The company considered a global economy bellwether just had its biggest profit miss in a decade
Caterpillar Inc. had the biggest quarterly profit miss in a decade as a China slowdown hit demand for its signature yellow construction and mining equipment.
The Deerfield, Illinois-based company also issued a 2019 profit forecast range which, at the low end, was below the average of analysts’ expectations, adding to worries over mounting trade tensions that pummelled the heavy-equipment maker’s shares last year.
Caterpillar, an economic bellwether, adds to gloom on growth after corporate executives joined the International Monetary Fund last week in warning the global economy is slowing faster than expected. Caterpillar shares fell more than 5 per cent in pre-market trading, which would be the biggest decline this year.