Deere net surges 52 percent on ag sales

The company, the world's largest maker of agricultural machinery, said it earned $422.1 million, or $1.88 a share, in the fourth quarter, compared with $277.3 million, or $1.20 a share, last year. Net revenue rose 20 percent to $6.14 billion.

Analysts on average expected the Moline, Illinois-based company, which also makes earth-moving and forestry equipment, to report earnings of $1.54 a share on sales of $5.23 billion, according to Reuters Estimates.

Deere said sales in its agricultural and commercial and consumer divisions both jumped 35 percent during the quarter, while sales to the construction and forestry industries fell 11 percent.

The company said it expects first-quarter equipment sales to rise about 25 percent. It forecast a full-year 2008 profit of $2.1 billion, compared with $1.8 billion this year, and about $325 million for the first quarter.

(Reporting by James B. Kelleher; editing by Mark Porter)