Deere Lowers Outlook Despite Beating Q2 Estimates

Deere & Company reported second-quarter net income of $1.8 billion, down from $2.37 billion a year earlier, and a 16% decline in revenue to $12.76 billion. Despite these decreases, the company exceeded analyst expectations for both earnings per share and revenue. Sales in the Production & Precision Agriculture segment fell by 21%, while Small Agriculture & Turf and Construction & Forestry declined by 6% and 23%, respectively. Deere lowered the bottom end of its full-year net income outlook to $4.75–$5.5 billion due to ongoing global trade and tariff uncertainties. Gross margins remained stable, and effective cost management helped offset some effects of weaker demand, resulting in a slight increase in share price. CEO John May expressed confidence in the company's long-term resilience and commitment to innovation amid market challenges.