PEORIA, Ill.(TheStreet) -- Caterpillar (CAT) - Get Report raised its full-year outlook on optimism driven by robust growth in the Asia-Pacific and Latin American economies, and continued improvement in global mining and energy markets.
Caterpillar is increasing its full-year outlook to $2.50 to $3.25 a share on revenue of $38 billion to $42 billion, compared with the consensus estimate of $2.69 on revenue of $37 billion.
On Monday, Caterpillar reported first-quarter profit of $233 million, or 36 cents a share, vs. a loss of $112 million, or 19 cents a share the year before; manufacturing costs were $566 million favorable compared with the year-ago period, while labor and overhead, warranty and material costs all improved.
Excluding a tax charge of $90 million related to the recently signed U.S. health care legislation, Caterpillar posted earnings of 50 cents a share, beating the consensus estimate of 39 cents a share. Revenue was at $8.238 billion, down from $9.225 billion and below the consensus estimate of $8.84 billion, with a 1% decrease in machinery sales, 28% decrease in engine sales and 4% decline in financial products revenue.
Shares of Caterpillar closed the Monday trading session up 4.2% to $71.65.
-- Reported by Andrea Tse in New York
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