On this page of StockholderLetter.com we present the latest annual shareholder letter from CATERPILLAR INC — ticker symbol CAT. Reading current and past CAT letters to shareholders can bring important insights into the investment thesis.

 •  4/30/2025 Letter Continued (Full PDF)
 •  5/1/2023 CAT Stockholder Letter
 •  4/29/2024 CAT Stockholder Letter
 •  More "Construction" Category Stockholder Letters
 •  CAT Benford's Law Stock Score = 98

CAT Shareholder/Stockholder Letter Transcript:

2024
ANNUAL
REPORT
WE HELP OUR CUSTOMERS BUILD A
BETTER, MORE SUSTAINABLE WORLD

Caterpillar
Inc. 2024
Annual Report
Report
Caterpillar Inc.
2024 Annual
CORPORATE
CORPORATE
PROFILE
PROFILE
Caterpillar Inc.
Caterpillar
is the
the world's
world   s leading
leading manufacturer
Inc. is
manufacturer
of construction
mining equipment,
equipment, off-highway
off-highway
of
construction and
and mining
diesel
natural gas
industrial gas
turbines
diesel and
and natural
gas engines,
engines, industrial
gas turbines
and
locomotives.
and diesel-electric
diesel-electric locomotives.
For 100
years, we've
we   ve been
For
100 years,
been helping
helping customers
customers build
build
aa better,
world. Our
innovative
Our innovative
better, more
more sustainable
sustainable world.
products and
products
and services,
services, backed
backed by
by our
our global
global dealer
dealer
network, provide
provide exceptional
value that
that helps
helps
network,
exceptional value
customers
customers succeed.
succeed.
Corporate Headquarters
Corporate
Headquarters
Irving, Texas
Irving,
Texas
NYSE
NYSE Stock
Stock Symbol
Symbol
CAT
CAT
Reportable Segments
Reportable
Segments
Construction
Construction Industries
Industries
Resource Industries
Industries
Resource
Energy &
& Transportation
Transportation
Energy
Financial
Financial Products
Products
Dividend Aristocrat
Aristocrat Status
Dividend
Status
Paid higher
higher annual
annual dividends
Paid
dividends
to shareholders
for
to
shareholders for
31 consecutive
years
31
consecutive years
64.86
64.8B
$$24B
24B
$2.1B
sl
ip
53%
5:40/0
~140
--   40
152
IS?
112,900
112,900
4M+
AIVI+
1.5M+
$5
SALES
SALES &&
REVENUES
REVENUES
SALES OUTSIDE
OUTSIDE
SALES
THE U.S.
U.S.
THE
EMPLOYEES
EMPLOYEES

SERVICES
SERVICES
REVENUES'
REVENUES1
PRIMARY LOCATIONS
LOCATIONS
PRIMARY
24 COUNTRIES
COUNTRIES WITH
WITH OPERATIONS
OPERATIONS
24
CAT PRODUCTS
PRODUCTS AT
AT WORK
WORK
CAT
AROUND THE
THE WORLD'
WORLD3
AROUND
RESEARCH
RESEARCH &
DEVELOPMENT
DEVELOPMENT
CAT   DEALERS
DEALERS2
CAT  
SERVING -190
~190 COUNTRIES
COUNTRIES
SERVING
CONNECTED
CONNECTED
REPORTING ASSETS
ASSETS
REPORTING
43.3M
FOUNDATION
FOUNDATION
CONTRIBUTIONS
CONTRIBUTIONS
1 ME&T
ME&T Services
Services Revenues
Revenues include,
include, but
are not
not limited
limited to,
to, aftermarket
aftermarket parts
other service-related
revenues and
and exclude
exclude
1
but are
parts and
and other
service-related revenues
most Financial
Financial Products   
revenues, discontinued
services.
most
Products' revenues,
discontinued products
products and
and captive
captive dealer
dealer services.
22 Dealers
Dealers are
independent businesses.
are independent
businesses.
Includes discontinued
discontinued products.
33 Includes
products.
All numbers
numbers representyear-end
represent year-end 2024
2024 data.
All
data.

Caterpillar Inc.
Inc. 2024
2024 Annual
Caterpillar
Annual Report
Report 1
1
CEO
CEO
MESSAGE
MESSAGE
Dear Fellow
Fellow Shareholders,
Shareholders,
Dear
It   s
to take
take on
the role
the
It's a
a privilege
privilege to
on the
role of
of CEO
CEO and
and continue
continue the
remarkable
that has
throughout our
remarkable legacy
legacy that
has defined
defined Caterpillar
Caterpillar throughout
our
100-year history.
1925, our
to customer
100-year
history. Since
Since 1925,
our commitment
commitment to
customer
success has
to pioneer
technologies that
that
success
has pushed
pushed us
us to
pioneer new
new technologies
solve their
their toughest
toughest challenges.
performance in
in 2024
2024 is
is
solve
challenges. Our
Our performance
aa testament
testament to
to the
the strength
strength of
strategy, our
of our
our strategy,
our culture
culture of
of
innovation,
the trust
trust we
we have
with our
innovation, and
and the
have built
built with
our customers.
customers. But
But
the true
true foundation
foundation of
success is
Their expertise,
the
of our
our success
is our
our people.
people. Their
expertise,
hard
work and
to drive
hard work
and dedication
dedication continue
continue to
drive profitable
profitable growth
growth
and
value to
to customers
the world.
world.
and have
have delivered
delivered value
customers around
around the
am extremely
II am
team for
for delivering
extremely proud
proud of
of our
our team
delivering another
another good
good
year. We
We achieved
share1 of
$21.90
year.
achieved record
record adjusted
adjusted profit
profit per
per share'
of $21.90
and
which
profit margin
margin'1 of
of 20.7%,
203%, which
and higher
higher adjusted
adjusted operating
operating profit
2
exceeded
the top
top of
target range
. We
We also
exceeded the
of our
our target
range2.
also generated
generated
Machinery, Energy
Energy and
and Transportation
cash flow3
Machinery,
Transportation (ME&T)
(ME&T) free
free cash
flow 3
2
of
$9.4 billion,
the top
top of
target range
of $9.4
billion, near
near the
of our
our target
range2..
strong balance
sheet
Our
free cash
flow 3 and
Our robust
robust ME&T
ME&T free
cash flow3
and strong
balance sheet
allowed
to return
$10 billion
to shareholders
shareholders through
through
billion to
allowed us
us to
return over
over $10
share repurchases
has paid
paid higher
higher
share
repurchases and
and dividends.
dividends. Caterpillar
Caterpillar has
annual
to shareholders
shareholders for
for 31
31 consecutive
years and
annual dividends
dividends to
consecutive years
and
has
500 Dividend
has again
again been
been recognized
recognized as
as aa member
member of
of the
the S&P
S&P 500
Dividend
Aristocrats Index.
Aristocrats
Index.
11
Adjusted profit
adjusted operating
margin are
non-GAAP measures,
measures, and
and
Adjusted
profit per
per share
share and
and adjusted
operating profit
profit margin
are non-GAAP
reconciliation to
to the
the most
most directly
comparable GAAP
GAAP measures
measures is
is included
included in
in our
our 2024
2024 10-K
10-K
aa reconciliation
directly comparable
SEC filing.
filing.
SEC
22 Target
Target ranges
ranges based
on 40.2023
4Q 2023 Caterpillar
Caterpillar earnings
communicated an
an adjusted
based on
earnings call.
call. Caterpillar
Caterpillar communicated
adjusted
operating
profit margin
operating profit
margin target
range relative
relative to
to the
the corresponding
level of
revenues
target range
corresponding level
of sales
sales and
and revenues
and an
free cash
flow target
target range
range of
of $5
$5 billion
to $10
$10 billion
billion to
annually.
and
an ME&T
ME&T free
cash flow
billion annually.
33
ME&T free
free cash
cash flow
flow is
is aa non-GAAP
non-GAAP measure,
measure, and
reconciliation to
to the
the most
most directly
ME&T
and aa reconciliation
directly
comparable GAAP
GAAP measure
measure is
is included
included in
in our
filing.
our 2024
2024 10-K
10-K SEC
SEC filing.
comparable
Joseph E.
E. Creed
Creed
Joseph
Chief Executive
Chief
Executive Officer
Officer

2
Caterpillar Inc.
Inc. 2024
2024 Annual
2 Caterpillar
Annual Report
Report
CEO MESSAGE
MESSAGE NTINUED)
(CONTINUED)
CEO
Our
strategy for
for profitable
delivering results.
results. Ongoing
Ongoing
Our strategy
profitable growth
growth is
is delivering
services initiatives
to record
services
initiatives and
and investments
investments contributed
contributed to
record
billion as
our
services revenues
$24 billion
we strive
strive toward
toward our
services
revenues'1 of
of $24
as we
billion.
aspirational
target of
$28 billion.
aspirational target
of $28
We continue
to make
significant progress
we invest
for
We
continue to
make significant
progress as
as we
invest for
long-term
success. Increasing
the core
long-term success.
Increasing investments
investments in
in the
core
technologies of
fuels, connectivity,
digital
technologies
of autonomy,
autonomy, alternative
alternative fuels,
connectivity, digital
and
support customer
for reliability,
reliability,
and electrification
electrification support
customer requirements
requirements for
durability
value. Our
to supporting
supporting
durability and
and economic
economic value.
Our commitment
commitment to
customers
sale with
with services
services and
and
customers goes
goes beyond
beyond the
the initial
initial sale
digital
solutions.
digital solutions.
By
these core
technologies, we're
we   re helping
By leveraging
leveraging these
core technologies,
helping our
our
customers
the evolving
with
landscape with
customers navigate
navigate the
evolving energy
energy landscape
solutions that
that can
solutions
can lower
lower greenhouse
greenhouse gas
gas emissions,
emissions, deliver
deliver
energy
flexibility and
energy flexibility
and improve
improve efficiency
efficiency and
and productivity.
productivity. Our
Our
expanding
fuel-efficient, fuel-flexible
fuel-flexible
expanding portfolio
portfolio of
of increasingly
increasingly fuel-efficient,
and
fully electric
their
and fully
electric products
products helps
helps customers
customers achieve
achieve their
sustainability-related objectives.
sustainability-related
objectives.
    It   s
It's aa privilege
to take
take on
the
privilege to
on the
role of
role
the
of CEO
CEO and
and continue
continue the
remarkable
that has
remarkable legacy
legacy that
has
Caterpillar throughout
defined
throughout
defined Caterpillar
our
100-year history.
history. Since
Since 1925,
1925,
our 100-year
our
to customer
customer
commitment to
our commitment
success
has pushed
to pioneer
success has
pushed us
us to
pioneer
new technologies
new
technologies that
that solve
their
solve their
toughest challenges.   
toughest
challenges."
Our
to excellence
the execution
Our commitment
commitment to
excellence extends
extends beyond
beyond the
execution of
of
our
strategy. Caterpillar
our strategy.
Caterpillar and
and our
our employees
employees are
are equally
equally dedicated
dedicated
to improving
the lives
the world
world through
through the
the
to
improving the
lives of
of others
others around
around the
Caterpillar
supporting skills
skills development
Caterpillar Foundation.
Foundation. From
From supporting
development and
and
workforce
workforce readiness
to building
sustainable
readiness in
in communities
communities to
building sustainable
infrastructure
infrastructure and
and enabling
enabling disaster
disaster preparedness,
preparedness, response
response and
and
recovery,
the Caterpillar
totaled more
recovery, the
Caterpillar Foundation   s
Foundation's 2024
2024 grants
grants totaled
more
than $43
$43 million.
million.
than
Through the
the public
Through
public policy
policy process,
process, Caterpillar
Caterpillar actively
actively
advocates
for issues
that support
support our
strategy and
advocates for
issues that
our corporate
corporate strategy
and
business
We value
value shareholder
shareholder input
business objectives.
objectives. We
input and
and continue
continue
to provide
transparency on
work with
with trade
trade
to
provide greater
greater transparency
on our
our work
associations,
associations, governance
governance process
process and
and disclosures
disclosures in
in our
our
2024 Sustainability
2024
Sustainability Report.
Report.
Reflecting
the extraordinary
Reflecting on
on the
extraordinary milestone
milestone of
of a
a century
century of
of
Caterpillar,
significant and
Caterpillar, II am
am inspired
inspired by
by the
the significant
and historic
historic role
role
our
solutions have
shaping
in shaping
our people,
people, products
products and
and solutions
have played
played in
the foundations
foundations of
founders, Holt
the
of modern
modern life.
life. Our
Our founders,
Holt and
and Best,
Best,
had
vision to
to help
find better
ways to
to solve
solve tough
tough
had a
a vision
help customers
customers find
better ways
challenges. II am
challenges.
to lead
talented team
team
am honored
honored and
and energized
energized to
lead our
our talented
as
we build
that tradition.
tradition.
as we
build upon
upon that
With rising
for energy
the critical
With
rising global
global demand
demand for
energy and
and the
critical minerals
minerals
powering
technologies    
powering emerging
emerging technologies
    alongside
alongside expanded
expanded
opportunities
to meet
the world's
world   s infrastructure
we
opportunities to
meet the
infrastructure needs
needs    
    we
are
well-positioned and
to unlock
the
are well-positioned
and ready
ready to
unlock opportunities
opportunities in
in the
years ahead.
years
ahead.
Thank
Thank you
you for
for your
your trust
trust and
We are
and partnership.
partnership. We
are committed
committed
to innovating
with purpose
shaping solutions
solutions that
that drive
to
innovating with
purpose and
and shaping
drive
customer
success and
value for
for our
communities
customer success
and create
create lasting
lasting value
our communities
and
shareholders. With
With aa strong
strong foundation
foundation and
tremendous
and shareholders.
and tremendous
opportunity,
team is
to embrace
the next
100 years
years
opportunity, our
our team
is ready
ready to
embrace the
next 100
with
with confidence.
confidence.
Working with
with Cat  
we continue
Working
Cat   dealers,
dealers, we
continue cultivating
cultivating a
a digital
digital
ecosystem
that applies
from more
than 1.5
1.5 million
more than
million
ecosystem that
applies insights
insights from
connected
to help
connected reporting
reporting assets
assets to
help customers
customers improve
improve
uptime
seamlessly manage
their fleets.
fleets. In
2024, we
we
In 2024,
uptime and
and seamlessly
manage their
drove
drove better-than-expected
better-than-expected growth
growth in
in our
our eCommerce
eCommerce
our equipment
equipment
platforms
VisionLink  , our
platforms and
and record
record use
use of
of VisionLink  ,
management
management application.
application.
Joseph E.
Joseph
E. Creed
Creed
Chief
Chief Executive
Executive Officer
Officer
11 ME&T
include, but
not limited
limited to,
other service-related
revenues and
most Financial
Financial Products'
Products    revenues,
revenues, discontinued
dealer services.
ME&T Services
Services Revenues
Revenues include,
but are
are not
to, aftermarket
aftermarket parts
parts and
and other
service-related revenues
and exclude
exclude most
discontinued products
products and
and captive
captive dealer
services.

Caterpillar Inc.
Inc. 2024
2024 Annual
Caterpillar
Annual Report
Report 3
3

2024 PERFORMANCE
PERFORMANCE
2024
AT
AT AA GLANCE
GLANCE
performance in
Our
in
Our performance
2024 is
is aa testament
testament
2024
to the
the strength
strength of
our
to
of our
strategy, our
strategy,
our culture
culture
of
innovation, and
the
of innovation,
and the
trust we
have built
trust
we have
built
with
with our
our customers.   
customers."
SALES &&
SALES
REVENUES
REVENUES
(in
(in billions)
billions)
$64.8
$64.8
2024
2024
2023
2023
$67.1
$91
2022
2022
PROFIT
PROFIT
PER
PER SHARE
SHARE
(in
(in dollars)
dollars)
2024
2024
(in dollars)
dollars)
(in

$22.05
$22.05
2023
2023
2022
2022
ADJUSTED PROFIT
PROFIT
ADJUSTED
PER SHARE'
SHARE1
PER
$59.4
$59.4
$20.12
$20.12
$12.64
$12.04
2024
2024
$21.90
$21.90
2023
2023
$21.21
$21.21
2022
2022
ENTERPRISE
ENTERPRISE OPERATING
OPERATING
CASH FLOW
FLOW
CASH
(in billions)
billions)
(in
$13.84
$13.04
M2$12.0A:
2024
2024
2023
2023
$12.9
$12.9
2022
2022
ME&T
ME&T FREE
FREE
CASH FLOW
FLOW2
CASH
(in billions)
billions)
(in
$7.8
570
$9.4
2024
2024
2023
2023
$10.0
$10.0
2022
2022
DIVIDENDS
DIVIDENDS PAID
PAID
PER
PER SHARE
SHARE
(in
(in dollars)
dollars)
$5.8
$5.0
$5.42
$5.42
2024
2024
2023
2023
$5.00
$5.00
2022
2022
11
22
Adjusted profit
is aa non-GAAP
non-GAAP
per share
share is
Adjusted
profit per
measure, and
reconciliation to
the most
most directly
directly
measure,
and aa reconciliation
to the
our 2024
2024
comparable GAAP
GAAP measure
measure is
is included
included in
in our
comparable
10-K SEC
filing.
10-K
SEC filing.
ME&T free
free cash
cash flow
flow is
is aa non-GAAP
non-GAAP measure
measure,,
ME&T
and aa reconciliation
reconciliation to
to the
the most
most directly
and
directly
comparable GAAP
GAAP measure
measure is
is included
included in
in our
comparable
our
2024
10-K SEC
2024 10-K
SEC filing.
filing.
SALES
SALES BY
BY REGION
REGION
$4.62
$4.02
$34.4
$34.4
(in
(in billions)
billions)
NORTH
NORTH
AMERICA
AMERICA
$12.3
$12.3
EAME
EAME
$11.4 $6.7
ASIA/
ASIA/
PACIFIC
PACIFIC
LATIN
LATIN
AMERICA
AMERICA



 4/30/2025 Letter Continued (Full PDF)