NEW YORK: Caterpillar Inc’s profit topped Wall Street forecasts for the seventh straight quarter as equipment sales surged 35 per cent on strong global demand for construction, mining and energy machines.
The world’s largest heavy-duty equipment maker, which serves as a bellwether for global economic activity, is benefiting from a global economy that is having its best run since 2011.
The biggest sales increase came from North America, its biggest market, led by better demand for construction and on-shore oil & gas machinery. “Economic indicators are positive at the moment, and we expect a strong start to 2018,” Chief Executive Officer JimUmpleby told analysts on a post-earnings conference call.
The company expects further improvement in North American residential, non-residential and infrastructure markets.
In Asia, it expects Chinese construction demand to remain strong at least through the first half of the new year. — Reuters