Caterpillar Beats on Both Top and Bottom Lines
Caterpillar (NYS: CAT) reported earnings on July 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Caterpillar beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share increased significantly.
Margins expanded across the board.
Caterpillar booked revenue of $17.37 billion. The nine analysts polled by S&P Capital IQ predicted revenue of $17.14 billion on the same basis. GAAP reported sales were 22% higher than the prior-year quarter's $14.23 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $2.54. The 18 earnings estimates compiled by S&P Capital IQ averaged $2.30 per share. GAAP EPS of $2.54 for Q2 were 67% higher than the prior-year quarter's $1.52 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 28.2%, 210 basis points better than the prior-year quarter. Operating margin was 15.1%, 370 basis points better than the prior-year quarter. Net margin was 9.8%, 270 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $17.43 billion. On the bottom line, the average EPS estimate is $2.40.
Next year's average estimate for revenue is $69.50 billion. The average EPS estimate is $9.55.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Caterpillar is outperform, with an average price target of $124.00.
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The article Caterpillar Beats on Both Top and Bottom Lines originally appeared on Fool.com.Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.