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Deere stock prices fall after earnings report finds company made $2B in net income for 2nd quarter

According to the quarterly earnings report, Deere's sales and profit increased due to price realization and higher shipment volumes.

MOLINE, Ill. — Shares of agricultural equipment manufacturer Deere & Company's stock fell to a three-month low in premarket trading Friday, May 20 after reporting its second-quarter profit and revenue were above expectations due to demand caused by supply chain pressures, according to financial news source MarketWatch.

For the second quarter that ended on May 1, Deere reported a net income of about $2.1 billion, up from about $1.8 billion for the second quarter of 2021. The income for the most recent quarter equates to $6.81 per share of stock.

RELATED: Deere and beer | Busch Light collabs with John Deere for limited-edition cans

"Deere's second-quarter performance reflected a continuation of strong demand even as we face supply-chain pressures affecting production levels and delivery schedules," Deere CEO John C. May said in a statement Friday. "Deere employees, suppliers and dealers are working hard to address these challenges. We are proud of their extraordinary efforts to get products to our customers as soon as possible under the challenging circumstances."

According to the quarterly earnings report, Deere's sales and profit increased due to price realization and higher shipment volumes. However, profit was still affected by the higher costs of production, research and development and other impairments related to Russia's invasion of Ukraine.

RELATED: John Deere, ADM close Ukraine sites amid crisis; WIU professor weighs costs to economy

In February, Deere reported its offices in Ukraine were closed, but its training and distribution centers in Russia remained open.

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