Deere & Company (NYSE:DE) saw its shares tank Wednesday, on announcing lower net income in its fourth quarter.
The Modine, Illinois farm equipment maker announced Wednesday net income of $722 million for the fourth quarter or $2.27 per share, compared with net income of $785 million, or $2.42 per share, in the prior-year quarter.
DE also said worldwide net sales and revenues increased 5% in both the fourth quarter and full year of 2019 to $9.896 billion and $39.258 billion, for the respective periods. Net sales of the equipment operations were $8.703 billion for the quarter and $34.886 billion for the year, compared with respective totals of $8.343 billion and $33.351 billion in 2018.
Net income attributable to Deere & Company for fiscal 2020 is forecast to be in a range of $2.7 billion to $3.1 billion.
Said CEO John May, “John Deere’s performance reflected continued uncertainties in the agricultural sector, “Lingering trade tensions coupled with a year of difficult growing and harvesting conditions have caused many farmers to become cautious about making major investments in new equipment.
Net income attributable to Deere & Company for fiscal 2020 is forecast to be in a range of $2.7 billion to $3.1 billion.
DE shares opened Wednesday down $7.58, or 4.3%, to $169.07