MOLINE, Ill. – Lawn care, farming and construction equipment company Deere & Co. announced today that net income rose 36 percent to $204.3 million in the second quarter ended April 30 from $150.1 million for the same quarter last year. The income spike for the quarter was based on sales and revenues of $3.79 billion, up from $3.47 billion a year ago.
For the first six months of Deere’s fiscal year, net income was $242.0 million, representing a 21 percent gain in comparison with last year's $199.8 million. The increases were primarily due to improved manufacturing efficiencies and higher sales and production volumes. "Sales for the quarter moved ahead in line with our expectations, " noted Hans Becherer, Deere chairman and CEO.
Of note to landscape professionals who use Deere’s commercial lawn care equipment, worldwide commercial and consumer equipment operating profit was $115 million for the quarter and $124 million for the first six months, compared with $89 million and $101 million in the comparable 1999 periods. The increases were primarily due to higher sales volumes driven by retail demand for company products.
Operating profit of the worldwide construction equipment division, which includes certain products used by landscape contractors, was $81 million for the quarter and $92 million for the first six months, compared with $63 million and $88 million, respectively, last year. The increases were primarily due to higher sales and improved efficiencies.