Summary
Caterpillar Inc. reported its financial results for the third quarter and the first nine months of 2025. For the third quarter, total sales and revenues increased by 10% to $17.638 billion, primarily driven by higher sales volume across all major segments. However, operating profit margin decreased to 17.3% from 19.5% in the prior year's quarter, impacted by unfavorable manufacturing costs, notably due to higher tariffs, and increased selling, general, and administrative (SG&A) and R&D expenses. Profit per share for the quarter was $4.88, down from $5.06 in Q3 2024. For the first nine months of 2025, total sales and revenues remained relatively flat at $48.456 billion. Operating profit margin saw a more significant decline to 17.5% from 20.9% in the same period last year, largely due to unfavorable manufacturing costs and price realization, again impacted by tariffs. Profit per share for the nine-month period was $13.69, a decrease from $16.27 in the prior year. The company noted healthy demand signals and a robust backlog, with expectations for modest full-year sales and revenue growth in 2025, though tempered by ongoing tariff impacts and global economic uncertainties.
Financial Highlights
53 data points| Revenue | $17.64B |
| Cost of Revenue | $11.67B |
| Gross Profit | $5.96B |
| R&D Expenses | $555.00M |
| SG&A Expenses | $1.82B |
| Operating Expenses | $14.59B |
| Operating Income | $3.05B |
| Net Income | $2.30B |
| EPS (Basic) | $4.91 |
| EPS (Diluted) | $4.88 |
| Shares Outstanding (Basic) | 468.60M |
| Shares Outstanding (Diluted) | 470.80M |
Key Highlights
- 1Total sales and revenues for Q3 2025 increased by 10% to $17.638 billion, driven by higher sales volume across Construction Industries, Resource Industries, and Energy & Transportation.
- 2Operating profit margin for Q3 2025 decreased to 17.3% from 19.5% in Q3 2024, impacted by unfavorable manufacturing costs (largely due to higher tariffs) and increased SG&A/R&D expenses.
- 3Profit per share for Q3 2025 was $4.88, a decrease from $5.06 in Q3 2024.
- 4For the nine months ended September 30, 2025, total sales and revenues were largely flat at $48.456 billion.
- 5Operating profit margin for the nine months decreased to 17.5% from 20.9% in the prior year, mainly due to unfavorable manufacturing costs and price realization.
- 6Profit per share for the nine months ended September 30, 2025, was $13.69, down from $16.27 in the prior year.
- 7The company anticipates a net incremental tariff impact of approximately $650 million to $800 million in the fourth quarter of 2025.