Caterpillar Q3 Sales Jump 17% as Profit, Backlog and Cash Returns Strengthen

Caterpillar reported sharply higher third-quarter sales and profit on Thursday, as the heavy-equipment maker pointed to strong demand across its end markets, citing strong order rates and a record backlog.

For the quarter ended Sept. 30, Caterpillar said sales and revenues rose 17% to $20.682 billion from $17.638 billion a year earlier. GAAP profit per share climbed to $7.13 from $4.88 in the third quarter of 2025. Adjusted profit per share rose to $7.20 from $4.95. Operating profit increased to $4.214 billion, equal to an operating profit margin of 20.4%. Adjusted operating profit was $4.255 billion, for an adjusted operating margin of 20.6%.

All three of Caterpillar’s main business segments posted double-digit sales growth. Power & Energy led with third-quarter sales of $8.784 billion, up 18% from a year earlier. Construction Industries sales also rose 18%, to $7.983 billion, while Resource Industries, which includes mining equipment, increased 15% to $4.615 billion.

“Our third-quarter results reflect the durability of our end markets, with strong order rates and a record backlog,” Joe Creed, Caterpillar’s chairman and CEO, said in the earnings release. “Our team continues to execute our strategic priorities in a dynamic environment, positioning us for a strong year while delivering long-term value for our customers and shareholders.” Caterpillar said third-quarter operating profit included $128 million of tariff recoveries under the International Emergency Economic Power Act. It said adjusted results excluded certain items including $41 million in restructuring costs.

The company also highlighted strong cash generation and shareholder returns. Enterprise operating cash flow was $4.4 billion in the quarter, and Caterpillar ended September with $7.9 billion of enterprise cash. It returned about $2.0 billion to shareholders through share repurchases and dividends, including $1.2 billion of stock buybacks and $0.7 billion in dividends.

Caterpillar is one of the world’s largest manufacturers of construction and mining equipment, engines and turbines, making its quarterly results a closely watched gauge of activity in construction, commodities and industrial power markets. The company’s latest report also suggests it is sustaining the elevated sales levels reached earlier this year: the second quarter of 2026 was the first in Caterpillar’s history with more than $20 billion in sales, and third-quarter revenue remained above that mark.

While Caterpillar described its backlog as a record, it did not provide a numeric backlog figure in the third-quarter release. The most recent numeric backlog disclosed in its public filings was about $72.1 billion as of June 30, 2026. Of that amount, about $29.2 billion was not expected to be filled within 12 months, underscoring that backlog is a sign of demand but does not all convert into near-term revenue right away.