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Caterpillar CAT Gain on sale of business

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Other financials

Income statement

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Revenue$20.5B+24.0%
Gross profit$7.8B+34.7%
Operating income$4.3B+50.2%
Net income$3.6B+64.9%
EPS (diluted)$7.77+68.2%

Balance sheet

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Cash & equivalents$6.7B+23.4%
Total debt$36.9B+14.2%
Total equity$21.3B+9.4%
Total assets$102.61B+13.6%

Cash flow

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Operating cash flow$4.4B+40.0%
CapEx$587.0M+5.8%
Free cash flow$3.8B+47.4%

Valuation

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Market cap$393.92B+95.8%
P/E36.3×+15.0×
P/S5.3×+2.1×

Profitability

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Gross margin94.2%-5.9pp
Operating margin17.5%-0.7pp
Net margin14.5%-0.4pp
FCF margin14.3%+0.1pp

Returns & leverage

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Return on equity43.5%-11.8pp
Debt / equity1.7×+0.1×
Current ratio1.4×0.0×

Where this comes from

Reported directly by Caterpillar in its filing.

Tagged under the XBRL concept cat:NonCashGainLossOnDivestiture.

The source filing: Caterpillar’s 10-K, filed February 13, 2026.

Filed
Feb 13, 2026, 10:18 AM EST
Fiscal year
FY2025
Accession
0000018230-26-000008
STATEMENT 5 / Consolidated Statement of Cash Flow for the Years Ended December 31, / (Millions of dollars)2025Caterpillar Inc. / 2024Caterpillar Inc. / 2023
Depreciation and amortization2,2622,1532,144
Actuarial (gain) loss on pension and postretirement benefits(294)(154)(97)
Provision (benefit) for deferred income taxes465(621)(592)
(Gain) loss on divestiture30164572
Other742564375
Changes in assets and liabilities, net of acquisitions and divestitures:
Receivables – trade and other(2,138)(160)(437)
Inventories(1,477)(414)(364)

Item 8.Financial Statements and Supplementary Data.

FAQ

What is Caterpillar's gain on sale of business?
Caterpillar (CAT) reported gain on sale of business of -$30M in Q4 2025.
How has Caterpillar's gain on sale of business changed year-over-year?
Caterpillar's gain on sale of business increased by 90.9% year-over-year, from -$328M to -$30M.
What does gain on sale of business mean?
This represents the non-cash gain or loss recognized when the company divests a business unit, subsidiary, or significant investment. Since this gain is included in net income but does not represent recurring operating cash flow, it is removed during the cash flow reconciliation process. It helps investors isolate the performance of core operations from one-time strategic transactions.

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