Deere and Company (NYSE: DE) reported fiscal second-quarter results that were well above expectations and provided an upbeat outlook.
The agricultural and construction machinery company Friday revealed net income of $802.4 million, or $2.49 per share, compared with $495.4 million, or $1.56 per share, for the period ended May 1, 2016. Consensus per share was for earnings of $1.63.
For the first six months of the year, net income attributable to Deere & Company was $996.2 million, or $3.10 per share, compared with $749.8 million, or $2.36 per share, last year.
Worldwide net sales and revenues increased 5% to $8.287 billion, for the second quarter and increased 4%, to $13.912 billion, for six months.
Net sales of the equipment operations were $7.260 billion for the quarter and $11.958 billion for the first six months, compared with $7.107 billion and $11.876 billion for the same periods last year.
A news release issued Friday also explained that the company’s equipment sales are projected to increase about 9% for fiscal 2017 and to rise about 18% for the third quarter compared with the same periods of 2016.
Foreign-currency rates are not expected to have a material translation effect on equipment sales for the year or third quarter. Net sales and revenues are projected to increase about 9% for fiscal 2017 with net income attributable to Deere & Company of about $2.0 billion.
The company’s stock price ballooned by $7.71, or 6.8%, to begin trading on Friday at $120.38, blowing away the previous 52-week high of $114.96, and towering over a low of $76.73.
