Deere Reports Net Income of $1.065 Billion for Fourth Quarter, $5.027 Billion for Fiscal Year
MOLINE, Ill., Nov. 26, 2025 /PRNewswire/ -- Deere & Company (NYSE: DE) reported net income of $1.065 billion for the fourth quarter ended November 2, 2025, or $3.93 per share, compared with net income of $1.245 billion, or $4.55 per share, for the quarter ended October 27, 2024. For fiscal year 2025, net income attributable to Deere & Company was $5.027 billion, or $18.50 per share, compared with $7.100 billion, or $25.62 per share, in fiscal 2024.
Worldwide net sales and revenues increased 11%, to $12.394 billion, for the fourth quarter of 2025 and decreased 12%, to $45.684 billion, for the full year. Net sales were $10.579 billion for the quarter and $38.917 billion for the year, compared with $9.275 billion and $44.759 billion in fiscal 2024, respectively.
"This past year brought its share of challenges and uncertainty, but thanks to the structural improvements we've made and the diverse customer segments and geographies we serve, we were able to achieve our best results yet for this point in the cycle," said John May, chairman and CEO of John Deere. "Our continued commitment to delivering customer value and focusing on operational efficiency enabled us to remain resilient and demonstrate the strength of our business."
Company Outlook & Summary
Net income attributable to Deere & Company for fiscal 2026 is forecasted to be in a range of $4.00 billion to $4.75 billion.
"Looking ahead, we believe 2026 will mark the bottom of the large ag cycle," May stated. "While ongoing margin pressures from tariffs and persistent challenges in the large ag sector remain, our commitment to inventory management and cost control, coupled with expected growth in small agriculture & turf and construction & forestry, positions us to effectively manage the business and seize emerging opportunities as market conditions begin to recover."
Deere & Company
Fourth Quarter
Full Year
$ in millions, except per share amounts
2025
2024
% Change
2025
2024
% Change
Net sales and revenues
$
12,394
$
11,143
11 %
$
45,684
$
51,716
-12 %
Net income
$
1,065
$
1,245
-14 %
$
5,027
$
7,100
-29 %
Fully diluted EPS
$
3.93
$
4.55
$
18.50
$
25.62
Results for the presented periods were affected by special items. See Note 2 of the financial statements for further details. The cost of additional tariffs for each segment is included in the "Production costs" and "Other" categories below.
Production & Precision Agriculture
Fourth Quarter
$ in millions
2025
2024
% Change
Net sales
$
4,740
$
4,305
10 %
Operating profit
$
604
$
657
-8 %
Operating margin
12.7 %
15.3 %
Production & Precision Agriculture sales increased for the quarter due to higher shipment volumes and favorable price realization. Operating profit decreased primarily due to higher production costs, higher tariffs, and special items described in Note 2, partially offset by price realization and higher shipment volumes / sales mix.
Small Agriculture & Turf
Fourth Quarter
$ in millions
2025
2024
% Change
Net sales
$
2,457
$
2,306
7 %
Operating profit
$
25
$
234
-89 %
Operating margin
1.0 %
10.1 %
Small Agriculture & Turf sales increased for the quarter due to higher shipment volumes. Operating profit decreased due to higher tariffs, warranty expenses, and production costs.
Construction & Forestry
Fourth Quarter
$ in millions
2025
2024
% Change
Net sales
$
3,382
$
2,664
27 %
Operating profit
$
348
$
328
6 %
Operating margin
10.3 %
12.3 %
Construction & Forestry sales increased for the quarter due to higher shipment volumes. Operating profit increased primarily due to higher shipment volumes / sales mix, partially offset by increased production costs driven by higher tariffs and special items described in Note 2.
Financial Services
Fourth Quarter
$ in millions
2025
2024
% Change
Net income
$
293
$
173
69 %
Financial Services net income for the quarter was higher due to favorable financing spreads, special items described in Note 2, and a lower provision for credit losses.
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 to up 5%
South America (Tractors & Combines)
Flat
Asia
Down ~5%
Construction & Forestry
U.S. & Canada:
Construction Equipment
Flat to up 5%
Compact Construction Equipment
Flat to up 5%
Global Forestry
Flat
Global Roadbuilding
Flat
Deere Segment Outlook for Fiscal 2026
Currency
Price
$ in millions
Net Sales
Translation
Realization
Production & Precision Ag
Down 5 to 10%
+1.5 %
~ +1.5%
Small Ag & Turf
Up ~10%
+1.0 %
~ +2.0%
Construction & Forestry
Up ~10%
+1.0 %
~ +3.0%
Financial Services
Net Income
~ $830
FORWARD-LOOKING STATEMENTS
Certain statements contained herein, including in the section entitled "Company Outlook & Summary," "Industry Outlook for Fiscal 2026," "Deere Segment Outlook for Fiscal 2026," and "Condensed Notes to 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 currently available information and 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:
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 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.
DEERE & COMPANY
FOURTH QUARTER 2025 PRESS RELEASE
(In millions of dollars) Unaudited
Three Months Ended
Years Ended
November 2
October 27
%
November 2
October 27
%
2025
2024
Change
2025
2024
Change
Net sales and revenues:
Production & Precision Ag net sales
$
4,740
$
4,305
+10
$
17,311
$
20,834
-17
Small Ag & Turf net sales
2,457
2,306
+7
10,224
10,969
-7
Construction & Forestry net sales
3,382
2,664
+27
11,382
12,956
-12
Financial Services revenues
1,548
1,522
+2
5,821
5,782
+1
Other revenues
267
346
-23
946
1,175
-19
Total net sales and revenues
$
12,394
$
11,143
+11
$
45,684
$
51,716
-12
Operating profit: *
Production & Precision Ag
$
604
$
657
-8
$
2,671
$
4,514
-41
Small Ag & Turf
25
234
-89
1,207
1,627
-26
Construction & Forestry
348
328
+6
1,028
2,009
-49
Financial Services
374
231
+62
1,114
889
+25
Total operating profit
1,351
1,450
-7
6,020
9,039
-33
Reconciling items **
68
43
+58
266
155
+72
Income taxes
(354)
(248)
+43
(1,259)
(2,094)
-40
Net income attributable to Deere & Company
$
1,065
$
1,245
-14
$
5,027
$
7,100
-29
*
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 Months and Years Ended November 2, 2025 and October 27, 2024
(In millions of dollars and shares except per share amounts) Unaudited
Three Months Ended
Years Ended
2025
2024
2025
2024
Net Sales and Revenues
Net sales
$
10,579
$
9,275
$
38,917
$
44,759
Finance and interest income
1,515
1,551
5,748
5,759
Other income
300
317
1,019
1,198
Total
12,394
11,143
45,684
51,716
Costs and Expenses
Cost of sales
7,944
6,571
28,159
30,775
Research and development expenses
681
626
2,311
2,290
Selling, administrative and general expenses
1,276
1,232
4,663
4,840
Interest expense
762
870
3,170
3,348
Other operating expenses
307
326
1,124
1,257
Total
10,970
9,625
39,427
42,510
Income of Consolidated Group before Income Taxes
1,424
1,518
6,257
9,206
Provision for income taxes
354
248
1,259
2,094
Income of Consolidated Group
1,070
1,270
4,998
7,112
Equity in loss of unconsolidated affiliates
(10)
(28)
(24)
Net Income
1,060
1,242
4,998
7,088
Less: Net loss attributable to noncontrolling interests
(5)
(3)
(29)
(12)
Net Income Attributable to Deere & Company
$
1,065
$
1,245
$
5,027
$
7,100
Per Share Data
Basic
$
3.94
$
4.57
$
18.55
$
25.73
Diluted
3.93
4.55
18.50
25.62
Dividends declared
1.62
1.47
6.48
5.88
Dividends paid
1.62
1.47
6.33
5.76
Average Shares Outstanding
Basic
270.3
272.6
270.9
276.0
Diluted
271.1
273.6
271.7
277.1
See Condensed Notes to Consolidated Financial Statements.
DEERE & COMPANY
CONDENSED CONSOLIDATED BALANCE SHEETS
As of November 2, 2025 and October 27, 2024
(In millions of dollars) Unaudited
2025
2024
Assets
Cash and cash equivalents
$
8,276
$
7,324
Marketable securities
1,411
1,154
Trade accounts and notes receivable – net
5,317
5,326
Financing receivables – net
44,575
44,309
Financing receivables securitized – net
6,831
8,723
Other receivables
2,403
2,545
Equipment on operating leases – net
7,600
7,451
Inventories
7,406
7,093
Property and equipment – net
8,079
7,580
Goodwill
4,188
3,959
Other intangible assets – net
892
999
Retirement benefits
3,273
2,921
Deferred income taxes
2,284
2,086
Other assets
3,461
2,906
Assets held for sale
2,944
Total Assets
$
105,996
$
107,320
Liabilities and Stockholders' Equity
Liabilities
Short-term borrowings
$
13,796
$
13,533
Short-term securitization borrowings
6,596
8,431
Accounts payable and accrued expenses
13,909
14,543
Deferred income taxes
434
478
Long-term borrowings
43,544
43,229
Retirement benefits and other liabilities
1,710
2,354
Liabilities held for sale
1,827
Total liabilities
79,989
84,395
Redeemable noncontrolling interest
51
82
Stockholders' Equity
Total Deere & Company stockholders' equity
25,950
22,836
Noncontrolling interests
6
7
Total stockholders' equity
25,956
22,843
Total Liabilities and Stockholders' Equity
$
105,996
$
107,320
See Condensed Notes to Consolidated Financial Statements.
DEERE & COMPANY
STATEMENTS OF CONSOLIDATED CASH FLOWS
For the Years Ended November 2, 2025 and October 27, 2024
(In millions of dollars) Unaudited
2025
2024
Cash Flows from Operating Activities
Net income
$
4,998
$
7,088
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses
296
310
Depreciation and amortization
2,229
2,118
Impairments and other adjustments
41
125
Share-based compensation expense
151
208
Credit for deferred income taxes
(288)
(294)
Changes in assets and liabilities:
Receivables related to sales
1,084
421
Inventories
(275)
788
Accounts payable and accrued expenses
(251)
(1,040)
Accrued income taxes payable/receivable
(136)
(123)
Retirement benefits
(865)
(227)
Other
475
(143)
Net cash provided by operating activities
7,459
9,231
Cash Flows from Investing Activities
Collections of receivables (excluding receivables related to sales)
26,480
25,162
Proceeds from maturities and sales of marketable securities
486
832
Proceeds from sales of equipment on operating leases
1,917
1,929
Cost of receivables acquired (excluding receivables related to sales)
(26,340)
(28,816)
Acquisitions of businesses, net of cash acquired
(101)
Purchases of marketable securities
(703)
(1,055)
Purchases of property and equipment
(1,360)
(1,640)
Cost of equipment on operating leases acquired
(2,868)
(3,162)
Collections of receivables from unconsolidated affiliates
507
Loans to unconsolidated affiliates
(109)
Collateral on derivatives – net
182
413
Other
(148)
(127)
Net cash used for investing activities
(2,057)
(6,464)
Cash Flows from Financing Activities
Net payments in short-term borrowings (original maturities three months or less)
(2,539)
(1,856)
Proceeds from borrowings issued (original maturities greater than three months)
13,161
18,096
Payments of borrowings (original maturities greater than three months)
(12,264)
(13,232)
Repurchases of common stock
(1,138)
(4,007)
Dividends paid
(1,720)
(1,605)
Other
(79)
(113)
Net cash used for financing activities
(4,579)
(2,717)
Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash
77
(37)
Net Increase in Cash, Cash Equivalents, and Restricted Cash
900
13
Cash, Cash Equivalents, and Restricted Cash at Beginning of Year
7,633
7,620
Cash, Cash Equivalents, and Restricted Cash at End of Year
$
8,533
$
7,633
See Condensed Notes to Consolidated Financial Statements.
DEERE & COMPANY
Condensed Notes to Consolidated Financial Statements
(In millions of dollars) Unaudited
(1) Acquisitions
In 2025, the company acquired several small-scale 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 aimed at improving profitability, efficiency, and sustainability. In addition, the company acquired the remaining ownership interest of an equity method investment. The combined purchase price consideration for these acquisitions was $115 million, consisting of $101 million cash, net of cash acquired, and $14 million loan forgiven. The businesses were assigned to the Production & Precision Agriculture (PPA), Small Agriculture & Turf (SAT), and Construction & Forestry (CF) segments. Most of the purchase price for these acquisitions was allocated to goodwill and intangible assets.
(2) Special Items
Litigation Accrual
In the fourth quarter of 2025, the company increased the total accrued losses on unresolved legal matters in connection with a consolidated multidistrict class action antitrust lawsuit by $95 million pretax ($75 million after-tax) which was included in "Selling, administrative and general expenses."
Impairment of Intangible Assets
In the third quarter of 2025, the company recorded a non-cash impairment 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." This 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 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 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.
BJD was reclassified as held for sale in 2024, resulting in a net loss of $59 million pretax and after-tax due to the establishment of a $97 million valuation allowance on the assets held for sale and a $38 million reversal of allowance for credit losses. In the first quarter of 2025, a gain of $32 million pretax and after-tax was recorded in "Selling, administrative and general expenses" related to a decrease in valuation allowance. The valuation allowance changes are presented in "Impairments and other adjustments" in the statements of consolidated cash flows. No significant gain or loss was recognized upon completion of the transaction. The equity interest in BJD was valued at $362 million at the deconsolidation date.
Legal Settlements
The company reached legal settlements concerning patent infringement claims. As a result of these settlements, in the fourth quarter of 2024, the company recognized a total of $57 million pretax gain ($45 million after-tax) in "Other Income," providing a benefit of $17 million to PPA and $40 million to CF. These settlements resolve the disputes without any admission of liability by the parties involved. The company believes that these settlements enhance its ability to protect its intellectual property and reinforce its commitment to innovation and technological advancement.
Impairment of Investment in Unconsolidated Affiliate
In the fourth quarter of 2024, the company recorded a non-cash charge of $28 million pretax and after-tax in "Equity in income (loss) of unconsolidated affiliates" for an other than temporary decline in value of an investment recorded in SAT. This is presented in "Impairments and other adjustments" in the statements of consolidated cash flows.
Employee-Separation Programs
In the third quarter of 2024, the company implemented employee-separation programs for the company's salaried workforce in several geographic areas, including the United States, Europe, Asia, and Latin America. The programs' main purpose was to help meet the company's strategic priorities while reducing overlap and redundancy in roles and responsibilities. The programs were largely involuntary in nature with the expense recorded when management committed to a plan, the plan was communicated to the employees, and the employees were not required to provide service beyond the legal notification period. For the limited voluntary employee-separation programs, the expense was recorded in the period in which the employee irrevocably accepted a separation offer.
The programs' pretax expenses recorded for the periods ended October 27, 2024, by operating segment were as follows in millions of dollars:
Three Months
Fiscal Year
PPA
SAT
CF
FS
Total
PPA
SAT
CF
FS
Total
Cost of sales
$
3
$
2
$
5
$
21
$
11
$
8
$
40
Research and development expenses
3
3
$
1
7
22
9
2
33
Selling, administrative and general expenses
9
9
1
$
1
20
34
23
12
$
10
79
Total operating profit decrease
$
15
$
14
$
2
$
1
32
$
77
$
43
$
22
$
10
152
Non-operating profit expenses*
1
5
Total
$
33
$
157
*
Relates primarily to corporate expenses.
Summary of 2025 and 2024 Special Items
The following table summarizes the operating profit impact, in millions of dollars, of the special items recorded for the three months and fiscal years ended November 2, 2025, and October 27, 2024:
Three Months
Fiscal Years
PPA
SAT
CF
FS
Total
PPA
SAT
CF
FS
Total
2025 Expense (benefit):
Litigation accrual
$
47
$
24
$
24
$
95
$
47
$
24
$
24
$
95
Impairment
28
17
16
61
BJD measurement
$
(32)
(32)
Total expense (benefit)
47
24
24
95
75
41
40
(32)
124
2024 Expense (benefit):
Legal settlements
(17)
(40)
(57)
(17)
(40)
(57)
Impairment
28
28
28
28
Employee-separation programs
15
14
2
$
1
32
77
43
22
10
152
BJD measurement
44
44
59
59
Total expense (benefit)
(2)
42
(38)
45
47
60
71
(18)
69
182
Period over period change
$
49
$
(18)
$
62
$
(45)
$
48
$
15
$
(30)
$
58
$
(101)
$
(58)
(3)
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 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 November 2, 2025 and October 27, 2024
(In millions of dollars) Unaudited
EQUIPMENT
FINANCIAL
OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED
2025
2024
2025
2024
2025
2024
2025
2024
Net Sales and Revenues
Net sales
$
10,579
$
9,275
$
10,579
$
9,275
Finance and interest income
169
154
$
1,500
$
1,569
$
(154)
$
(172)
1,515
1,551
1
Other income
242
274
171
117
(113)
(74)
300
317
2, 3, 4
Total
10,990
9,703
1,671
1,686
(267)
(246)
12,394
11,143
Costs and Expenses
Cost of sales
7,950
6,578
(6)
(7)
7,944
6,571
4
Research and development expenses
681
626
681
626
Selling, administrative and general expenses
1,095
946
183
288
(2)
(2)
1,276
1,232
4
Interest expense
91
83
716
828
(45)
(41)
762
870
1
Interest compensation to Financial Services
109
131
(109)
(131)
1
Other operating expenses
16
54
396
337
(105)
(65)
307
326
3, 4, 5
Total
9,942
8,418
1,295
1,453
(267)
(246)
10,970
9,625
Income before Income Taxes
1,048
1,285
376
233
1,424
1,518
Provision for income taxes
269
187
85
61
354
248
Income after Income Taxes
779
1,098
291
172
1,070
1,270
Equity in income (loss) of unconsolidated affiliates
(12)
(29)
2
1
(10)
(28)
Net Income
767
1,069
293
173
1,060
1,242
Less: Net loss attributable to noncontrolling interests
(5)
(3)
(5)
(3)
Net Income Attributable to Deere & Company
$
772
$
1,072
$
293
$
173
$
1,065
$
1,245
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 Years Ended November 2, 2025 and October 27, 2024
(In millions of dollars) Unaudited
EQUIPMENT
FINANCIAL
OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED
2025
2024
2025
2024
2025
2024
2025
2024
Net Sales and Revenues
Net sales
$
38,917
$
44,759
$
38,917
$
44,759
Finance and interest income
521
596
$
5,768
$
6,035
$
(541)
$
(872)
5,748
5,759
1
Other income
821
1,006
521
458
(323)
(266)
1,019
1,198
2, 3, 4
Total
40,259
46,361
6,289
6,493
(864)
(1,138)
45,684
51,716
Costs and Expenses
Cost of sales
28,190
30,803
(31)
(28)
28,159
30,775
4
Research and development expenses
2,311
2,290
2,311
2,290
Selling, administrative and general expenses
3,856
3,791
815
1,059
(8)
(10)
4,663
4,840
4
Interest expense
372
396
2,923
3,182
(125)
(230)
3,170
3,348
1
Interest compensation to Financial Services
414
640
(414)
(640)
1
Other operating expenses
(29)
133
1,439
1,354
(286)
(230)
1,124
1,257
3, 4, 5
Total
35,114
38,053
5,177
5,595
(864)
(1,138)
39,427
42,510
Income before Income Taxes
5,145
8,308
1,112
898
6,257
9,206
Provision for income taxes
1,020
1,887
239
207
1,259
2,094
Income after Income Taxes
4,125
6,421
873
691
4,998
7,112
Equity in income (loss) of unconsolidated affiliates
(17)
(29)
17
5
(24)
Net Income
4,108
6,392
890
696
4,998
7,088
Less: Net loss attributable to noncontrolling interests
(29)
(12)
(29)
(12)
Net Income Attributable to Deere & Company
$
4,137
$
6,404
$
890
$
696
$
5,027
$
7,100
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
As of November 2, 2025 and October 27, 2024
(In millions of dollars) Unaudited
EQUIPMENT
FINANCIAL
OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED
2025
2024
2025
2024
2025
2024
2025
2024
Assets
Cash and cash equivalents
$
6,340
$
5,615
$
1,936
$
1,709
$
8,276
$
7,324
Marketable securities
217
125
1,194
1,029
1,411
1,154
Receivables from Financial Services
4,649
3,043
$
(4,649)
$
(3,043)
6
Trade accounts and notes receivable – net
1,316
1,257
5,900
6,225
(1,899)
(2,156)
5,317
5,326
7
Financing receivables – net
88
78
44,487
44,231
44,575
44,309
Financing receivables securitized – net
1
2
6,830
8,721
6,831
8,723
Other receivables
1,809
2,193
658
427
(64)
(75)
2,403
2,545
7
Equipment on operating leases – net
7,600
7,451
7,600
7,451
Inventories
7,406
7,093
7,406
7,093
Property and equipment – net
8,047
7,546
32
34
8,079
7,580
Goodwill
4,188
3,959
4,188
3,959
Other intangible assets – net
892
999
892
999
Retirement benefits
3,181
2,839
94
83
(2)
(1)
3,273
2,921
8
Deferred income taxes
2,507
2,262
46
43
(269)
(219)
2,284
2,086
9
Other assets
2,218
2,194
1,244
715
(1)
(3)
3,461
2,906
Assets held for sale
2,944
2,944
Total Assets
$
42,859
$
39,205
$
70,021
$
73,612
$
(6,884)
$
(5,497)
$
105,996
$
107,320
Liabilities and Stockholders' Equity
Liabilities
Short-term borrowings
$
414
$
911
$
13,382
$
12,622
$
13,796
$
13,533
Short-term securitization borrowings
1
2
6,595
8,429
6,596
8,431
Payables to Equipment Operations
4,649
3,043
$
(4,649)
$
(3,043)
6
Accounts payable and accrued expenses
12,757
13,534
3,116
3,243
(1,964)
(2,234)
13,909
14,543
7
Deferred income taxes
347
434
356
263
(269)
(219)
434
478
9
Long-term borrowings
8,756
6,603
34,788
36,626
43,544
43,229
Retirement benefits and other liabilities
1,646
2,250
66
105
(2)
(1)
1,710
2,354
8
Liabilities held for sale
1,827
1,827
Total liabilities
23,921
23,734
62,952
66,158
(6,884)
(5,497)
79,989
84,395
Redeemable noncontrolling interest
51
82
51
82
Stockholders' Equity
Total Deere & Company stockholders' equity
25,950
22,836
7,069
7,454
(7,069)
(7,454)
25,950
22,836
10
Noncontrolling interests
6
7
6
7
Financial Services' equity
(7,069)
(7,454)
7,069
7,454
10
Adjusted total stockholders' equity
18,887
15,389
7,069
7,454
25,956
22,843
Total Liabilities and Stockholders' Equity
$
42,859
$
39,205
$
70,021
$
73,612
$
(6,884)
$
(5,497)
$
105,996
$
107,320
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 net pension assets / liabilities.
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 Years Ended November 2, 2025 and October 27, 2024
(In millions of dollars) Unaudited
EQUIPMENT
FINANCIAL
OPERATIONS
SERVICES
ELIMINATIONS
CONSOLIDATED
2025
2024
2025
2024
2025
2024
2025
2024
Cash Flows from Operating Activities
Net income
$
4,108
$
6,392
$
890
$
696
$
4,998
$
7,088
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses
18
14
278
296
296
310
Depreciation and amortization
1,280
1,220
1,082
1,040
$
(133)
$
(142)
2,229
2,118
11
Impairments and other adjustments
73
28
(32)
97
41
125
Share-based compensation expense
151
208
151
208
12
Distributed earnings of Financial Services
1,368
250
(1,368)
(250)
13
Provision (credit) for deferred income taxes
(369)
(97)
81
(197)
(288)
(294)
Changes in assets and liabilities:
Receivables related to sales
(91)
(13)
1,175
434
1,084
421
14, 16
Inventories
(138)
1,011
(137)
(223)
(275)
788
15
Accounts payable and accrued expenses
(617)
(1,429)
109
277
257
112
(251)
(1,040)
16
Accrued income taxes payable/receivable
(112)
(218)
(24)
95
(136)
(123)
Retirement benefits
(814)
(215)
(51)
(12)
(865)
(227)
Other
394
(38)
147
40
(66)
(145)
475
(143)
11, 12, 15
Net cash provided by operating activities
5,100
6,905
2,480
2,332
(121)
(6)
7,459
9,231
Cash Flows from Investing Activities
Collections of receivables (excluding receivables related to sales)
27,037
26,029
(557)
(867)
26,480
25,162
14
Proceeds from maturities and sales of marketable securities
46
99
440
733
486
832
Proceeds from sales of equipment on operating leases
1,917
1,929
1,917
1,929
Cost of receivables acquired (excluding receivables related to sales)
(26,623)
(29,152)
283
336
(26,340)
(28,816)
14
Acquisitions of businesses, net of cash acquired
(101)
(101)
Purchases of marketable securities
(125)
(209)
(578)
(846)
(703)
(1,055)
Purchases of property and equipment
(1,358)
(1,636)
(2)
(4)
(1,360)
(1,640)
Cost of equipment on operating leases acquired
(3,053)
(3,464)
185
302
(2,868)
(3,162)
15
Decrease (increase) in investment in Financial Services
(10)
4
10
(4)
17
Decrease in trade and wholesale receivables
1,161
21
(1,161)
(21)
14
Collections of receivables from unconsolidated affiliates
190
317
507
Loans to unconsolidated affiliates
(109)
(109)
Collateral on derivatives – net
(1)
183
413
182
413
Other
(90)
(125)
(61)
(8)
3
6
(148)
(127)
Net cash provided by (used for) investing activities
(1,449)
(1,867)
629
(4,349)
(1,237)
(248)
(2,057)
(6,464)
Cash Flows from Financing Activities
Net proceeds (payments) in short-term borrowings (original maturities three months or less)
144
28
(2,683)
(1,884)
(2,539)
(1,856)
Change in intercompany receivables/payables
(1,695)
1,459
1,695
(1,459)
Proceeds from borrowings issued (original maturities greater than three months)
2,369
159
10,792
17,937
13,161
18,096
Payments of borrowings (original maturities greater than three months)
(923)
(1,123)
(11,341)
(12,109)
(12,264)
(13,232)
Repurchases of common stock
(1,138)
(4,007)
(1,138)
(4,007)
Capital investment from (returned to) Equipment Operations
10
(4)
(10)
4
17
Dividends paid
(1,720)
(1,605)
(1,368)
(250)
1,368
250
(1,720)
(1,605)
13
Other
(53)
(46)
(26)
(67)
(79)
(113)
Net cash provided by (used for) financing activities
(3,016)
(5,135)
(2,921)
2,164
1,358
254
(4,579)
(2,717)
Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash
86
(15)
(9)
(22)
77
(37)
Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash
721
(112)
179
125
900
13
Cash, Cash Equivalents, and Restricted Cash at Beginning of Year
5,643
5,755
1,990
1,865
7,633
7,620
Cash, Cash Equivalents, and Restricted Cash at End of Year
$
6,364
$
5,643
$
2,169
$
1,990
$
8,533
$
7,633
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.
SOURCE John Deere Company