Deere Reports 1st Qtr Results

Deere & Co., Moline, IL, has reported fiscal first-quarter profit and forecast 2012 earnings that topped analysts’ estimates after U.S. farming income climbed to a record.

Net income rose 3.7% to $532.9 million, in the quarter ended Jan. 31, from $513.7 million, a year earlier. Fiscal 2012 profit will rise to about $3.28 billion, up from $3.2 billion forecast in November, the company said.

The company on Nov. 23 forecast first-quarter profit would “fall short” of a year ago, partly on higher raw-material costs, as sales gained 16% to 18%.

Chief Executive Officer Samuel R. Allen aims to boost sales 56% to $50 billion by 2018 from a record $32 billion in fiscal 2011. The company also has a target to increase the proportion of revenue from outside the U.S. and Canada to 50% from 39% last year.

The company in the last year has introduced a record number of tractors, combines and harvesters to court farmers overseas. It has also announced plans to build seven factories in China, Brazil and India.