Cat Financial Announces First-Quarter 2005 Results
April 20 2005 - 9:40AM
PR Newswire (US)
Cat Financial Announces First-Quarter 2005 Results PEORIA, Ill.,
April 20 /PRNewswire-FirstCall/ -- Caterpillar Financial Services
Corporation (Cat Financial) today reported record revenues of $543
million, an increase of $86 million or 19 percent compared with
first quarter 2004. Profit after tax was a record $83 million, an
$11 million or 15 percent increase over first quarter 2004. Of the
increase in revenues, $65 million resulted from the impact of
continued growth of finance receivables and leases and $21 million
from the impact of higher interest rates on new and existing
finance receivables. Of the increase in profit, $30 million was due
to growth in earning assets, partially offset by $11 million from
higher operating expenses and $6 million from the decrease in the
interest rate spread. New retail financing was a record first
quarter $2.44 billion, an increase of $474 million or 24 percent
from the same period one year ago. The increase was primarily
related to increased financing in our North America and Diversified
segments. Past dues over 30 days were 1.94 percent compared to 2.82
percent at the end of the same period one year ago. Write-offs, net
of recoveries, were $5 million during the quarter compared with $11
million for the first quarter of 2004. Caterpillar Inc. Vice
President and Cat Financial President Kent M. Adams said, "We are
very pleased with the continued growth in our business and the
reduction in past dues and write-offs. We continue to invest in
people, technology and process improvement through 6 Sigma to
support our growth initiatives, efficiency improvement and
increased customer satisfaction." Cat Financial, a wholly-owned
subsidiary of Caterpillar Inc., provides a wide range of financing
alternatives for Caterpillar machinery and engines, Solar(R) gas
turbines, as well as other equipment and marine vessels. The
company also extends loans to customers and dealers. Cat Financial
has offices and subsidiaries located throughout the Americas, Asia,
Australia, and Europe, with headquarters in Nashville, Tennessee.
STATISTICAL HIGHLIGHTS: FIRST QUARTER 2005 VS. FIRST QUARTER 2004
(ENDING MARCH 31) (Millions of dollars) 2005 2004 CHANGE Revenues
$543 $457 19% Net Profit $ 83 $ 72 15% New Retail Financing $2,443
$1,969 24% Total Assets $24,543 $20,562 19% DATASOURCE: Caterpillar
Financial Services Corporation CONTACT: Benjamin S. Cordani,
Corporate Public Affairs of Caterpillar, +1-309-675-5786, Web site:
http://www.cat.com/
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