Caterpillar’s Third-Quarter Income Slips 6%

Heavy equipment and diesel engine maker Caterpillar Inc. said Tuesday its third-quarter profit fell 6% on weaker worldwide economies and higher commodities costs.

The company’s third-quarter profit was $868 million, or $1.39 a share, down from $927 million, or $1.40, a year ago. Sales rose 13% to a third-quarter record $12.98 billion.

“Recent financial market turbulence has focused attention on the financial strength of businesses of all kinds,” said Chairman and Chief Executive Officer Jim Owens.

“Our current outlook for 2009 calls for sales and revenues to be about flat with our full-year 2008 results,” he said in a statement.

The company reaffirmed its full-year outlook for 2008, stating it expects sales and revenue to top $50 billion, up from $45 billion in 2007, and profit per share of about $6 per share, up from $5.37 last year.

Caterpillar said in June it will pull out of the North American Class 8 truck engine market by 2010, except for a severe-duty truck and engine in partnership with Navistar International Corp.