The latest financial results show construction and logging machine sales to be strong.
John Deere indicates that the good sales results from 2014 for construction and forestry machines is expected to be maintained in 2015. They are reaping the benefits of a well-rounded business line-up, as the farm sector is currently subdued due to reduced demand for agricultural equipment, specifically for larger models. Sales for construction and forestry equipment increased 13% for the first quarter. Operating profit for these machines for the quarter increased from US $ 94 million to US $ 146 million. The improvement was due to higher shipment volumes. John Deere predicts that sales of construction and forestry equipment will increase by 5% in 2015, and this is due to economic growth and higher housing starts in the US, although it is slightly offset by weakening conditions in the energy sector and energy producing regions. Global sales are expected to be similar to 2014, as the gains in the US and Europe are offset by declines elsewhere. Source: www.deere.com