Caterpillar Inc (CAT)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 13,072,000 | 12,966,000 | 7,904,000 | 6,878,000 | 4,553,000 |
| Revenue | US$ in thousands | 64,809,000 | 67,060,000 | 59,427,000 | 50,971,000 | 41,748,000 |
| Operating profit margin | 20.17% | 19.33% | 13.30% | 13.49% | 10.91% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $13,072,000K ÷ $64,809,000K
= 20.17%
Caterpillar Inc's operating profit margin has shown a positive trend over the past five years, increasing from 10.91% as of December 31, 2020, to 20.17% as of December 31, 2024. This indicates an improvement in the company's operational efficiency and ability to generate profits from its core business activities. The steady growth in operating profit margin suggests that Caterpillar has been effectively managing its costs and enhancing revenue generation. The significant increase in the operating profit margin from 2019 to 2024, particularly the sharp rise from 2022 to 2023, demonstrates the company's ability to adapt to market conditions and improve profitability. Overall, the consistent improvement in Caterpillar Inc's operating profit margin reflects a positive financial performance and efficient utilization of resources.
Peer comparison
Dec 31, 2024