For the period ended September 30, the Illinois-based OEM reported sales and revenues of $US16.4 billion, up nearly 5% from $15.7 billion in Q3 2011.
Profit jumped 49% to about $1.7 billion or $2.54 per share, versus $1.14 billion or $1.71 per share last year.
Officials noted that its results included a gain of $273 million from the majority interest sale in its third-party logistics business.
In the results, Caterpillar chairman and chief executive officer Doug Oberhelman referenced its investor conference at last month’s Minexpo, reiterating that the company continued to navigate global economic and geopolitical uncertainty.
“Even so, we had a record third quarter and our entire organisation is focused on finishing 2012 as the best year for sales and profit in our history,” he said.
“Despite the turbulence in the global economy, we continue to track toward our goals on cost control, margin improvement, product quality, safety and better product availability for our customers.”
Oberhelman said the economy this year had been “a disappointment” and growth had fallen below its expectations in the US as well as in China and Europe.
However, modest improvements could be on the horizon next year in America and China, though Europe will see only slight growth.
“We're not expecting rapid growth and we're not predicting a global recession," he told analysts and media during an earnings report on Monday morning.
One exception to its optimism for 2013 was mining equipment, which the company projected would drop amid ongoing issues with high mining operating costs and a drop in coal prices that left operators with lower profits.
Looking ahead to the balance of the year, Cat said 2012 sales and revenues should be about $66 billion with a profit range of $9-9.25 per share, down from its previous projections of $68-70 billion in sales and revenue with profit of about $9.60 per share – the middle of the sales and revenues outlook range.
On the heels of the outlook decline, Cat confirmed that its dealers had lowered order rates “well below” end-user demand in order to reduce inventories.
Additionally, lower production across much of its infrastructure resulted in temporary shutdowns and layoffs.
The OEM said it would continue at that pace until inventories and dealer order rates were parallel with dealer deliveries.
“As we've moved through the year, we've seen continued economic weakening and uncertainty," Oberhelman said.
“It's definitely impacting our business with dealers intending to lower inventories and mining customers delaying some projects and reducing orders.
“We're focused on being very nimble and taking actions to respond to the current environment while at the same time keeping our 2015 goals and expectations in mind.
“It requires a pragmatic and steady approach as we balance our actions in the short term with what we need to do to be prepared for better growth when the world economy improves."
Cat’s pragmatic view will continue into 2013.
“At this point, we expect 2013 sales will be similar overall to 2012 but with a slightly weaker first half and a slightly better second half,” he said.
“While there's reason for optimism – and we're not expecting a global recession in 2013 – we are prepared and stand ready to take action no matter what happens to the global economy.”
