Caterpillar World Dealer Sales Up 66% In 3 Months To April
Post Date: 20 May 2011 Viewed: 495
CHICAGO (Dow Jones)--Worldwide retail sales of Caterpillar Inc.'s (CAT) construction machinery surged 66% in the three months to the end of April, as the company's robust sales activity showed no signs of weakening, according to dealer sales figures released Thursday.
April was the 12th straight rolling three-month period of sales expansion for the Peoria, Ill., company as it rebounds from a steep decline in sales in 2009. During the March period, overall machinery sales increased 61% from a year earlier, and for the February period increased 59%.
Dealer sales in North America rose 65% during the April period, improving from a 57% increase in March and a 55% increase in February. U.S. construction activity, particularly new housing, remains doggedly sluggish, but Caterpillar attributed the recent sales growth in the U.S. to the replacement of older machinery. Caterpillar dealers also have been updating their fleets of rental equipment.
Latin America continues to be a strong region for Caterpillar sales. Latin America led all of Caterpillar's geographic regions in April, as retail sales rose 72% from a year earlier. Latin America sales were up 75% in March and rose 76% in February. Accelerated mining activity and infrastructure construction have been drivers for machinery sales in Latin America.
Caterpillar's retail sales in Europe, Africa and the Middle East rose 64% in April, following a 63% increase in March and 53% increase in February.
Sales in Asia climbed 65% in April, following a 55% increase March and 57% increase in February. Asia has been Caterpillar's best market in recent years, recovering from the 2009 downturn faster than other markets because of infrastructure construction and mine expansions in China, India and Australia.
In the company's engine business, overall sales increased 25% in April, following a 45% increase in March and a 31% increase February. Marine engines remain under pressure as April sales fell 27% from a year ago. Industrial engine sales rose 28% in April after moving up 42% in March and increasing 54% in February.
Caterpillar's stock was recently up 0.86% at $106.16.