That’s well short of Wall Street’s expectations. Analysts surveyed by FactSet had expected a profit of $1.69 per share on revenue of $15.09 billion.
The Peoria, Ill., company said dealers cut inventories by $1 billion as the global mining industry slowed due to reduced growth in China.
Commodity prices have fallen as well, forcing miners to cut back on orders.
Shares of Caterpillar Inc. fell 1.3 percent, or $1.12, to $84.40 in premarket in premarket trading.
Caterpillar also said it had currency translation and hedging losses during the quarter.
CEO Doug Oberhelman predicted improved profits during the second half of the year as the company takes further cost-cutting measures.
But Caterpillar still cut its full-year profit outlook from about $7 per share to $6.50. Revenue is now expected to come in between $56 billion and $58 billion, down from previous guidance of $57 billion to $61 billion.
The company operates a large parts distribution center in Clayton.