Caterpillar

Caterpillar (CAT) Q3 2024 Earnings

Reported Oct 30, 2024 at 6:33 AM ET · SEC Source

Q3 24 EPS

$5.17

MISS 3.18%

Est. $5.34

Q3 24 Revenue

$16.11B

BEAT +0.13%

Est. $16.08B

vs S&P Since Q3 24

+149.6%

BEATING MARKET

CAT +177.3% vs S&P +27.8%

Market Reaction

Did CAT Beat Earnings? Q3 2024 Results

Caterpillar delivered a mixed third quarter, with earnings falling short of Wall Street expectations even as revenue edged past forecasts. The heavy equipment giant posted adjusted EPS of $5.17, missing the $5.34 consensus estimate by 3.18%, while re… Read more Caterpillar delivered a mixed third quarter, with earnings falling short of Wall Street expectations even as revenue edged past forecasts. The heavy equipment giant posted adjusted EPS of $5.17, missing the $5.34 consensus estimate by 3.18%, while revenue of $16.11 billion came in just ahead of the $16.08 billion consensus, though still down 4.2% from a year ago. The headline story was a broad-based pullback in equipment sales volume, with $759 million in lower volume weighing on results as dealer inventory builds moderated sharply from prior-year levels. Not all segments suffered equally, however; Energy and Transportation stood out with 5% growth to $7.19 billion, powered by a 26% surge in power generation sales tied to large reciprocating engines for data center applications, a demand tailwind increasingly shaping the industrial equipment landscape as peers in the power generation space report similar dynamics. Operating profit fell 9% to $3.15 billion, with margins contracting to 19.5%, as Construction Industries faced a rare negative pricing dynamic alongside weaker volumes across most geographies.

Key Takeaways

  • Lower sales volume of $759 million was the primary driver of revenue decline, mainly from lower equipment sales to end users
  • Favorable price realization of $104 million partially offset volume declines
  • Energy & Transportation benefited from strong Power Generation sales, particularly large reciprocating engines for data center applications
  • Construction Industries experienced unfavorable price realization of $147 million
  • Dealer inventory increased less during Q3 2024 than Q3 2023, creating an unfavorable sales volume impact
  • Unfavorable foreign currency impacts reduced other income significantly
24/7 Wall St

CAT YoY Financials

Q3 2024 vs Q3 2023, source: SEC Filings

24/7 Wall St

CAT Revenue by Segment

With YoY comparisons, source: SEC Filings

Q3 24 Q1 26
24/7 Wall St

CAT Revenue by Geography

With YoY comparisons, source: SEC Filings

Q3 24 Q1 26

“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.”

— Jim Umpleby, Q3 2024 Earnings Press Release