Caterpillar reports record revenue, declining profit margins
Caterpillar reported higher sales and revenue in the fourth quarter and full year of 2025, while profit margins and earnings per share declined from the prior year, the company said.
Fourth-quarter sales and revenues totaled $19.1 billion, an 18% increase from $16.2 billion in the same period of 2024. Operating profit margin for the quarter was 13.9%, down from 18.0% a year earlier. Adjusted operating profit margin declined to 15.6% from 18.3%.
Profit for the fourth quarter was $5.12 per share, compared with $5.78 per share in the fourth quarter of 2024. Adjusted profit per share was $5.16, up slightly from $5.14 a year earlier.
“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,” said Joe Creed. “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.”
For the full year, Caterpillar reported sales and revenues of $67.6 billion, a 4% increase from $64.8 billion in 2024. The company attributed the increase primarily to higher sales volume, partially offset by lower price realization. Operating profit margin for the year was 16.5%, down from 20.2% in 2024. Adjusted operating profit margin declined to 17.2% from 20.7%.
Full-year profit totaled $18.81 per share, compared with $22.05 per share in 2024. Adjusted profit per share was $19.06, down from $21.90 the prior year.
The company reported enterprise operating cash flow of $11.7 billion for 2025 and ended the year with $10.0 billion in enterprise cash. During the year, Caterpillar deployed $7.9 billion in cash, including $5.2 billion for share repurchases and $2.7 billion for dividends.
Caterpillar said adjusted operating profit margin and adjusted earnings figures for both 2025 and 2024 exclude restructuring costs and certain noncash items.
