Caterpillar

CAT Q4 2025 Earnings

Reported Jan 29, 2026 at 6:31 AM ET · SEC Source

Q4 25 EPS

$5.16

BEAT +9.55%

Est. $4.71

Q4 25 Revenue

$19.13B

BEAT +7.41%

Est. $17.81B

vs S&P Since Q4 25

+29.9%

BEATING MARKET

CAT +33.8% vs S&P +3.8%

Full Year 2025 Results

FY 25 EPS

$19.06

BEAT +1.92%

Est. $18.70

FY 25 Revenue

$67.59B

BEAT +1.99%

Est. $66.27B

Market Reaction

Did CAT Beat Earnings? Q4 2025 Results

Caterpillar delivered a strong beat on both the top and bottom lines in Q4 2025, with earnings per share of $5.16 topping the $4.71 consensus estimate by 9.55% and revenue of $19.13 billion clearing Wall Street's $17.81 billion forecast by 7.41%, an … Read more Caterpillar delivered a strong beat on both the top and bottom lines in Q4 2025, with earnings per share of $5.16 topping the $4.71 consensus estimate by 9.55% and revenue of $19.13 billion clearing Wall Street's $17.81 billion forecast by 7.41%, an 18.0% jump from a year ago. The headline numbers were impressive, but the story beneath them was more complicated: a surge in Power and Energy sales, up 23% to $9.40 billion on booming demand for large reciprocating engines powering data centers, drove much of the volume gain, while tariff-related manufacturing costs of $1.03 billion in the quarter hammered operating margins, which contracted to 13.9% from 18.0% a year ago. Construction and Resource Industries both grew revenue but saw profits fall sharply under the same tariff headwinds, a dynamic that analysts have flagged as a key risk for the stock going forward. CEO Joe Creed noted that Caterpillar enters 2026 with a record backlog, pointing to sustained demand even as margin recovery remains the central challenge.

Key Takeaways

  • Higher sales volume of $2.708 billion driven by higher sales of equipment to end users and impact from changes in dealer inventories
  • Power Generation sales surged 44% driven by large reciprocating engines for data center applications
  • Unfavorable manufacturing costs of $1.030 billion largely reflecting impact of higher tariffs
  • Higher restructuring costs of $282 million mainly related to write-downs of inventory in the Rail division
  • Unfavorable price realization of $0.8 billion for the full year
  • Record backlog entering 2026
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CAT YoY Financials

Q4 2025 vs Q4 2024, source: SEC Filings

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CAT Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26
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CAT Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“Our centennial year marked a significant milestone, underscored by the highest full-year sales and revenues in Caterpillar's history and a single-quarter record of $19.1 billion. These results demonstrate the strength of our end markets and our disciplined execution. With a record backlog, we enter the new year with strong momentum and a continued focus on delivering long-term value for our customers and shareholders.”

— Joe Creed, Q4 2025 Earnings Press Release