Deere's (DE) fiscal first-quarter results fell sharply year over year amid lower shipment volumes but came in ahead of Wall Street's estimates, while the agricultural and construction equipment maker maintained its full-year profit outlook.

The company on Thursday reported per-share earnings of $3.19 for the quarter ended Jan. 28, down from $6.23 the year before, but ahead of the FactSet-polled consensus of $3.15. Sales and revenue fell 30% year over year to $8.51 billion, but were above the Street's view for $7.7 billion.

"Deere's performance in the first quarter highlights our continued focus on optimizing inventory levels of both new and used equipment amidst the uncertain market conditions our customers are facing," Deere Chief Executive John May said in a statement. "We're seeing compelling evidence that our efforts are positioning the company to successfully navigate the current environment."

Deere continues to project net income to come in between $5 billion and $5.5 billion for fiscal 2025. "The stability of our net income guidance not only reflects our resilience in a challenging market but also enables our sustained strategic investments to provide better outcomes for our customers," according to May.

The company said its outlook doesn't reflect the potential impact of US tariffs imposed on other countries and their retaliatory actions. Earlier in the week, US President Donald Trump imposed 25% tariffs on all steel and aluminum imports into the country. The Trump administration recently delayed plans for 25% tariffs on goods from Canada and Mexico, and imposed a 10% levy on imports from China, which announced retaliatory tariffs against the US.

Deere's shares were down 4.7% in premarket activity.

In the first quarter, revenue from the production and precision agriculture segment slid 37% to $3.07 billion, while small agriculture and turf equipment fell 28% to $1.75 billion. Sales in construction and forestry declined 38% to $1.99 billion. All three segments were weighed down by lower shipment volumes, which also impacted their operating profits, Deere said.

Production and precision agriculture segment sales are now expected to decrease by 15% to 20% for fiscal 2025, compared with the company's previous guidance for a 15% drop. The company reiterated its full-year forecast for revenue in the small agriculture and turf division to decline by about 10% and in the construction and forestry business to fall by 10% to 15%.