Caterpillar Roars Ahead into 2026 on Strong Demand

Caterpillar has started 2026 on a strong note, driven by robust demand across its three operating segments. Chairman and CEO Joe Creed attributed this growth to power-generation activity, construction equipment sales, and improving orders in resource industries.

The company raised its revenue target for 2030 earlier this year, projecting growth of 6% to 9% compared to 2024 levels. Caterpillar also increased planned investment in large-engine capacity by three times the 2024 level.

Creed noted that the power and energy business continues to see strong backlog growth, with demand spanning various sectors such as power generation, oil and gas, natural-gas compression, mining, and marine applications. The company is expanding production capacity for turbines and large reciprocating engines while improving throughput from existing facilities.

Caterpillar's approach to adding capacity is measured and based on discussions with customers, including hyperscalers, data-center operators, and oil-and-gas companies. Creed emphasized that customer behavior has not yet indicated a slowdown in power-generation needs.