May 29, 2013. /Lesprom Network/. John Deere's Construction & Forestry sales decreased 6% for the 2Q and six months mainly due to lower shipment volumes. Operating profit was $81 million for the 2Q and $153 million for six months, compared with $119 million and $243 million last year, as the company said in a press release received by Lesprom Network. 

The decline in operating profit for both periods was due primarily to lower shipment volumes, increases in production costs and higher selling, administrative and general expenses, partially offset by price realization. In addition, an unfavorable product mix and higher research and development expenses affected year-to-date results.

Deere's worldwide sales of construction and forestry equipment are forecast to decrease by about 5% for 2013. The decline reflects a cautious outlook for U.S. economic growth, cool, wet weather conditions in North America, and flat sales in world forestry markets. In forestry, further weakness in European markets is expected to offset higher U.S. demand.