Deere Lifts Annual Profit Outlook With Improving Farm Conditions

Michael Hirtzer

Thu, February 19, 2026 at 8:12 PM GMT+9 1 min read

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Bloomberg

(Bloomberg) – Deere & Co. boosted its profit outlook for the year as the world’s largest farm-machinery maker anticipates the agriculture economy will get better soon.

The company estimated net income between $4.5 billion and $5 billion, according to a Thursday statement. That’s above Deere’s initial outlook in November of between $4 billion and $4.75 billion, and compares to the Bloomberg estimate for $4.45 billion.

Deere shares were up as much as 4.2% in premarket trading.

The optimism comes as Chicago soybean prices have been rising amid a revival of US exports to China. President Donald Trump has said China could buy more than an initial target for this season of 12 million tons, raising hopes for further demand.

“While the global large agriculture industry continues to experience challenges, we’re encouraged by the ongoing recovery in demand within both the construction and small agriculture segments,” Chief Executive Officer John May said in the statement.

“These positive developments reinforce our belief that 2026 represents the bottom of the current cycle and provides us with a strong foundation for accelerated growth going forward,” May said.

Still, Deere rival CNH Industrial NV earlier this week took a more cautious stance, saying it will likely be 2027 before machinery sales start climbing again, as growers remain squeezed by low crop prices and relatively high costs for seeds, fertilizer and machinery.

–With assistance from Janine Panzer.

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