Slowdown? What slowdown? Caterpillar's best quarter in history
Caterpillar Inc (NYSE:CAT), the world's largest earth-moving equipment maker, raised its 2012 profit forecast on Wednesday based on its quarterly profit report, which beat most of Wall Street's gloomy outlooks.
CEO Doug Oberhelman said it was confident the global economy was improving. “This doesn’t feel like 2008," he said in a press release. “Interest rates are low, central banks are prepared to inject more liquidity if needed, and housing is coming off lows, not a peak.”
The giant producer of construction and mining equipment reported a second-quarter profit of $1.67 billion, or $2.54 per share, compared with $1.02 billion, or $1.52 per share, a year earlier.
The figure represents an increase of 67% rom $1.015 billion in the second quarter of 2011.
Revenue jumped 22% to $17.4 billion, beating the $16.9 billion estimate.
"Caterpillar's success in 2012 is occurring despite U.S. construction activity that remains depressed and well below the prior peak, the problems facing Eurozone economies and economic concerns in China," added Oberhelman.
After the announcement, shares for Caterpillar went up 4% to $84.65 in pre-market trading.
Image of Doug Oberhelman from YouTube