First-quarter 2024 profit per share of $5.75; adjusted profit per share of $5.60 Enterprise operating cash flow was $2.1 billion in the first quarter of 2024 Deployed $5.1 billion of cash for share repurchases and dividends in the first quarter First Quarter ($ in billions except profit per share) 2024 2023 Sales and Revenues $15.8 $15.9 Profit Per Share $5.75 $3.74 Adjusted Profit Per Share $5.60 $4.91 Please see a reconciliation of GAAP to non-GAAP financial measures in the appendix on pages 12 and 13. IRVING, Texas, April 25, 2024 /PRNewswire/ -- Caterpillar Inc. (NYSE:CAT) announced first-quarter 2024 results. Sales and revenues for the first quarter of 2024 were $15.8 billion, about flat to the first quarter of 2023, due to lower sales volume, which was mostly offset by favorable price realization. Operating profit margin was 22.3% for the first quarter of 2024, compared with 17.2% for the first quarter of 2023. Adjusted operating profit margin was 22.2% for the first quarter of 2024, compared with 21.1% for the first quarter of 2023. First-quarter 2024 profit per share was $5.75, compared with first-quarter 2023 profit per share of $3.74. Adjusted profit per share in the first quarter of 2024 was $5.60, compared with first-quarter 2023 adjusted profit per share of $4.91. In the first quarter of 2024 and 2023, adjusted operating profit margin and adjusted profit per share excluded restructuring income/costs. For the three months ended March 31, 2024, enterprise operating cash flow was $2.1 billion, and the company ended the first quarter with $5.0 billion of enterprise cash. In the quarter, the company deployed $4.5 billion of cash for repurchases of Caterpillar common stock and $0.6 billion of cash for dividends. "I'm pleased with our team's performance that resulted in higher adjusted operating profit margin, record adjusted profit per share and strong ME&T free cash flow. Our strong balance sheet and ME&T free cash flow allowed us to deploy a record $5.1 billion of cash for share repurchases and dividends in the first quarter," said Chairman and CEO Jim Umpleby. "We continue to execute our strategy for long-term profitable growth." CONSOLIDATED RESULTS Consolidated Sales and Revenues Consolidated Sales and Revenues Comparison First Quarter 2024 vs. First Quarter 2023  To access this chart, go to http://www.caterpillar.com/en/investors/quarterly-results.html for the downloadable version of Caterpillar First-Quarter 2024 earnings.  The chart above graphically illustrates reasons for the change in consolidated sales and revenues between the first quarter of 2023 (at left) and the first quarter of 2024 (at right). Caterpillar management utilizes these charts internally to visually communicate with the company's board of directors and employees. Total sales and revenues for the first quarter of 2024 were $15.799 billion, a decrease of $63 million, or about flat, compared with $15.862 billion in the first quarter of 2023. Lower sales volume of $684 million and unfavorable currency impacts of $30 million, primarily related to the Australian dollar, were mostly offset by favorable price realization of $575 million and higher Financial Products' revenues of $76 million. The decrease in sales volume was primarily driven by lower sales of equipment to end users; there was not a significant impact from changes in dealer inventories. In the three primary segments, sales were higher in Energy & Transportation and lower in Construction Industries and Resource Industries. Sales and Revenues by Segment (Millions of dollars) First Quarter 2023 Sales Volume Price Realization Currency Inter-Segment / Other First Quarter 2024 $ Change % Change Construction Industries $        6,746 $         (464) $           199 $           (22) $           (35) $        6,424 $         (322) (5 %) Resource Industries 3,427 (425) 173 (11) 29 3,193 (234) (7 %) Energy & Transportation 6,254 231 202 (1) (5) 6,681 427 7 % All Other Segment 111 (1) — — (1) 109 (2) (2 %) Corporate Items and Eliminations (1,439) (25) 1 4 12 (1,447) (8) Machinery, Energy & Transportation 15,099 (684) 575 (30) — 14,960 (139) (1 %) Financial Products Segment 902 — — — 89 991 89 10 % Corporate Items and Eliminations (139) — — — (13) (152) (13) Financial Products Revenues 763 — — — 76 839 76 10 % Consolidated Sales and Revenues $       15,862 $         (684) $           575 $           (30) $            76 $       15,799 $           (63) — % Sales and Revenues by Geographic Region North America Latin America EAME Asia/Pacific External Sales and Revenues Inter-Segment Total Salesand Revenues (Millions of dollars) $ % Chg $ % Chg $ % Chg $ % Chg $ % Chg $ % Chg $ % Chg First Quarter 2024 Construction Industries $   3,833 6 % $     595 (1 %) $     996 (25 %) $     993 (14 %) $   6,417 (4 %) $         7 (83 %) $   6,424 (5 %) Resource Industries 1,264 (3 %) 476 — % 465 (22 %) 891 (9 %) 3,096 (8 %) 97 43 % 3,193 (7 %) Energy & Transportation 2,951 15 % 408 7 % 1,294 (7 %) 834 16 % 5,487 9 % 1,194 — % 6,681 7 % All Other Segment 18 — % (1) — % 4 — % 13 — % 34 (3 %) 75 (1 %) 109 (2 %) Corporate Items and Eliminations (58) (2) (11) (3) (74) (1,373) (1,447) Machinery, Energy & Transportation 8,008 7 % 1,476 2 % 2,748 (17 %) 2,728 (5 %) 14,960 (1 %) — — % 14,960 (1 %) Financial Products Segment 659 15 % 101 (3 %) 123 8 % 108 (1 %) 991 10 % — — % 991 10 % Corporate Items and Eliminations (94) (18) (19) (21) (152) — (152) Financial Products Revenues 565 15 % 83 (3 %) 104 8 % 87 (2 %) 839 10 % — — % 839 10 % Consolidated Sales and Revenues $   8,573 8 % $   1,559 1 % $   2,852 (17 %) $   2,815 (5 %) $ 15,799 — % $        — — % $ 15,799 — % First Quarter 2023 Construction Industries $   3,608 $     599 $   1,336 $   1,161 $   6,704 $       42 $   6,746 Resource Industries 1,308 474 599 978 3,359 68 3,427 Energy & Transportation 2,572 380 1,384 719 5,055 1,199 6,254 All Other Segment 18 — 4 13 35 76 111 Corporate Items and Eliminations (48) — (1) (5) (54) (1,385) (1,439) Machinery, Energy & Transportation 7,458 1,453 3,322 2,866 15,099 — 15,099 Financial Products Segment 575 104 114 109 902 — 902 Corporate Items and Eliminations (83) (18) (18) (20) (139) — (139) Financial Products Revenues 492 86 96 89 763 — 763 Consolidated Sales and Revenues $   7,950 $   1,539 $   3,418 $   2,955 $ 15,862 $        — $ 15,862 Consolidated Operating Profit Consolidated Operating Profit Comparison First Quarter 2024 vs. First Quarter 2023 To access this chart, go to http://www.caterpillar.com/en/investors/quarterly-results.html for the downloadable version of Caterpillar First-Quarter 2024 earnings.  The chart above graphically illustrates reasons for the change in consolidated operating profit between the first quarter of 2023 (at left) and the first quarter of 2024 (at right). Caterpillar management utilizes these charts internally to visually communicate with the company's board of directors and employees. The bar titled Other includes consolidating adjustments and Machinery, Energy & Transportation's other operating (income) expenses. Operating profit for the first quarter of 2024 was $3.519 billion, an increase of $788 million, or 29%, compared with $2.731 billion in the first quarter of 2023. The increase was primarily due to the absence of the impact of the divestiture of the company's Longwall business in 2023 of $586 million and favorable price realization of $575 million, partially offset by the profit impact of lower sales volume of $268 million. Profit (Loss) by Segment (Millions of dollars) First Quarter 2024 First Quarter2023 $ Change %  Change Construction Industries $                 1,764 $                 1,790 $                    (26) (1 %) Resource Industries 730 764 (34) (4 %) Energy & Transportation 1,301 1,057 244 23 % All Other Segment 24 11 13 118 % Corporate Items and Eliminations (415) (1,008) 593 Machinery, Energy & Transportation 3,404 2,614 790 30 % Financial Products Segment 293 232 61 26 % Corporate Items and Eliminations (25) 25 (50) Financial Products 268 257 11 4 % Consolidating Adjustments (153) (140) (13) Consolidated Operating Profit $                 3,519 $                 2,731 $                    788 29 % Other Profit/Loss and Tax Items  Other income (expense) in the first quarter of 2024 was income of $156 million, compared with income of $32 million in the first quarter of 2023. The change was primarily driven by favorable impacts from foreign currency exchange. The effective tax rate for the first quarter of 2024 was 19.5% compared to 26.9% for the first quarter of 2023. Excluding the discrete items discussed below, the first quarter 2024 estimated annual tax rate was 22.5% compared with 23.0% for the first quarter of 2023.The 2024 estimated annual tax rate excludes the impact of nontaxable gains of $64 million for the divestiture of a non-U.S. mining entity along with a related tax benefit of $54 million. The estimated annual tax rate in the first quarter of 2023 excluded the impact of the nondeductible loss of $586 million related to the divestiture of the company's Longwall business. In addition, a discrete tax benefit of $38 million was recorded in the first quarter of 2024, compared with a $32 million benefit in the first quarter of 2023, for the settlement of stock-based compensation awards with associated tax deductions in excess of cumulative U.S. GAAP compensation expense.Please see a reconciliation of GAAP to non-GAAP financial measures in the appendix on pages 12 and 13. CONSTRUCTION INDUSTRIES (Millions of dollars) Segment Sales First Quarter2023 SalesVolume Price Realization Currency Inter-Segment First Quarter2024 $  Change %  Change Total Sales $       6,746 $         (464) $        199 $          (22) $             (35) $          6,424 $     (322) (5 %) Sales by Geographic Region First Quarter2024 First Quarter 2023 $ Change % Change North America $       3,833 $       3,608 $        225 6 % Latin America 595 599 (4) (1 %) EAME 996 1,336 (340) (25 %) Asia/Pacific 993 1,161 (168) (14 %) External Sales 6,417 6,704 (287) (4 %) Inter-segment 7 42 (35) (83 %) Total Sales $       6,424 $       6,746 $      (322) (5 %) Segment Profit First Quarter2024 First Quarter2023   Change % Change Segment Profit $       1,764 $       1,790 $        (26) (1 %) Segment Profit Margin 27.5 % 26.5 %            1.0 pts   Construction Industries' total sales were $6.424 billion in the first quarter of 2024, a decrease of $322 million, or 5%, compared with $6.746 billion in the first quarter of 2023. The decrease was primarily due to lower sales volume of $464 million, partially offset by favorable price realization of $199 million. The decrease in sales volume was mainly driven by lower sales of equipment to end users. In North America, sales increased primarily due to favorable price realization. Sales in Latin America were about flat. In EAME, sales decreased mainly due to lower sales volume. Lower sales volume was primarily driven by lower sales of equipment to end users. Sales decreased in Asia/Pacific primarily due to lower sales volume. Lower sales volume was mainly driven by the impact from changes in dealer inventories. Dealer inventory increased more during the first quarter of 2023 than during the first quarter of 2024. Construction Industries' profit was $1.764 billion in the first quarter of 2024, a decrease of $26 million, or 1%, compared with $1.790 billion in the first quarter of 2023. The decrease was mainly due to the profit impact of lower sales volume of $278 million, higher selling, general and administrative (SG&A) and research and development (R&D) expenses of $26 million and other unfavorable segment items of $7 million, partially offset by favorable price realization of $199 million and favorable manufacturing costs of $86 million. Favorable manufacturing costs largely reflected lower freight. RESOURCE INDUSTRIES (Millions of dollars) Segment Sales First Quarter2023 SalesVolume PriceRealization Currency Inter-Segment First Quarter2024 $  Change %  Change Total Sales $       3,427 $         (425) $        173 $          (11) $               29 $          3,193 $     (234) (7 %) Sales by Geographic Region First Quarter 2024 First Quarter 2023 $ Change % Change North America $       1,264 $       1,308 $        (44) (3 %) Latin America 476 474 2 — % EAME 465 599 (134) (22 %)