Caterpillar's Power Business Surpasses Construction in Revenue

Caterpillar's second-quarter results show the company has surpassed $20 billion in sales and revenue for the first time, with a 24% year-over-year increase to $20.5 billion.

The power and energy segment, which sells generator engines and turbines, now generates nearly as much revenue as the construction equipment segment, at $8.2 billion compared to $8.3 billion.

Power generation sales grew 29% year-over-year, driven by demand from data centers, gas compression, and aftermarket parts.

The order backlog ended the quarter at about $72 billion, up from a record $63 billion three months earlier, and management raised its full-year sales outlook due to healthy demand across primary segments.