CNH Reports 1st Qtr. Results

CNH Global announced financial results for the quarter ended March 31, 2011. For the quarter, net sales increased 17% to $3.8 billion, as a result of global favorable trading conditions for agricultural equipment.

The company said these results were driven by increased prices in global agricultural commodities, as well as higher construction equipment demand. Equipment Operations posted an Operating Profit of $246 million as a result of higher revenues, increased industrial utilization and improved product pricing.

Net equipment sales for the quarter were 81% agricultural equipment and 19% construction equipment. The company said they expect demand in the agricultural and construction equipment markets to remain firm for the balance of 2011 on the back of a positive environment in agricultural commodity prices and its influence on increased planting and farming income estimates.

The company also announced its plans to set up a manufacturing site in Argentina to produce combines and tractors for the Latin American market. ◆