DEER FIELD (WEEK) -- It's another down quarter for Big Yellow.
Caterpillar Inc. released its second-quarter earnings report Friday morning.
Sales and revenues came in at $10 billion, down from $14.4 billion in second quarter 2019 -- a 31 percent drop.
Profit per share for the company came in at $.84, declining 70% from 2019.
A company spokesperson says the decline is due to lower sales volume driven by lower end-user demand and the impact from changes in dealer inventories.
Dealers lowered machine and engine inventories roughly $1.4 billion during the second quarter of 2020.
For the second quarter of 2019 there was an increase of about $500 million.
Below is Caterpillar Chairman and CEO Jim Umpleby's comment about COVID-19 and global business conditions.
“I am proud of the global team’s continued focus on safety while executing our strategy and serving our customers,” said Umpleby. “In the second quarter, our employees and dealers remained dedicated to providing the essential products and services the world needs under very challenging conditions.”
Caterpillar withdrew its earnings guidance on March 26th and is not providing a financial outlook for the year.
“We are well positioned for these challenging times because of the successful execution of our strategy,” said Umpleby. “We are focused on employee safety and maintaining a competitive and flexible cost structure while continuing to invest in services and expanded offerings to better serve our customers. We will adjust production as conditions warrant and are prepared to respond quickly to any positive or negative changes in customer demand.”