SEGMENT DATA

12 Months Ended

Nov. 02, 2025

SEGMENT DATA

SEGMENT DATA

27. SEGMENT DATA

Our operations are organized and reported in four business segments: Production & Precision Agriculture, Small Agriculture & Turf, Construction & Forestry, and Financial Services. This presentation is consistent with how the chief operating decision maker, our Chief Executive Officer (CEO), who also serves as the Chairman of the Board, assesses the performance of the segments and makes decisions regarding resource allocations. Each segment has a group president responsible for managing financial performance and executing strategic initiatives.

● Production & Precision Agriculture – PPA segment defines, develops, and delivers global equipment and technology solutions to unlock customer value for production-scale growers of large grains, small grains, cotton, and sugarcane. The segment’s primary products include four-wheel-drive (4WD), track, and row crop tractors; harvesters; cotton pickers and strippers; sugarcane harvesters and loaders; soil preparation, tillage, seeding, application, crop care equipment; and related attachments and service parts.

● Small Agriculture & Turf – SAT segment defines, develops, and delivers global equipment and technology solutions to unlock customer value for dairy and livestock producers, high-value and small acreage crop producers, and turf and utility customers. The segment’s primary products include specialty, utility, and compact tractors; as well as self-propelled forage harvesters and attachments; hay and forage equipment; rotary mowers; utility vehicles; riding and commercial lawn equipment; golf course equipment; utility vehicles; and related attachments and service parts.

● Construction & Forestry – CF segment defines, develops, and delivers a broad range of machines and technology solutions organized along the earthmoving, forestry, and roadbuilding production systems. The segment’s primary products include backhoe loaders, crawler dozers and loaders, four-wheel-drive and compact wheel loaders, excavators, skid-steer loaders, motor graders, milling machines, pavers, rollers, log harvesters, and related attachments and service parts.

The products and services produced by the segments above are primarily marketed through independent retail dealer networks and major retail outlets. For roadbuilding products in certain markets outside the U.S. and Canada, the products are sold through company-owned sales and service subsidiaries.

● Financial Services – FS segment finances sales and leases by John Deere dealers of new and used production and precision agriculture equipment, small agriculture and turf equipment, and construction and forestry equipment. In addition, the FS segment provides wholesale financing to dealers of the foregoing equipment, finances retail revolving charge accounts, and offers extended equipment warranties.

The CEO evaluates the performance of the business segments based on operating profit, which for FS includes interest income and expense, and on identifiable segment operating assets. Segment operating profit and operating assets are measured using

accounting policies consistent with those applied in the consolidated financial statements. Because of integrated manufacturing operations and common administrative and marketing support, a substantial number of allocations must be made to determine operating segment data. Intersegment transactions are primarily made between the FS segment and PPA, SAT, and CF segments, and are recognized at current market prices. See Notes 5 and 14 for geographic information.

Total identifiable assets assigned to the equipment operations operating segments are those the segments actively manage, consisting of trade receivables, inventories, property and equipment, intangible assets, and certain other assets. Corporate assets are managed on a consolidated basis, including cash and cash equivalents, retirement benefit net assets, goodwill, and deferred income tax assets. Financial services assets include cash and cash equivalents, retirement benefits, and deferred income tax assets that are managed by the segment.

Segment operating profit and identifiable operating assets are the key metrics used by the CEO to monitor results against forecast and prior period results, and to determine variable compensation for employees at all levels. To manage operations and allocate human and capital resources, the CEO receives monthly reports including sales and revenues, operating profit, and assets by operating segment. Interest income and expenses are significant to the FS operations.

Information relating to operations by operating segment follows for the years ended November 2, 2025, October 27, 2024, and October 29, 2023.

	PPA		SAT		CF		FS		Total
2025
External net sales	$	17,311	$	10,224	$	11,382			$	38,917
External finance and interest income		43		45		12	$	5,351		5,451
External other income		211		133		192		470		1,006
Intersegment income		188		30		56		468		742
Total segment net sales and revenues		17,753		10,432		11,642		6,289		46,116
Cost of sales		(11,919)		(7,422)		(8,849)				(28,190)
Interest expense								(2,923)		(2,923)
Other segment items1		(3,163)		(1,803)		(1,765)		(2,252)		(8,983)
Segment operating profit	$	2,671	$	1,207	$	1,028	$	1,114	$	6,020
2024
External net sales	$	20,834	$	10,969	$	12,956			$	44,759
External finance and interest income		46		42		14	$	5,392		5,494
External other income		329		173		238		390		1,130
Intersegment income		171		31		(2)		711		911
Total segment net sales and revenues		21,380		11,215		13,206		6,493		52,294
Cost of sales		(13,621)		(7,753)		(9,429)				(30,803)
Interest expense								(3,182)		(3,182)
Other segment items1		(3,245)		(1,835)		(1,768)		(2,422)		(9,270)
Segment operating profit	$	4,514	$	1,627	$	2,009	$	889	$	9,039

	PPA		SAT		CF		FS		Total
2023
External net sales	$	26,790	$	13,980	$	14,795			$	55,565
External finance and interest income		28		35		12	$	4,366		4,441
External other income		302		169		175		355		1,001
Intersegment income		169		41		3		833		1,046
Total segment net sales and revenues		27,289		14,225		14,985		5,554		62,053
Cost of sales		(17,143)		(9,976)		(10,620)				(37,739)
Interest expense								(2,362)		(2,362)
Other segment items1		(3,150)		(1,777)		(1,670)		(2,397)		(8,994)
Segment operating profit	$	6,996	$	2,472	$	2,695	$	795	$	12,958

¹ Other segment items for PPA, SAT, and CF include selling, administrative and general expenses; advertising; engineering; research and development; certain special items (see Note 4); equity in income (loss) of unconsolidated affiliates; and other miscellaneous operating expenses. Financial Services other segment items include the effect of its selling, administrative and general expenses; foreign exchange gains and losses; equity in income (loss) of unconsolidated affiliates; and other miscellaneous operating expenses.

	2025		2024		2023
Reconciliation of net sales and revenues
Segment net sales and revenues	$	46,116	$	52,294	$	62,053
External other income2		310		333		244
Elimination of intersegment revenues		(742)		(911)		(1,046)
Net sales and revenues	$	45,684	$	51,716	$	61,251
Reconciliation of net income
Segment operating profit	$	6,020	$	9,039	$	12,958
Interest income – excluding FS		420		492		559
Interest expense – excluding FS		(372)		(396)		(411)
Pension and OPEB benefit, excluding service cost component		422		333		286
Corporate other – net3		(233)		(286)		(366)
Income taxes		(1,259)		(2,094)		(2,871)
Net income	$	4,998	$	7,088	$	10,155

² External other income includes corporate investment income, corporate interest income, and other miscellaneous revenue items that are included in “Other income” on the statements of consolidated income.

³ Corporate other - net includes certain foreign exchange gains and losses, certain investment income, and certain corporate administrative and general expenses.

OPERATING SEGMENTS	2025		2024		2023
Depreciation4 and amortization expense
PPA	$	654	$	643	$	581
SAT		261		246		241
CF		365		331		301
FS		1,082		1,040		1,016
Intersegment		(133)		(142)		(135)
Total	$	2,229	$	2,118	$	2,004

Total Assets
PPA	$	8,787	$	8,696	$	8,734
SAT		3,987		4,130		4,348
CF		7,792		7,137		7,139
FS		70,021		73,612		70,732
Corporate5		15,409		13,745		13,134
Total Assets	$	105,996	$	107,320	$	104,087

Capital additions
PPA	$	716	$	1,025	$	896
SAT		301		327		386
CF		345		352		311
FS		2		3		4
Total	$	1,364	$	1,707	$	1,597
Equity investment in unconsolidated affiliates
PPA	$	11	$	12	$	10
SAT		37		61		87
CF						1
FS		462		49		28
Total	$	510	$	122	$	126

⁴ Depreciation includes depreciation for equipment on operating leases.

⁵ Corporate assets are managed on a consolidated basis, including cash and cash equivalents, retirement benefit net assets, goodwill, and deferred income tax assets.