Caterpillar's Profits Soar on AI-Driven Demand for Construction Equipment

Caterpillar's second-quarter profits surged due to strong demand for its power-generation and construction equipment, particularly in the AI data center buildout.

The company reported a record-breaking order backlog of $72.1 billion after booking orders worth $9.4 billion in the April-to-June quarter.

Caterpillar's revenue grew 24% to an all-time high of $20.54 billion, with its core construction segment experiencing a 35% increase in revenue.

The power and energy arm posted 17% revenue growth, with both segments combined accounting for 81% of the company's total revenue.