Caterpillar reported fourth-quarter revenue of $19.13 billion, an 18% increase year-over-year and comfortably above Wall Street’s consensus of $17.91 billion. Adjusted earnings per share rose to $5.16, beating analyst expectations of $4.69. The results reflect robust spending on power-generation equipment supporting AI infrastructure, which propelled a more than 65% rise in Caterpillar’s share price over the past year and contributed to a 3% intraday gain following the announcement.

Sales in the Power & Energy division reached $9.4 billion, up 23% from the prior year, driven by higher shipment volumes and improved pricing for natural-gas generator sets used in data centers. Segment profit climbed 25% to $1.84 billion, underscoring Caterpillar’s leading position in the fast-response power solutions market. Executives highlighted that demand for seven-second ramp-rate gensets remains exceptionally strong as hyperscale and enterprise data centers expand capacity.

Caterpillar closed the quarter with a record order backlog of $51 billion, up 71% year-over-year, positioning the company with solid momentum entering 2026. Management reiterated its goal of achieving annual revenue growth near the top of its 5%–7% compound range but cautioned that approximately $2.6 billion of incremental U.S. tariff costs will modestly constrain margin expansion. CEO Joe Creed emphasized disciplined execution and strong end-market demand as key drivers for meeting long-term targets.