Deere Shares Slide as Agricultural and Construction Sales Decline Sharply

The company reported a 30% drop in Q1 sales and projected further declines for 2025, citing industry slowdowns and potential tariff impacts.

Deere & Company reported a 30% year-over-year drop in Q1 sales to $8.51 billion, missing analyst expectations by $500 million.
Despite the sales decline, Deere's Q1 profits exceeded estimates, with earnings per share at $3.19 versus the expected $3.11.
The company maintained its full-year profit forecast of $5 billion to $5.5 billion, though it anticipates a 10% to 20% sales drop across its divisions in 2025.
Deere attributed the weak outlook to slowing agricultural and construction markets, compounded by inflation and potential U.S. tariffs on steel and aluminum.
Shares fell 4.5% in pre-market trading as the company highlighted ongoing efforts to optimize inventory and introduce advanced machinery to navigate challenging conditions.