Standard and Extended Product Warranty Accrual
Caterpillar Standard and Extended Product Warranty Accrual decreased by 4.4% to $1.63B in Q4 2025 compared to the prior quarter. Year-over-year, this metric declined by 4.4%, from $1.70B to $1.63B. Over 5 years (FY 2020 to FY 2025), Standard and Extended Product Warranty Accrual shows relatively stable performance with a 0.2% CAGR. This is a positive signal — lower values indicate better performance for this metric.
Analysis
How to read this metric
An increase may suggest declining product quality or higher expected repair costs, while a decrease suggests improved reliability.
Detailed definition
This represents the estimated liability for future costs associated with repairing or replacing products under warranty....
Peer comparison
Standard for manufacturing and hardware companies; benchmarked against revenue.
other_product_warranty_accrualHistorical Data
| Q4 '21 | Q4 '22 | Q4 '23 | Q4 '24 | Q4 '25 | |
|---|---|---|---|---|---|
| Value | $1.69B | $1.76B | $1.89B | $1.70B | $1.63B |
| QoQ Change | — | +4.3% | +7.6% | -10.2% | -4.4% |
| YoY Change | — | +4.3% | +7.6% | -10.2% | -4.4% |
Standard and Extended Product Warranty Accrual at Other Companies
Frequently Asked Questions
- What is Caterpillar's standard and extended product warranty accrual?
- Caterpillar (CAT) reported standard and extended product warranty accrual of $1.63B in Q4 2025.
- How has Caterpillar's standard and extended product warranty accrual changed year-over-year?
- Caterpillar's standard and extended product warranty accrual decreased by 4.4% year-over-year, from $1.70B to $1.63B.
- What is the long-term trend for Caterpillar's standard and extended product warranty accrual?
- Over 5 years (2020 to 2025), Caterpillar's standard and extended product warranty accrual has grown at a 0.2% compound annual growth rate (CAGR), from $1.61B to $1.63B.
- What does standard and extended product warranty accrual mean?
- The estimated cost the company expects to pay for future product repairs and replacements.