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Caterpillar Financial Services

Calendar

3 Aug 22
18 Aug 22
31 Dec 22
Quarter (USD) Jun 22 Mar 22 Dec 21 Sep 21
Revenue
Cost of revenue
Operating income
Operating margin
Net income
Net profit margin
Cash on hand
Change in cash
Diluted EPS
Annual (USD) Dec 21 Dec 20 Dec 19 Dec 18
Revenue
Cost of revenue
Operating income
Operating margin
Net income
Net profit margin
Cash on hand
Change in cash
Diluted EPS

Financial report summary

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Risks
  • Disruptions or volatility in global financial markets could adversely impact the industries and markets in which we serve and operate
  • Failure to maintain our credit ratings would increase our cost of borrowing and could adversely affect our cost of funds, liquidity, competitive position and access to capital markets
  • Changes in interest rates, foreign currency exchange rates or market liquidity conditions could adversely affect our earnings and/or cash flows
  • Our business is significantly influenced by the credit risk associated with our customers and an increase in delinquencies, repossessions or net losses could adversely affect our results
  • A decrease in the residual value of the equipment that we finance could adversely affect our results
  • Restrictive covenants in our debt agreements could limit our financial and operating flexibility
  • Changes in government monetary or fiscal policies may negatively impact our results
  • Our global operations are exposed to political and economic risks, commercial instability and global events beyond our control in the countries in which we operate
  • The success of our business depends upon the demand for Caterpillar’s products
  • Changes in the marketing, operational or administrative support that we receive from Caterpillar could adversely affect our results
  • The success of our business depends on our ability to develop, produce and market quality products and services that meet our customers’ needs
  • Increased information technology security threats and more sophisticated computer crime pose a risk to our systems, networks, products and services
  • Changes in accounting guidance could have an adverse effect on our results of operations
Management Discussion
  • Retail revenue for the second quarter of 2022 was $301 million, a decrease of $2 million from the same period in 2021. The decrease was due to a $9 million unfavorable impact from lower average earning assets, partially offset by a $7 million favorable impact from higher interest rates on retail finance receivables. For the quarter ended June 30, 2022, retail average earning assets were $22.44 billion, a decrease of $505 million from the same period in 2021. The annualized average yield was 5.37 percent for the second quarter of 2022, compared with 5.28 percent for the second quarter of 2021.
  • Operating lease revenue for the second quarter of 2022 was $224 million, a decrease of $14 million from the same period in 2021. The decrease was primarily due to a $17 million unfavorable impact from lower average earning assets, partially offset by a $3 million favorable impact from higher rental rates on operating leases.
  • Wholesale revenue for the second quarter of 2022 was $99 million, an increase of $17 million from the same period in 2021. The increase was primarily due to a $17 million favorable impact from higher interest rates on wholesale finance receivables. For the quarter ended June 30, 2022, wholesale average earning assets were $4.48 billion, an increase of $96 million from the same period in 2021. The annualized average yield was 8.88 percent for the second quarter of 2022, compared with 7.45 percent for the second quarter of 2021.

Content analysis

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Positive
Negative
Uncertain
Constraining
Legalese
Litigous
Readability
H.S. freshman Avg
New words: categorized, high, unfunded, weakening
Removed: economy, entity, growing, improved, potentially
Proxies
No filings