Wednesday, October 26, 2016
Caterpillar Sales Woes Continue
Lower costs are easing the impact of fewer sales, meaning the company's restructuring and cost reduction efforts seem to be paying off.
Sales and revenues for third quarter were $9.2 billion. That's down 16 percent from one year ago.
Taking out restructuring costs, profit per share for the third quarter was 85 cents, down from $1.05 from this time last year.
Cat's Chairman and CEO says economic weakness throughout much of the world is to blame.
Tuesday's announcement showed the same trend as the past four years.
Full-time employment was just over 97 thousand, compared to almost 109 thousand in the third part of last year.
With cuts in the companies flexible workforce are factored in, more than 14 thousand people were trimmed from payroll.
The company says it'll continue to keep an eye on the market and then decide if more cuts will be necessary.
Information provided by WEEK HOI-19