Analysis of Debt
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- Balance Sheet: Assets
- Analysis of Liquidity Ratios
- Analysis of Short-term (Operating) Activity Ratios
- Analysis of Reportable Segments
- Common Stock Valuation Ratios
- Enterprise Value to EBITDA (EV/EBITDA)
- Price to FCFE (P/FCFE)
- Present Value of Free Cash Flow to Equity (FCFE)
- Net Profit Margin since 2005
- Price to Earnings (P/E) since 2005
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Total Debt (Carrying Amount)
Caterpillar Inc., balance sheet: debt
US$ in millions
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).
The carrying amount of total debt exhibited a generally stable pattern over the five-year period, with a noticeable increase in the most recent year. Short-term borrowings demonstrated fluctuation, while long-term debt showed a more gradual shift. A closer examination of the components reveals specific trends worthy of note.
- Short-Term Borrowings
- Short-term borrowings began at US$5.404 billion in 2021, increased to US$5.957 billion in 2022, then decreased to US$4.643 billion in 2023 and further to US$4.393 billion in 2024. A reversal of this trend is observed in 2025, with short-term borrowings rising to US$5.514 billion. This suggests a dynamic approach to managing immediate financing needs, potentially influenced by operational cash flow and investment opportunities.
- Long-Term Debt Due Within One Year
- Long-term debt maturing within one year decreased from US$6.352 billion in 2021 to US$5.322 billion in 2022. A significant increase occurred in 2023, reaching US$8.763 billion, before declining to US$6.665 billion in 2024. The value continued to rise in 2025, reaching US$7.120 billion. This fluctuation may reflect strategic debt refinancing or changes in the timing of debt repayments.
- Long-Term Debt Due After One Year
- Long-term debt with a maturity beyond one year showed a slight decrease from US$26.033 billion in 2021 to US$25.714 billion in 2022, followed by a further decrease to US$24.472 billion in 2023. An increase is then observed in 2024, rising to US$27.351 billion, and continuing upward in 2025 to US$30.696 billion. This indicates a potential shift towards longer-term financing strategies or increased investment in long-term projects.
- Total Debt
- The aggregate of short-term borrowings and long-term debt remained relatively consistent between 2021 and 2024, fluctuating between US$36.993 billion and US$38.409 billion. However, a notable increase to US$43.330 billion is observed in 2025. This suggests a more substantial reliance on debt financing in the latest year, potentially to fund expansion, acquisitions, or other significant capital expenditures. The overall trend indicates a conservative debt management approach for the majority of the period, with a more aggressive stance in the final year.
Total Debt (Fair Value)
| Dec 31, 2025 | |
|---|---|
| Selected Financial Data (US$ in millions) | |
| Short-term borrowings | |
| Machinery, Power & Energy | |
| Financial Products | |
| Total long-term debt, including amounts due within one year (fair value) | |
| Total short-term borrowings and long-term debt (fair value) | |
| Financial Ratio | |
| Debt, fair value to carrying amount ratio | |
Based on: 10-K (reporting date: 2025-12-31).
Weighted-average Interest Rate on Debt
Weighted-average effective yield to maturity:
| Interest rate | Debt amount1 | Interest rate × Debt amount | Weighted-average interest rate2 |
|---|---|---|---|
| Total | |||
Based on: 10-K (reporting date: 2025-12-31).
1 US$ in millions
2 Weighted-average interest rate = 100 × ÷ =