Caterpillar Inc. (CAT) FCF Payout Ratio: 24.61%
Is Caterpillar Inc.’s FCF payout ratio high or low?
Caterpillar Inc.'s FCF payout ratio of 24.61% is 37% below its 5-year average of 38.79%, near the low end of its 5-year range (26.17%–53.25%).
The FCF payout ratio for Caterpillar Inc. (CAT) is 24.61%. It is below its 12-month average by 13.28% (28.38%).
CAT FCF Payout Ratio Chart
CAT Average FCF Payout Ratio Chart
CAT Current vs Average FCF Payout Ratio Chart
CAT FCF Payout Ratio Metrics
FCF PAYOUT RATIO
24.61%
FCF PAYOUT RATIO AVG TTM
28.38%
FCF PAYOUT RATIO AVG 3Y
32.54%
FCF PAYOUT RATIO AVG 5Y
38.79%
FCF PAYOUT RATIO AVG 10Y
46.21%
FCF PAYOUT RATIO AVG 15Y
133.91%
FCF PAYOUT RATIO AVG 20Y
115.16%
CURRENT VS TTM AVG
-13.28%
CURRENT VS 3Y AVG
-24.36%
CURRENT VS 5Y AVG
-36.56%
CURRENT VS 10Y AVG
-46.75%
CURRENT VS 15Y AVG
-81.62%
CURRENT VS 20Y AVG
-78.63%
Payout Ratio Comparison
FCF Payout Ratio
24.6%
Earnings Payout Ratio
32.0%
Dividend Yield
0.70%
FCF Yield
2.86%
Annual FCF Payout Ratio History
| Year | Free Cash Flow | Dividends Paid | FCF Payout Ratio |
|---|---|---|---|
| 2025 | $10.27B | $2.75B | 26.8% |
| 2024 | $8.82B | $2.65B | 30.0% |
| 2023 | $9.79B | $2.56B | 26.2% |
| 2022 | $5.17B | $2.44B | 47.2% |
| 2021 | $4.73B | $2.33B | 49.3% |
| 2020 | $4.21B | $2.24B | 53.3% |
| 2019 | $4.24B | $2.13B | 50.2% |
| 2018 | $3.64B | $1.95B | 53.6% |
| 2017 | $3.37B | $1.83B | 54.3% |
| 2016 | $2.71B | $1.80B | 66.4% |
| 2015 | $3.44B | $1.76B | 51.1% |
| 2014 | $4.68B | $1.62B | 34.6% |
| 2013 | $5.75B | $1.11B | 19.3% |
| 2012 | $108.00M | $1.62B | 1497.2% |
| 2011 | $3.03B | $1.16B | 38.2% |
| 2010 | $2.42B | $1.08B | 44.7% |
| 2009 | $4.03B | $1.03B | 25.6% |
| 2008 | $786.00M | $953.00M | 121.2% |
| 2007 | $4.92B | $845.00M | 17.2% |
| 2006 | $3.12B | $726.00M | 23.2% |
| 2005 | $698.00M | $618.00M | 88.5% |
| 2004 | ($6.11B) | $534.00M | N/A (Loss) |
| 2003 | ($7.38B) | $491.00M | N/A (Loss) |
| 2002 | ($5.74B) | $481.00M | N/A (Loss) |
| 2001 | $19.00M | $474.00M | 2494.7% |
| 2000 | $671.00M | $462.00M | 68.9% |
| 1999 | $1.31B | $445.00M | 34.0% |
| 1998 | $509.00M | $400.00M | 78.6% |
| 1997 | $990.00M | $338.00M | 34.1% |
| 1996 | $1.01B | $289.00M | 28.6% |
Formula: FCF Payout Ratio = Dividends Paid / Free Cash Flow × 100
FCF payout and earnings payout:
- FCF represents operating cash flow after capital expenditures
- FCF payout compares dividends paid with free cash flow
- FCF payout above 100% means dividends paid exceeded free cash flow for the period
- Earnings payout compares dividends paid with net income
Reading the series: Use the chart and table to compare dividend payments with cash generation over time.
Caterpillar Inc. FCF Payout Ratio Formula & Definition
FCF Payout Ratio measures what percentage of free cash flow is paid out as dividends. Unlike earnings-based payout, it compares dividends with cash generated after capital expenditures.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Caterpillar Inc. FCF Payout Ratio FAQ
- What is the FCF payout ratio for Caterpillar Inc. (CAT)?
- The FCF payout ratio for CAT stock is 24.61%.
- Is Caterpillar Inc.'s FCF payout ratio high or low?
- Caterpillar Inc.'s FCF payout ratio of 24.61% is 37% below its 5-year average of 38.79%, near the low end of its 5-year range (26.17%–53.25%).
- What is the TTM average FCF payout ratio for Caterpillar Inc. (CAT)?
- The TTM average FCF payout ratio for CAT stock is 28.38%.
- What is the 3Y average FCF payout ratio for Caterpillar Inc. (CAT)?
- The 3Y average FCF payout ratio for CAT stock is 32.54%.
- What is the 5Y average FCF payout ratio for Caterpillar Inc. (CAT)?
- The 5Y average FCF payout ratio for CAT stock is 38.79%.
- What is the 10Y average FCF payout ratio for Caterpillar Inc. (CAT)?
- The 10Y average FCF payout ratio for CAT stock is 46.21%.
- What is the 15Y average FCF payout ratio for Caterpillar Inc. (CAT)?
- The 15Y average FCF payout ratio for CAT stock is 133.91%.
- What is the 20Y average FCF payout ratio for Caterpillar Inc. (CAT)?
- The 20Y average FCF payout ratio for CAT stock is 115.16%.
Caterpillar Inc. FCF Payout Ratio History
| DATE | FCF PAYOUT RATIO |
|---|---|
| 2025-12-31 | 26.76% |
| 2024-12-31 | 30.00% |
| 2023-12-31 | 26.17% |
| 2022-12-31 | 47.22% |
| 2021-12-31 | 49.34% |
| 2020-12-31 | 53.25% |
| 2019-12-31 | 50.25% |
| 2018-12-31 | 53.57% |
| 2017-12-31 | 54.33% |
| 2016-12-31 | 66.36% |
| 2015-12-31 | 51.11% |
| 2014-12-31 | 34.63% |
| 2013-12-31 | 19.34% |
| 2012-12-31 | 1497.22% |
| 2011-12-31 | 38.21% |
| 2010-12-31 | 44.74% |
| 2009-12-31 | 25.55% |
| 2008-12-31 | 121.25% |
| 2007-12-31 | 17.19% |
| 2006-12-31 | 23.24% |
| 2005-12-31 | 88.54% |
| 2001-12-31 | 2494.74% |
| 2000-12-31 | 68.85% |
| 1999-12-31 | 33.97% |
| 1998-12-31 | 78.59% |
| 1997-12-31 | 34.14% |
| 1996-12-31 | 28.59% |
About Caterpillar Inc.
Caterpillar Inc., a global enterprise founded in 1925 and headquartered in Deerfield, Illinois (having previously operated as Caterpillar Tractor Co. until its rebranding in 1986), is a premier manufacturer and vendor of heavy construction and mining equipment, diesel and natural gas power units, and industrial gas turbines across the world. The company's extensive offerings are organized into several operational divisions: Construction Industries: This segment delivers a broad spectrum of machinery for construction projects, including asphalt pavers, versatile backhoe and skid steer loaders, various sizes of excavators (from compact to heavy-duty), compactors, road-building equipment like cold planers and motorgraders, pipelayers, site preparation tractors, telehandlers, and utility vehicles, alongside a range of wheel loaders and track-type equipment. Resource Industries: Dedicated to the mining sector, this division supplies powerful equipment such as electric rope and hydraulic shovels, draglines, rotary drills, specialized hard rock vehicles, and a diverse fleet of mining, off-highway, and articulated trucks. It also offers longwall miners, wheel dozers, fleet management systems, autonomous vehicle solutions, crucial machinery components, selected work tools, and comprehensive safety and performance solutions for mining operations. Energy & Transportation: This segment focuses on power generation and propulsion systems. It provides reciprocating engines, generator sets, integrated power solutions, industrial turbines and associated services, remanufactured engines and parts, centrifugal gas compressors, and diesel-electric locomotives with related components and services. These products serve critical sectors including marine, oil and gas, industrial applications, and electric power generation. Financial Products: This segment supports customers with a variety of financial services, such as operating and finance leases, installment sale agreements, working capital loans, and wholesale financing schemes. It also offers insurance and risk management products tailored for vehicles, power generation facilities, and marine vessels. All Other: This encompassing segment is responsible for manufacturing essential consumables and components like filters, fluids, undercarriage parts, and ground engaging tools.
- Sector
- Industrials
- Industry
- Agricultural - Machinery
- CEO
- Joseph E. Creed