Q4 25 EPS
$5.16
BEAT +9.51%
Est. $4.71
Q4 25 Revenue
$19.13B
BEAT +7.74%
Est. $17.76B
vs S&P Since Q4 25
+48.6%
BEATING MARKET
CAT +55.3% vs S&P +6.8%
Full Year 2025 Results
FY 25 EPS
$19.06
FY 25 Revenue
$67.59B
Market Reaction
Did CAT Beat Earnings? Q4 2025 Results
Caterpillar closed out its centennial year with a decisive earnings beat, as the industrial giant's booming Power & Energy division helped drive fourth-quarter revenue to $19.13 billion, up 18% year-over-year and well ahead of the $17.76 billion cons… Read more Caterpillar closed out its centennial year with a decisive earnings beat, as the industrial giant's booming Power & Energy division helped drive fourth-quarter revenue to $19.13 billion, up 18% year-over-year and well ahead of the $17.76 billion consensus estimate. Earnings per share of $5.16 topped analyst expectations of $4.71 by 9.51%, though the headline strength masked notable margin pressure beneath the surface. The standout driver was Power Generation demand, particularly large reciprocating engines supplying data centers, which pushed the Power & Energy segment up 23% to $9.40 billion and underscores Caterpillar's growing role in AI infrastructure buildout. That volume tailwind, however, was partially offset by $1.03 billion in tariff-related manufacturing costs that compressed operating margin to 13.9% from 18.0% a year ago, a headwind analysts have flagged as a key risk for the stock. Entering 2026 with a record backlog, Caterpillar faces a dual challenge: converting strong order momentum into earnings while navigating persistent cost pressures from tariffs and a higher effective tax rate of 24.1%.
Key Takeaways
- • Higher sales volume of $2.708 billion primarily driven by higher sales of equipment to end users and dealer inventory dynamics
- • Power Generation sales surged 44% driven by large reciprocating engines for data center applications
- • Oil and Gas turbines and turbine-related services drove 24% growth
- • Dealer inventory remained about flat in Q4 2025 vs a $1.3 billion decrease in Q4 2024
- • Record backlog entering 2026
CAT YoY Financials
Q4 2025 vs Q4 2024, source: SEC Filings
CAT Revenue by Segment
With YoY comparisons, source: SEC Filings
CAT Revenue by Geography
With YoY comparisons, source: SEC Filings
“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
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% |