Deere's Earnings Beat Last Year's by 23%
Deere (NYS: DE) reported earnings on May 16. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended April 30 (Q2), Deere missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share improved significantly.
Margins grew across the board.
Deere reported revenue of $9.41 billion. The 11 analysts polled by S&P Capital IQ predicted sales of $9.66 billion on the same basis. GAAP reported sales were 12% higher than the prior-year quarter's $8.91 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $2.61. The 18 earnings estimates compiled by S&P Capital IQ predicted $2.54 per share. GAAP EPS of $2.61 for Q2 were 23% higher than the prior-year quarter's $2.12 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 31.7%, 240 basis points better than the prior-year quarter. Operating margin was 17.9%, 290 basis points better than the prior-year quarter. Net margin was 10.6%, 50 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $9.54 billion.
Next year's average estimate for revenue is $34.27 billion.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 2,695 members rating the stock outperform and 125 members rating it underperform. Among 624 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 600 give Deere a green thumbs-up, and 24 give it a red thumbs-down.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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