AGCO improved the forecast of financial results 2017 to US$ 8 billion

AGCO Corporation presented the results of its work for the first 6 months of 2017, as well as promising directions for further development.

Traktorist.ua reports that the Corporation analyzed the main sales markets and increased its forecasts for 2017. As there is an increase in demand in Europe and the Middle East, while the key markets of South America are also growing, AGCO expects an increase in network sales to US$ 8 billion, or US$ 3 net profit per share.

AGCO noted an increase in margins due to investments in new technologies, improved productivity and the development of new markets.

"We will continue investing in precision farming. We are also investing in the modernization and expansion of our production facilities in Germany," said Martin H. Richenhagen, Chairman, President and CEO of AGCO.

The volume of network sales of AGCO in Europe and the Middle East in H1 2017 grew by 4.6% from US$ 2.07 billion to US$ 2.16 billion compared to the same period in 2016.

The sales profit in the region for this period amounts to US$ 237.7 million (2016 — US$ 211.6 million).

The sales volume in Europe/Middle East region in 2016 is valued at US$ 4.2 billion. The company plans to increase this indicator by 10% annually, and expects to receive US$ 8 billion in 2020.

Earlier it was reported that AGCO in 2016 invested about US$ 300 million in research and development.