In April, Umpleby authorized the relocation of Caterpillar's corporate headquarters from Peoria, Ill. to Deerfield, Ill. The new headquarters currently has about 100 employees and expects to add another 200 by mid-2018.
Caterpillar CEO Jim Umpleby has been hard at work transforming the equipment giant since he took over the position in January, and it's showing.
First, the numbers.
Caterpillar believes its projected annual sales and revenue for 2017 will be somewhere between $42 and $44 billion—better than its initial prediction of $38 to $41 billion. Because of this, Caterpillar's share price is expected to jump to $5 per share for 2017, higher than the company's initial expectation of $3.75 per share, the Chicago Tribune reported. On Wall Street, the company's stock price comes in around $124 per share. For comparison, when Umpleby first started in his new role, the price was $83 per share.
Since 2015, Caterpillar has been working to reduce costs companywide, and some recent projects highlight its efforts, the Chicago Tribune reported, including in April, Umpleby authorized the relocation of Caterpillar's corporate headquarters from Peoria, Ill. to Deerfield, Ill. The new headquarters currently has about 100 employees and expects to add another 200 by mid-2018.
What's more, recent indicators in the U.S. and China suggest Caterpillar could see an influx of prospects coming up, the Chicago Tribune reported:China's government-supported building surge is centered on both infrastructure and housing projects, and is expected to lead to major equipment purchases from the company.In the aftermath of Hurricanes Harvey and Irma, Caterpillar will likely benefit from the tens of billions worth of rebuilding costs, though the company says there is no way of telling what the impact might yet be.President Trump's promised 10-year, $1 trillion infrastructure plan will likely solidify sometime in 2018. According to Caterpillar CFO Brad Halverson, “The United States is in need of infrastructure investment. Passage of a federal infrastructure bill would be positive for our country and our business.”