NYSE$DE

Deere & Co · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Deere's fourth-quarter net income increased due to a 19% rise in net sales, showcasing strong execution and the advantages of the operating model. The UAW contract agreement demonstrated a commitment to Deere's workforce.

Deere & Company reported a strong fourth-quarter performance with net income of $1.283 billion, or $4.12 per share, compared to $757 million, or $2.39 per share, for the quarter ended November 1, 2020. Worldwide net sales and revenues increased 16 percent to $11.327 billion.

  • Fourth-quarter net income rose on net sales gain of 19%, demonstrating solid execution and benefits of operating model.
  • UAW contract agreement shows commitment to Deere’s workforce.
  • Full-year 2022 earnings forecast to be $6.5 to $7.0 billion, reflecting healthy demand.
  • Deere's strong fourth-quarter and full-year performance was delivered by dedicated employees, dealers, and suppliers throughout the world, who have helped safely maintain our operations and serve customers

Headline financials

Total Revenue

$11.3B

Previous: $8.66B+30.8%
EPS (adj)

$4.12

Previous: $2.39+72.4%
Capital Expenditures

$356M

Previous: $226M+57.5%
Free Cash Flow

$3.06B

Previous: $3.2B-4.5%
Net Income

$1.28B

Previous: $757M+69.5%
Operating Income

$1.69B

Previous: $1.31B+29.7%
Gross Profit

$3.3B

Previous: $3.06B+7.8%
Cash & Equivalents

$8.02B

Previous: $7.07B+13.5%
Total Assets

$84.1B

Previous: $75.1B+12.0%
Stock-Based Comp

$18M

Previous: $18M+0.0%

Revenue & EPS history

Deere · Revenue · Quarterly

$11.3B

Q4 2021+30.8%vs Q4 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Deere · $11.1B total across 4 segments · Q4 2021

  • Production & Precision Ag
    $4.66B-24.8%
  • Small Ag & Turf
    $2.81B
  • Construction & Forestry
    $2.81B+14.0%
  • Financial Services
    $869M-2.5%

Forward guidance

Net income attributable to Deere & Company for fiscal 2022 is forecasted to be in a range of $6.5 billion to $7.0 billion.

Tailwinds

  • Looking ahead, we expect demand for farm and construction equipment to continue benefiting from positive fundamentals, including favorable crop prices, economic growth, and increased investment in infrastructure

Headwinds

  • At the same time, we anticipate supply-chain pressures will continue to pose challenges in our industries.
  • We are working closely with our suppliers to address these issues and ensure that our customers can deliver essential food and infrastructure more profitably and sustainably.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

+0.2%

Avg return

Earnings day

+1.8%

Avg return

5 days after

+2.1%

Avg return

30 days after

53%

39 / 73 earnings

Positive

+14.3%

Q3 2016

Best reaction

-10.9%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+0.8%-4.1%+6.9%
Q1 2026-0.1%+8.6%-5.7%
Q4 2025-5.8%-6.0%-5.9%
Q3 2025-6.5%-4.7%-8.4%
Q2 2025+3.6%+5.8%+2.4%
Q1 2025-2.2%+5.2%+0.2%
Q4 2024+10.3%+13.8%+6.8%
Q3 2024+7.6%+6.1%+12.4%
Q2 2024-4.1%-6.6%-8.7%
Q1 2024-6.3%-7.1%-0.4%
Q4 2023-3.3%-5.3%+3.7%
Q3 2023-6.8%-5.9%-1.7%
Q2 2023-2.7%-4.4%+10.0%
Q1 2023+6.0%+5.8%-4.3%
Q4 2022+6.0%+5.9%+4.9%
Q3 2022+0.4%+3.6%-3.7%
Q2 2022-8.0%-5.9%-11.5%
Q1 2022-7.0%-11.3%+8.6%
Q4 2021+2.9%-0.3%-0.0%
Q3 2021+1.1%+4.8%-2.8%
Q2 2021+1.2%+0.7%-7.4%
Q1 2021+12.4%+15.1%+24.1%
Q4 2020+0.2%+0.0%+2.9%
Q3 2020+7.5%+10.4%+16.2%
Q2 2020+3.7%+7.4%+8.4%
Q1 2020+3.6%+0.7%-32.7%
Q4 2019-4.9%-6.4%-0.5%
Q3 2019+6.0%+7.8%+15.1%
Q2 2019-7.3%-4.9%+3.8%
Q1 2019-3.2%-1.6%-2.6%
Q4 2018+3.1%+7.5%+3.2%
Q3 2018+2.3%+3.8%+7.6%
Q2 2018+7.8%+6.7%+1.3%
Q1 2018-1.2%-2.8%-1.8%
Q4 2017+4.5%+6.9%+13.1%
Q3 2017-6.0%-6.1%-4.0%
Q2 2017+8.0%+9.0%+13.5%
Q1 2017+0.4%+0.4%+1.2%
Q4 2016+12.9%+10.5%+12.1%
Q3 2016+14.3%+13.6%+6.5%
Q2 2016-5.3%-2.1%+4.6%
Q1 2016-2.4%
Q4 2015+3.6%
Q3 2015-10.9%
Q2 2015+4.9%
Q1 2015-0.8%
Q4 2014-1.3%
Q3 2014-1.8%
Q2 2014-2.6%
Q1 2014-1.8%
Q4 2013+1.3%
Q3 2013+0.5%
Q2 2013-4.7%
Q1 2013-3.6%
Q4 2012-2.3%
Q3 2012-5.8%
Q2 2012+0.5%
Q1 2012-0.6%
Q4 2011+4.1%
Q3 2011-3.5%
Q2 2011+1.3%
Q1 2011+4.6%
Q4 2010+0.4%
Q3 2010+0.4%
Q2 2010-3.9%
Q1 2009+1.6%
Q1 2010+2.8%
Q4 2009+0.6%
Q2 2009+0.6%
Q4 2007+0.6%
Q3 2009-3.3%
Q4 2008-3.3%
Q3 2008-3.3%

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