Caterpillar Inc. has announced first-quarter 2022 sales and revenues of US$13.6 billion, a 14% increase compared with US$11.9 billion in the first quarter of 2021.
According to the report, the increase was primarily due to higher sales volume. Also, the report outlines that the increase was driven by higher end-user demand for equipment and services, the impact from changes in dealer inventories and favourable price realization. Dealers increased inventories more during the first quarter of 2022 than during the first quarter of 2021.
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The report outlines that in North America, sales increased due to higher sales volume and favorable price realization. This higher sales volume was driven by higher end-user demand for equipment and aftermarket parts from improving non-residential construction, as well as continued strength in residential construction and the impact from changes in dealer inventories.
Caterpillar’s Construction Industries segment—the segment primarily responsible for supporting customers using machinery in infrastructure, forestry and building construction—saw a profit of US$1.057 billion in the first quarter of 2022, an increase of US$15 million, or 1%, compared with US$1.042 billion in the first quarter of 2021.
According to the company, unfavourable manufacturing costs were more than offset by favourable price realization and higher sales volume. Unfavourable manufacturing costs largely reflected higher material and freight costs.
