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F I N A N C I A L R E V I E W August 4, 2026 SECOND QUARTER 2026
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2Financial Review | Second Quarter 2026 FORWARD -LOOKING STATEMENTS Certain statements in this financial review relate to future events and expectations and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “believe,” “estimate,” “will be,” “will,” “would,” “expect,” “anticipate,” “plan,” “forecast,” “target,” “guide,” “project,” “intend,” “could,” “should” or other similar words or expressions often identify forward-looking statements. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding our outlook, projections, forecasts or trend descriptions. These statements do not guarantee future performance and speak only as of the date they are made, and we do not undertake to update our forward-looking statements. Caterpillar’s actual results may differ materially from those described or implied in our forward-looking statements based on a number of factors, including, but not limited to: (i) global and regional economic conditions and economic conditions in the industries we serve; (ii) commodity price changes, material price increases, fluctuations in demand for our products or significant shortages of material; (iii) government monetary or fiscal policies; (iv) political and economic risks, commercial instability and events beyond our control in the countries in which we operate; (v) international trade policies and their impact on demand for our products and our competitive position, including the imposition of new tariffs or changes in existing tariff rates; (vi) our ability to develop, produce and market quality products that meet our customers’ needs; (vii) the impact of the highly competitive environment in which we operate on our sales and pricing; (viii) information technology security threats and computer crime; (ix) inventory management decisions and sourcing practices of our dealers and our OEM customers; (x) a failure to realize, or a delay in realizing, all of the anticipated benefits of our acquisitions, joint ventures or divestitures; (xi) union disputes or other employee relations issues; (xii) adverse effects of unexpected events; (xiii) disruptions or volatility in global financial markets limiting our sources of liquidity or the liquidity of our customers, dealers and suppliers; (xiv) failure to maintain our credit ratings and potential resulting increases to our cost of borrowing and adverse effects on our cost of funds, liquidity, competitive position and access to capital markets; (xv) our Financial Products segment’s risks associated with the financial services industry; (xvi) changes in interest rates or market liquidity conditions; (xvii) an increase in delinquencies, repossessions or net losses of Cat Financial’s customers; (xviii) currency fluctuations; (xix) our or Cat Financial’s compliance with financial and other restrictive covenants in debt agreements; (xx) increased pension plan funding obligations; (xxi) alleged or actual violations of trade or anti-corruption laws and regulations; (xxii) additional tax expense or exposure, including the impact of U.S. tax reform; (xxiii) significant legal proceedings, claims, lawsuits or government investigations; (xxiv) new regulations or changes in financial services regulations; (xxv) compliance with environmental laws and regulations; (xxvi) catastrophic events, including global pandemics such as the COVID-19 pandemic; and (xxvii) other factors described in more detail in Caterpillar’s Forms 10-Q, 10-K and other filings with the Securities and Exchange Commission. A reconciliation of non-GAAP financial information can be found in our press release describing second-quarter 2026 financial results which is available on our website at www.caterpillar.com/earnings.
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3Financial Review | Second Quarter 2026 2Q 2026 Sales & Revenues $20.5B +24% Operating Profit1 $4.3B +50% Adjusted Operating Profit1, 2 $4.5B +54% Profit Per Share3 $7.77 +68% Adjusted Profit Per Share3, 4 $8.17 +73% MP&E Operating Cash Flow $5.7B +94% MP&E Free Cash Flow5 $5.1B +118% FINANCIAL RESULTS SECOND QUARTER 2026 VS. SECOND QUARTER 2025 1 IEEPA tariff recoveries in the second quarter of 2026 were $392 million. Excluding IEEPA tariff recoveries, tariff costs wereabout $400 million in the second quarter of 2026, which was lower than expectations of about $700 million. 2 Adjusted operating profit is a non-GAAP measure and a reconciliation to the most directly comparable GAAP measure is included inthe appendix. 3 Second–quarter 2026 profit per share and adjusted profit per share included an IEEPA tariff recoveries impact of about $0.65 per share. 4 Second–quarter 2026 adjusted profit per share excluded restructuring costs of $0.40 per share. Second-quarter 2025 adjusted profit per share excluded restructuring costs of $0.10 per share. 5 Machinery, Power & Energy (MP&E) free cash flow represents MP&E operating cash flow less capital expenditures, excluding discretionary pension contributions. A reconciliation of MP&E net cash provided by operating activities to MP&E free cash flow is included in the appendix. $20.5B SALES & REVENUES FIRST TIME IN COMPANY HISTORY OVER $20B IN A SINGLE QUARTER $72B ORDER BACKLOG UP 92% YEAR OVER YEAR $5.1B MP&E FREE CASH FLOW5 DEPLOYED $2.2B TO SHAREHOLDERS
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4Financial Review | Second Quarter 2026 SEGMENT HIGHLIGHTS RESOURCE INDUSTRIES CONSTRUCTION INDUSTRIES POWER & ENERGY G20CM34
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5Financial Review | Second Quarter 2026 FULL YEAR 2026 OUTLOOK 1 Adjusted operating profit margin is a non-GAAP measure and a reconciliation to the most directly comparable GAAP measure is included in the appendix. 2 Target range was given at Caterpillar’s 2025 Investor Day. Caterpillar communicated an adjusted operating profit margin target range relative to the corresponding level of sales and revenues and an MP&E free cash flow target range of $6B to $15B annually. 3 MP&E free cash flow represents MP&E operating cash flow less capital expenditures, excluding discretionary pension contributions. A reconciliation of MP&E net cash provided by operating activities to MP&E free cash flow is included in the appendix. SALES & REVENUES ADJUSTED OPERATING PROFIT MARGIN1 MP&E FREE CASH FLOW3 Mid-to-high teens growth Near the bottom of the target range2, excluding IEEPA tariff recoveries Top half of the target range2
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6Financial Review | Second Quarter 2026 STRATEGY HIGHLIGHT EXECUTING CAPACITY GROWTH WITH DISCIPLINE AND SPEED 1 Gas Turbines capacity of 2.5 times 2024 levels. TURBINE CAPACITY1 Previously announced at Caterpillar’s 2025 Investor Day 2.5x WAMEGO, KANSAS — PGM130 250,000 ft2 facility converted in less than 12 months
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7Financial Review | Second Quarter 2026 FINANCIAL RESULTS SUMMARY SECOND QUARTER 2026 VS. SECOND QUARTER 2025 1 Adjusted operating profit is a non-GAAP measure and a reconciliation to the most directly comparable GAAP measure is included in the appendix. 2 IEEPA tariff recoveries in the second quarter of 2026 were $392 million. Excluding IEEPA tariff recoveries, tariff costs were about $400 million in the second quarter of 2026, which was lower than expectations of about $700 million. ADJUSTED OPERATING PROFIT1,2 USD in billions 2Q 2025 2Q 2026 $2.9 $4.5 SALES & REVENUES USD in billions 2Q 2025 2Q 2026 $16.6 $20.5
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8Financial Review | Second Quarter 2026 CONSOLIDATED SALES & REVENUES SECOND QUARTER 2026 VS. SECOND QUARTER 2025 2Q 2025 2Q 2026 $16,569 $3,113 $595 $199 $67 $20,543 0 5,000 10,000 15,000 20,000 2Q 2025 Sales & Revenues Sales Volume Price Realization Currency Financial Products Revenues 2Q 2026 Sales & Revenues USD in millions SALES & REVENUES INCREASED $3.974B OR 24% • Higher sales volume • Higher sales of equipment to end users • Favorable price realization
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9Financial Review | Second Quarter 2026 1 2Q 2025 Operating Profit 2Q 2026 Operating Profit Sales Volume Price Realization Manufacturing Costs SG&A / R&D Currency Financial Products Restructuring Other 2Q 2025 2Q 2026 $2,860 $1,246 $595 $34 ($344) $47 $61 ($146) ($58) $4,295 0 1,000 2,000 3,000 4,000 5,000 CONSOLIDATED OPERATING PROFIT 1 SECOND QUARTER 2026 VS. SECOND QUARTER 2025 1 IEEPA tariff recoveries in the second quarter of 2026 were $392 million. Excluding IEEPA tariff recoveries, tariff costs were about $400 million in the second quarter of 2026, which was lower than expectations of about $700 million. 2 Adjusted operating profit margin is a non-GAAP measure and a reconciliation to the most directly comparable GAAP measure is included in the appendix. USD in millions OPERATING PROFIT1 INCREASED $1.435B OR 50% • Favorable impact of higher sales volume Operating Profit Margin 20.9% Adjusted Operating Profit Margin2 21.9%
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10Financial Review | Second Quarter 2026 PROFIT PER SHARE SECOND QUARTER 2026 VS. SECOND QUARTER 2025 1Second–quarter 2026 profit per share and adjusted profit per share included an IEEPA tariff recoveries impact of about $0.65 per share. 2Second–quarter 2026 adjusted profit per share excluded restructuring costs of $0.40 per share. Second-quarter 2025 adjusted profit per share excluded restructuring costs of $0.10 per share. ADJUSTED PROFIT PER SHARE1,2 USD 2Q 2025 2Q 2026 $4.72 $8.17 PROFIT PER SHARE1 USD 2Q 2025 2Q 2026 $4.62 $7.77
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11Financial Review | Second Quarter 2026 POWER & ENERGY SECOND QUARTER 2026 VS. SECOND QUARTER 2025 *Includes inter-segment sales. 2Q 2025 2Q 2026 $7.0 $8.2 2Q 2025 2Q 2026 $1,554 $2,027 2Q 2025 2Q 2026 22.1% 24.6% TOTAL SALES* USD in billions SEGMENT PROFIT as a percent of total sales* SEGMENT PROFIT USD in millions TOTAL SALES INCREASED $1.201B OR 17% • Higher sales volume • Favorable price realization • Higher inter-segment sales SEGMENT PROFIT INCREASED $473M OR 30% • Favorable impact of higher sales volume • Favorable price realization • Unfavorable manufacturing costs
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12Financial Review | Second Quarter 2026 CONSTRUCTION INDUSTRIES SECOND QUARTER 2026 VS. SECOND QUARTER 2025 *Includes inter-segment sales. TOTAL SALES* USD in billions 2Q 2025 2Q 2026 $6.2 $8.3 2Q 2025 2Q 2026 $1,244 $1,947 2Q 2025 2Q 2026 20.1% 23.3% SEGMENT PROFIT USD in millions SEGMENT PROFIT as a percent of total sales* TOTAL SALES INCREASED $2.156B OR 35% • Higher sales volume • Higher sales of equipment to end users • Favorable price realization SEGMENT PROFIT INCREASED $703M OR 57% • Favorable impact of higher sales volume
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13Financial Review | Second Quarter 2026 RESOURCE INDUSTRIES SECOND QUARTER 2026 VS. SECOND QUARTER 2025 *Includes inter-segment sales. 2Q 2025 2Q 2026 $3.9 $4.6 2Q 2025 2Q 2026 $563 $693 2Q 2025 2Q 2026 14.5% 14.9% TOTAL SALES* USD in billions SEGMENT PROFIT USD in millions SEGMENT PROFIT as a percent of total sales* TOTAL SALES INCREASED $762M OR 20% • Higher sales volume • Higher sales of equipment to end users SEGMENT PROFIT INCREASED $130M OR 23% • Favorable impact of higher sales volume • Unfavorable manufacturing costs
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14Financial Review | Second Quarter 2026 FINANCIAL PRODUCTS SECOND QUARTER 2026 VS. SECOND QUARTER 2025 *Includes inter-segment revenues. TOTAL REVENUES* USD in millions 2Q 2025 2Q 2026 $1,042 $1,145 2Q 2025 2Q 2026 $248 $328 SEGMENT PROFIT USD in millions TOTAL REVENUES INCREASED $103M OR 10% • Higher average earning assets SEGMENT PROFIT INCREASED $80M OR 32% • Favorable impacts from: • Higher average earning assets • Equity securities at Insurance Services • Higher margins at Insurance Services • Unfavorable impact from higher provision for credit losses at Cat Financial
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15Financial Review | Second Quarter 2026 MP&E FREE CASH FLOW 1 AND CAPITAL DEPLOYMENT 1 MP&E free cash flow represents MP&E operating cash flow less capital expenditures, excluding discretionary pension contributions. A reconciliation of MP&E net cash provided by operating activities to MP&E free cash flow is included in the appendix. $5.1B MP&E FREE CASH FLOW1 2Q 2026 $2.8B increase versus 2Q 2025, mainly driven by stronger profit $2.2B DEPLOYED TO SHAREHOLDERS IN 2Q 2026 Share repurchases accounted for $1.5B, with the remainder related to our quarterly dividend payment $6.7B ENTERPRISE CASH BALANCE Held additional $1.5B in slightly longer-dated liquid marketable securities
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16Financial Review | Second Quarter 2026 EXPECTATIONS AS WE LOOK AHEAD THIRD QUARTER 2026 1 Adjusted operating profit margin is a non-GAAP measure and a reconciliation to the most directly comparable GAAP measure is included in the appendix. 2 Tariffs implemented since the beginning of 2025. Strong growth as compared to 3Q 2025 Higher as compared to 3Q 2025 Similar to 3Q 2025 Sales & Revenues Adjusted Operating Profit Margin1 Tariff2 Costs
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17Financial Review | Second Quarter 2026 EXPECTATIONS AS WE LOOK AHEAD FULL YEAR 2026 1 Adjusted operating profit margin is a non-GAAP measure and a reconciliation to the most directly comparable GAAP measure is included in the appendix. 2 Tariffs implemented since the beginning of 2025. 3 MP&E free cash flow represents MP&E operating cash flow less capital expenditures, excluding discretionary pension contributions. A reconciliation of MP&E net cash provided by operating activities to MP&E free cash flow is included in the appendix. 4 Target range was given at Caterpillar’s 2025 Investor Day. Caterpillar communicated an adjusted operating profit margin target range relative to the corresponding level of sales and revenues and an MP&E free cash flow target range of $6B to $15B annually. Mid-to-high teens growth as compared to 2025 Near the bottom of the annual target range4, excluding IEEPA tariff recoveries Around $2.2B, excluding IEEPA tariff recoveries Sales & Revenues Adjusted Operating Profit Margin1 Tariff2 Costs Top half of the annual target range4 MP&E Free Cash Flow3
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18Financial Review | Second Quarter 2026 KEY TAKEAWAYS CONTINUE TO EXECUTE OUR STRATEGIC PLAN FOR PROFITABLE GROWTH 1 MP&E free cash flow represents MP&E operating cash flow less capital expenditures, excluding discretionary pension contributions. A reconciliation of MP&E net cash provided by operating activities to MP&E free cash flow is included in the appendix. STRONG PERFORMANCE SALES & REVENUES OPERATIONAL EXCELLENCE Better than expected Sales & Revenues and Earnings Now anticipate mid-to-high teens growth in 2026 Remain disciplined and committed to return substantially all MP&E Free Cash Flow1 over time
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© 2026 Caterpillar. All Rights Reserved. CAT, CATERPILLAR, LET’S DO THE WORK, their respective logos, “Caterpillar Corporate Yellow”, the “Power Edge” and Cat “Modern Hex” trade dress as well as corporate and product identity used herein, are trademarks of Caterpillar and may not be used without permission. Q & A
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© 2026 Caterpillar. All Rights Reserved. CAT, CATERPILLAR, LET’S DO THE WORK, their respective logos, “Caterpillar Corporate Yellow”, the “Power Edge” and Cat “Modern Hex” trade dress as well as corporate and product identity used herein, are trademarks of Caterpillar and may not be used without permission. A P P E N D I X
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21Financial Review | Second Quarter 2026 RETAIL STATISTICS SECOND QUARTER 2026 VS. SECOND QUARTER 2025 Note: Power & Energy retail sales reported in dollars based on reporting from dealers and direct sales, compared to 2025. Construction Industries retail sales reported in price neutral dollars and based on unit sales as reported by dealers, compared to 2025. Mining, Heavy Construction and Quarry & Aggregates (HC and Q&A) reported in price neutral dollars and based on unit sales as reported primarily by dealers, compared to 2025. Rail is reported in dollars based on direct sales, compared to 2025. TOTAL +33% Power Generation +72% Oil & Gas +6% Industrial (8%) RESOURCE INDUSTRIES TOTAL +17% Mining, HC and Q&A +15% Rail +272% TOTAL +22% North America +27% Latin America +24% Europe, Africa, Middle East +13% Asia Pacific +8% CONSTRUCTION INDUSTRIES POWER & ENERGY
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22Financial Review | Second Quarter 2026 CATERPILLAR EARNINGS RELEASE CALL SCHEDULE 3Q 2026 OCTOBER 29, 2026 Thursday, 8:30 a.m. Eastern
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23Financial Review | Second Quarter 2026 Full Year2 Construction Industries Dealer Inventory1 ($0.0) ($0.3) $0.6 ($0.6) ($0.3) $1.5 $0.4 $0.7 Total Dealer Inventory1 $0.1 $0.1 $0.6 ($0.0) $0.9 $2.0 $0.6 $0.5 2026 2Q Increase/(Decrease) (USD in billions) 2025 2Q YOY Change31Q 2Q 3Q 4Q 1Q DEALER INVENTORY 1 CHANGES 1 Dealers are independent businesses and control their own inventory. 2 Quarterly dealer inventory changes will not equal full-year dealer inventory changes due to the impact of rolling price updates in the dealer inventory reporting, which reflect a trailing 12-month price impact. Previously reported dealer inventory figures are not retroactively updated for price. 3 Amounts may not add due to rounding.
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24Financial Review | Second Quarter 2026 ORDER BACKLOG INCREASED $34.6B 2Q 2026 vs. 2Q 2025 INCREASED $9.4B 2Q 2026 vs. 1Q 2026 ORDER BACKLOG $72.1B 2Q 2026 RECORD LEVEL
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25Financial Review | Second Quarter 2026 ADDITIONAL EXPECTATIONS AS WE LOOK AHEAD FULL YEAR 2026 Approximately $300M to $350M in 2026 Approximately $3.5B in 2026 23.0% excluding discrete items Restructuring Costs MP&E Capital Expenditures Global Annual Effective Tax Rate
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26Financial Review | Second Quarter 2026 ADJUSTED OPERATING PROFIT MARGIN 1 TARGET RANGE 1 Adjusted operating profit margin is a non-GAAP measure and a reconciliation to the most directly comparable GAAP measure is included in the appendix. 15% 18% 21% 19% 22% 25% $60B $70B $80B $90B $100B Adjusted Operating Profit Margin1 Annual Sales & Revenues $72B • Progressive adjusted operating profit margin1 target range • Adjusted operating profit margin1 target range: • 15-19% at $60B of sales and revenues • 18-22% at $72B of sales and revenues • 21-25% at $100B of sales and revenues
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27Financial Review | Second Quarter 2026 (Dollars in millions except per share data) Operating Profit Operating Profit Margin Profit Before Taxes Provision (Benefit) for Income Taxes Profit Profit per Share Three Months Ended June 30, 2026 - U.S. GAAP 4,295$ 20.9% 4,558$ 1,055$ 3,593$ 7.77$ Restructuring costs - divestiture of certain non-U.S. entities 139 0.7% 139 - 139 0.30 Other restructuring costs 63 0.3% 63 15 48 0.10 Three Months Ended June 30, 2026 - Adjusted 4,497$ 21.9% 4,760$ 1,070$ 3,780$ 8.17$ Three Months Ended June 30, 2025 - U.S. GAAP 2,860$ 17.3% 2,818$ 646$ 2,179$ 4.62$ Other restructuring costs 56 0.3% 56 12 47 0.10 Three Months Ended June 30, 2025 - Adjusted 2,916$ 17.6% 2,874$ 658$ 2,226$ 4.72$ NON -GAAP FINANCIAL MEASURES Note: Amounts may not add due to rounding.
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28Financial Review | Second Quarter 2026 (Dollars in millions) Profit Before Taxes Provision (Benefit) for Income Taxes Effective Tax Rate Three Months Ended June 30, 2026 - U.S. GAAP 4,558$ 1,055$ 23.1% Restructuring costs - divestiture of certain non-U.S. entities 139 - Excess stock-based compensation - 26 Annual effective tax rate, excluding discrete items 4,697$ 1,081$ 23.0% Excess stock-based compensation - (26) Other restructuring costs 63 15 Three Months Ended June 30, 2026 - Adjusted 4,760$ 1,070$ Three Months Ended June 30, 2025 - U.S. GAAP 2,818$ 646$ 23.0% Excess stock-based compensation - 1 Annual effective tax rate, excluding discrete items 2,818$ 647$ 23.0% Excess stock-based compensation - (1) Other restructuring costs 56 12 Three Months Ended June 30, 2025 - Adjusted 2,874$ 658$ ESTIMATED ANNUAL TAX RATE RECONCILIATION Note: Amounts may not add due to rounding.
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29Financial Review | Second Quarter 2026 RECONCILIATION TO U.S. GAAP RECONCILIATION OF MP&E CASH FLOW FROM OPERATIONS TO MP&E FREE CASH FLOW Note: Amounts may not add due to rounding. See reconciliation of MP&E cash flow from operations to consolidated net cash provided by operating activities in the Supplemental Data for Statement of Cash Flow contained in our 10-Q filing. (USD in billions) 2Q 2025 2Q 2026 Jun YTD 2025 Jun YTD 2026 MP&E cash flow from operations 2.9$ 5.7$ 3.9$ 7.0$ MP&E capital expenditures (0.6) (0.6) (1.3) (1.3) MP&E free cash flow 2.4$ 5.1$ 2.6$ 5.7$