John Deere (DE) Q3 2025 earnings

John Deere He warns that tariff costs for agricultural machinery company can reach a total of $ 600 million for 2025.

On Thursday, the company issued a third -financial -quarter gain report and defeated in the upper and bottom lines, but has issued significant annual decreases in net income and sales.

The share was roughly 7% in noon trade.

The company said that its operating profits for the quarter are primarily reduced due to higher tariffs and production costs associated with it.

Deere’s investor relations director John Beal, a call with analysts on Thursday, said the company had a significant blow due to tariffs in the third quarter.

“Tariff costs in the quarter was about 200 million dollars in the quarter, which brings us to tariff expenses of approximately $ 300 million based on tariff rates in force today.” He said. “Tariffs in the 2025 fiscal year before the effect of the pre -tax effect of our estimation is now set for approximately 600 million dollars.”

Based on LSEG’s Analysts Survey, how Wall Street performances in the third quarter of the company compared to what it expects:

• Earning per share: Expected $ 4.75 per share and $ 4.63
• Revenues: 10.36 billion dollars and 10.31 billion dollars

For the quarter ended on July 24, Deere fell from 1.73 billion dollars to 26% compared to the previous year, reporting a net revenue of 1.29 billion dollars. The total net sales of the company decreased from $ 12.02 billion to $ 13.15 billion and received 9% hit during the period.

Deere also increased the highest end of the net income appearance for the fiscal year to $ 4.75 billion to $ 5.25 billion compared to an estimation of $ 4.75 billion to 5.5 billion dollars.

CEO John May, “CEO John May,” We are determined to offer solutions that meet the current needs of our customers. “Positive results strengthen our confidence in the future of Deere despite the close -term uncertainty.”

Oppenheimer’s analyst Kristen Owen said that the company has received “appropriate cautious optimistic appearance” given the company considering the wider economic environment.

In CNBC’s “money carriers”, he said, “Indeed, what’s the uncertainty looks like,” he said. “2026 demand, the commodity is not as favorable as it was under the ground and you have a lot of trade uncertainty, how does it look in this environment because we are in this environment?”

Deere also said that the company has seen increasing demand shoots in Europe and South America.

Cory Reed, Head of Deere’s Department of Agriculture and Grass around the world, said the company believes that there are good things to get out of economic struggles.

“We think there are positive tail winds since we see in trade agreements, and we think there are positive tail winds since we see it in tax policy.” He said.