Deere & Co. reported that higher sales and cost reductions helped boost its earnings by 50% in its first quarter, but the results still fell short of analysts’ expectations.

The company earned $56.4 million, or 24 cents per share, in the three months ending Jan. 31, up from $37.7 million, or 16 cents per share, a year earlier.

But analysts surveyed by First Call/Thomson Financial expected earnings of 27 cents per share for the latest quarter. In morning trading on the New York Stock Exchange, Deere shares slipped 21 cents to $41.50.

Revenues for the quarter increased 15% to $2.7 billion from $2.3 billion in the same period last year.

According to Robert Lane, Deere chairman and CEO, the company’s improved financial performance is a reflection of favorable customer response to Deere’s new products.

Deere also said cost-cutting measures were working and pension and post-retirement benefit costs were down.