“We expect to produce North American earthmoving equipment in line with retail in 2026.”

In context

“quarter, and we saw this momentum carry into the fourth quarter. Although our numbers require a little unpacking, As you can see in the appendix of our earnings call deck, Q4 North American earthmoving and forestry retail were down a single digit year over year. However, our construction equipment retails were actually up mid-single digits in the quarter. This was offset by a year-over-year decline in compact construction, which faced a difficult comp as we saw strong activity for this segment in October 2024. Notably, our North American earthmoving order book is up around 25% year over year with availability approximately three to four months out. As previously discussed, our underproduction earthmoving in late 2024 and early 2025 has positioned us well from a field inventory standpoint. We expect to produce North American earthmoving equipment in line with retail in 2026. Which is a significant driver of our 2026 net sales guide of up around 10%. Road building and forestry industry volumes are expected to remain flat year over year. Notably, our roadbuilding business given its market leadership position and global diversification, continues to benefit from strength in infrastructure spending around the world. John May: I think it's important to note the impressive synergies that we're seeing in road building particularly in terms of leveraging Deere technology. As the industry leader, we're now expanding the value proposition to customers with tools like the John Deere Operations Center, which we brought to road building in 2025, we believe that customers are now benefiting from an advanced digital platform to monitor fleet, logistics, and job performance.”