The decrease in revenues was primarily due to a
Third-quarter 2020 profit before income taxes was
The provision for income taxes reflected an estimated annual tax rate of 33% in the third quarter of 2020 compared with 28% in the third quarter of 2019. The increase in the estimated annual tax rate was primarily due to changes in the geographic mix of profits.
During the third quarter of 2020, retail new business volume was
At the end of the third quarter of 2020, past dues were 3.81%, compared with 3.19% at the end of the third quarter of 2019. Past dues increased primarily due to the impact of the COVID-19 pandemic, offset by decreases in the Caterpillar Power Finance and Latin American portfolios. Write-offs, net of recoveries, were
"The Cat Financial team delivered solid results in the third quarter while managing customer challenges from COVID-19 and the remaining Caterpillar Power Finance portfolio," said
For over 35 years, Cat Financial, a wholly owned subsidiary of
STATISTICAL HIGHLIGHTS: | |||||||
THIRD-QUARTER 2020 VS. THIRD-QUARTER 2019 (ENDED (Millions of dollars) | |||||||
2020 | 2019 | CHANGE | |||||
Revenues | $ | 598 | $ | 748 | (20)% | ||
Profit Before Income Taxes | $ | 96 | $ | 184 | (48)% | ||
Profit (excluding profit attributable to noncontrolling interests) | $ | 48 | $ | 129 | (63)% | ||
Retail New Business Volume | $ | 2,600 | $ | 2,929 | (11)% | ||
Total Assets at | $ | 31,765 | $ | 33,693 | (6)% | ||
NINE-MONTHS 2020 VS. NINE-MONTHS 2019 (ENDED (Millions of dollars) | |||||||
2020 | 2019 | CHANGE | |||||
Revenues | $ | 1,934 | $ | 2,241 | (14)% | ||
Profit Before Income Taxes | $ | 312 | $ | 467 | (33)% | ||
Profit (excluding profit attributable to noncontrolling interests) | $ | 197 | $ | 306 | (36)% | ||
Retail New Business Volume | $ | 7,650 | $ | 8,626 | (11)% |
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
Certain statements in this press release relate to future events and expectations and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "believe," "estimate," "will be," "will," "would," "expect," "anticipate," "plan," "project," "intend," "could," "should" or other similar words or expressions often identify forward-looking statements. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding our outlook, projections, forecasts or trend descriptions. These statements do not guarantee future performance and speak only as of the date they are made, and we do not undertake to update our forward-looking statements.
Cat Financial's actual results may differ materially from those described or implied in our forward-looking statements based on a number of factors, including, but not limited to: (i) disruptions or volatility in global financial markets limiting our sources of liquidity; (ii) failure to maintain our credit ratings and potential resulting increases to our cost of borrowing and adverse effects on our cost of funds, liquidity, competitive position and access to capital markets; (iii) changes in interest rates, currency fluctuations or market liquidity conditions; (iv) an increase in delinquencies, repossessions or net losses of our customers; (v) residual values of leased equipment; (vi) our compliance with financial and other restrictive covenants in debt agreements; (vii) government monetary or fiscal policies; (viii) political and economic risks, commercial instability and events beyond our control in the countries in which we operate; (ix) demand for
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SOURCE Cat Financial
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