Caterpillar chief says supply chain issues persist, share price plummets on 2Q earnings
PEORIA (Heart of Illinois ABC) - Caterpillar’s chief executive officer is proud the heavy equipment maker is producing double-digit growth in key areas even as it battles through supply chain challenges and inflation.
Second quarter sales and revenue for the second quarter came in at $14.2 billion, 11% higher than the second quarter of last year, but below the market’s expectations.
The share price at Tuesday’s close was down 5.8% at $183.51, part of a broader stock market selloff.
Speaking to industry analysts during Tuesday’s quarterly conference call, Caterpillar CEO Jim Umpleby said he sees no signs supply chain problems are easing.
“It’s still hand-to-hand combat,” said Umpleby.
“Our teams working their way through these issues. Again, very proud of the team to turn in double-digit sales growth despite these supply chain challenges, but we have not seen them ease,” he said.
Umpleby said he has reason to be optimistic despite the current environment because underlying demand remains strong.
Caterpillar reported second quarter profit-per-share at $3.13, up from $2.56 the same time a year ago.
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