Caterpillar Profits Up 29% in Q1

April 26, 2024
Sales for the first quarter 2024 were flat.
Cat reported Q1 sales of $15.8 billion.
Cat reported Q1 sales of $15.8 billion.

Caterpillar sales were flat in the first quarter, but operating profit grew 29% to $3.519 billion compared to $2.731 billion in Q1 2023.

Sales for the quarter totaled $15.8 billion, compared to $15.9 billion in the same period a year ago. Sales volume was down for the quarter, but price increases offset that decline, according to the company. Volume decreased by $684 million, but “price realization” netted $575 million.

Sales in the construction segment fell 5% compared to the previous year, to $6.424 billion compared to $6.746 billion. North America sales increased 5% to $3.833 billion from $3.608 billion in Q1 2023. Sales were down 25% in EAME region, to $996 million compared to $1.161 billion the previous year.

The decrease in construction sales was primarily due to lower sales volume of $464 million, partially offset by favorable price realization of $199 million, according to the company. The decrease in sales volume was mainly driven by lower sales of equipment to end users; there was no significant impact on sales at the dealer level. North America sales increased primarily due to pricing increases.

Operating cash flow for the quarter was $2.1 billion, giving the company a total of $5.0 billion in cash. It dispersed $600 million as dividends and bought back $4.5 billion in Caterpillar stock.

Source: Caterpillar