Caterpillar Reports Third-Quarter 2024 Results
Caterpillar reported third-quarter 2024 results with sales and revenues of $16.1 billion, down 4% from $16.8 billion in Q3 2023, primarily due to lower sales volume. Profit per share decreased to $5.06 from $5.45, while adjusted profit per share was $5.17 compared to $5.52 last year. Operating profit margin declined to 19.5% from 20.5%. The company generated $3.6 billion in enterprise operating cash flow and deployed $1.5 billion for share repurchases and dividends. Sales decreased in Construction Industries (-9%) and Resource Industries (-10%) but increased in Energy & Transportation (+5%).
Caterpillar ha riportato i risultati del terzo trimestre 2024, con vendite e ricavi di $16,1 miliardi, in calo del 4% rispetto ai $16,8 miliardi del Q3 2023, principalmente a causa di un volume di vendite inferiore. Il profitto per azione è sceso a $5,06 rispetto a $5,45, mentre il profitto per azione rettificato era di $5,17 rispetto ai $5,52 dell'anno scorso. Il margine di profitto operativo è diminuito al 19,5% dal 20,5%. L'azienda ha generato $3,6 miliardi in flusso di cassa operativo e ha impiegato $1,5 miliardi per riacquisto di azioni e dividendi. Le vendite sono diminuite nelle Industrie di Costruzione (-9%) e nelle Industrie delle Risorse (-10%) ma sono aumentate in Energia e Trasporti (+5%).
Caterpillar reportó los resultados del tercer trimestre de 2024, con ventas e ingresos de $16.1 mil millones, una disminución del 4% desde $16.8 mil millones en el Q3 de 2023, principalmente debido a un menor volumen de ventas. La ganancia por acción disminuyó a $5.06 desde $5.45, mientras que la ganancia por acción ajustada fue de $5.17 en comparación con $5.52 el año pasado. El margen de utilidad operativa cayó al 19.5% desde el 20.5%. La compañía generó $3.6 mil millones en flujo de efectivo operativo y destinó $1.5 mil millones para la recompra de acciones y dividendos. Las ventas disminuyeron en Industrias de Construcción (-9%) e Industrias de Recursos (-10%), pero aumentaron en Energía y Transporte (+5%).
캐터필러는 2024년 3분기 실적을 발표했으며, 매출과 수익은 $161억으로, 2023년 3분기 $168억 대비 4% 감소했습니다. 이는 주로 판매량 감소 때문입니다. 주당 이익은 $5.06으로 $5.45에서 감소했으며, 조정된 주당 이익은 지난해 $5.52와 비교해 $5.17을 기록했습니다. 운영 이익률은 20.5%에서 19.5%로 하락했습니다. 회사는 $36억의 기업 운영 현금 흐름을 생성했으며, $15억을 주식 매입 및 배당에 사용했습니다. 건설 산업에서의 매출이 9% 감소하고 자원 산업에서 10% 감소했지만, 에너지 및 운송 분야에서는 5% 증가했습니다.
Caterpillar a annoncé les résultats du troisième trimestre 2024, avec des ventes et des revenus de 16,1 milliards de dollars, en baisse de 4% par rapport à 16,8 milliards de dollars au T3 2023, principalement en raison d'un volume de ventes inférieur. Le bénéfice par action a diminué à 5,06 $ contre 5,45 $, tandis que le bénéfice par action ajusté était de 5,17 $ comparé à 5,52 $ l'année dernière. La marge bénéficiaire opérationnelle a chuté à 19,5% contre 20,5%. L'entreprise a généré 3,6 milliards de dollars de flux de trésorerie opérationnel et a déployé 1,5 milliard de dollars pour le rachat d'actions et les dividendes. Les ventes ont diminué dans les Industries de la Construction (-9%) et les Industries des Ressources (-10%), mais ont augmenté dans le secteur de l'Énergie et des Transports (+5%).
Caterpillar hat die Ergebnisse des dritten Quartals 2024 veröffentlicht, mit einem Umsatz und Erträgen von 16,1 Milliarden USD, was einem Rückgang von 4% gegenüber 16,8 Milliarden USD im Q3 2023 entspricht, hauptsächlich aufgrund eines geringeren Verkaufsvolumens. Der Gewinn pro Aktie sank auf 5,06 USD von 5,45 USD, während der bereinigte Gewinn pro Aktie bei 5,17 USD im Vergleich zu 5,52 USD im letzten Jahr lag. Die Betriebsmarge fiel von 20,5% auf 19,5%. Das Unternehmen generierte 3,6 Milliarden USD an operativem Cashflow und setzte 1,5 Milliarden USD für Aktienrückkäufe und Dividenden ein. Der Umsatz sank in den Bauwirtschaften (-9%) und Ressourcenindustrien (-10%), stieg jedoch im Bereich Energie und Transport (+5%).
- Strong operating cash flow of $3.6 billion in Q3
- Healthy operating profit margin of 19.5%
- Energy & Transportation segment sales increased 5% to $7.2 billion
- Financial Products segment profit increased 21% to $246 million
- Lower past dues at Cat Financial (1.74% vs 1.96% year-over-year)
- Overall sales and revenues declined 4% to $16.1 billion
- Profit per share decreased 7.2% to $5.06
- Construction Industries sales dropped 9% to $6.3 billion
- Resource Industries sales fell 10% to $3.0 billion
- Operating profit decreased 9% to $3.1 billion
Insights
Caterpillar's Q3 2024 results show a mixed performance with some concerning trends. Total sales declined
- Adjusted profit per share fell to
$5.17 from$5.52 - Operating profit margin decreased to
19.5% from20.5% - Construction Industries sales dropped
9% - Resource Industries sales fell
10%
The bright spots include Energy & Transportation segment showing
The regional performance reveals important market dynamics. North America, CAT's largest market, saw broad weakness with Construction Industries down
- Third-quarter 2024 profit per share of
; adjusted profit per share of$5.06 $5.17 - Enterprise operating cash flow was
in the third quarter of 2024$3.6 billion - Deployed
of cash for share repurchases and dividends in the third quarter$1.5 billion
Third Quarter | |||
($ in billions except profit per share) | 2024 | 2023 | |
Sales and Revenues | |||
Profit Per Share | |||
Adjusted Profit Per Share |
Please see a reconciliation of GAAP to non-GAAP financial measures in the appendix on pages 13 and 14. |
Operating profit margin was
For the third quarter of 2024, enterprise operating cash flow was
"I'd like to thank our global team for delivering strong adjusted operating profit margin and adjusted profit per share while generating robust ME&T free cash flow," said Chairman and CEO Jim Umpleby. "Our third-quarter results reflect the benefit of the diversity of our end markets."
CONSOLIDATED RESULTS
Consolidated Sales and Revenues
Consolidated Sales and Revenues Comparison
Third Quarter 2024 vs. Third Quarter 2023
To access this chart, go to http://www.caterpillar.com/en/investors/quarterly-results.html for the downloadable version of Caterpillar third-quarter 2024 earnings.
The chart above graphically illustrates reasons for the change in consolidated sales and revenues between the third quarter of 2023 (at left) and the third quarter of 2024 (at right). Caterpillar management utilizes these charts internally to visually communicate with the company's board of directors and employees.
Total sales and revenues for the third quarter of 2024 were
In the three primary segments, sales were lower in Construction Industries and Resource Industries and higher in Energy & Transportation.
Sales and Revenues by Segment | |||||||||||||||
(Millions of dollars) | Third | Sales Volume | Price Realization | Currency | Inter- | Third | $ Change | % Change | |||||||
Construction Industries | $ 6,999 | $ (458) | $ (147) | $ (64) | $ 15 | $ 6,345 | $ (654) | (9 %) | |||||||
Resource Industries | 3,351 | (352) | 38 | (11) | 2 | 3,028 | (323) | (10 %) | |||||||
Energy & Transportation | 6,859 | 57 | 213 | (20) | 78 | 7,187 | 328 | 5 % | |||||||
All Other Segment | 106 | (2) | 1 | — | (13) | 92 | (14) | (13 %) | |||||||
Corporate Items and Eliminations | (1,327) | (4) | (1) | (7) | (82) | (1,421) | (94) | ||||||||
Machinery, Energy & Transportation | 15,988 | (759) | 104 | (102) | — | 15,231 | (757) | (5 %) | |||||||
Financial Products Segment | 979 | — | — | — | 55 | 1,034 | 55 | 6 % | |||||||
Corporate Items and Eliminations | (157) | — | — | — | (2) | (159) | (2) | ||||||||
Financial Products Revenues | 822 | — | — | — | 53 | 875 | 53 | 6 % | |||||||
Consolidated Sales and Revenues | $ 16,810 | $ (759) | $ 104 | $ (102) | $ 53 | $ 16,106 | $ (704) | (4 %) | |||||||
Sales and Revenues by Geographic Region | |||||||||||||||||||||||||||
EAME | External Sales | Inter-Segment | Total Sales | ||||||||||||||||||||||||
(Millions of dollars) | $ | % Chg | $ | % Chg | $ | % Chg | $ | % Chg | $ | % Chg | $ | % Chg | $ | % Chg | |||||||||||||
Third Quarter 2024 | |||||||||||||||||||||||||||
Construction Industries | $ 3,629 | (11 %) | $ 658 | 19 % | $ 1,150 | (15 %) | $ 875 | (12 %) | $ 6,312 | (10 %) | $ 33 | 83 % | $ 6,345 | (9 %) | |||||||||||||
Resource Industries | 1,131 | (17 %) | 498 | — % | 442 | (13 %) | 863 | (3 %) | 2,934 | (10 %) | 94 | 2 % | 3,028 | (10 %) | |||||||||||||
Energy & Transportation | 3,214 | 8 % | 449 | (2 %) | 1,486 | 4 % | 856 | (5 %) | 6,005 | 4 % | 1,182 | 7 % | 7,187 | 5 % | |||||||||||||
All Other Segment | 12 | (25 %) | — | 100 % | 3 | (40 %) | 14 | 40 % | 29 | (3 %) | 63 | (17 %) | 92 | (13 %) | |||||||||||||
Corporate Items and Eliminations | (43) | (3) | 9 | (12) | (49) | (1,372) | (1,421) | ||||||||||||||||||||
Machinery, Energy & Transportation | 7,943 | (5 %) | 1,602 | 6 % | 3,090 | (6 %) | 2,596 | (7 %) | 15,231 | (5 %) | — | — % | 15,231 | (5 %) | |||||||||||||
Financial Products Segment | 695 | 11 % | 97 | (12 %) | 130 | (2 %) | 112 | 2 % | 1,034 | 6 % | — | — % | 1,034 | 6 % | |||||||||||||
Corporate Items and Eliminations | (93) | (21) | (21) | (24) | (159) | — | (159) | ||||||||||||||||||||
Financial Products Revenues | 602 | 12 % | 76 | (15 %) | 109 | (1 %) | 88 | 1 % | 875 | 6 % | — | — % | 875 | 6 % | |||||||||||||
Consolidated Sales and Revenues | $ 8,545 | (4 %) | $ 1,678 | 5 % | $ 3,199 | (6 %) | $ 2,684 | (7 %) | (4 %) | $ — | — % | (4 %) | |||||||||||||||
Third Quarter 2023 | |||||||||||||||||||||||||||
Construction Industries | $ 4,078 | $ 555 | $ 1,351 | $ 997 | $ 6,981 | $ 18 | $ 6,999 | ||||||||||||||||||||
Resource Industries | 1,366 | 499 | 508 | 886 | 3,259 | 92 | 3,351 | ||||||||||||||||||||
Energy & Transportation | 2,966 | 460 | 1,428 | 901 | 5,755 | 1,104 | 6,859 | ||||||||||||||||||||
All Other Segment | 16 | (1) | 5 | 10 | 30 | 76 | 106 | ||||||||||||||||||||
Corporate Items and Eliminations | (35) | 1 | — | (3) | (37) | (1,290) | (1,327) | ||||||||||||||||||||
Machinery, Energy & Transportation | 8,391 | 1,514 | 3,292 | 2,791 | 15,988 | — | 15,988 | ||||||||||||||||||||
Financial Products Segment | 627 | 110 | 132 | 110 | 979 | — | 979 | ||||||||||||||||||||
Corporate Items and Eliminations | (91) | (21) | (22) | (23) | (157) | — | (157) | ||||||||||||||||||||
Financial Products Revenues | 536 | 89 | 110 | 87 | 822 | — | 822 | ||||||||||||||||||||
Consolidated Sales and Revenues | $ 8,927 | $ 1,603 | $ 3,402 | $ 2,878 | $ — | ||||||||||||||||||||||
Consolidated Operating Profit
Consolidated Operating Profit Comparison
Third Quarter 2024 vs. Third Quarter 2023
To access this chart, go to http://www.caterpillar.com/en/investors/quarterly-results.html for the downloadable version of Caterpillar third-quarter 2024 earnings.
The chart above graphically illustrates reasons for the change in consolidated operating profit between the third quarter of 2023 (at left) and the third quarter of 2024 (at right). Caterpillar management utilizes these charts internally to visually communicate with the company's board of directors and employees. The bar titled Other includes consolidating adjustments and Machinery, Energy & Transportation's other operating (income) expenses.
Operating profit for the third quarter of 2024 was
Profit (Loss) by Segment | |||||||
(Millions of dollars) | Third Quarter | Third Quarter | $ Change | % Change | |||
Construction Industries | $ 1,486 | $ 1,847 | $ (361) | (20 %) | |||
Resource Industries | 619 | 730 | (111) | (15 %) | |||
Energy & Transportation | 1,433 | 1,181 | 252 | 21 % | |||
All Other Segment | (13) | 21 | (34) | (162 %) | |||
Corporate Items and Eliminations | (427) | (386) | (41) | ||||
Machinery, Energy & Transportation | 3,098 | 3,393 | (295) | (9 %) | |||
Financial Products Segment | 246 | 203 | 43 | 21 % | |||
Corporate Items and Eliminations | (30) | 18 | (48) | ||||
Financial Products | 216 | 221 | (5) | (2 %) | |||
Consolidating Adjustments | (167) | (165) | (2) | ||||
Consolidated Operating Profit | $ 3,147 | $ 3,449 | $ (302) | (9 %) | |||
Other Profit/Loss and Tax Items
- Other income (expense) in the third quarter of 2024 was income of
, compared with income of$76 million in the third quarter of 2023. The change was primarily driven by unfavorable foreign currency impacts.$195 million - The effective tax rate for the third quarter of 2024 was
20.7% compared to20.9% for the third quarter of 2023. Excluding the discrete items discussed below, the estimated annual tax rate was22.5% for the third quarters of 2024 and 2023.
In the third quarter of 2024, the company recorded discrete tax benefits of to reflect changes in estimates related to prior years. In addition, a discrete tax benefit of$47 million was recorded in the third quarter of 2024, compared with a$7 million benefit in the third quarter of 2023, for the settlement of stock-based compensation awards with associated tax deductions in excess of cumulative$22 million U.S. GAAP compensation expense. The company also recorded a benefit in the third quarter of 2023 due to a decrease from the second-quarter estimated annual tax rate.$34 million
Please see a reconciliation of GAAP to non-GAAP financial measures in the appendix on pages 13 and 14.
CONSTRUCTION INDUSTRIES | ||||||||||||||||
(Millions of dollars) | ||||||||||||||||
Segment Sales | ||||||||||||||||
Third | Sales | Price | Currency | Inter- | Third | $ Change | % Change | |||||||||
Total Sales | $ 6,999 | $ (458) | $ (147) | $ (64) | $ 15 | $ 6,345 | $ (654) | (9 %) | ||||||||
Sales by Geographic Region | ||||||||||||||||
Third | Third | $ Change | % Change | |||||||||||||
$ 3,629 | $ 4,078 | $ (449) | (11 %) | |||||||||||||
658 | 555 | 103 | 19 % | |||||||||||||
EAME | 1,150 | 1,351 | (201) | (15 %) | ||||||||||||
875 | 997 | (122) | (12 %) | |||||||||||||
External Sales | 6,312 | 6,981 | (669) | (10 %) | ||||||||||||
Inter-segment | 33 | 18 | 15 | 83 % | ||||||||||||
Total Sales | $ 6,345 | $ 6,999 | $ (654) | (9 %) | ||||||||||||
Segment Profit | ||||||||||||||||
Third | Third |
Change | % Change | |||||||||||||
Segment Profit | $ 1,486 | $ 1,847 | $ (361) | (20 %) | ||||||||||||
Segment Profit Margin | 23.4 % | 26.4 % | (3.0 pts) | |||||||||||||
Construction Industries' total sales were
- In
North America , sales decreased primarily due to lower sales volume. Lower sales volume was mainly driven by lower sales of equipment to end users and the impact from changes in dealer inventories. Dealer inventory increased less during the third quarter of 2024 than during the third quarter of 2023. - Sales increased in
Latin America mainly due to higher sales volume, partially offset by unfavorable currency impacts, primarily related to the Brazilian real, and unfavorable price realization. Higher sales volume was mainly driven by the impact from changes in dealer inventories. Dealer inventory increased during the third quarter of 2024, compared with a decrease during the third quarter of 2023. - In EAME, sales decreased primarily due to lower sales volume. Lower sales volume was mainly driven by lower sales of equipment to end users.
- Sales decreased in
Asia/Pacific mainly due to lower sales volume and unfavorable currency impacts primarily related to the Japanese yen. Lower sales volume was mainly driven by the impact from changes in dealer inventories. Dealer inventory decreased during the third quarter of 2024, compared with an increase during the third quarter of 2023.
Construction Industries' segment profit was
RESOURCE INDUSTRIES | ||||||||||||||||
(Millions of dollars) | ||||||||||||||||
Segment Sales | ||||||||||||||||
Third | Sales | Price | Currency | Inter- | Third | $ Change | % Change | |||||||||
Total Sales | $ 3,351 | $ (352) | $ 38 | $ (11) | $ 2 | $ 3,028 | $ (323) | (10 %) | ||||||||
Sales by Geographic Region | ||||||||||||||||
Third | Third | $ Change | % Change | |||||||||||||
$ 1,131 | $ 1,366 | $ (235) | (17 %) | |||||||||||||
498 | 499 | (1) | — % | |||||||||||||
EAME | 442 | 508 | (66) | (13 %) | ||||||||||||
863 | 886 | (23) | (3 %) | |||||||||||||
External Sales | 2,934 | 3,259 | (325) | (10 %) | ||||||||||||
Inter-segment | 94 | 92 | 2 | 2 % | ||||||||||||
Total Sales | $ 3,028 | $ 3,351 | $ (323) | (10 %) | ||||||||||||
Segment Profit | ||||||||||||||||
Third | Third |
Change | % Change | |||||||||||||
Segment Profit | $ 619 | $ 730 | $ (111) | (15 %) | ||||||||||||
Segment Profit Margin | 20.4 % | 21.8 % | (1.4 pts) | |||||||||||||
Resource Industries' total sales were
Resource Industries' segment profit was
ENERGY & TRANSPORTATION | ||||||||||||||||
(Millions of dollars) | ||||||||||||||||
Segment Sales | ||||||||||||||||
Third | Sales | Price | Currency | Inter- | Third | $ Change | % Change | |||||||||
Total Sales | $ 6,859 | $ 57 | $ 213 | $ (20) | $ 78 | $ 7,187 | $ 328 | 5 % | ||||||||
Sales by Application | ||||||||||||||||
Third | Third | $ Change | % Change | |||||||||||||
Oil and Gas | $ 1,656 | $ 1,667 | $ (11) | (1 %) | ||||||||||||
Power Generation | 2,011 | 1,598 | 413 | 26 % | ||||||||||||
Industrial | 1,028 | 1,220 | (192) | (16 %) | ||||||||||||
Transportation | 1,310 | 1,270 | 40 | 3 % | ||||||||||||
External Sales | 6,005 | 5,755 | 250 | 4 % | ||||||||||||
Inter-segment | 1,182 | 1,104 | 78 | 7 % | ||||||||||||
Total Sales | $ 7,187 | $ 6,859 | $ 328 | 5 % | ||||||||||||
Segment Profit | ||||||||||||||||
Third | Third |
Change | % Change | |||||||||||||
Segment Profit | $ 1,433 | $ 1,181 | $ 252 | 21 % | ||||||||||||
Segment Profit Margin | 19.9 % | 17.2 % | 2.7 pts | |||||||||||||
Energy & Transportation's total sales were
- Oil and Gas – Sales decreased slightly as lower sales of reciprocating engines used in well servicing were primarily offset by higher sales for turbines and turbine-related services.
- Power Generation – Sales increased in large reciprocating engines, primarily data center applications. Turbines and turbine-related services increased as well.
- Industrial – Sales decreased in EAME and
North America . - Transportation – Sales increased in marine applications, partially offset by lower deliveries of international locomotives.
Energy & Transportation's segment profit was
FINANCIAL PRODUCTS SEGMENT | ||||||||||||||||
(Millions of dollars) | ||||||||||||||||
Revenues by Geographic Region | ||||||||||||||||
Third | Third | $ Change | % Change | |||||||||||||
$ 695 | $ 627 | $ 68 | 11 % | |||||||||||||
97 | 110 | (13) | (12 %) | |||||||||||||
EAME | 130 | 132 | (2) | (2 %) | ||||||||||||
112 | 110 | 2 | 2 % | |||||||||||||
Total Revenues | $ 1,034 | $ 979 | $ 55 | 6 % | ||||||||||||
Segment Profit | ||||||||||||||||
Third | Third |
Change | % Change | |||||||||||||
Segment Profit | $ 246 | $ 203 | $ 43 | 21 % | ||||||||||||
Financial Products' segment revenues were
Financial Products' segment profit was
At the end of the third quarter of 2024, past dues at Cat Financial were
Corporate Items and Eliminations
Expense for corporate items and eliminations was
Notes
i. Glossary of terms is included on the Caterpillar website at https://investors.caterpillar.com/overview/default.aspx.
ii. Sales of equipment to end users is demonstrated by the company's Rolling 3 Month Retail Sales Statistics filed in a Form 8-K on Wednesday, Oct. 30, 2024.
iii. Information on non-GAAP financial measures is included in the appendix on pages 13 and 14.
iv. Some amounts within this report are rounded to the millions or billions and may not add.
v. Caterpillar will conduct a teleconference and live webcast, with a slide presentation, beginning at 7:30 a.m. Central Time on Wednesday, Oct. 30, 2024, to discuss its 2024 third-quarter results. The accompanying slides will be available before the webcast on the Caterpillar website at https://investors.caterpillar.com/events-presentations/default.aspx.
About Caterpillar
With 2023 sales and revenues of
Caterpillar's latest financial results are also available online:
https://investors.caterpillar.com/overview/default.aspx
https://investors.caterpillar.com/financials/quarterly-results/default.aspx (live broadcast/replays of quarterly conference call)
Forward-Looking Statements
Certain statements in this press release relate to future events and expectations and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "believe," "estimate," "will be," "will," "would," "expect," "anticipate," "plan," "forecast," "target," "guide," "project," "intend," "could," "should" or other similar words or expressions often identify forward-looking statements. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding our outlook, projections, forecasts or trend descriptions. These statements do not guarantee future performance and speak only as of the date they are made, and we do not undertake to update our forward-looking statements.
Caterpillar's actual results may differ materially from those described or implied in our forward-looking statements based on a number of factors, including, but not limited to: (i) global and regional economic conditions and economic conditions in the industries we serve; (ii) commodity price changes, material price increases, fluctuations in demand for our products or significant shortages of material; (iii) government monetary or fiscal policies; (iv) political and economic risks, commercial instability and events beyond our control in the countries in which we operate; (v) international trade policies and their impact on demand for our products and our competitive position, including the imposition of new tariffs or changes in existing tariff rates; (vi) our ability to develop, produce and market quality products that meet our customers' needs; (vii) the impact of the highly competitive environment in which we operate on our sales and pricing; (viii) information technology security threats and computer crime; (ix) inventory management decisions and sourcing practices of our dealers and our OEM customers; (x) a failure to realize, or a delay in realizing, all of the anticipated benefits of our acquisitions, joint ventures or divestitures; (xi) union disputes or other employee relations issues; (xii) adverse effects of unexpected events; (xiii) disruptions or volatility in global financial markets limiting our sources of liquidity or the liquidity of our customers, dealers and suppliers; (xiv) failure to maintain our credit ratings and potential resulting increases to our cost of borrowing and adverse effects on our cost of funds, liquidity, competitive position and access to capital markets; (xv) our Financial Products segment's risks associated with the financial services industry; (xvi) changes in interest rates or market liquidity conditions; (xvii) an increase in delinquencies, repossessions or net losses of Cat Financial's customers; (xviii) currency fluctuations; (xix) our or Cat Financial's compliance with financial and other restrictive covenants in debt agreements; (xx) increased pension plan funding obligations; (xxi) alleged or actual violations of trade or anti-corruption laws and regulations; (xxii) additional tax expense or exposure, including the impact of
APPENDIX
NON-GAAP FINANCIAL MEASURES
The following definitions are provided for the non-GAAP financial measures. These non-GAAP financial measures have no standardized meaning prescribed by
The company believes it is important to separately quantify the profit impact of one significant item in order for the company's results to be meaningful to readers. This item consists of (i) restructuring income/costs. The company does not consider this item indicative of earnings from ongoing business activities and believes the non-GAAP measure provides investors with useful perspective on underlying business results and trends and aids with assessing the company's period-over-period results. The company intends to discuss adjusted profit per share for the fourth quarter and full-year 2024, excluding mark-to-market gains or losses for remeasurement of pension and other postemployment benefit plans.
Reconciliations of adjusted results to the most directly comparable GAAP measure are as follows:
(Dollars in millions except per share data) | Operating | Operating | Profit Before | Provision | Profit | Profit per | |||||||
Three Months Ended September 30, 2024 - | $ 3,147 | 19.5 % | $ 3,098 | $ 642 | $ 2,464 | $ 5.06 | |||||||
Restructuring (income) costs | 70 | 0.5 % | 70 | 16 | 54 | 0.11 | |||||||
Three Months Ended September 30, 2024 - Adjusted | $ 3,217 | 20.0 % | $ 3,168 | $ 658 | $ 2,518 | $ 5.17 | |||||||
Three Months Ended September 30, 2023 - | $ 3,449 | 20.5 % | $ 3,515 | $ 734 | $ 2,794 | $ 5.45 | |||||||
Restructuring (income) costs | 46 | 0.3 % | 46 | 10 | 36 | 0.07 | |||||||
Three Months Ended September 30, 2023 - Adjusted | $ 3,495 | 20.8 % | $ 3,561 | $ 744 | $ 2,830 | $ 5.52 | |||||||
The company believes it is important to separately disclose the annual effective tax rate, excluding discrete items for the results to be meaningful to readers. The annual effective tax rate is discussed using non-GAAP financial measures that exclude the effects of amounts associated with discrete items recorded fully in the quarter they occur. For the three months ended September 30, 2024, and 2023, these items consist of (i) the impact of changes in estimates related to prior years in 2024, (ii) settlement of stock-based compensation awards with associated tax deductions in excess of cumulative
A reconciliation of the effective tax rate to annual effective tax rate, excluding discrete items is below:
(Dollars in millions) | Profit Before | Provision | Effective Tax | |||
Three Months Ended September 30, 2024 - | $ 3,098 | $ 642 | 20.7 % | |||
Changes in estimates related to prior years | — | 47 | ||||
Excess stock-based compensation | — | 7 | ||||
Annual effective tax rate, excluding discrete items | $ 3,098 | $ 696 | 22.5 % | |||
Changes in estimates related to prior years | — | (47) | ||||
Excess stock-based compensation | — | (7) | ||||
Restructuring (income) costs | 70 | 16 | ||||
Three Months Ended September 30, 2024 - Adjusted | $ 3,168 | $ 658 | ||||
Three Months Ended September 30, 2023 - | $ 3,515 | $ 734 | 20.9 % | |||
Decrease in annual effective tax rate | — | 34 | ||||
Excess stock-based compensation | — | 22 | ||||
Annual effective tax rate, excluding discrete items | $ 3,515 | $ 790 | 22.5 % | |||
Decrease in annual effective tax rate | — | (34) | ||||
Excess stock-based compensation | — | (22) | ||||
Restructuring (income) costs | 46 | 10 | ||||
Three Months Ended September 30, 2023 - Adjusted | $ 3,561 | $ 744 |
Supplemental Consolidating Data
The company is providing supplemental consolidating data for the purpose of additional analysis. The data has been grouped as follows:
Consolidated – Caterpillar Inc. and its subsidiaries.
Machinery, Energy & Transportation (ME&T) – The company defines ME&T as it is presented in the supplemental data as Caterpillar Inc. and its subsidiaries, excluding Financial Products. ME&T's information relates to the design, manufacturing and marketing of its products.
Financial Products – The company defines Financial Products as it is presented in the supplemental data as its finance and insurance subsidiaries, primarily Caterpillar Financial Services Corporation (Cat Financial) and Caterpillar Insurance Holdings Inc. (Insurance Services). Financial Products' information relates to the financing to customers and dealers for the purchase and lease of Caterpillar and other equipment.
Consolidating Adjustments – Eliminations of transactions between ME&T and Financial Products.
The nature of the ME&T and Financial Products businesses is different, especially with regard to the financial position and cash flow items. Caterpillar management utilizes this presentation internally to highlight these differences. The company believes this presentation will assist readers in understanding its business.
Pages 16 to 26 reconcile ME&T and Financial Products to Caterpillar Inc. consolidated financial information.
Caterpillar Inc. Condensed Consolidated Statement of Results of Operations (Unaudited) (Dollars in millions except per share data) | |||||||
Three Months Ended | Nine Months Ended | ||||||
2024 | 2023 | 2024 | 2023 | ||||
Sales and revenues: | |||||||
Sales of Machinery, Energy & Transportation | $ 15,231 | $ 15,988 | $ 46,031 | $ 47,632 | |||
Revenues of Financial Products | 875 | 822 | 2,563 | 2,358 | |||
Total sales and revenues | 16,106 | 16,810 | 48,594 | 49,990 | |||
Operating costs: | |||||||
Cost of goods sold | 10,066 | 10,583 | 29,878 | 31,751 | |||
Selling, general and administrative expenses | 1,669 | 1,624 | 4,898 | 4,615 | |||
Research and development expenses | 533 | 554 | 1,588 | 1,554 | |||
Interest expense of Financial Products | 336 | 280 | 948 | 742 | |||
Other operating (income) expenses | 355 | 320 | 1,134 | 1,496 | |||
Total operating costs | 12,959 | 13,361 | 38,446 | 40,158 | |||
Operating profit | 3,147 | 3,449 | 10,148 | 9,832 | |||
Interest expense excluding Financial Products | 125 | 129 | 405 | 385 | |||
Other income (expense) | 76 | 195 | 387 | 354 | |||
Consolidated profit before taxes | 3,098 | 3,515 | 10,130 | 9,801 | |||
Provision (benefit) for income taxes | 642 | 734 | 2,166 | 2,194 | |||
Profit of consolidated companies | 2,456 | 2,781 | 7,964 | 7,607 | |||
Equity in profit (loss) of unconsolidated affiliated companies | 7 | 12 | 34 | 52 | |||
Profit of consolidated and affiliated companies | 2,463 | 2,793 | 7,998 | 7,659 | |||
Less: Profit (loss) attributable to noncontrolling interests | (1) | (1) | (3) | — | |||
Profit 1 | $ 2,464 | $ 2,794 | $ 8,001 | $ 7,659 | |||
Profit per common share | $ 5.09 | $ 5.48 | $ 16.36 | $ 14.93 | |||
Profit per common share — diluted 2 | $ 5.06 | $ 5.45 | $ 16.27 | $ 14.85 | |||
Weighted-average common shares outstanding (millions) | |||||||
– Basic | 484.2 | 509.8 | 489.0 | 513.0 | |||
– Diluted 2 | 486.7 | 512.6 | 491.7 | 515.7 | |||
1 | Profit attributable to common shareholders. |
2 | Diluted by assumed exercise of stock-based compensation awards using the treasury stock method. |
Caterpillar Inc. Condensed Consolidated Statement of Financial Position (Unaudited) (Millions of dollars) | |||
September 30, | December 31, | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 5,638 | $ 6,978 | |
Receivables – trade and other | 9,086 | 9,310 | |
Receivables – finance | 9,816 | 9,510 | |
Prepaid expenses and other current assets | 3,094 | 4,586 | |
Inventories | 17,312 | 16,565 | |
Total current assets | 44,946 | 46,949 | |
Property, plant and equipment – net | 12,837 | 12,680 | |
Long-term receivables – trade and other | 1,346 | 1,238 | |
Long-term receivables – finance | 13,263 | 12,664 | |
Noncurrent deferred and refundable income taxes | 3,050 | 2,816 | |
Intangible assets | 448 | 564 | |
Goodwill | 5,317 | 5,308 | |
Other assets | 5,066 | 5,257 | |
Total assets | $ 86,273 | $ 87,476 | |
Liabilities | |||
Current liabilities: | |||
Short-term borrowings: | |||
-- Financial Products | $ 3,725 | $ 4,643 | |
Accounts payable | 7,705 | 7,906 | |
Accrued expenses | 4,980 | 4,958 | |
Accrued wages, salaries and employee benefits | 2,078 | 2,757 | |
Customer advances | 2,404 | 1,929 | |
Dividends payable | — | 649 | |
Other current liabilities | 2,934 | 3,123 | |
Long-term debt due within one year: | |||
-- Machinery, Energy & Transportation | 46 | 1,044 | |
-- Financial Products | 8,346 | 7,719 | |
Total current liabilities | 32,218 | 34,728 | |
Long-term debt due after one year: | |||
-- Machinery, Energy & Transportation | 8,634 | 8,579 | |
-- Financial Products | 17,150 | 15,893 | |
Liability for postemployment benefits | 4,029 | 4,098 | |
Other liabilities | 4,839 | 4,675 | |
Total liabilities | 66,870 | 67,973 | |
Shareholders' equity | |||
Common stock | 5,584 | 6,403 | |
Treasury stock | (42,390) | (36,339) | |
Profit employed in the business | 57,920 | 51,250 | |
Accumulated other comprehensive income (loss) | (1,717) | (1,820) | |
Noncontrolling interests | 6 | 9 | |
Total shareholders' equity | 19,403 | 19,503 | |
Total liabilities and shareholders' equity | $ 86,273 | $ 87,476 |
Caterpillar Inc. Condensed Consolidated Statement of Cash Flow (Unaudited) (Millions of dollars) | |||
Nine Months Ended September 30, | |||
2024 | 2023 | ||
Cash flow from operating activities: | |||
Profit of consolidated and affiliated companies | $ 7,998 | $ 7,659 | |
Adjustments to reconcile profit to net cash provided by operating activities: | |||
Depreciation and amortization | 1,598 | 1,599 | |
Provision (benefit) for deferred income taxes | (329) | (448) | |
(Gain) loss on divestiture | 164 | 572 | |
Other | 221 | 205 | |
Changes in assets and liabilities, net of acquisitions and divestitures: | |||
Receivables – trade and other | (30) | (319) | |
Inventories | (781) | (1,424) | |
Accounts payable | (96) | (532) | |
Accrued expenses | 9 | 588 | |
Accrued wages, salaries and employee benefits | (671) | — | |
Customer advances | 476 | 516 | |
Other assets – net | 120 | 128 | |
Other liabilities – net | (37) | 338 | |
Net cash provided by (used for) operating activities | 8,642 | 8,882 | |
Cash flow from investing activities: | |||
Capital expenditures – excluding equipment leased to others | (1,285) | (1,061) | |
Expenditures for equipment leased to others | (893) | (1,177) | |
Proceeds from disposals of leased assets and property, plant and equipment | 541 | 563 | |
Additions to finance receivables | (11,457) | (11,082) | |
Collections of finance receivables | 10,234 | 10,391 | |
Proceeds from sale of finance receivables | 69 | 40 | |
Investments and acquisitions (net of cash acquired) | (32) | (67) | |
Proceeds from sale of businesses and investments (net of cash sold) | (67) | (14) | |
Proceeds from maturities and sale of securities | 2,841 | 747 | |
Investments in securities | (892) | (3,689) | |
Other – net | 137 | 32 | |
Net cash provided by (used for) investing activities | (804) | (5,317) | |
Cash flow from financing activities: | |||
Dividends paid | (1,966) | (1,901) | |
Common stock issued, including treasury shares reissued | 15 | 36 | |
Payments to purchase common stock | (7,057) | (2,209) | |
Proceeds from debt issued (original maturities greater than three months) | 7,579 | 6,360 | |
Payments on debt (original maturities greater than three months) | (6,862) | (4,459) | |
Short-term borrowings – net (original maturities three months or less) | (848) | (1,726) | |
Net cash provided by (used for) financing activities | (9,139) | (3,899) | |
Effect of exchange rate changes on cash | (39) | (119) | |
Increase (decrease) in cash, cash equivalents and restricted cash | (1,340) | (453) | |
Cash, cash equivalents and restricted cash at beginning of period | 6,985 | 7,013 | |
Cash, cash equivalents and restricted cash at end of period | $ 5,645 | $ 6,560 | |
Cash equivalents primarily represent short-term, highly liquid investments with original maturities of generally three months or less. |
Caterpillar Inc. Supplemental Data for Results of Operations For the Three Months Ended September 30, 2024 (Unaudited) (Millions of dollars) | ||||||||
Supplemental Consolidating Data | ||||||||
Consolidated | Machinery, | Financial Products | Consolidating Adjustments | |||||
Sales and revenues: | ||||||||
Sales of Machinery, Energy & Transportation | $ 15,231 | $ 15,231 | $ — | $ — | ||||
Revenues of Financial Products | 875 | — | 1,078 | (203) | 1 | |||
Total sales and revenues | 16,106 | 15,231 | 1,078 | (203) | ||||
Operating costs: | ||||||||
Cost of goods sold | 10,066 | 10,067 | — | (1) | 2 | |||
Selling, general and administrative expenses | 1,669 | 1,484 | 197 | (12) | 2 | |||
Research and development expenses | 533 | 533 | — | — | ||||
Interest expense of Financial Products | 336 | — | 336 | — | ||||
Other operating (income) expenses | 355 | 49 | 329 | (23) | 2 | |||
Total operating costs | 12,959 | 12,133 | 862 | (36) | ||||
Operating profit | 3,147 | 3,098 | 216 | (167) | ||||
Interest expense excluding Financial Products | 125 | 127 | — | (2) | 3 | |||
Other income (expense) | 76 | (122) | 33 | 165 | 4 | |||
Consolidated profit before taxes | 3,098 | 2,849 | 249 | — | ||||
Provision (benefit) for income taxes | 642 | 582 | 60 | — | ||||
Profit of consolidated companies | 2,456 | 2,267 | 189 | — | ||||
Equity in profit (loss) of unconsolidated affiliated companies | 7 | 7 | — | — | ||||
Profit of consolidated and affiliated companies | 2,463 | 2,274 | 189 | — | ||||
Less: Profit (loss) attributable to noncontrolling interests | (1) | (1) | — | — | ||||
Profit 5 | $ 2,464 | $ 2,275 | $ 189 | $ — | ||||
1 | Elimination of Financial Products' revenues earned from ME&T. |
2 | Elimination of net expenses recorded between ME&T and Financial Products. |
3 | Elimination of interest expense recorded between Financial Products and ME&T. |
4 | Elimination of discount recorded by ME&T on receivables sold to Financial Products and of interest earned between ME&T and Financial Products as well as dividends paid by Financial Products to ME&T. |
5 | Profit attributable to common shareholders. |
Caterpillar Inc. Supplemental Data for Results of Operations For the Three Months Ended September 30, 2023 (Unaudited) (Millions of dollars) | ||||||||
Supplemental Consolidating Data | ||||||||
Consolidated | Machinery, | Financial Products | Consolidating Adjustments | |||||
Sales and revenues: | ||||||||
Sales of Machinery, Energy & Transportation | $ 15,988 | $ 15,988 | $ — | $ — | ||||
Revenues of Financial Products | 822 | — | 1,017 | (195) | 1 | |||
Total sales and revenues | 16,810 | 15,988 | 1,017 | (195) | ||||
Operating costs: | ||||||||
Cost of goods sold | 10,583 | 10,586 | — | (3) | 2 | |||
Selling, general and administrative expenses | 1,624 | 1,430 | 206 | (12) | 2 | |||
Research and development expenses | 554 | 554 | — | — | ||||
Interest expense of Financial Products | 280 | — | 280 | — | ||||
Other operating (income) expenses | 320 | 25 | 310 | (15) | 2 | |||
Total operating costs | 13,361 | 12,595 | 796 | (30) | ||||
Operating profit | 3,449 | 3,393 | 221 | (165) | ||||
Interest expense excluding Financial Products | 129 | 129 | — | — | ||||
Other income (expense) | 195 | 42 | (12) | 165 | 3 | |||
Consolidated profit before taxes | 3,515 | 3,306 | 209 | — | ||||
Provision (benefit) for income taxes | 734 | 654 | 80 | — | ||||
Profit of consolidated companies | 2,781 | 2,652 | 129 | — | ||||
Equity in profit (loss) of unconsolidated affiliated companies | 12 | 12 | — | — | ||||
Profit of consolidated and affiliated companies | 2,793 | 2,664 | 129 | — | ||||
Less: Profit (loss) attributable to noncontrolling interests | (1) | (1) | — | — | ||||
Profit 4 | $ 2,794 | $ 2,665 | $ 129 | $ — |
1 | Elimination of Financial Products' revenues earned from ME&T. |
2 | Elimination of net expenses recorded by ME&T paid to Financial Products. |
3 | Elimination of discount recorded by ME&T on receivables sold to Financial Products and of interest earned between ME&T and Financial Products as well as dividends paid by Financial Products to ME&T. |
4 | Profit attributable to common shareholders. |
Caterpillar Inc. Supplemental Data for Results of Operations For the Nine Months Ended September 30, 2024 (Unaudited) (Millions of dollars) | ||||||||
Supplemental Consolidating Data | ||||||||
Consolidated | Machinery, | Financial Products | Consolidating Adjustments | |||||
Sales and revenues: | ||||||||
Sales of Machinery, Energy & Transportation | $ 46,031 | $ 46,031 | $ — | $ — | ||||
Revenues of Financial Products | 2,563 | — | 3,150 | (587) | 1 | |||
Total sales and revenues | 48,594 | 46,031 | 3,150 | (587) | ||||
Operating costs: | ||||||||
Cost of goods sold | 29,878 | 29,883 | — | (5) | 2 | |||
Selling, general and administrative expenses | 4,898 | 4,346 | 560 | (8) | 2 | |||
Research and development expenses | 1,588 | 1,588 | — | — | ||||
Interest expense of Financial Products | 948 | — | 948 | — | ||||
Other operating (income) expenses | 1,134 | 51 | 1,174 | (91) | 2 | |||
Total operating costs | 38,446 | 35,868 | 2,682 | (104) | ||||
Operating profit | 10,148 | 10,163 | 468 | (483) | ||||
Interest expense excluding Financial Products | 405 | 407 | — | (2) | 3 | |||
Other income (expense) | 387 | (163) | 69 | 481 | 4 | |||
Consolidated profit before taxes | 10,130 | 9,593 | 537 | — | ||||
Provision (benefit) for income taxes | 2,166 | 1,983 | 183 | — | ||||
Profit of consolidated companies | 7,964 | 7,610 | 354 | — | ||||
Equity in profit (loss) of unconsolidated affiliated companies | 34 | 34 | — | — | ||||
Profit of consolidated and affiliated companies | 7,998 | 7,644 | 354 | — | ||||
Less: Profit (loss) attributable to noncontrolling interests | (3) | (4) | 1 | — | ||||
Profit 5 | $ 8,001 | $ 7,648 | $ 353 | $ — |
1 | Elimination of Financial Products' revenues earned from ME&T. |
2 | Elimination of net expenses recorded between ME&T and Financial Products. |
3 | Elimination of interest expense recorded between Financial Products and ME&T. |
4 | Elimination of discount recorded by ME&T on receivables sold to Financial Products and of interest earned between ME&T and Financial Products as well as dividends paid by Financial Products to ME&T. |
5 | Profit attributable to common shareholders. |
Caterpillar Inc. Supplemental Data for Results of Operations For the Nine Months Ended September 30, 2023 (Unaudited) (Millions of dollars) | ||||||||
Supplemental Consolidating Data | ||||||||
Consolidated | Machinery, | Financial Products | Consolidating Adjustments | |||||
Sales and revenues: | ||||||||
Sales of Machinery, Energy & Transportation | $ 47,632 | $ 47,632 | $ — | $ — | ||||
Revenues of Financial Products | 2,358 | — | 2,907 | (549) | 1 | |||
Total sales and revenues | 49,990 | 47,632 | 2,907 | (549) | ||||
Operating costs: | ||||||||
Cost of goods sold | 31,751 | 31,758 | — | (7) | 2 | |||
Selling, general and administrative expenses | 4,615 | 4,139 | 507 | (31) | 2 | |||
Research and development expenses | 1,554 | 1,554 | — | — | ||||
Interest expense of Financial Products | 742 | — | 742 | — | ||||
Other operating (income) expenses | 1,496 | 624 | 923 | (51) | 2 | |||
Total operating costs | 40,158 | 38,075 | 2,172 | (89) | ||||
Operating profit | 9,832 | 9,557 | 735 | (460) | ||||
Interest expense excluding Financial Products | 385 | 385 | — | — | ||||
Other income (expense) | 354 | 18 | (49) | 385 | 3 | |||
Consolidated profit before taxes | 9,801 | 9,190 | 686 | (75) | ||||
Provision (benefit) for income taxes | 2,194 | 1,993 | 201 | — | ||||
Profit of consolidated companies | 7,607 | 7,197 | 485 | (75) | ||||
Equity in profit (loss) of unconsolidated affiliated companies | 52 | 55 | — | (3) | 4 | |||
Profit of consolidated and affiliated companies | 7,659 | 7,252 | 485 | (78) | ||||
Less: Profit (loss) attributable to noncontrolling interests | — | (2) | 5 | (3) | 5 | |||
Profit 6 | $ 7,659 | $ 7,254 | $ 480 | $ (75) |
1 | Elimination of Financial Products' revenues earned from ME&T. |
2 | Elimination of net expenses recorded by ME&T paid to Financial Products. |
3 | Elimination of discount recorded by ME&T on receivables sold to Financial Products and of interest earned between ME&T and Financial Products as well as dividends paid by Financial Products to ME&T. |
4 | Elimination of equity profit (loss) earned from Financial Products' subsidiaries partially owned by ME&T subsidiaries. |
5 | Elimination of noncontrolling interest profit (loss) recorded by Financial Products for subsidiaries partially owned by ME&T subsidiaries. |
6 | Profit attributable to common shareholders. |
Caterpillar Inc. Supplemental Data for Financial Position At September 30, 2024 (Unaudited) (Millions of dollars) | ||||||||
Supplemental Consolidating Data | ||||||||
Consolidated | Machinery, Energy & Transportation | Financial Products | Consolidating Adjustments | |||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ 5,638 | $ 4,760 | $ 878 | $ — | ||||
Receivables – trade and other | 9,086 | 3,421 | 489 | 5,176 | 1,2 | |||
Receivables – finance | 9,816 | — | 15,188 | (5,372) | 2 | |||
Prepaid expenses and other current assets | 3,094 | 2,941 | 417 | (264) | 3 | |||
Inventories | 17,312 | 17,312 | — | — | ||||
Total current assets | 44,946 | 28,434 | 16,972 | (460) | ||||
Property, plant and equipment – net | 12,837 | 8,943 | 3,894 | — | ||||
Long-term receivables – trade and other | 1,346 | 582 | 128 | 636 | 1,2 | |||
Long-term receivables – finance | 13,263 | — | 14,003 | (740) | 2 | |||
Noncurrent deferred and refundable income taxes | 3,050 | 3,553 | 112 | (615) | 4 | |||
Intangible assets | 448 | 448 | — | — | ||||
Goodwill | 5,317 | 5,317 | — | — | ||||
Other assets | 5,066 | 3,828 | 2,271 | (1,033) | 5 | |||
Total assets | $ 86,273 | $ 51,105 | $ 37,380 | $ (2,212) | ||||
Liabilities | ||||||||
Current liabilities: | ||||||||
Short-term borrowings | $ 3,725 | $ — | $ 3,725 | $ — | ||||
Accounts payable | 7,705 | 7,630 | 287 | (212) | 6,7 | |||
Accrued expenses | 4,980 | 4,351 | 629 | — | ||||
Accrued wages, salaries and employee benefits | 2,078 | 2,028 | 50 | — | ||||
Customer advances | 2,404 | 2,385 | 3 | 16 | 7 | |||
Other current liabilities | 2,934 | 2,407 | 813 | (286) | 4,5,8 | |||
Long-term debt due within one year | 8,392 | 46 | 8,346 | — | ||||
Total current liabilities | 32,218 | 18,847 | 13,853 | (482) | ||||
Long-term debt due after one year | 25,784 | 8,738 | 17,150 | (104) | 9 | |||
Liability for postemployment benefits | 4,029 | 4,029 | — | — | ||||
Other liabilities | 4,839 | 3,970 | 1,522 | (653) | 4,5 | |||
Total liabilities | 66,870 | 35,584 | 32,525 | (1,239) | ||||
Shareholders' equity | ||||||||
Common stock | 5,584 | 5,584 | 905 | (905) | 10 | |||
Treasury stock | (42,390) | (42,390) | — | — | ||||
Profit employed in the business | 57,920 | 53,100 | 4,810 | 10 | 10 | |||
Accumulated other comprehensive income (loss) | (1,717) | (781) | (936) | — | ||||
Noncontrolling interests | 6 | 8 | 76 | (78) | 10 | |||
Total shareholders' equity | 19,403 | 15,521 | 4,855 | (973) | ||||
Total liabilities and shareholders' equity | $ 86,273 | $ 51,105 | $ 37,380 | $ (2,212) |
1 | Elimination of receivables between ME&T and Financial Products. |
2 | Reclassification of ME&T's trade receivables purchased by Financial Products and Financial Products' wholesale inventory receivables. |
3 | Elimination of ME&T's insurance premiums that are prepaid to Financial Products. |
4 | Reclassification reflecting required netting of deferred tax assets/liabilities by taxing jurisdiction. |
5 | Elimination of other intercompany assets and liabilities between ME&T and Financial Products. |
6 | Elimination of payables between ME&T and Financial Products. |
7 | Reclassification of Financial Products' payables to customer advances. |
8 | Elimination of prepaid insurance in Financial Products' other liabilities. |
9 | Elimination of debt between ME&T and Financial Products. |
10 | Eliminations associated with ME&T's investments in Financial Products' subsidiaries. |
Caterpillar Inc. Supplemental Data for Financial Position At December 31, 2023 (Unaudited) (Millions of dollars) | ||||||||
Supplemental Consolidating Data | ||||||||
Consolidated | Machinery, Energy & Transportation | Financial Products | Consolidating Adjustments | |||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ 6,978 | $ 6,106 | $ 872 | $ — | ||||
Receivables – trade and other | 9,310 | 3,971 | 570 | 4,769 | 1,2 | |||
Receivables – finance | 9,510 | — | 14,499 | (4,989) | 2 | |||
Prepaid expenses and other current assets | 4,586 | 4,327 | 341 | (82) | 3 | |||
Inventories | 16,565 | 16,565 | — | — | ||||
Total current assets | 46,949 | 30,969 | 16,282 | (302) | ||||
Property, plant and equipment – net | 12,680 | 8,694 | 3,986 | — | ||||
Long-term receivables – trade and other | 1,238 | 565 | 85 | 588 | 1,2 | |||
Long-term receivables – finance | 12,664 | — | 13,299 | (635) | 2 | |||
Noncurrent deferred and refundable income taxes | 2,816 | 3,360 | 148 | (692) | 4 | |||
Intangible assets | 564 | 564 | — | — | ||||
Goodwill | 5,308 | 5,308 | — | — | ||||
Other assets | 5,257 | 4,218 | 2,082 | (1,043) | 5 | |||
Total assets | $ 87,476 | $ 53,678 | $ 35,882 | $ (2,084) | ||||
Liabilities | ||||||||
Current liabilities: | ||||||||
Short-term borrowings | $ 4,643 | $ — | $ 4,643 | $ — | ||||
Accounts payable | 7,906 | 7,827 | 314 | (235) | 6,7 | |||
Accrued expenses | 4,958 | 4,361 | 597 | — | ||||
Accrued wages, salaries and employee benefits | 2,757 | 2,696 | 61 | — | ||||
Customer advances | 1,929 | 1,912 | 2 | 15 | 7 | |||
Dividends payable | 649 | 649 | — | — | ||||
Other current liabilities | 3,123 | 2,583 | 647 | (107) | 4,8 | |||
Long-term debt due within one year | 8,763 | 1,044 | 7,719 | — | ||||
Total current liabilities | 34,728 | 21,072 | 13,983 | (327) | ||||
Long-term debt due after one year | 24,472 | 8,626 | 15,893 | (47) | 9 | |||
Liability for postemployment benefits | 4,098 | 4,098 | — | — | ||||
Other liabilities | 4,675 | 3,806 | 1,607 | (738) | 4 | |||
Total liabilities | 67,973 | 37,602 | 31,483 | (1,112) | ||||
Shareholders' equity | ||||||||
Common stock | 6,403 | 6,403 | 905 | (905) | 10 | |||
Treasury stock | (36,339) | (36,339) | — | — | ||||
Profit employed in the business | 51,250 | 46,783 | 4,457 | 10 | 10 | |||
Accumulated other comprehensive income (loss) | (1,820) | (783) | (1,037) | — | ||||
Noncontrolling interests | 9 | 12 | 74 | (77) | 10 | |||
Total shareholders' equity | 19,503 | 16,076 | 4,399 | (972) | ||||
Total liabilities and shareholders' equity | $ 87,476 | $ 53,678 | $ 35,882 | $ (2,084) |
1 | Elimination of receivables between ME&T and Financial Products. |
2 | Reclassification of ME&T's trade receivables purchased by Financial Products and Financial Products' wholesale inventory receivables. |
3 | Elimination of ME&T's insurance premiums that are prepaid to Financial Products. |
4 | Reclassification reflecting required netting of deferred tax assets/liabilities by taxing jurisdiction. |
5 | Elimination of other intercompany assets between ME&T and Financial Products. |
6 | Elimination of payables between ME&T and Financial Products. |
7 | Reclassification of Financial Products' payables to customer advances. |
8 | Elimination of prepaid insurance in Financial Products' other liabilities. |
9 | Elimination of debt between ME&T and Financial Products. |
10 | Eliminations associated with ME&T's investments in Financial Products' subsidiaries. |
Caterpillar Inc. Supplemental Data for Cash Flow For the Nine Months Ended September 30, 2024 (Unaudited) (Millions of dollars) | ||||||||
Supplemental Consolidating Data | ||||||||
Consolidated | Machinery, | Financial Products | Consolidating Adjustments | |||||
Cash flow from operating activities: | ||||||||
Profit of consolidated and affiliated companies | $ 7,998 | $ 7,644 | $ 354 | $ — | ||||
Adjustments to reconcile profit to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 1,598 | 1,010 | 588 | — | ||||
Provision (benefit) for deferred income taxes | (329) | (277) | (52) | — | ||||
(Gain) loss on divestiture | 164 | (46) | 210 | — | ||||
Other | 221 | 236 | (447) | 432 | 1 | |||
Changes in assets and liabilities, net of acquisitions and divestitures: | ||||||||
Receivables – trade and other | (30) | 554 | (17) | (567) | 1,2 | |||
Inventories | (781) | (770) | — | (11) | 1 | |||
Accounts payable | (96) | (79) | (40) | 23 | 1 | |||
Accrued expenses | 9 | — | 9 | — | ||||
Accrued wages, salaries and employee benefits | (671) | (660) | (11) | — | ||||
Customer advances | 476 | 475 | 1 | — | ||||
Other assets – net | 120 | (226) | 191 | 155 | 1 | |||
Other liabilities – net | (37) | (135) | 232 | (134) | 1 | |||
Net cash provided by (used for) operating activities | 8,642 | 7,726 | 1,018 | (102) | ||||
Cash flow from investing activities: | ||||||||
Capital expenditures – excluding equipment leased to others | (1,285) | (1,264) | (25) | 4 | 1 | |||
Expenditures for equipment leased to others | (893) | (20) | (889) | 16 | 1 | |||
Proceeds from disposals of leased assets and property, plant and equipment | 541 | 25 | 525 | (9) | 1 | |||
Additions to finance receivables | (11,457) | — | (12,271) | 814 | 2 | |||
Collections of finance receivables | 10,234 | — | 10,889 | (655) | 2 | |||
Net intercompany purchased receivables | — | — | 68 | (68) | 2 | |||
Proceeds from sale of finance receivables | 69 | — | 69 | — | ||||
Net intercompany borrowings | — | — | 15 | (15) | 3 | |||
Investments and acquisitions (net of cash acquired) | (32) | (32) | — | — | ||||
Proceeds from sale of businesses and investments (net of cash sold) | (67) | 86 | (153) | — | ||||
Proceeds from maturities and sale of securities | 2,841 | 2,565 | 276 | — | ||||
Investments in securities | (892) | (469) | (423) | — | ||||
Other – net | 137 | 118 | 19 | — | ||||
Net cash provided by (used for) investing activities | (804) | 1,009 | (1,900) | 87 | ||||
Cash flow from financing activities: | ||||||||
Dividends paid | (1,966) | (1,966) | — | — | ||||
Common stock issued, including treasury shares reissued | 15 | 15 | — | — | ||||
Payments to purchase common stock | (7,057) | (7,057) | — | — | ||||
Net intercompany borrowings | — | (15) | — | 15 | 3 | |||
Proceeds from debt issued (original maturities greater than three months) | 7,579 | — | 7,579 | — | ||||
Payments on debt (original maturities greater than three months) | (6,862) | (1,021) | (5,841) | — | ||||
Short-term borrowings – net (original maturities three months or less) | (848) | — | (848) | — | ||||
Net cash provided by (used for) financing activities | (9,139) | (10,044) | 890 | 15 | ||||
Effect of exchange rate changes on cash | (39) | (37) | (2) | — | ||||
Increase (decrease) in cash, cash equivalents and restricted cash | (1,340) | (1,346) | 6 | — | ||||
Cash, cash equivalents and restricted cash at beginning of period | 6,985 | 6,111 | 874 | — | ||||
Cash, cash equivalents and restricted cash at end of period | $ 5,645 | $ 4,765 | $ 880 | $ — |
1 | Elimination of non-cash adjustments and changes in assets and liabilities related to consolidated reporting. |
2 | Reclassification of Financial Products' cash flow activity from investing to operating for receivables that arose from the sale of inventory. |
3 | Elimination of net proceeds and payments to/from ME&T and Financial Products. |
Caterpillar Inc. Supplemental Data for Cash Flow For the Nine Months Ended September 30, 2023 (Unaudited) (Millions of dollars) | ||||||||
Supplemental Consolidating Data | ||||||||
Consolidated | Machinery, | Financial Products | Consolidating Adjustments | |||||
Cash flow from operating activities: | ||||||||
Profit of consolidated and affiliated companies | $ 7,659 | $ 7,252 | $ 485 | $ (78) | 1,5 | |||
Adjustments to reconcile profit to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 1,599 | 1,015 | 584 | — | ||||
Provision (benefit) for deferred income taxes | (448) | (456) | 8 | — | ||||
(Gain) loss on divestiture | 572 | 572 | — | — | ||||
Other | 205 | 309 | (463) | 359 | 2 | |||
Changes in assets and liabilities, net of acquisitions and divestitures: | ||||||||
Receivables – trade and other | (319) | (46) | 70 | (343) | 2,3 | |||
Inventories | (1,424) | (1,420) | — | (4) | 2 | |||
Accounts payable | (532) | (628) | 26 | 70 | 2 | |||
Accrued expenses | 588 | 557 | 31 | — | ||||
Accrued wages, salaries and employee benefits | — | 1 | (1) | — | ||||
Customer advances | 516 | 515 | 1 | — | ||||
Other assets – net | 128 | 107 | 17 | 4 | 2 | |||
Other liabilities – net | 338 | 177 | 147 | 14 | 2 | |||
Net cash provided by (used for) operating activities | 8,882 | 7,955 | 905 | 22 | ||||
Cash flow from investing activities: | ||||||||
Capital expenditures – excluding equipment leased to others | (1,061) | (1,088) | (16) | 43 | 2 | |||
Expenditures for equipment leased to others | (1,177) | (20) | (1,165) | 8 | 2 | |||
Proceeds from disposals of leased assets and property, plant and equipment | 563 | 46 | 564 | (47) | 2 | |||
Additions to finance receivables | (11,082) | — | (12,493) | 1,411 | 3 | |||
Collections of finance receivables | 10,391 | — | 11,554 | (1,163) | 3 | |||
Net intercompany purchased receivables | — | — | 429 | (429) | 3 | |||
Proceeds from sale of finance receivables | 40 | — | 40 | — | ||||
Net intercompany borrowings | — | — | 7 | (7) | 4 | |||
Investments and acquisitions (net of cash acquired) | (67) | (67) | — | — | ||||
Proceeds from sale of businesses and investments (net of cash sold) | (14) | (14) | — | — | ||||
Proceeds from sale of securities | 747 | 553 | 194 | — | ||||
Investments in securities | (3,689) | (3,340) | (349) | — | ||||
Other – net | 32 | 43 | (11) | — | ||||
Net cash provided by (used for) investing activities | (5,317) | (3,887) | (1,246) | (184) | ||||
Cash flow from financing activities: | ||||||||
Dividends paid | (1,901) | (1,901) | (155) | 155 | 5 | |||
Common stock issued, including treasury shares reissued | 36 | 36 | — | — | ||||
Payments to purchase common stock | (2,209) | (2,209) | — | — | ||||
Net intercompany borrowings | — | (7) | — | 7 | 4 | |||
Proceeds from debt issued (original maturities greater than three months) | 6,360 | — | 6,360 | — | ||||
Payments on debt (original maturities greater than three months) | (4,459) | (99) | (4,360) | — | ||||
Short-term borrowings – net (original maturities three months or less) | (1,726) | (3) | (1,723) | — | ||||
Net cash provided by (used for) financing activities | (3,899) | (4,183) | 122 | 162 | ||||
Effect of exchange rate changes on cash | (119) | (55) | (64) | — | ||||
Increase (decrease) in cash, cash equivalents and restricted cash | (453) | (170) | (283) | — | ||||
Cash, cash equivalents and restricted cash at beginning of period | 7,013 | 6,049 | 964 | — | ||||
Cash, cash equivalents and restricted cash at end of period | $ 6,560 | $ 5,879 | $ 681 | $ — |
1 | Elimination of equity profit earned from Financial Products' subsidiaries partially owned by ME&T subsidiaries. |
2 | Elimination of non-cash adjustments and changes in assets and liabilities related to consolidated reporting. |
3 | Reclassification of Financial Products' cash flow activity from investing to operating for receivables that arose from the sale of inventory. |
4 | Elimination of net proceeds and payments to/from ME&T and Financial Products. |
5 | Elimination of dividend activity between Financial Products and ME&T. |
View original content:https://www.prnewswire.com/news-releases/caterpillar-reports-third-quarter-2024-results-302291382.html
SOURCE Caterpillar Inc.
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