Caterpillar | 10-Q: Q2 2025 Earnings Report

Caterpillar reported Q2 2025 revenue of $16.57 billion, down 1% YoY, while profit declined 19% to $2.18 billion. Operating profit margin contracted to 17.3% from 20.9%, primarily due to higher tariff costs. The company maintained its position with $5.4 billion in enterprise cash at quarter-end.Energy & Transportation segment sales rose 7% to $7.84 billion, driven by strong demand in Power Generation, particularly for data center applications. However, Construction Industries revenue fell 7% to $6.19 billion due to unfavorable price realization, while Resource Industries declined 4% to $3.09 billion.Looking ahead, Caterpillar expects slightly higher full-year 2025 sales versus 2024, with stronger second-half performance. The company anticipates incremental tariff impacts of $1.3-1.5 billion for 2025, with higher impacts expected in Q3 and Q4. The order backlog increased by $2.5 billion, reflecting strong demand across all primary segments.

Caterpillar reported Q2 2025 revenue of $16.57 billion, down 1% YoY, while profit declined 19% to $2.18 billion. Operating profit margin contracted to 17.3% from 20.9%, primarily due to higher tariff costs. The company maintained its position with $5.4 billion in enterprise cash at quarter-end.Energy & Transportation segment sales rose 7% to $7.84 billion, driven by strong demand in Power Generation, particularly for data center applications. However, Construction Industries revenue fell 7% to $6.19 billion due to unfavorable price realization, while Resource Industries declined 4% to $3.09 billion.Looking ahead, Caterpillar expects slightly higher full-year 2025 sales versus 2024, with stronger second-half performance. The company anticipates incremental tariff impacts of $1.3-1.5 billion for 2025, with higher impacts expected in Q3 and Q4. The order backlog increased by $2.5 billion, reflecting strong demand across all primary segments.