The COVID-19 pandemic crippled industrial companies no matter whether they manufacture consumer goods or capital goods. Caterpillar Inc., the world’s leading manufacturer of construction and mining machinery, has also fallen prey to the novel coronavirus.
According to a quarterly report on corporate earnings posted on April 28, the company incurred heavy losses in Q1 2020. The financial records discouraged analysts as they had projected a rise in revenue.
Analysts had expected a profit of $1.69 per share. However, the actual profit came in at $1.60. As for the company’s revenue, experts estimated it at $10.96 billion. In fact, the Q1 revenue undershot the forecast as the company reported the revenue of $10.64 billion. In the previous quarter, the company made the total profit of $13.47 billion.
This year, Caterpillar Inc.’s shares have lost in value sharply. The shares have dropped 9% since early 2020 which is a dismal result compared to 2019.
