UPDATE 2-CNH profit rises sharply, ups outlook
(Adds details about results, outlook)
* Q3 net income $1.06 per share
* Raises FY 2008 profit outlook to $3.50 to $3.90
NEW YORK, Oct 22 (Reuters) - Farm and construction equipment maker CNH Global NV (CNH.N) said on Wednesday its third-quarter profit more than doubled and it raised its full-year outlook, as high commodity prices encouraged farmers to buy new tractors and combines.
CNH, which is controlled by Italian automaker Fiat SpA (FIA.MI), reported third-quarter net profit of $252 million, or $1.06 a share, compared with $122 million, or 51 cents a share, a year ago.
Analysts on average were expecting CNH to earn 79 cents a share before special items, on revenue of $4.3 billion, according to Reuters Estimates.
Net sales of equipment rose 21.6 percent to $4.3 billion, driven by a 38 percent increase in agricultural equipment sales. Construction equipment sales fell 8.2 percent.
CNH raised its full-year 2008 forecast of profit per share before restructuring but after tax to $3.50 to $3.90. In July, CNH had forecast $3.40 to $3.60. Analysts forecast a full-year profit of $3.51 per share.
The company forecast equipment net sales for the full year to be almost $19 billion, up 25 percent over last year. Analysts, on average, forecast revenue of $18.7 billion.
It said high demand and increased market share led it to reverse a decision to close its Goodfield, Illinois plant. It now expects to hire more people there and at its Saskatoon, Saskatchewan facility. (Reporting by Paritosh Bansal; Editing by Clarence Fernandez)
