Caterpillar, Inc. · NYSE:CAT
Caterpillar — Q2 2019 Earnings Presentation
14 slides from Caterpillar's earnings presentation, Jul 24, 2019
Slide 1: Second-Quarter 2019 Financial Review
Second-Quarter 2019 Financial Review July 24, 2019
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain statements in this financial review relate to future events and expectations and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “believe,” “estimate,” “will be,” “will,” “would,” “expect,” “a
Slide 3: 2019 Second-Quarter Highlights
2019 Second-Quarter Highlights Consolidated Operating Profit Profit Per Share Repurchased Sales & Revenues 2% 3% $1.4B Growth from Construction Industries Price Realization offset higher Manufacturing Costs $2.83 up slightly from prior year in company stock & Resource Industries Unfavorable Mix Rest
Slide 4: End Market Assumptions by Segment
End Market Assumptions by Segment Construction Industries Resource Industries Energy & Transportation North America • Commodity prices generally supportive of Oil & Gas • Investment in infrastructure reinvestment • Reciprocating engine sales expected to • State and local funding improve in 4th quart
Slide 5: Executing Our Strategy
Executing Our Strategy OUR SOLUTIONS HELP OUR CUSTOMERS BUILD A BETTER WORLD. CATERPILLAR’
Slide 6: 2019 Financial Results
2019 Financial Results Second Quarter 2019 vs. Second Quarter 2018 Sales and Revenues Profit Per Share 2nd Quarter Highlights (in billions of dollars) (in dollars) Sales and Revenues Increased 3% $14.4 $2.83 • Increase in Construction Industries and $14.4 $2.83 Resource Industries $14.0 $2.82 • Ener
Slide 7: Consolidated Sales & Revenues
Consolidated Sales & Revenues Second Quarter 2019 vs. Second Quarter 2018 16,000 427 (272) 29 14,432 14,011 237 2nd Quarter Highlights 14,000 12,000 Sales and Revenues up 3% 10,000 • Favorable price realization in the three Millions of $ primary segments 8,000 • Higher sales volume for equipment, in
Slide 8: Consolidated Operating Profit
Consolidated Operating Profit Second Quarter 2019 vs. Second Quarter 2018 3,000 2,500 427 (328) 2nd Quarter Highlights 2,167 (186) 118 (17) 14 18 2,213 2,000 Operating Profit Increased 2% • Favorable price realization offsetting higher manufacturing costs Millions of $ 1,500 • Higher manufacturing c
Slide 9: Construction Industries
Construction Industries Second Quarter 2019 vs. Second Quarter 2018 2nd Quarter Highlights Total Sales* Segment Profit Segment Profit (in billions of dollars) (in millions of dollars) as a percent of total sales* Total Sales Increased $295M, +5% • North America – Higher demand, including $6.2 $6.5 $
Slide 10: Resource Industries
Resource Industries Second Quarter 2019 vs. Second Quarter 2018 Total Sales* Segment Profit Segment Profit 2nd Quarter Highlights (in billions of dollars) (in millions of dollars) as a percent of total sales* $2.8 Total Sales Increased $274M, +11% $2.5 17.2% • Driven by increased capital investment
Slide 11: Energy & Transportation
Energy & Transportation Second Quarter 2019 vs. Second Quarter 2018 Total Sales* Segment Profit Segment Profit 2nd Quarter Highlights (in billions of dollars) (in millions of dollars) as a percent of total sales* Total Sales Decreased ($238M), -4% 17.7% $5.7 $5.5 $1,012 16.2% • Oil and Gas – Lower d
Slide 12: Full-Year 2019 Outlook
Full-Year 2019 Outlook 2018 Previous Current Actual 2019 Outlook1 2019 Outlook2 Profit Per Share $10.26 $12.06 – $13.06 $12.06 – $13.06 Lower End of Range 1 As of April 24, 2019. Includes a first-quarter discrete tax benefit related to U.S. tax reform of $0.31 per share. 2 As of July 24, 2019. Inclu
Slide 13: Key Takeaways
Key Takeaways Higher sales & Returned ~$1.9B to Expect ~ 9% share revenues, operating shareholders in share count reduction by profit up slightly buybacks and dividends year end* 2019 PPS outlook range at Expect record Executing our strategy and $12.06 to $13.06; expect to be profit per share contin
Slide 14: Q&A
O&A CATERPILLAR’: