Caterpillar Inc. (NYSE: CAT) reported third-quarter results that topped analyst expectations, as the construction and equipment maker benefited from resilient demand across all major segments. Shares soared more than 12% in intra-day trading on Wednesday.
Adjusted earnings per share came in at $4.95, well above estimates of $4.55. Revenue rose 10% from a year ago to $17.64 billion, surpassing consensus forecasts of $16.76 billion.
The company said higher equipment sales volumes were the key driver of growth, led by a 17% increase in its Energy & Transportation segment to $8.4 billion. Construction Industries sales rose 7% to $6.8 billion, while Resource Industries revenue grew 2% to $3.1 billion.
However, operating profit margin declined to 17.3% from 19.5% in the prior-year quarter, reflecting $686 million in unfavorable manufacturing costs, primarily due to higher tariff-related expenses.
