Cat Financial Announces Third-Quarter 2025 Results

Cat Financial Announces Third-Quarter 2025 Results

Cat Financial reported third-quarter 2025 revenues of $926 million, an increase of $38 million, or 4%, compared with $888 million in the third quarter of 2024. The increase in revenues was primarily due to a favorable impact from higher average earning assets of $56 million, partially offset by an unfavorable impact from lower average financing rates of $15 million. Third-quarter 2025 profit was $134 million, a decrease of $3 million, or 2%, compared with $137 million profit in the third quarter of 2024.

Third-quarter 2025 profit before income taxes was $184 million, an increase of $2 million, or 1%, compared with $182 million profit in the third quarter of 2024. The increase was mainly driven by a favorable impact from higher average earning assets of $23 million, partially offset by higher provision for credit losses of $15 million and higher general, operating and administrative expenses of $5 million.

The provision for income taxes for the third quarter of 2025 was $50 million on $184 million profit before income taxes compared with $45 million on $182 million profit before income taxes for the third quarter of 2024. The provision for income taxes for the third quarter of 2025 included a $10 million expense for a valuation allowance against the deferred tax assets of a non-U.S. subsidiary.

During the third quarter of 2025, retail new business volume was $3.63 billion, an increase of $234 million, or 7%, compared with $3.40 billion in the third quarter of 2024. The increase was driven by higher volume in all segments, partially offset by a decrease in Mining.

At the end of the third quarter of 2025, past dues at Cat Financial were 1.47%, compared with 1.74% at the end of the third quarter of 2024. Write-offs, net of recoveries, were $40 million for the third quarter of 2025, compared with $27 million for the third quarter of 2024. As of September 30, 2025, Cat Financial’s allowance for credit losses totaled $283 million, or 0.89% of finance receivables, compared with $290 million or 0.94% of finance receivables at June 30, 2025. The allowance for credit losses at year-end 2024 was $267 million, or 0.91% of finance receivables.

“Cat Financial delivered another solid quarter with strong portfolio performance reflected in historically low past dues,” said Dave Walton, President of Cat Financial and Senior Vice President with responsibility for the Financial Products Division of Caterpillar Inc. “The Cat Financial team continues to focus on execution of our strategy and supporting Caterpillar customers and dealers with financial services solutions.”

About Cat Financial

Cat Financial is a subsidiary of Caterpillar, the world’s leading manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives. Cat Financial provides a wide range of financing solutions to customers and Cat^® dealers for machines, engines, Solar^® turbines, genuine Cat parts and services. Headquartered in Nashville, Tennessee, Cat Financial serves customers globally with offices and subsidiaries located throughout North and South America, Asia, Australia, Europe and Africa. Visit cat.com to learn more about Cat Financial.