Caterpillar Inc. rewrote its corporate record books on August 4, 2026, reporting second-quarter sales and revenues of $20.543 billion — the first time the iconic manufacturer of construction, mining and power equipment has crossed the $20 billion threshold in a single quarter.
The figure marked a 24% jump from $16.569 billion in the year-earlier period and was driven by higher sales volume of $3.113 billion, favourable price realisation of $595 million, a $199 million currency benefit and a $67 million contribution from Financial Products revenues. Adjusted profit per share surged 73% to $8.17 from $4.72, while GAAP diluted profit per share rose 68% to $7.77 from $4.62. Operating profit climbed 50% to $4.295 billion, expanding the operating margin to 20.9% from 17.3%. On an adjusted basis, operating profit reached $4.5 billion with a margin of 21.9%, up 430 basis points.
“This is the first time in company history that we have generated over $20 billion in sales and revenues in a single quarter,” Chairman and CEO Joe Creed said. “This milestone underscores both the essential work our customers do every day and the dedication of Caterpillar employees worldwide to solving our customers’ toughest challenges. Strong order rates and a growing backlog reflect broadening momentum across all three of our primary segments.”
Segment performance and the AI power surge
Construction Industries delivered the strongest growth, with sales rising 35% to $8.346 billion, supported by a roughly 50% surge in North American retail demand. Power & Energy sales increased 17% to $8.238 billion; within that segment, power-generation sales climbed 29% and sales-to-users in power generation rose an exceptional 72%, fuelled by large generator sets and turbines ordered for AI data-centre projects. Resource Industries sales advanced 20% to $4.648 billion. Construction Industries and Power & Energy together accounted for about 81% of total revenue.
The company booked $9.4 billion in new orders during the quarter, lifting its order backlog to a record $72.1 billion — up 92% year-over-year and $9.4 billion sequentially. Management noted that some power-generation orders now extend into 2028–2030 as customers secure capacity for cloud and generative-AI infrastructure.
Cash generation and shareholder returns
Caterpillar generated $5.1 billion in Machinery, Power & Energy free cash flow in the quarter and returned $2.2 billion to shareholders, comprising $1.5 billion in share repurchases and $0.7 billion in dividends. Enterprise operating cash flow was robust, and the company ended the period with solid liquidity.
On the back of the strong results, Caterpillar raised its full-year 2026 sales and revenues growth outlook to the mid-to-high teens, higher than earlier guidance. Shares rose sharply in premarket and early trading as investors digested the beat, the expanded margins and the multi-year visibility provided by the record backlog.
The quarter highlights how the global AI data-centre build-out has become a powerful incremental demand driver for Caterpillar — first through earth-moving equipment needed to prepare sites and then through the large-scale power systems required to keep the facilities running — while traditional construction and mining markets also contributed to the broad-based advance.