Caterpillar: slashes forecast due to 'economic uncertainty'
(CercleFinance.com) - Caterpillar slashed its 2019 earnings forecast on Wednesday, joining a list of industrial companies that are struggling with challenging economic conditions.
The heavy machinery maker - often considered as a good bellwether of the global economy - has lowered its full-year EPS target range to 10.90 dollars to 11.40 dollars, compared with its previous outlook which was at the lower end of the target range of 12.06 dollars to 13.06 dollars.
The guidance now assumes modestly lower sales in 2019, Caterpillar said.
The company said it now expects demand to be flat and dealers to make further inventory reductions due to "global economic uncertainty."
Caterpillar announced third-quarter sales of 12.8 billion dollars, down 6%, with quarterly EPS of 2.66 dollars, compared with 2.88 dollars in the third quarter of 2018.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The heavy machinery maker - often considered as a good bellwether of the global economy - has lowered its full-year EPS target range to 10.90 dollars to 11.40 dollars, compared with its previous outlook which was at the lower end of the target range of 12.06 dollars to 13.06 dollars.
The guidance now assumes modestly lower sales in 2019, Caterpillar said.
The company said it now expects demand to be flat and dealers to make further inventory reductions due to "global economic uncertainty."
Caterpillar announced third-quarter sales of 12.8 billion dollars, down 6%, with quarterly EPS of 2.66 dollars, compared with 2.88 dollars in the third quarter of 2018.
Copyright (c) 2019 CercleFinance.com. All rights reserved.