Caterpillar Inc. (NYSE:CAT) revenue and earnings is being driven by the exploding demand for mining equipment as base and precious metals have been soaring in demand and price.
Going forward, Caterpillar boosted its guidance for the remainder of the year to a range of $6.25 to $6.75 a share and sales and revenues in a range of $52 billion to $54 billion. The prior estimate was for profit to be close to $6.00 a share and sales and revenues to surpass $50 billion.
Analysts see earnings of $6.25 a share on revenues of $52.20 billion for the full year.
The revised guidance doesn't include the recent acquisitions of MWM Holding GmbH or Bucyrus International, Inc. because they haven't closed yet.
According to Caterpillar, the improved forecast "would have been greater if not for the impact of the disaster in Japan."
Suppliers from Japan are experiencing unpredictable production disruptions, which have a negative impact on sales, factory efficiency and costs — especially in the second quarter, Caterpillar said.
Caterpillar closed Friday at $155.41, gaining $2.77, or 2.46 percent.
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