Caterpillar Inc, the world's largest construction equipment manufacturer, reported a sharp drop in second-quarter profits on weaker US sales, according to dpa. Caterpillar's quarterly earnings dropped 21.3 per cent to 823 million dollars, or 1.24 dollars per share, from 1 billion dollars, or 1.52 dollars per share, in the year earlier April to June period. Revenues at the Peoria, Illinois-based manufacturer rose on strong international sales to 11.4 billion dollars, over 10.6 billion dollars in the year-earlier period. Caterpillar attributed weaker US sales to the declining US housing market and a drop in demand for trucks. For the first half of the year, profits were 1.6 billion dollars, or 2.47 dollars per share, compared to 1.9 billion dollars, or 2.72 dollars per share, in the previous year. Revenues were 21.3 billion dollars versus 20 billion in 2006.
