Trade with Eva: Analytics in action >>

Wednesday, November 23, 2016

Deere (DE) reported earnings on Wed 11/23/16 (b/o)

** charts before earnings ** 


 





** charts after earnings **

 



Deere beats by $0.51, beats on revs; provides Q1 outlook  :
  • Reports Q4 (Oct) earnings of $0.90 per share, $0.51 better than the Capital IQ Consensus of $0.39; revenues fell 4.8% year/year to $5.65 bln vs the $5.36 bln Capital IQ Consensus.  Global farm recession, weak construction-equipment markets lead to lower sales and earnings for fourth quarter and full year.
  • Company equipment sales are projected to decrease about 1 percent for fiscal 2017 and be down about 4 percent for the first quarter compared with the same periods of 2016 (Capital IQ consensus -5.4%). Included in the forecast is a positive foreign-currency translation effect of about 1 percent for the year and about 2 percent for the first quarter.
  • Agriculture & Turf. Deere's worldwide sales of agriculture and turf equipment are forecast to decrease by about 1 percent for fiscal-year 2017, including a positive currency-translation effect of about 1 percent. Industry sales for agricultural equipment in the U.S. and Canada are forecast to be down 5 to 10 percent for 2017.
  • Net sales and revenues are projected to decrease about 1 percent for fiscal 2017, while net income attributable to Deere & Company is anticipated to be about $1.4 billion.
  • "Our forecast continues to represent a standard of performance that is considerably higher than in earlier downturn...This illustrates our ongoing success developing a more durable business model and a wider range of revenue sources. At the same time, we are driving further efficiency gains and have confidence we can deliver structural cost reductions of at least $500 million by the end of 2018."

No comments:

Post a Comment