Deere & Company (DE) shares plummeted 5.19% in pre-market trading Wednesday after the agricultural equipment giant reported lower quarterly profit and issued a weaker-than-expected forecast for fiscal 2026.

The company posted Q4 net income of $1.06 billion ($3.93/share), down from $1.24 billion ($4.55/share) a year earlier, citing weak demand for tractors and combine harvesters. While revenue rose 14% to $10.58 billion (above estimates), Deere projected FY2026 net income of $4.0B-$4.75B, below the $5.11B analysts expected.

CEO John May acknowledged ongoing margin pressures from tariffs and challenges in the large agriculture sector, though he expressed optimism about long-term recovery opportunities in smaller agriculture and construction segments.