Another strong quarter expected from Caterpillar

AP News
Posted: Apr 25, 2012 3:02 AM
Another strong quarter expected from Caterpillar

Caterpillar is expected to add to its streak of impressive earnings results on Tuesday.

The world's largest construction and mining equipment maker continues to benefit from strong demand for its yellow-and-black equipment, especially in the developing world. Many construction companies are replacing aging equipment. And two big acquisitions from last year are paying off.

Caterpillar's results are considered an indicator of industrial activity and the health of the overall economy.

Wall Street expects Caterpillar to say earnings rose to $2.13 per share in the first quarter from $1.84 a year earlier. This would be the ninth straight quarter of year-over-year gains, although growth of 16 percent would be the slowest since early 2010, when Caterpillar returned to profitability following the global economic slump.