Caterpillar reports 54% drop in quarterly earnings

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In the third quarter, the heavy equipment maker reported a profit of $1.22 per share, down 54% from a year ago. Analysts surveyed by Refinitiv, on average, expected earnings of $1.16 per share.

The heavy equipment maker, a bellwether for economic activity, has been suffering from business uncertainty caused by the U.S.-China trade standoff and the coronavirus pandemic, with sales of its yellow bulldozers, mining trucks and other equipment hit by customers delaying capital expenditures.

Caterpillar Chief Executive Jim Umpleby, however, said the company was witnessing “positive signs” in certain industries and geographies. Construction machine sales in Asia-Pacific, for example, were up 14% year-on-year in the latest quarter.