US construction machinery manufacturer Caterpillar has reported a big surge in sales for the first time in four years on the back of the booming world economy.
Global sales grew 35% overall in the fourth quarter of 2017, with the biggest regional increase, 46%, seen in North America.
Sales in Europe, Africa and the Middle East grew 38%, while Latin America saw an increase of 39%, and Asia-Pacific 22%.
Total Q4 sales and revenues were $12.89bn, an increase of $3.32bn, or 35%, compared with $9.57bn in the fourth quarter of 2016.
Operating profit for Q4 was $1.16bn, compared with a loss of $1.26bn in Q4 2016.
However, Caterpillar reported a loss of $2.2bn in the last quarter, after adjustments, due to a one-off charge of $2.4bn, or $3.91 per share, as a result of president Trump’s tax reform legislation.
Although the cut in corporation tax will benefit companies in the long run, changes in the way assets are taxed means many face a big short-term hit. Companies are also facing a mandatory repatriation of overseas earnings.