PEORIA, Ill. — Citing continued strength in markets outside the US, Caterpillar has boasted third-quarter sales and revenues of $11.442 billion, an all-time quarterly high. The company also reported profit of $927 million, or $1.40 per share, for the quarter ended Sept. 30. Profit and profit per share are the highest ever for a third quarter.
“These results clearly demonstrate our global reach and the stability and strength of our growing integrated service businesses. We delivered strong returns for our stockholders despite continuing severe weakness in key US markets,” said Cat chairman and CEO, Jim Owens. “I am particularly pleased by the bottom line results of our engines business. With our extensive product offering and the continuing strength in most end markets, we were able to more than offset the impact of the dramatic drop in on-highway truck engines and report record operating profit for engines. Overall, profit per share climbed 23% compared to last year’s third quarter, and moving forward I am confident that our deployment of the Cat Production System will help us reach our 2010 goals for improving safety, quality, velocity, earnings and growth,” said Owens.
Sales and revenues increased $925 million compared to the third quarter of last year, $385 million from higher sales volume, $267 million from improved price realization, $174 million from the effects of currency and $99 million from higher financial products revenues.
Third-quarter profit increased $158 million, or $0.26 per share, from third quarter 2006. The increase in profit was due to improved price realization and higher sales volume, partially offset by higher manufacturing costs, including material costs.
“Despite weakness in US markets, our sales and revenues increased 9%. We continue to see remarkable growth outside of the United States with particular strength in key industries like mining, oil and gas, electric power and marine engines. The industries we serve are becoming increasingly global, and the investments we are making to achieve our 2010 goals have us well positioned to meet their needs,” said Owens.
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