Construction Machinery Manufacturers NAICS 333120

Mar 7, 2026 - Caterpillar Posts Record-High Revenue

• Caterpillar reported fourth-quarter sales and revenue of $19.1 billion, a record high driven by strong demand for construction, mining, and power equipment, highlighting continued momentum in the heavy equipment manufacturing industry. Sales grew across all three business segments, with power and energy revenue rising 23% to $9.4 billion, driven by increased demand from oil and gas projects and rapidly expanding data center developments. The company also secured a deal to supply two-gigawatt generators for a multibillion-dollar data center project in West Virginia, contributing to a record $51 billion order backlog. Despite strong demand, operating profit fell 9% to $2.7 billion, due in part to tariff-related manufacturing costs totaling nearly $1 billion during the quarter. For heavy equipment manufacturers, the results underscore strong infrastructure and energy demand, but also highlight ongoing margin pressure tied to tariffs, restructuring costs, and supply chain volatility.
• Construction spending for nonresidential buildings is expected to remain sluggish in 2026 and 2027, according to the American Institute of Architects’ (AIA) Consensus Construction Forecast released in January. Total spending for nonresidential building construction is expected to rise just 1% in 2026 and 2.2% in 2027. For the next two years, commercial facility growth will be led by data centers, with spending rising 26.3% in 2026 and 16.5% in 2027. However, offices are expected to see a sharp decline in spending over the forecast period, while warehouse and retail will see weak growth this year and modest gains in 2027. Manufacturing construction spending will fall 3.9% in 2026 and drop 2.8% next year. Spending on institutional projects will grow 2.7% this year and 2.8% in 2027, led by steady growth in the health sector, but educational, and amusement and recreation project spending will remain relatively flat.

• Bedrock Robotics, a San Francisco start-up developing autonomous systems for excavators and other heavy construction equipment, has raised $270 million in new funding, valuing the company at $1.75 billion, according to The New York Times. The technology is designed to automate earthmoving and site preparation tasks while working alongside human operators, thereby increasing efficiency, safety, and productivity on construction sites. The approach comes as the construction industry faces persistent labor shortages, with Associated Builders & Contractors estimating the sector will need 349,000 additional workers in 2026 and 456,000 in 2027 to meet demand. Bedrock’s systems can be added to existing machines from manufacturers such as Caterpillar, allowing contractors to deploy the technology without replacing equipment. For the construction industry, the technology could help firms complete projects faster, extend equipment operating hours, and offset workforce shortages as demand for housing, factories, and data centers grows.
• US equipment rental revenue, including the construction/industrial and general tool market segments, is expected to rise in 2026, but at a slower pace, according to a recent forecast by the American Rental Association (ARA) and its data partner, S&P Global. After posting revenue of $80.6 billion in 2025, equipment rental revenue is expected to increase by 2.8% in 2026 and reach $82.9 billion. Demand for construction and industrial equipment (CIE) is forecast to rise 1.6% in 2026, and general tool equipment investment is expected to rise by 4.1%. However, geopolitical and financial challenges are weighing on business and consumer confidence, which is slowing equipment rental demand. Residential construction is expected to drop 0.6% in 2026, while nonresidential construction will rise only 0.6%. US manufacturing activity is forecast to remain flat, rising just 0.3% in 2026. Construction equipment rentals drive new rental fleet sales and compete with new machinery purchases by construction firms.