Caterpillar (CAT) · Industrials
Caterpillar Q2 2026 earnings: summary, key numbers & outlook
Results filed 4 Aug 2026 · Quarter ended 30 Jun 2026
Press release ↗Investor relations ↗
Summaries and transcripts are machine-generated and can contain errors.
In brief
Caterpillar reported second-quarter 2026 sales and revenues of $20.5 billion, up 24%, with profit per share of $7.77 and adjusted profit per share of $8.17.
Caterpillar had its biggest quarter ever, with sales and revenues of $20.5 billion, up 24% from $16.6 billion a year earlier. Higher volume added $3.1 billion and better pricing added $595 million. All three main segments grew. Operating profit margin was 20.9%, and profit per share was $7.77 (adjusted $8.17). The company spent $2.2 billion on share repurchases and dividends.
The earnings release gave no financial outlook for coming quarters, and no call transcript was available. Management pointed to strong order rates and a growing backlog. The main tension is quality of earnings: operating profit included $392 million of expected tariff recoveries, and inventories and trade receivables rose sharply in the first half, which absorbed cash even as profit grew.
Key numbers
- Sales and revenues · GAAP
- $20.5 billion
- Profit · GAAP
- $3.6B
- Profit per share (diluted) · GAAP
- $7.77
- Adjusted profit per share · non-GAAP
- $8.17
- Operating profit · GAAP
- $4.295 billion
- Operating profit margin · GAAP
- 20.9%
- Adjusted operating profit margin · non-GAAP
- 21.9%
- Enterprise operating cash flow · GAAP
- $4.4 billion
up 24% from $16.6 billion a year ago
up from $2,179 a year ago
up from $4.62 a year ago
up from $4.72 a year ago
up 50% from $2.860 billion a year ago
up from 17.3% a year ago
up from 17.6% a year ago
| Segment or metric | Value | Change |
|---|---|---|
| Power & Energy sales | $8.238 billion | up 17% from $7.037 billion |
| Construction Industries sales | $8.346 billion | up 35% from $6.190 billion |
| Resource Industries sales | $4.648 billion | up 20% from $3.886 billion |
| Financial Products segment revenues | $1.145 billion | up 10% from $1.042 billion |
| Total retail sales to end users | UP 25% |
Where each number comes from
- Sales and revenues: “Sales and revenues for the second quarter of 2026 were $20.5 billion, a 24% increase compared with $16.6 billion in the second quarter of 2025.”
- Profit: “Less: Profit (loss) attributable to noncontrolling interests | — | — | (1) | — Profit 1 | $3,593 | $2,179 | $6,142 | $4,182”
- Profit per share (diluted): “Second-quarter 2026 profit per share was $7.77, compared with second-quarter 2025 profit per share of $4.62.”
- Adjusted profit per share: “Adjusted profit per share in the second quarter of 2026 was $8.17, compared with second-quarter 2025 adjusted profit per share of $4.72.”
- Operating profit: “Operating profit for the second quarter of 2026 was $4.295 billion, an increase of $1.435 billion, or 50%, compared with $2.860 billion in the second quarter of 2025.”
- Operating profit margin: “Operating profit margin was 20.9% for the second quarter of 2026, compared with 17.3% for the second quarter of 2025.”
- Adjusted operating profit margin: “Adjusted operating profit margin was 21.9% for the second quarter of 2026, compared with 17.6% for the second quarter of 2025.”
- Enterprise operating cash flow: “For the second quarter of 2026, enterprise operating cash flow was $4.4 billion, and the company ended the second quarter with $6.7 billion of enterprise cash.”
- Power & Energy sales: “Power & Energy’s total sales were $8.238 billion in the second quarter of 2026, an increase of $1.201 billion, or 17%, compared with $7.037 billion in the second quarter of 2025.”
- Construction Industries sales: “Construction Industries’ total sales were $8.346 billion in the second quarter of 2026, an increase of $2.156 billion, or 35%, compared with $6.190 billion in the second quarter of 2025.”
- Resource Industries sales: “Resource Industries’ total sales were $4.648 billion in the second quarter of 2026, an increase of $762 million, or 20%, compared with $3.886 billion in the second quarter of 2025.”
- Financial Products segment revenues: “Financial Products’ segment revenues were $1.145 billion in the second quarter of 2026, an increase of $103 million, or 10%, compared with $1.042 billion in the second quarter of 2025.”
- Total retail sales to end users: “Total Combined | 2nd Quarter 2026 | 1st Quarter 2026 | 4th Quarter 2025 | 3rd Quarter 2025 | 2nd Quarter 2025 Total | UP 25% | UP 14% | UP 15% | UP 12% | UP 3%”
Copied from the press release ↗ and other documents in the SEC filing ↗. A figure is published only if its sentence is in the filing.
| From the filing | Q2 2026 | vs year ago | vs last quarter |
|---|---|---|---|
| Revenue | $20.5B | +24.0% | +18.0% |
| Operating income | $4.3B | +50.2% | +39.2% |
| Net income | $3.6B | +64.9% | +41.0% |
| Diluted EPS | $7.77 | +68.2% | +42.0% |
| Free cash flow | $3.8B | +47.4% | +231.3% |
| Operating margin | 20.9% | +3.6 pts | +3.2 pts |
Calculated by code from XBRL, not by the model.
Key takeaways
First-ever $20 billion sales quarter
Sales and revenues rose 24% to $20.5 billion from $16.6 billion, driven by higher sales volume of $3.1 billion and favorable price realization of $595 million.
Profit grew much faster than sales
Operating profit rose 50% to $4.295 billion, and operating profit margin was 20.9% compared with 17.3% a year earlier.
Construction Industries led growth
Construction Industries sales rose 35% to $8.346 billion, with North America up 50%. Segment profit margin was 23.3% compared with 20.1%.
Data centers drove Power & Energy
Power & Energy sales rose 17% to $8.238 billion, with Power Generation up 29% on data center applications. Power generation retail sales were UP 72%.
Tariff recoveries and inventory build matter
Operating profit included $392 million of expected IEEPA tariff recoveries. Inventories were $20,627 million at June 30, 2026, versus $18,135 million at year-end 2025.
Charts
Fourth quarter worked out from the annual figure.
Data
| Q4 2024 | $16.2B * |
| Q1 2025 | $14.2B |
| Q2 2025 | $16.6B |
| Q3 2025 | $17.6B |
| Q4 2025 | $19.1B * |
| Q1 2026 | $17.4B |
| Q2 2026 | $20.5B |
| Q3 2026 | $20.7B |
Data
| Q1 2025 | $4.20 |
| Q2 2025 | $4.62 |
| Q3 2025 | $4.88 |
| Q1 2026 | $5.47 |
| Q2 2026 | $7.77 |
| Q3 2026 | $7.13 |
Fourth-quarter EPS appears once the press release is read; filings report it only for the full year.
Data
| Q4 2024 | 18.0% |
| Q1 2025 | 18.1% |
| Q2 2025 | 17.3% |
| Q3 2025 | 17.3% |
| Q4 2025 | 13.9% |
| Q1 2026 | 17.7% |
| Q2 2026 | 20.9% |
| Q3 2026 | 20.4% |
Data
| Q4 2024 | $2.7B |
| Q1 2025 | $579.0M |
| Q2 2025 | $2.6B |
| Q3 2025 | $3.1B |
| Q4 2025 | $2.7B |
| Q1 2026 | $1.1B |
| Q2 2026 | $3.8B |
| Q3 2026 | $3.7B |
Operating cash flow minus capital expenditure, from cash flow statements.
Questions
What were Caterpillar's second-quarter 2026 results?
Sales and revenues were $20.5 billion, up 24% from $16.6 billion a year earlier. Profit per share was $7.77 and adjusted profit per share was $8.17, compared with $4.62 and $4.72.
How profitable was Caterpillar in the quarter?
Operating profit margin was 20.9%, compared with 17.3% a year earlier, and adjusted operating profit margin was 21.9%. Operating profit was $4.295 billion, up 50%.
Which segments grew the most?
Construction Industries sales rose 35% to $8.346 billion, Resource Industries rose 20% to $4.648 billion, and Power & Energy rose 17% to $8.238 billion. Power & Energy growth was driven by Power Generation, primarily data center applications.
How much cash did Caterpillar return to shareholders?
It deployed $2.2 billion in the quarter: $1.5 billion on share repurchases and $0.7 billion on dividends. Enterprise operating cash flow was $4.4 billion, and the company ended the quarter with $6.7 billion of enterprise cash.
Did Caterpillar give an outlook for the rest of 2026?
The earnings release contained no numerical outlook. The CEO said strong order rates and a growing backlog reflect broadening momentum across all three primary segments.
Documents
SEC filing