Reportedly, Caterpillar, Inc. (CAT) missed quarterly estimates reportedly due to supply-chain issues and suspension of its Russia operations, while its operating margin shrank owing to elevated freight and labor costs. Sales in Europe, Africa, and Middle East regions fell about 3% to about $3 billion in the second quarter. All the rest of the regions reported higher sales.
Revenue in the three months through June increased about 11% to $14.25 billion but missed the analysts’ average estimate of $14.35 billion. The company’s sales have been capped by raw material shortages and elevated freight costs, but strong equipment demand has allowed it to raise prices.
However, operating profit margins dropped to 13.6% from 13.9% in the same period a year ago, while adjusted profit rose to $3.18 per share, above expectations of $3.01 per share.
Dow 30 Component Caterpillar, Inc. (CAT) is the world’s chief manufacturer of diesel and natural gas engines, construction and mining equipment, industrial gas turbines, and diesel-electric locomotives. Caterpillar, Inc. also works to make sustainable progress possible and contributes to driving positive change on every continent. To learn more about Caterpillar, Inc. (CAT) and to continue to track its progress please visit the Vista Partners Caterpillar, Inc. Coverage Page.
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