Profit Comparison ($407) $3,212 $566 $1,994 ($33) ($8) ($8) ($8) ($32) $0 ($5) $65 1Q 2024 1Q 2025 1Q 2024 Volume/ Price Currency Warranty Production SA&G/ Special Other 1Q 2025 Mix Costs R&D Items 9 John Deere | 1Q 2025
Slide 10: Construction and Forestry Industry Outlook – FY 2025
Construction and Forestry Industry Outlook (in units) – FY 2025 U.S. and CANADA U.S. and CANADA COMPACT CONSTRUCTION EQUIPMENT CONSTRUCTION EQUIPMENT ~10% ~5% GLOBAL FORESTRY GLOBAL ROADBUILDING Flat to down 5% Flat Source: Deere & Company forecast as of 13 February 2025 10 John Deere | 1Q 2025 Earn
Slide 11: Construction and Forestry Business Segment Outlook
Construction and Forestry Business Segment Outlook $ in millions Net Sales Operating Margin 10-15% 11.5-12.5% $12,956 15.5% FY 2024 FY 2025 Fcst FY 2024 FY 2025 Fcst Source: Deere & Company forecast as of 13 February 2025 11 John Deere | 1Q 2025 Earnings Call | February 13, 2025
Slide 12: Financial Services Net Income – Results and Outlook
Financial Services Net Income – Results and Outlook $ in millions Quarter Results Fiscal Year Outlook $230 $696 ~ $750 $207 1Q 2024 1Q 2025 FY 2024 FY 2025 Fcst Source: Deere & Company forecast as of 13 February 2025 12 John Deere | 1Q 2025 Earnings Call | February 13, 2025
Slide 13: Deere & Company Outlook
Deere & Company Outlook FY 2025 FORECAST Net Income Effective Net Operating (attributable to Deere & Co.) Tax Rate* Cash Flow* $5.0-5.5B 20-22% $4.5-5.5B Research and Development Expenses* Down slightly Other Capital Expenditures* ~$1.6B *Equipment Operations Source: Deere & Company forecast as of 1
Slide 14: Appendix
Appendix 14 John Deere | 1Q 2025 Earnings Call | February 13, 2025
Slide 15: January 2025 Retail Sales and Dealer Inventories
January 2025 Retail Sales (Rolling 3 Months) and Dealer Inventories Retail Sales U.S. and Canada Ag Industry* Deere** 2WD Tractors (< 40 PTO hp) 9% More than the industry 2WD Tractors (40 < 100 PTO hp) 12% In line with the industry 2WD Tractors (100+ PTO hp) 26% More than the industry 4WD Tractors 3
Slide 16: January 2025 Retail Sales (Rolling 3 Months)
January 2025 Retail Sales (Rolling 3 Months) Retail Sales Europe Ag Deere* Tractors Flat Combines Double digits Retail Sales U.S. and Canada Deere* Selected Turf and Utility Equipment Double digits Earthmoving and Forestry Flat * Based on internal sales reports 16 John Deere | 1Q 2025 Earnings Call
Slide 17: Deere Use-of-Cash Priorities
Deere Use-of-Cash Priorities CASH FROM OPERATIONS Manage the balance sheet, including liquidity, to support a rating that provides COMMITTED access to low-cost and readily available short- and long-term funding TO “A” RATING mechanisms (reflects the strategic nature of our financial services operati
Slide 18: View the 2024 Business Impact Report
View the 2024 Business Impact Report https://about.deere.com/en-us/sustainability 18 John Deere | 1Q 2025 Earnings Call | February 13, 2025
Slide 19: 2Q 2025 earnings call scheduled for 15 May 2025
Deere & Company’s 2Q 2025 earnings call is scheduled for 9:00 a.m. Central Time on Thursday, 15 May 2025. 19 John Deere | 1Q 2025 Earnings Call | February 13, 2025
Slide 20: John Deere
@ JOHN DEERE