Exhibit 99.1 (Furnished herewith)
Media Inquiries: PublicRelations@JohnDeere.com Deere Reports Third Quarter Net Income of $1.379 Billion
● Disciplined execution drives stronger-than-expected results in a dynamic market.
MOLINE, Illinois (August 20, 2026) — Deere & Company reported net income of $1.379 billion for the third quarter ended August 2, 2026, or $5.10 per share, compared with net income of $1.289 billion, or $4.75 per share, for the quarter ended July 27, 2025. For the first nine months of the year, net income attributable to Deere & Company was $3.808 billion, or $14.06 per share, compared with $3.962 billion, or $14.57 per share, for the same period last year. Worldwide net sales and revenues increased 5 percent, to $12.608 billion, for the third quarter of 2026 and rose 7 percent, to $35.589 billion, for nine months. Net sales were $10.999 billion for the quarter and $30.779 billion for nine months, compared with $10.357 billion and $28.338 billion last year, respectively. “Deere delivered a strong quarter, reflecting disciplined execution by our teams and continued resilience across our portfolio,” said John C. May, chairman and chief executive officer. “Our performance underscores the strength of our business, supported by stable U.S. market conditions, our ability to manage softer conditions in Brazil and Europe, and our commitment to helping customers succeed. ” Company Outlook & Summary Net income attributable to Deere & Company for fiscal 2026 is forecasted to be in a range of $4.75 billion to $5.00 billion. “As we look ahead, we continue to believe 2026 will mark the bottom of the current ag equipment cycle,” May said. “Across our business, early order program trends, improving used-equipment inventories, and increasing customer adoption of our advanced technologies give us confidence that Deere is well positioned for long-term value creation. ”
Results for the prior periods presented were affected by special items. See Note 2 of the financial statements for further details. The company recorded tariff recoveries in the third quarter and first nine months of 2026 of $110 million and $382 million, respectively. The tariff impact for each segment is primarily included in the “Production Costs” category below.
Production & Precision Agriculture sales decreased for the quarter as a result of lower shipment volumes, partially offset by favorable price realization and foreign currency translation. Operating profit decreased primarily due to lower shipment volumes / sales mix and higher production costs, partially offset by favorable price realization and the effects of foreign currency exchange. Production & Precision Agriculture Operating Profit Third Quarter 2026 Compared to Third Quarter 2025 $ in millions
Small Agriculture & Turf sales increased for the quarter as a result of higher shipment volumes and favorable price realization. Operating profit increased primarily due to higher shipment volumes / sales mix and favorable price realization, partially offset by higher production costs. Small Agriculture & Turf Operating Profit Third Quarter 2026 Compared to Third Quarter 2025 $ in millions
Construction & Forestry sales increased for the quarter primarily as a result of higher shipment volumes and favorable price realization. Operating profit increased primarily due to favorable price realization, partially offset by higher SA&G and R&D costs. Construction & Forestry Operating Profit Third Quarter 2026 Compared to Third Quarter 2025 $ in millions
Financial Services net income increased primarily due to favorable financing spreads, partially offset by the impact of a lower average portfolio.
Industry Outlook for Fiscal 2026 Agriculture & Turf U.S. & Canada: Large Ag Down 15 to 20% Small Ag & Turf Flat to up 5% Europe Flat South America (Tractors & Combines) Down 15 to 20% Asia Flat Construction & Forestry U.S. & Canada: Construction Equipment Up 5 to 10% Compact Construction Equipment Up ~5% Global Forestry Down ~10% Global Roadbuilding Up ~10%
Currency Price $ in millions Net Sales Translation Realization Production & Precision Ag Down ~10% +2.5% ~ +1.0% Small Ag & Turf Up ~15% +0.5% ~ +1.5% Construction & Forestry Up ~20% +1.5% ~ +3.0% Financial Services Net Income ~ $870
FORWARD-LOOKING STATEMENTS Certain statements contained herein, including in the sections entitled “ Company Outlook & Summary, ” “ Industry Outlook for Fiscal 2026, ” “ Deere Segment Outlook for Fiscal 2026, ” and “ Condensed Notes to Interim Consolidated Financial Statements ” relating to future events, expectations, and trends constitute “ forward-looking statements ” as defined in the Private Securities Litigation Reform Act of 1995 and involve factors that are subject to change, assumptions, risks, and uncertainties that could cause actual results to differ materially. Some of these risks and uncertainties could affect all lines of the company’s operations generally, while others could more heavily affect a particular line of business. Forward-looking statements are based on information currently available to the company and the company’s current assumptions, expectations, and projections about future events and should not be relied upon. Except as required by law, the company expressly disclaims any obligation to update or revise its forward-looking statements. Many factors, risks, and uncertainties could cause actual results to differ materially from these forward-looking statements. Among these factors are risks related to:
the agricultural business cycle, which can be unpredictable and is affected by factors such as farm income, international trade, world grain ● stocks, crop yields, available farm acres, soil conditions, prices for commodities and livestock, input costs including the availability and price of fertilizer, government farm programs, and availability of transport for crops
construction and forestry activity, which is affected by factors such as ● housing starts and supply, real estate and housing prices, levels of residential and non-residential construction, public and private infrastructure development, and government policies and regulations
macroeconomic conditions, including unemployment, inflation, interest rate volatility, energy price increases resulting from geopolitical ● conflicts, changes in consumer sentiment and practices due to slower economic growth or a recession, and regional or global liquidity constraints
the uncertainty of government policies and actions with respect to the ● global trade environment, including increased and contested tariffs announced by the U.S. government and retaliatory trade regulations
● political, economic, and social instability in the geographies in which the company operates
worldwide demand for food and different forms of renewable energy ● impacting the price of farm commodities and the resulting impacts on the demand for the company’s equipment
● rationalization, restructuring, relocation, expansion, and/or reconfiguration of manufacturing and warehouse facilities
● accurately forecasting customer demand for products and services, and adequately managing inventory
selling products domestically or internationally, managing increased ● costs of production, absorbing or passing on increased expenses, as well as accurately predicting financial results and industry trends
● delays or disruptions in the company’s supply chain, including those arising from geopolitical conflicts
● changes in climate patterns, unfavorable weather events, and natural disasters
suppliers’ and manufacturers’ business practices and compliance with ● applicable laws such as human rights, safety, environmental, and fair wages
higher interest rates and currency fluctuations which could adversely ● affect the U.S. dollar, customer confidence, access to capital, and demand for the company’s products and solutions
adapting in highly competitive markets, including understanding and ● meeting customers’ changing expectations for products and solutions, including delivery and utilization of precision technology
realizing the anticipated benefits of the company’s Smart Industrial ● Operating Model, achieving the company’s Leap Ambitions, and executing the company’s related business strategies in production systems, precision technologies, and aftermarket support
the company’s dealer network’s development and implementation of ● successful sales plans, management of new and used inventory, distribution of the company’s products, and support and service for the company’s precision technology solutions
achieving anticipated benefits of acquisitions and joint ventures, ● including challenges with successfully integrating operations and internal control processes
● the impact of workforce reductions on company culture, employee retention and morale, and institutional knowledge
security breaches, cybersecurity attacks, technology failures, and other ● disruptions to the company’s information technology infrastructure and products
● leveraging artificial intelligence and machine learning within the company’s business processes
changes to existing laws and regulations, including the implementation of new, more stringent laws, as well as compliance with a variety of U.S., foreign, and international laws, regulations, and policies relating to, but not limited to the following: advertising, anti-bribery and anti-corruption, anti-money laundering, antitrust, consumer finance, ● cybersecurity, data privacy, encryption, environment (including climate change and engine emissions), farming, foreign exchange controls and cash repatriation restrictions, foreign ownership and investment, health and safety, human rights, import / export and trade, labor and employment, product liability, right-to-repair, tariffs, tax, telematics, and telecommunications
● governmental and other actions designed to address climate change in connection with a transition to a lower-carbon economy
warranty claims, post-sales repairs or recalls, product liability ● litigation, and regulatory investigations because of the deficient operation of the company’s products
Further information concerning the company or its businesses, including factors that could materially affect the company’s financial results, is included in the company’s other filings with the SEC (including, but not limited to, the factors discussed in Item 1A. “Risk Factors” of the company’s most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q). There also may be other factors that the company cannot anticipate or that are not described herein because the company does not currently perceive them to be material .
* Operating profit is income from continuing operations before corporate expenses, certain external interest expenses, certain foreign exchange gains and losses, and income taxes. Operating profit of Financial Services includes the effect of interest expense and foreign exchange gains and losses. ** Reconciling items are primarily corporate expenses, certain interest income and expenses, certain foreign exchange gains and losses, pension and postretirement benefit costs excluding the service cost component, and net income attributable to noncontrolling interests.
DEERE & COMPANY STATEMENTS OF CONSOLIDATED INCOME For the Three and Nine Months Ended August 2, 2026 and July 27, 2025 (In millions of dollars and shares except per share amounts) Unaudited
DEERE & COMPANY STATEMENTS OF CONSOLIDATED CASH FLOWS For the Nine Months Ended August 2, 2026 and July 27, 2025 (In millions of dollars) Unaudited
2026 2025 Cash Flows from Operating Activities ────────────────────────────────────────────────────────────────────────────── Net income $ 3,802 $ 3,938 Adjustments to reconcile net income to net cash provided by operating activities: Provision for credit losses 205 258 Depreciation and amortization 1,787 1,668 Impairments and other adjustments 29 Share-based compensation expense 116 104 Credit for deferred income taxes -61 -102 Changes in assets and liabilities: Receivables related to sales -1,252 -494 Inventories -443 -526 Accounts payable and accrued expenses -266 -717 Accrued income taxes payable/receivable -119 -147 Retirement benefits -367 -813 Other -152 266 Net cash provided by operating 3,250 3,464 activities Cash Flows from Investing Activities Collections of receivables (excluding 19,922 19,712 receivables related to sales) Proceeds from maturities and sales of 389 359 marketable securities Proceeds from sales of equipment on 1,479 1,408 operating leases Cost of receivables acquired (excluding -19,139 -18,962 receivables related to sales) Acquisitions of businesses, net of cash -455 -89 acquired Purchases of marketable securities -361 -598 Purchases of property and equipment -716 -852 Cost of equipment on operating leases -1,933 -2,009 acquired Collections of receivables from 197 334 unconsolidated affiliates Collateral on derivatives – net -63 127 Other -145 -231 Net cash used for investing activities -825 -801 Cash Flows from Financing Activities Net proceeds (payments) in short-term borrowings (original maturities three 3,205 -2,060 months or less) Proceeds from borrowings issued (original maturities greater than three 5,373 10,707 months) Payments of borrowings (original -8,338 -7,743 maturities greater than three months) Repurchases of common stock -697 -1,136 Dividends paid -1,316 -1,282 Other -55 -43 Net cash used for financing activities -1,828 -1,557 Effect of Exchange Rate Changes on Cash, 20 108 Cash Equivalents, and Restricted Cash Net Increase in Cash, Cash Equivalents, 617 1,214 and Restricted Cash Cash, Cash Equivalents, and Restricted 8,533 7,633 Cash at Beginning of Period Cash, Cash Equivalents, and Restricted $ 9,150 $ 8,847 Cash at End of Period
DEERE & COMPANY Condensed Notes to Interim Consolidated Financial Statements (In millions of dollars) Unaudited
In 2026, the company completed several acquisitions to advance the capabilities of its existing technology offerings, including the February acquisition of Tenna LLC (Tenna), a U.S. construction technology company that provides mixed- fleet equipment operations and asset tracking solutions, for a purchase price of $439 million, net of cash acquired. Tenna was assigned to the CF segment. The company also acquired other small-scale businesses assigned to the PPA, SAT, and CF segments for a combined purchase price consideration of $16 million, net of cash acquired. Most of the purchase price for these acquisitions was allocated to goodwill and other intangible assets. In 2025, the company acquired businesses to advance the capabilities of the company’s existing technology offerings, providing customers with a more comprehensive set of tools to generate and use data to make decisions that improve profitability, efficiency, and sustainability. The combined cost of these acquisitions was $89 million, net of cash acquired. The businesses were assigned to the PPA and CF segments. Most of the purchase price for these acquisitions was allocated to goodwill and other intangible assets.
Impairment In the third quarter of 2025, the company recorded a non-cash charge of $61 million pretax ($49 million after-tax), primarily related to the trade name and customer relationship assets of external overseas battery operations. Of this amount, $53 million was recorded in “Selling, administrative and general expenses” and $8 million in “Cost of sales.” The charge is presented in “Impairments and other adjustments” in the statements of consolidated cash flows. The impairment resulted from slowing external demand for batteries, which indicated that it is probable future cash flows would not cover the carrying value of the assets. Discrete Tax Items In the first quarter of 2025, the company recorded favorable net discrete tax items primarily due to tax benefits of $110 million related to the realization of foreign net operating losses from the consolidation of certain subsidiaries and $53 million from an adjustment to an uncertain tax position of a foreign subsidiary. Banco John Deere S.A. In 2024, the company entered into an agreement with a Brazilian bank, Banco Bradesco S.A. (Bradesco), for Bradesco to invest and become a 50% owner of the company’s wholly-owned subsidiary in Brazil, Banco John Deere S.A. (BJD). BJD finances retail and wholesale loans for agricultural, construction, and forestry equipment. The transaction is intended to reduce the company’s incremental risk as it continues to grow in the Brazilian market. The BJD business was reclassified as held for sale in 2024. In January 2025, the valuation allowance on assets held for sale decreased, resulting in a pretax and after-tax gain (reversal of previous losses) of $32 million recorded in “Selling, administrative and general expenses” in the nine months ended July 27, 2025. The valuation allowance changes are presented in “Impairments and other adjustments” in the statements of consolidated cash flows. The company deconsolidated BJD upon completion of the transaction in February 2025. The company accounts for its investment in BJD using the equity method of accounting and results of its operations are reported in “Equity in income (loss) of unconsolidated affiliates” within the Financial Services segment. The company reports investments in unconsolidated affiliates and receivables from unconsolidated affiliates in “Other assets” and “Other receivables,” respectively.
Summary of 2025 Special Items The following table summarizes the operating profit impact of the special items recorded in millions of dollars for the three months and nine months ended July 27, 2025.
The consolidated financial statements represent the consolidation of all the company’s subsidiaries. The supplemental consolidating data in Note 4 to the financial statements is presented for informational purposes. Equipment operations represent the enterprise without Financial Services. Equipment operations include the company’s (3) Production & Precision Agriculture operations, Small Agriculture & Turf operations, Construction & Forestry operations, and other corporate assets, liabilities, revenues, and expenses not reflected within Financial Services. Transactions between the equipment operations and Financial Services have been eliminated to arrive at the consolidated financial statements.
DEERE & COMPANY (4) SUPPLEMENTAL CONSOLIDATING DATA STATEMENTS OF INCOME For the Three Months Ended August 2, 2026 and July 27, 2025 (In millions of dollars) Unaudited
1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases. 3 Elimination of income and expenses between equipment operations and Financial Services related to intercompany guarantees of investments in certain international markets. 4 Elimination of intercompany service revenues and fees. 5 Elimination of Financial Services’ lease depreciation expense related to inventory transferred to equipment on operating leases.
DEERE & COMPANY SUPPLEMENTAL CONSOLIDATING DATA (Continued) STATEMENTS OF INCOME For the Nine Months Ended August 2, 2026 and July 27, 2025 (In millions of dollars) Unaudited
1 Elimination of intercompany interest income and expense. 2 Elimination of equipment operations’ margin from inventory transferred to equipment on operating leases. 3 Elimination of income and expenses between equipment operations and Financial Services related to intercompany guarantees of investments in certain international markets. 4 Elimination of intercompany service revenues and fees. 5 Elimination of Financial Services’ lease depreciation expense related to inventory transferred to equipment on operating leases.
DEERE & COMPANY SUPPLEMENTAL CONSOLIDATING DATA (Continued) CONDENSED BALANCE SHEETS (In millions of dollars) Unaudited
6 Elimination of receivables / payables between equipment operations and Financial Services. 7 Primarily reclassification of sales incentive accruals on receivables sold to Financial Services. 8 Reclassification of other receivables / payables. 9 Reclassification of deferred tax assets / liabilities in the same taxing jurisdictions. 10 Elimination of Financial Services’ equity.
DEERE & COMPANY SUPPLEMENTAL CONSOLIDATING DATA (Continued) STATEMENTS OF CASH FLOWS For the Nine Months Ended August 2, 2026 and July 27, 2025 (In millions of dollars) Unaudited
11 Elimination of depreciation on leases related to inventory transferred to equipment on operating leases. 12 Reclassification of share-based compensation expense. 13 Elimination of dividends from Financial Services to the equipment operations, which are included in the equipment operations operating activities. 14 Primarily reclassification of receivables related to the sale of equipment. 15 Reclassification of direct lease agreements with retail customers. 16 Reclassification of sales incentive accruals on receivables sold to Financial Services. 17 Elimination of change in investment from equipment operations to Financial Services.
Full text with the tables
Exhibit 99.1 (Furnished herewith)
News Release
Media Inquiries: PublicRelations@JohnDeere.com Deere Reports Third Quarter Net
Income of $1.379 Billion
● Disciplined execution drives stronger-than-expected results in a dynamic
market.
● Net income guidance improved to $4.75 billion to $5.00 billion.
● Order book trends reinforce 2026 as the bottom of the ag equipment cycle.
MOLINE, Illinois (August 20, 2026) — Deere & Company reported net income of
$1.379 billion for the third quarter ended August 2, 2026, or $5.10 per share,
compared with net income of $1.289 billion, or $4.75 per share, for the quarter
ended July 27, 2025. For the first nine months of the year, net income
attributable to Deere & Company was $3.808 billion, or $14.06 per share,
compared with $3.962 billion, or $14.57 per share, for the same period last
year. Worldwide net sales and revenues increased 5 percent, to $12.608 billion,
for the third quarter of 2026 and rose 7 percent, to $35.589 billion, for nine
months. Net sales were $10.999 billion for the quarter and $30.779 billion for
nine months, compared with $10.357 billion and $28.338 billion last year,
respectively. “Deere delivered a strong quarter, reflecting disciplined
execution by our teams and continued resilience across our portfolio,” said John
C. May, chairman and chief executive officer. “Our performance underscores the
strength of our business, supported by stable U.S. market conditions, our
ability to manage softer conditions in Brazil and Europe, and our commitment to
helping customers succeed. ” Company Outlook & Summary Net income attributable
to Deere & Company for fiscal 2026 is forecasted to be in a range of $4.75
billion to $5.00 billion. “As we look ahead, we continue to believe 2026 will
mark the bottom of the current ag equipment cycle,” May said. “Across our
business, early order program trends, improving used-equipment inventories, and
increasing customer adoption of our advanced technologies give us confidence
that Deere is well positioned for long-term value creation. ”
4
$ in
mil…
exc… Year
De… per Thi… to
& sha… Qua… % Date %
Co… amo… 20… 2025 Ch… 20… 2025 Ch…
──────────────────────────────────────────────────────────────────────────────
Net
sa… $ 12… $ 12,… 5% $ 35… $ 33,… 7%
and
re…
Net $ 1,… $ 1,2… 7% $ 3,… $ 3,9… -4%
in…
Fu…
di… $ 5.… $ 4.75 $ 14… $ 14.…
EPS
Results for the prior periods presented were affected by special items. See Note
2 of the financial statements for further details. The company recorded tariff
recoveries in the third quarter and first nine months of 2026 of $110 million
and $382 million, respectively. The tariff impact for each segment is primarily
included in the “Production Costs” category below.
Production Third
& Precision Quarter
Agriculture $ in millions 2026 2025 % Change
──────────────────────────────────────────────────────────────────────────────
Net sales $ 3,998 $ 4,273 -6%
Operating $ 527 $ 580 -9%
profit
Operating 13.2% 13.6%
margin
Production & Precision Agriculture sales decreased for the quarter as a result
of lower shipment volumes, partially offset by favorable price realization and
foreign currency translation. Operating profit decreased primarily due to lower
shipment volumes / sales mix and higher production costs, partially offset by
favorable price realization and the effects of foreign currency exchange.
Production & Precision Agriculture Operating Profit Third Quarter 2026 Compared
to Third Quarter 2025 $ in millions
5
Small Third
Agriculture Quarter
& Turf $ in millions 2026 2025 % Change
──────────────────────────────────────────────────────────────────────────────
Net sales $ 3,383 $ 3,025 12%
Operating $ 622 $ 485 28%
profit
Operating 18.4% 16.0%
margin
Small Agriculture & Turf sales increased for the quarter as a result of higher
shipment volumes and favorable price realization. Operating profit increased
primarily due to higher shipment volumes / sales mix and favorable price
realization, partially offset by higher production costs. Small Agriculture &
Turf Operating Profit Third Quarter 2026 Compared to Third Quarter 2025 $ in
millions
6
Third
Constructi… Quarter
& Forestry $ in millions 2026 2025 % Change
──────────────────────────────────────────────────────────────────────────────
Net sales $ 3,618 $ 3,059 18%
Operating $ 436 $ 237 84%
profit
Operating 12.1% 7.7%
margin
Construction & Forestry sales increased for the quarter primarily as a result of
higher shipment volumes and favorable price realization. Operating profit
increased primarily due to favorable price realization, partially offset by
higher SA&G and R&D costs. Construction & Forestry Operating Profit Third
Quarter 2026 Compared to Third Quarter 2025 $ in millions
Financial Third Quarter
Services $ in millions 2026 2025 % Change
──────────────────────────────────────────────────────────────────────────────
Net income $ 219 $ 205 7%
Financial Services net income increased primarily due to favorable financing
spreads, partially offset by the impact of a lower average portfolio.
7
Industry Outlook for Fiscal 2026
Agriculture & Turf
U.S. & Canada:
Large Ag Down 15 to 20%
Small Ag & Turf Flat to up 5%
Europe Flat
South America (Tractors & Combines) Down 15 to 20%
Asia Flat
Construction & Forestry
U.S. & Canada:
Construction Equipment Up 5 to 10%
Compact Construction Equipment Up ~5%
Global Forestry Down ~10%
Global Roadbuilding Up ~10%
Deere Segment Outlook for Fiscal 2026
Currency Price
$ in millions Net Sales Translation Realization
Production & Precision Ag Down ~10% +2.5% ~ +1.0%
Small Ag & Turf Up ~15% +0.5% ~ +1.5%
Construction & Forestry Up ~20% +1.5% ~ +3.0%
Financial Services Net Income ~ $870
FORWARD-LOOKING STATEMENTS Certain statements contained herein, including in the
sections entitled “ Company Outlook & Summary, ” “ Industry Outlook for Fiscal
2026, ” “ Deere Segment Outlook for Fiscal 2026, ” and “ Condensed Notes to
Interim Consolidated Financial Statements ” relating to future events,
expectations, and trends constitute “ forward-looking statements ” as defined in
the Private Securities Litigation Reform Act of 1995 and involve factors that
are subject to change, assumptions, risks, and uncertainties that could cause
actual results to differ materially. Some of these risks and uncertainties could
affect all lines of the company’s operations generally, while others could more
heavily affect a particular line of business. Forward-looking statements are
based on information currently available to the company and the company’s
current assumptions, expectations, and projections about future events and
should not be relied upon. Except as required by law, the company expressly
disclaims any obligation to update or revise its forward-looking statements.
Many factors, risks, and uncertainties could cause actual results to differ
materially from these forward-looking statements. Among these factors are risks
related to:
the agricultural business cycle, which can be unpredictable and is
affected by factors such as farm income, international trade, world grain
● stocks, crop yields, available farm acres, soil conditions, prices for
commodities and livestock, input costs including the availability and
price of fertilizer, government farm programs, and availability of
transport for crops
construction and forestry activity, which is affected by factors such as
● housing starts and supply, real estate and housing prices, levels of
residential and non-residential construction, public and private
infrastructure development, and government policies and regulations
macroeconomic conditions, including unemployment, inflation, interest
rate volatility, energy price increases resulting from geopolitical
● conflicts, changes in consumer sentiment and practices due to slower
economic growth or a recession, and regional or global liquidity
constraints
the uncertainty of government policies and actions with respect to the
● global trade environment, including increased and contested tariffs
announced by the U.S. government and retaliatory trade regulations
● political, economic, and social instability in the geographies in which
the company operates
8
worldwide demand for food and different forms of renewable energy
● impacting the price of farm commodities and the resulting impacts on the
demand for the company’s equipment
● rationalization, restructuring, relocation, expansion, and/or
reconfiguration of manufacturing and warehouse facilities
● accurately forecasting customer demand for products and services, and
adequately managing inventory
selling products domestically or internationally, managing increased
● costs of production, absorbing or passing on increased expenses, as well
as accurately predicting financial results and industry trends
● availability and price of raw materials, components, and whole goods
● delays or disruptions in the company’s supply chain, including those
arising from geopolitical conflicts
● changes in climate patterns, unfavorable weather events, and natural
disasters
suppliers’ and manufacturers’ business practices and compliance with
● applicable laws such as human rights, safety, environmental, and fair
wages
higher interest rates and currency fluctuations which could adversely
● affect the U.S. dollar, customer confidence, access to capital, and
demand for the company’s products and solutions
● attracting, developing, engaging, and retaining qualified employees
adapting in highly competitive markets, including understanding and
● meeting customers’ changing expectations for products and solutions,
including delivery and utilization of precision technology
realizing the anticipated benefits of the company’s Smart Industrial
● Operating Model, achieving the company’s Leap Ambitions, and executing
the company’s related business strategies in production systems,
precision technologies, and aftermarket support
the company’s dealer network’s development and implementation of
● successful sales plans, management of new and used inventory,
distribution of the company’s products, and support and service for the
company’s precision technology solutions
achieving anticipated benefits of acquisitions and joint ventures,
● including challenges with successfully integrating operations and
internal control processes
● negative claims or publicity that damage the company’s reputation or
brand
● the impact of workforce reductions on company culture, employee retention
and morale, and institutional knowledge
● labor relations and contracts, including work stoppages and other
disruptions
security breaches, cybersecurity attacks, technology failures, and other
● disruptions to the company’s information technology infrastructure and
products
● leveraging artificial intelligence and machine learning within the
company’s business processes
changes to existing laws and regulations, including the implementation of
new, more stringent laws, as well as compliance with a variety of U.S.,
foreign, and international laws, regulations, and policies relating to,
but not limited to the following: advertising, anti-bribery and
anti-corruption, anti-money laundering, antitrust, consumer finance,
● cybersecurity, data privacy, encryption, environment (including climate
change and engine emissions), farming, foreign exchange controls and cash
repatriation restrictions, foreign ownership and investment, health and
safety, human rights, import / export and trade, labor and employment,
product liability, right-to-repair, tariffs, tax, telematics, and
telecommunications
● governmental and other actions designed to address climate change in
connection with a transition to a lower-carbon economy
warranty claims, post-sales repairs or recalls, product liability
● litigation, and regulatory investigations because of the deficient
operation of the company’s products
● investigations, claims, lawsuits, or other legal proceedings
● loss of or challenges to intellectual property rights
Further information concerning the company or its businesses, including factors
that could materially affect the company’s financial results, is included in the
company’s other filings with the SEC (including, but not limited to, the factors
discussed in Item 1A. “Risk Factors” of the company’s most recent Annual Report
on Form 10-K and subsequent Quarterly Reports on Form 10-Q). There also may be
other factors that the company cannot anticipate or that are not described
herein because the company does not currently perceive them to be material .
9
DEERE & COMPANY THIRD QUARTER 2026 PRESS RELEASE (In millions of dollars)
Unaudited
Thr… Nine
Mon… Mon…
End… End…
Net Aug… July Aug… July
sa… 2 27 % 2 27 %
and 2026 2025 Cha… 2026 2025 Ch…
re…
──────────────────────────────────────────────────────────────────────────────
Pr…
&
Pr… $ 3,9… $ 4,2… -6 $ 11,… $ 12,… -7
Ag
net
sa…
Sm…
Ag
& 3,3… 3,0… +12 9,0… 7,7… +16
Tu…
net
sa…
Co…
&
Fo… 3,6… 3,0… +18 10,… 8,0… +26
net
sa…
Fi…
Se… 1,3… 1,4… -3 4,1… 4,2… -4
re…
Ot… 238 243 -2 689 679 +1
re…
To…
net
sa… $ 12,… $ 12,… +5 $ 35,… $ 33,… +7
and
re…
Op…
pr…
*
Pr…
& $ 527 $ 580 -9 $ 1,3… $ 2,0… -34
Pr…
Ag
Sm…
Ag 622 485 +28 1,5… 1,1… +30
&
Tu…
Co…
& 436 237 +84 1,1… 681 +67
Fo…
Fi… 271 266 +2 823 740 +11
Se…
To…
op… 1,8… 1,5… +18 4,8… 4,6… +4
pr…
Re…
it… 52 60 -13 184 198 -7
**
In… -529 -339 +56 -1,… -905 +37
ta…
Net
in…
at…
to $ 1,3… $ 1,2… +7 $ 3,8… $ 3,9… -4
De…
&
Co…
* Operating profit is income from continuing operations before corporate
expenses, certain external interest expenses, certain foreign exchange gains and
losses, and income taxes. Operating profit of Financial Services includes the
effect of interest expense and foreign exchange gains and losses. ** Reconciling
items are primarily corporate expenses, certain interest income and expenses,
certain foreign exchange gains and losses, pension and postretirement benefit
costs excluding the service cost component, and net income attributable to
noncontrolling interests.
10
DEERE & COMPANY STATEMENTS OF CONSOLIDATED INCOME For the Three and Nine Months
Ended August 2, 2026 and July 27, 2025 (In millions of dollars and shares except
per share amounts) Unaudited
Three Nine
Net Months Months
Sales Ended Ended
and 2026 2025 2026 2025
Reve…
──────────────────────────────────────────────────────────────────────────────
Net $ 10,999 $ 10,357 $ 30,779 $ 28,3…
sales
Fina…
and 1,353 1,426 4,011 4,233
inte…
inco…
Other 256 235 799 719
inco…
Total 12,608 12,018 35,589 33,2…
Costs
and
Expe…
Cost
of 7,939 7,570 22,486 20,2…
sales
Rese…
and 567 556 1,704 1,631
deve…
expe…
Sell…
admi…
and 1,220 1,217 3,401 3,387
gene…
expe…
Inte… 710 794 2,141 2,408
expe…
Other
oper… 290 281 846 817
expe…
Total 10,726 10,418 30,578 28,4…
Inco…
of
Cons…
Group 1,882 1,600 5,011 4,832
befo…
Inco…
Taxes
Prov…
for 529 339 1,243 905
inco…
taxes
Inco…
of 1,353 1,261 3,768 3,927
Cons…
Group
Equi…
in
inco… 24 10 34 11
of
unco…
affi…
Net 1,377 1,271 3,802 3,938
Inco…
Less:
Net
loss
attr… -2 -18 -6 -24
to
nonc…
inte…
Net
Inco…
Attr…
to $ 1,379 $ 1,289 $ 3,808 $ 3,962
Deere
&
Comp…
Per
Share
Data
Basic $ 5.11 $ 4.76 $ 14.10 $ 14.61
Dilu… 5.10 4.75 14.06 14.57
Divi… 1.62 1.62 4.86 4.86
decl…
Divi… 1.62 1.62 4.86 4.71
paid
Aver…
Shar…
Outs…
Basic 269.8 270.7 270.1 271.1
Dilu… 270.7 271.4 270.8 271.9
See Condensed Notes to Interim Consolidated Financial Statements.
11
DEERE & COMPANY CONDENSED CONSOLIDATED BALANCE SHEETS (In millions of dollars)
Unaudited
November
August 2 2 July 27
2026 2025 2025
Assets
──────────────────────────────────────────────────────────────────────────────
Cash
and $ 8,928 $ 8,276 $ 8,580
cash
equiva…
Market… 1,350 1,411 1,407
securi…
Trade
accoun…
and
notes 7,723 5,317 6,103
receiv…
–
net
Financ…
receiv… 42,860 44,575 43,930
– net
Financ…
receiv… 6,316 6,831 7,948
securi…
– net
Other 2,466 2,403 2,826
receiv…
Equipm…
on
operat… 7,400 7,600 7,512
leases
– net
Invent… 7,811 7,406 7,713
Proper…
and 8,006 8,079 7,713
equipm…
– net
Goodwi… 4,466 4,188 4,209
Other
intang… 940 892 926
assets
– net
Retire… 3,541 3,273 3,182
benefi…
Deferr…
income 2,343 2,284 2,209
taxes
Other 3,457 3,461 3,559
assets
Total $ 107,607 $ 105,996 $ 107,817
Assets
Liabil…
and
Stockh…
Equity
Liabil…
Short-… $ 17,115 $ 13,796 $ 14,607
borrow…
Short-…
securi… 6,095 6,596 7,610
borrow…
Accoun…
payable
and 13,668 13,909 13,582
accrued
expens…
Deferr…
income 411 434 489
taxes
Long-t… 40,626 43,544 44,429
borrow…
Retire…
benefi…
and 1,651 1,710 1,836
other
liabil…
Total 79,566 79,989 82,553
liabil…
Redeem…
noncon… 44 51 84
intere…
Stockh…
Equity
Total
Deere &
Company 27,990 25,950 25,175
stockh…
equity
Noncon… 7 6 5
intere…
Total
stockh… 27,997 25,956 25,180
equity
Total
Liabil…
and $ 107,607 $ 105,996 $ 107,817
Stockh…
Equity
See Condensed Notes to Interim Consolidated Financial Statements.
12
DEERE & COMPANY STATEMENTS OF CONSOLIDATED CASH FLOWS For the Nine Months Ended
August 2, 2026 and July 27, 2025 (In millions of dollars) Unaudited
2026 2025
Cash Flows from Operating Activities
──────────────────────────────────────────────────────────────────────────────
Net income $ 3,802 $ 3,938
Adjustments to reconcile net income to
net cash provided by operating
activities:
Provision for credit losses 205 258
Depreciation and amortization 1,787 1,668
Impairments and other adjustments 29
Share-based compensation expense 116 104
Credit for deferred income taxes -61 -102
Changes in assets and liabilities:
Receivables related to sales -1,252 -494
Inventories -443 -526
Accounts payable and accrued expenses -266 -717
Accrued income taxes payable/receivable -119 -147
Retirement benefits -367 -813
Other -152 266
Net cash provided by operating 3,250 3,464
activities
Cash Flows from Investing Activities
Collections of receivables (excluding 19,922 19,712
receivables related to sales)
Proceeds from maturities and sales of 389 359
marketable securities
Proceeds from sales of equipment on 1,479 1,408
operating leases
Cost of receivables acquired (excluding -19,139 -18,962
receivables related to sales)
Acquisitions of businesses, net of cash -455 -89
acquired
Purchases of marketable securities -361 -598
Purchases of property and equipment -716 -852
Cost of equipment on operating leases -1,933 -2,009
acquired
Collections of receivables from 197 334
unconsolidated affiliates
Collateral on derivatives – net -63 127
Other -145 -231
Net cash used for investing activities -825 -801
Cash Flows from Financing Activities
Net proceeds (payments) in short-term
borrowings (original maturities three 3,205 -2,060
months or less)
Proceeds from borrowings issued
(original maturities greater than three 5,373 10,707
months)
Payments of borrowings (original -8,338 -7,743
maturities greater than three months)
Repurchases of common stock -697 -1,136
Dividends paid -1,316 -1,282
Other -55 -43
Net cash used for financing activities -1,828 -1,557
Effect of Exchange Rate Changes on Cash, 20 108
Cash Equivalents, and Restricted Cash
Net Increase in Cash, Cash Equivalents, 617 1,214
and Restricted Cash
Cash, Cash Equivalents, and Restricted 8,533 7,633
Cash at Beginning of Period
Cash, Cash Equivalents, and Restricted $ 9,150 $ 8,847
Cash at End of Period
See Condensed Notes to Interim Consolidated Financial Statements.
13
DEERE & COMPANY
Condensed Notes to Interim Consolidated Financial
Statements
(In millions of dollars) Unaudited
(1) Acquisitions
In 2026, the company completed several acquisitions to advance the capabilities
of its existing technology offerings, including the February acquisition of
Tenna LLC (Tenna), a U.S. construction technology company that provides mixed-
fleet equipment operations and asset tracking solutions, for a purchase price of
$439 million, net of cash acquired. Tenna was assigned to the CF segment. The
company also acquired other small-scale businesses assigned to the PPA, SAT, and
CF segments for a combined purchase price consideration of $16 million, net of
cash acquired. Most of the purchase price for these acquisitions was allocated
to goodwill and other intangible assets. In 2025, the company acquired
businesses to advance the capabilities of the company’s existing technology
offerings, providing customers with a more comprehensive set of tools to
generate and use data to make decisions that improve profitability, efficiency,
and sustainability. The combined cost of these acquisitions was $89 million, net
of cash acquired. The businesses were assigned to the PPA and CF segments. Most
of the purchase price for these acquisitions was allocated to goodwill and other
intangible assets.
(2) Special Items
Impairment In the third quarter of 2025, the company recorded a non-cash charge
of $61 million pretax ($49 million after-tax), primarily related to the trade
name and customer relationship assets of external overseas battery operations.
Of this amount, $53 million was recorded in “Selling, administrative and general
expenses” and $8 million in “Cost of sales.” The charge is presented in
“Impairments and other adjustments” in the statements of consolidated cash
flows. The impairment resulted from slowing external demand for batteries, which
indicated that it is probable future cash flows would not cover the carrying
value of the assets. Discrete Tax Items In the first quarter of 2025, the
company recorded favorable net discrete tax items primarily due to tax benefits
of $110 million related to the realization of foreign net operating losses from
the consolidation of certain subsidiaries and $53 million from an adjustment to
an uncertain tax position of a foreign subsidiary. Banco John Deere S.A. In
2024, the company entered into an agreement with a Brazilian bank, Banco
Bradesco S.A. (Bradesco), for Bradesco to invest and become a 50% owner of the
company’s wholly-owned subsidiary in Brazil, Banco John Deere S.A. (BJD). BJD
finances retail and wholesale loans for agricultural, construction, and forestry
equipment. The transaction is intended to reduce the company’s incremental risk
as it continues to grow in the Brazilian market. The BJD business was
reclassified as held for sale in 2024. In January 2025, the valuation allowance
on assets held for sale decreased, resulting in a pretax and after-tax gain
(reversal of previous losses) of $32 million recorded in “Selling,
administrative and general expenses” in the nine months ended July 27, 2025. The
valuation allowance changes are presented in “Impairments and other adjustments”
in the statements of consolidated cash flows. The company deconsolidated BJD
upon completion of the transaction in February 2025. The company accounts for
its investment in BJD using the equity method of accounting and results of its
operations are reported in “Equity in income (loss) of unconsolidated
affiliates” within the Financial Services segment. The company reports
investments in unconsolidated affiliates and receivables from unconsolidated
affiliates in “Other assets” and “Other receivables,” respectively.
14
Summary of 2025 Special Items The following table summarizes the operating
profit impact of the special items recorded in millions of dollars for the three
months and nine months ended July 27, 2025.
…
…
… … … … …
──────────────────────────────────────────────────────────────────────────────
$ … $ … $ … $ … … … … …
… …
$ … $ … $ … $ … … … … … …
The consolidated financial statements represent the consolidation of
all the company’s subsidiaries. The supplemental consolidating data in
Note 4 to the financial statements is presented for informational
purposes. Equipment operations represent the enterprise without
Financial Services. Equipment operations include the company’s
(3) Production & Precision Agriculture operations, Small Agriculture & Turf
operations, Construction & Forestry operations, and other corporate
assets, liabilities, revenues, and expenses not reflected within
Financial Services. Transactions between the equipment operations and
Financial Services have been eliminated to arrive at the consolidated
financial statements.
15
DEERE & COMPANY (4) SUPPLEMENTAL CONSOLIDATING DATA STATEMENTS OF INCOME For the
Three Months Ended August 2, 2026 and July 27, 2025 (In millions of dollars)
Unaudited
… …
… … … …
… … … … … … … …
──────────────────────────────────────────────────────────────────────────────
$ … $ 1… $ 1… $ 1…
… 1… $ 1… $ 1… $ -… $ -… 1… 1… 1
…
… 1… 1… 1… -… -… 2… 2… …
4
… 1… 1… 1… -… -… 1… 1…
… 7… -… -8 7… 7… 4
… 5… 5… 5…
… 9… 2… 2… -2 -2 1… 1… 4
… 1… 6… 7… -… -… 7… 7… 1
… 1… -… -… 1
…
… -8 3… 3… -… -… 2… 2… …
5
… 9… 1… 1… -… -… 1… 1…
… 1… 2… 2… 1… 1…
… 2… 57 65 5… 3…
… 1… 1… 1… 1… 1…
1 -1 23 11 24 10
… 1… 2… 2… 1… 1…
… -… -2 -…
$ … $ 1… $ 2… $ 2… $ 1… $ 1…
1 Elimination of intercompany interest income and expense. 2 Elimination of
equipment operations’ margin from inventory transferred to equipment on
operating leases. 3 Elimination of income and expenses between equipment
operations and Financial Services related to intercompany guarantees of
investments in certain international markets. 4 Elimination of intercompany
service revenues and fees. 5 Elimination of Financial Services’ lease
depreciation expense related to inventory transferred to equipment on operating
leases.
16
DEERE & COMPANY SUPPLEMENTAL CONSOLIDATING DATA (Continued) STATEMENTS OF INCOME
For the Nine Months Ended August 2, 2026 and July 27, 2025 (In millions of
dollars) Unaudited
… …
… … … …
… … … … … … … …
──────────────────────────────────────────────────────────────────────────────
$ … $ 2… $ 3… $ 2…
… 3… $ 4… $ 4… $ -… $ -… 4… 4… 1
…
… 5… 4… 3… -… -… 7… 7… …
4
… 2… 4… 4… -… -… 3… 3…
… 2… -… -… 2… 2… 4
… 1… 1… 1…
… 2… 6… 6… -6 -6 3… 3… 4
… 2… 1… 2… -… -… 2… 2… 1
… 3… -… -… 1
…
… -… 1… 1… -… -… 8… 8… …
5
… 2… 3… 3… -… -… 3… 2…
… 4… 8… 7… 5… 4…
… 7… 1… 1… 1… 9…
… 3… 6… 5… 3… 3…
-4 34 15 34 11
… 3… 6… 5… 3… 3…
… -… -6 -…
$ … $ 3… $ 6… $ 5… $ 3… $ 3…
1 Elimination of intercompany interest income and expense. 2 Elimination of
equipment operations’ margin from inventory transferred to equipment on
operating leases. 3 Elimination of income and expenses between equipment
operations and Financial Services related to intercompany guarantees of
investments in certain international markets. 4 Elimination of intercompany
service revenues and fees. 5 Elimination of Financial Services’ lease
depreciation expense related to inventory transferred to equipment on operating
leases.
17
DEERE & COMPANY SUPPLEMENTAL CONSOLIDATING DATA (Continued) CONDENSED BALANCE
SHEETS (In millions of dollars) Unaudited
──────────────────────────────────────────────────────────────────────────────
6
7
8
9
6
…
8
9
…
…
6 Elimination of receivables / payables between equipment operations and
Financial Services. 7 Primarily reclassification of sales incentive accruals on
receivables sold to Financial Services. 8 Reclassification of other receivables
/ payables. 9 Reclassification of deferred tax assets / liabilities in the same
taxing jurisdictions. 10 Elimination of Financial Services’ equity.
18
DEERE & COMPANY SUPPLEMENTAL CONSOLIDATING DATA (Continued) STATEMENTS OF CASH
FLOWS For the Nine Months Ended August 2, 2026 and July 27, 2025 (In millions of
dollars) Unaudited
… …
… … … …
… … … … … … … …
──────────────────────────────────────────────────────────────────────────────
$ … $ 3… $ 6… $ 5… $ 3… $ 3…
… 18 2… 2… 2… 2…
… 9… 8… 8… $ -… $ -… 1… 1… …
61 -… 29
1… 1… 1… 1… …
… 1… -… -… …
… -… -… 1… -… -…
… -… -… -… -… -… …
…
… -… -… -… -… -… …
… -… -… 69 -… -… -… -… …
… -… -… -… -… -…
… -… -8 -… -… -…
…
… 1… 71 1… -… -… -… 2… …
…
… 3… 1… 1… -… -… 3… 3…
2… 2… -… -… 1… 1… …
… 27 2… 3… 3… 3…
1… 1… 1… 1…
-… -… 2… 2… -… -… …
… -… -… -…
… -… -… -… -… -…
… -… -2 -1 -… -…
-… -… 1… 1… -… -… …
… 5 …
-… -… 1… 8… …
1… 1… 1… 1… 3…
1 4 -… 1… -… 1…
… -… -… -… -… -…
… -… -… -… 1… 7… -… -…
… 2… 3… -… 3… -…
… -… 7… 6…
… 2… 4… 8… 5… 1…
… -… -… -… -… -…
… -… -… -…
5 -5 …
… -… -… -… 7… 1… -… -… …
… -… -… -… -… -…
… -… -… -… 7… 1… -… -…
… 96 -2 12 20 1…
… 1… 3… 1… 6… 1…
… 5… 2… 1… 8… 7…
$ … $ 6… $ 2… $ 2… $ 9… $ 8…
11 Elimination of depreciation on leases related to inventory transferred to
equipment on operating leases. 12 Reclassification of share-based compensation
expense. 13 Elimination of dividends from Financial Services to the equipment
operations, which are included in the equipment operations operating activities.
14 Primarily reclassification of receivables related to the sale of equipment.
15 Reclassification of direct lease agreements with retail customers. 16
Reclassification of sales incentive accruals on receivables sold to Financial
Services. 17 Elimination of change in investment from equipment operations to
Financial Services.
19