Caterpillar Reports Fourth-Quarter and Full-Year 2024 Results

Core Insights - Caterpillar Inc. reported a decrease in sales and revenues for both the fourth quarter and full year of 2024 compared to 2023, with fourth-quarter sales at $16.2 billion, down 5$17.1 billion, and full-year sales at $64.8 billion, down 3$67.1 billion [2][3][4] Financial Performance - Fourth-quarter profit per share increased to $5.78 from$5.28 in the same quarter of 2023, while adjusted profit per share decreased slightly to $5.14 from$5.23 [3][4] - Full-year profit per share rose to $22.05 from$20.12, and adjusted profit per share increased to $21.90 from$21.21 [4][12] - Operating profit margin for the fourth quarter was 18.0%, down from 18.4% in the previous year, while adjusted operating profit margin was 18.3%, down from 18.9% [3][16] Segment Performance - Sales in the Construction Industries segment decreased by 8% to $6.003 billion, primarily due to unfavorable price realization and lower sales volume [21][22] - Resource Industries segment sales fell by 9$2.962 billion, driven by lower sales volume [25][26] - Energy & Transportation segment sales remained relatively stable at $7.649 billion, with a slight decrease of$20 million, but segment profit increased by 3% to $1.477 billion [27][28] Cash Flow and Capital Allocation - The company generated an enterprise operating cash flow of$12.0 billion and ended the year with $6.9 billion in cash [6][12] - Caterpillar deployed$10.3 billion for share repurchases and dividends in 2024 [6][12] Geographic Performance - Sales in North America decreased by 14% in the Construction Industries segment, while Latin America saw a 6% increase due to higher sales volume [13][24] - EAME region sales slightly decreased, while Asia/Pacific experienced declines due to unfavorable price realization [13][24] Financial Products Segment - Financial Products segment revenues increased by 4% to $1.024 billion, while segment profit decreased by 29$166 million [28][30]