Caterpillar’s 2Q Earnings Fall; Revenue Hits Record

Heavy equipment and diesel engine manufacturer Caterpillar Inc. said Friday its second-quarter profit plunged 21%, though sales reached a record.

The company earned $823 million or $1.24 a share, down from $1.05 billion or $1.52 a year ago.

Sales for the quarter gained 7% to a record $11.36 billion, Caterpillar said in a statement

The company cited a $366 million drop in on-highway truck engine sales and weak construction activity in North America, notably U.S. housing markets.

Caterpillar maintained its full-year outlook, projecting full-year sales and revenues of about $44 billion, up from $41.5 billion in 2006, and profit in a range of $5.30 to $5.80 per share, up from $5.17 last year.