Q2 25 EPS
$4.72
MISS 3.73%
Est. $4.90
Q2 25 Revenue
$16.57B
BEAT +1.88%
Est. $16.26B
vs S&P Since Q2 25
+124.0%
BEATING MARKET
CAT +142.0% vs S&P +18.0%
Market Reaction
Did CAT Beat Earnings? Q2 2025 Results
Caterpillar delivered a mixed second quarter, posting adjusted earnings per share of $4.72 against a consensus estimate of $4.90, a miss of 3.73%, even as revenue of $16.57 billion edged past expectations by 1.88%. Total sales slipped 0.7% year-over-… Read more Caterpillar delivered a mixed second quarter, posting adjusted earnings per share of $4.72 against a consensus estimate of $4.90, a miss of 3.73%, even as revenue of $16.57 billion edged past expectations by 1.88%. Total sales slipped 0.7% year-over-year, a modest headline decline that obscured a far more consequential margin story underneath. The primary culprit was tariffs, which the company now expects to weigh on full-year results by $1.30 billion to $1.50 billion, with roughly $350 million of that impact landing in the quarter alone. The tariff burden, combined with $414 million in unfavorable price realization, compressed operating profit margin to 17.3% from 20.9% a year ago, representing one of the sharpest quarterly contractions in recent memory. The pain was not evenly distributed across segments; Energy and Transportation proved a genuine bright spot, growing sales 7% to $7.84 billion on the back of a 28% surge in Power Generation tied to data center demand, while Construction Industries fell 7% to $6.19 billion amid dealer destocking and weaker North American pricing.
Key Takeaways
- • Power Generation sales surged 28% driven by large reciprocating engines for data center applications
- • Unfavorable price realization of $414 million was primary revenue headwind
- • Higher tariffs drove unfavorable manufacturing costs across all three primary segments
- • Higher sales of equipment to end users partially offset pricing and dealer inventory impacts
- • Construction Industries North America sales declined 15% due to dealer inventory destocking and unfavorable price realization
- • Global machine retail sales were unchanged year-over-year while E&T retail sales were up 9%
- • EAME region showed strength with 13% growth in both Construction Industries and Resource Industries
- • Unfavorable foreign currency impacts reduced other income
CAT YoY Financials
Q2 2025 vs Q2 2024, source: SEC Filings
CAT Revenue by Segment
With YoY comparisons, source: SEC Filings
CAT Revenue by Geography
With YoY comparisons, source: SEC Filings
“The Caterpillar team remained focused on customer success and demonstrated solid operational performance this quarter. We continued to see strong orders across our segments as demand remains resilient supported by infrastructure spending and growing energy needs.”
— Joe Creed, Q2 2025 Earnings Press Release
CAT Earnings Trends
CAT vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
CAT EPS Trend
Earnings per share: estimate vs actual
CAT Revenue Trend
Quarterly revenue: estimate vs actual
CAT Quarterly Results
7 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 BEAT | $4.64 | $5.54 | +19.30% | $17.42B | +5.94% |
| Q4 25 BEAT FY | $4.71 | $5.16 | +9.51% | $19.13B | +7.74% |
| FY Full Year | — | $19.06 | — | $67.59B | — |
| Q3 25 BEAT | $4.52 | $4.95 | +9.43% | $17.64B | +5.15% |
| Q2 25 MISS | $4.90 | $4.72 | -3.73% | $16.57B | +1.88% |
| Q1 25 MISS | $4.35 | $4.25 | -2.31% | $14.25B | -2.28% |
| Q4 24 BEAT FY | $5.03 | $5.14 | +2.25% | $16.22B | -1.93% |
| FY Full Year | — | $21.90 | — | $64.81B | — |
| Q3 24 MISS | $5.34 | $5.17 | -3.18% | $16.11B | +0.13% |