Caterpillar announced earnings today:
- EPS $5.23 versus expected $4.75
- revenues $17.1 billion versus $17.1 billion expected
In addition, the company said that fiscal year 2024 revenues seen broadly similar to 2023 (+0.5%).
The company CEO is now saying:
- Overall demand remains healthy across most of the end markets for products and services
- He warns that within APAC ex China, they are in softening of economic conditions
- He also warns that because of supply chain constraints, they are not running at top efficiency
- Supply chain constraints have started to ease, but still dealing with some constraints
- Price increases will exceed manufacturing costs for the year
Of note is that the infrastructure spending initiatives are still being stimulative as is the funding for the Chips Act.
Shares of Caterpillar are trading up $14.82 or 4.70% in premarket trading at $329.91. That is new all-time highs for the industrial machinery producer.