Caterpillar Financial Services 10-Q 1 Nov 23 2023 Q3 Quarterly report Financial data

Cover Page

Cover Page - shares	9 Months Ended
	Sep. 30, 2023	Nov. 01, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-11241
Entity Registrant Name	CATERPILLAR FINANCIAL SERVICES CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	37-1105865
Entity Address, Address Line One	2120 West End Ave.
Entity Address, City or Town	Nashville
Entity Address, State or Province	TN
Entity Address, Postal Zip Code	37203-0001
City Area Code	615
Local Phone Number	341-1000
Title of 12(b) Security	Medium-Term Notes, Series H,3.300% Notes Due 2024
Trading Symbol	CAT/24
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		1
Entity Central Index Key	0000764764
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Statements of Prof

Consolidated Statements of Profit - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenues:
Retail finance	$ 378	$ 312	$ 1,072	$ 903
Operating lease	232	222	672	671
Wholesale finance	184	117	508	300
Other, net	52	39	155	136
Total revenues	846	690	2,407	2,010
Expenses:
Interest	280	151	742	377
Depreciation on equipment leased to others	182	179	532	544
General, operating and administrative	153	136	434	397
Provision for credit losses	35	(16)	23	34
Other	7	7	23	20
Total expenses	657	457	1,754	1,372
Other income (expense)	(19)	(45)	(74)	(58)
Profit before income taxes	170	188	579	580
Provision for income taxes	72	55	177	157
Profit of consolidated companies	98	133	402	423
Less: Profit attributable to noncontrolling interests	0	2	5	6
Profit attributable to Caterpillar Financial Services Corporation	$ 98	$ 131	$ 397	$ 417

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Statement of Comprehensive Income [Abstract]
Profit of consolidated companies	$ 98	$ 133	$ 402	$ 423
Other comprehensive income (loss), net of tax (Note 5):
Foreign currency translation	(102)	(296)	(99)	(543)
Derivative financial instruments	(4)	(5)	(4)	18
Total Other comprehensive income (loss), net of tax	(106)	(301)	(103)	(525)
Comprehensive income (loss)	(8)	(168)	299	(102)
Less: Comprehensive income (loss) attributable to noncontrolling interests	0	(6)	(1)	(9)
Comprehensive income (loss) attributable to Caterpillar Financial Services Corporation	$ (8)	$ (162)	$ 300	$ (93)

Consolidated Statements of Fina

Consolidated Statements of Financial Position - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Assets:
Cash and cash equivalents	$ 561	$ 868
Finance receivables, net of Allowance for credit losses of $340 and $346	27,202	26,441
Equipment on operating leases, net	3,033	2,911
Total assets	32,464	31,957
Liabilities and shareholder’s equity:
Payable to dealers and others	152	163
Payable to Caterpillar - borrowings and other	126	124
Accrued expenses	451	380
Short-term borrowings	4,218	5,954
Current maturities of long-term debt	7,619	5,202
Long-term debt	15,789	16,216
Other liabilities	1,002	955
Total liabilities	29,357	28,994
Commitments and contingent liabilities (Note 7)
Common stock - $1 par value Authorized: 2,000 shares; Issued and outstanding: one share (at paid-in amount)	745	745
Additional paid-in capital	2	2
Retained earnings	3,431	3,109
Accumulated other comprehensive income (loss)	(1,144)	(1,047)
Noncontrolling interests	73	154
Total shareholder’s equity	3,107	2,963
Total liabilities and shareholder’s equity	32,464	31,957
Related Party
Assets:
Other assets	549	482
Nonrelated Party
Assets:
Other assets	$ 1,119	$ 1,255

Consolidated Statements of Fi_2

Consolidated Statements of Financial Position (Parentheticals) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Allowance for credit losses	$ 340	$ 346
Shareholder's Equity:
Common stock - par value	$ 1	$ 1
Common stock - authorized	2,000	2,000
Common stock - issued	1	1
Common stock - outstanding	1	1

Consolidated Statements of Chan

Consolidated Statements of Changes in Shareholder's Equity - USD ($) $ in Millions	Total	Common stock	Additional paid-in capital	Retained earnings	Accumulated other comprehensive income (loss)	Noncontrolling interests
Balance at Dec. 31, 2021	$ 2,981	$ 745	$ 2	$ 2,849	$ (774)	$ 159
Increase (Decrease) in Shareholder's Equity [Roll Forward]
Profit of consolidated companies	423			417		6
Dividend paid to Caterpillar	0
Foreign currency translation, net of tax	(543)				(528)	(15)
Derivative financial instruments, net of tax	18				18
Balance at Sep. 30, 2022	2,879	745	2	3,266	(1,284)	150
Balance at Jun. 30, 2022	3,047	745	2	3,135	(991)	156
Increase (Decrease) in Shareholder's Equity [Roll Forward]
Profit of consolidated companies	133			131		2
Foreign currency translation, net of tax	(296)				(288)	(8)
Derivative financial instruments, net of tax	(5)				(5)
Balance at Sep. 30, 2022	2,879	745	2	3,266	(1,284)	150
Balance at Dec. 31, 2022	2,963	745	2	3,109	(1,047)	154
Increase (Decrease) in Shareholder's Equity [Roll Forward]
Profit of consolidated companies	402			397		5
Dividend paid to Caterpillar	(155)			(75)		80
Foreign currency translation, net of tax	(99)				(93)	(6)
Derivative financial instruments, net of tax	(4)				(4)
Balance at Sep. 30, 2023	3,107	745	2	3,431	(1,144)	73
Balance at Jun. 30, 2023	3,195	745	2	3,333	(1,038)	153
Increase (Decrease) in Shareholder's Equity [Roll Forward]
Profit of consolidated companies	98			98
Dividend paid to Caterpillar	(80)					80
Foreign currency translation, net of tax	(102)				(102)
Derivative financial instruments, net of tax	(4)				(4)
Balance at Sep. 30, 2023	$ 3,107	$ 745	$ 2	$ 3,431	$ (1,144)	$ 73

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Profit of consolidated companies	$ 402	$ 423
Adjustments for non-cash items:
Depreciation and amortization	542	554
Accretion of Caterpillar purchased receivable revenue	(460)	(284)
Provision for credit losses	23	34
Other, net	(49)	116
Changes in assets and liabilities:
Other assets	102	41
Payable to dealers and others	31	62
Accrued expenses	35	17
Other payables with Caterpillar	2	(3)
Other liabilities	43	61
Net cash provided by operating activities	671	1,021
Cash flows from investing activities:
Expenditures for equipment on operating leases	(1,015)	(860)
Capital expenditures - excluding equipment on operating leases	(14)	(9)
Proceeds from disposals of equipment	515	607
Additions to finance receivables	(12,484)	(10,578)
Collections of finance receivables	11,561	10,333
Net changes in Caterpillar purchased receivables	429	678
Proceeds from sales of receivables	40	50
Net change in variable lending to Caterpillar	(98)	(3)
Additions to other notes receivable from Caterpillar	(8)	(139)
Collections of other notes receivable from Caterpillar	38	34
Settlements of undesignated derivatives	8	(69)
Net cash provided by (used for) investing activities	(1,028)	44
Cash flows from financing activities:
Net change in variable lending from Caterpillar	1	0
Proceeds from debt issued (original maturities greater than three months)	6,360	5,570
Payments on debt issued (original maturities greater than three months)	(4,360)	(5,269)
Short-term borrowings, net (original maturities three months or less)	(1,723)	(1,173)
Dividend paid to Caterpillar	(155)	0
Net cash provided by (used for) financing activities	123	(872)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(65)	(44)
Increase (decrease) in cash, cash equivalents and restricted cash	(299)	149
Cash, cash equivalents and restricted cash at beginning of year	870	614
Cash, cash equivalents and restricted cash at end of period	$ 571	$ 763

Consolidated Statements of Ca_2

Consolidated Statements of Cash Flows (Parentheticals) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Statement of Cash Flows [Abstract]
Restricted cash and cash equivalents	$ 10	$ 2

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments, consisting only of normal recurring adjustments, necessary for a fair statement of (a) the consolidated profit for the three and nine months ended September 30, 2023 and 2022, (b) the consolidated comprehensive income for the three and nine months ended September 30, 2023 and 2022, (c) the consolidated financial position at September 30, 2023 and December 31, 2022, (d) the consolidated changes in shareholder’s equity for the three and nine months ended September 30, 2023 and 2022 and (e) the consolidated cash flows for the nine months ended September 30, 2023 and 2022. The preparation of financial statements, in conformity with generally accepted accounting principles and pursuant to the rules and regulations of the Securities and Exchange Commission (SEC), requires management to make estimates and assumptions that affect the reported amounts. Significant estimates include residual values for leased assets, allowance for credit losses and income taxes. Actual results may differ from these estimates. Interim results are not necessarily indicative of results for a full year. The information included in this Form 10-Q should be read in conjunction with the audited consolidated financial statements and notes thereto included in our annual report on Form 10-K for the year ended December 31, 2022 (2022 Form 10-K). The December 31, 2022 financial position data included herein was derived from the audited consolidated financial statements included in the 2022 Form 10-K but does not include all disclosures required by generally accepted accounting principles. We consolidate all variable interest entities (VIEs) where we are the primary beneficiary. For VIEs, we assess whether we are the primary beneficiary as prescribed by the accounting guidance on the consolidation of VIEs. Please refer to Note 7 for more information. We have customers and dealers that are VIEs of which we are not the primary beneficiary. Our maximum exposure to loss from our involvement with these VIEs is limited to the credit risk inherently present in the financial support that we have provided. Credit risk was evaluated and reflected in our financial statements as part of our overall portfolio of finance receivables and related allowance for credit losses. In the current period we identified a misclassification between Noncontrolling interests and Retained earnings related to certain dividends we paid to Caterpillar in prior periods. We have determined that the impact was not material to any previously filed financial statements and have revised the reported balances to correct for the misclassification. The impact of the revisions was a $52 million increase in Retained earnings and offsetting $52 million decrease in Noncontrolling interests as of December 31, 2021 and 2022, March 31, 2023 and June 30, 2023 and a $25 million increase in Retained earnings and offsetting $25 million decrease in Noncontrolling interests as of December 31, 2020. There was no impact on total equity or any other line items within the financial statements.

New Accounting Pronouncements

New Accounting Pronouncements	9 Months Ended
	Sep. 30, 2023
Accounting Standards Update and Change in Accounting Principle [Abstract]
New Accounting Pronouncements	New Accounting Pronouncements A. Adoption of New Accounting Standards We consider the applicability and impact of all Accounting Standards Updates (ASUs). Effective January 1, 2023, we adopted ASU 2022-02, Financial Instruments-Credit Losses (Topic 326), Troubled Debt Restructurings and Vintage Disclosures prospectively. The ASU eliminates accounting guidance for troubled debt restructurings (TDRs), enhances disclosures for certain receivable modifications related to borrowers experiencing financial difficulty, and requires disclosure of current period gross write-offs by year of origination. See Note 3 for additional information. B. Accounting Standards Issued But Not Yet Adopted We consider the applicability and impact of all ASUs. We have assessed the ASUs and determined that they either were not applicable or were not expected to have a material impact on our financial statements.

Finance Receivables

Finance Receivables	9 Months Ended
	Sep. 30, 2023
Receivables [Abstract]
Finance Receivables	Finance Receivables A summary of finance receivables included in the Consolidated Statements of Financial Position was as follows: (Millions of dollars) September 30, December 31, Retail loans, net (1) $ 15,907 $ 14,973 Retail leases, net 6,432 6,965 Caterpillar purchased receivables, net 4,381 4,297 Wholesale loans, net (1) 817 545 Wholesale leases, net 5 7 Total finance receivables 27,542 26,787 Less: Allowance for credit losses (340) (346) Total finance receivables, net $ 27,202 $ 26,441 (1) Includes failed sale leasebacks. Finance leases Revenues from finance leases were $106 million and $105 million for the three months ended September 30, 2023 and 2022, respectively, and $314 million and $326 million for the nine months ended September 30, 2023 and 2022, respectively, and are included in retail and wholesale finance revenue in the Consolidated Statements of Profit. The residual values for finance leases are included in Finance receivables, net in the Consolidated Statements of Financial Position. Residual value adjustments are recognized through a reduction of finance revenue over the remaining lease term. Allowance for credit losses Portfolio segments A portfolio segment is the level at which we develop a systematic methodology for determining our allowance for credit losses. Our portfolio segments and related methods for estimating expected credit losses are as follows: Customer We provide loans and finance leases to end-user customers primarily for the purpose of financing new and used Caterpillar machinery, engines and equipment for commercial use. We also provide financing for power generation facilities that, in most cases, incorporate Caterpillar products. The average original term of our customer finance receivable portfolio was approximately 51 months with an average remaining term of approximately 27 months as of September 30, 2023. We typically maintain a security interest in financed equipment and we require physical damage insurance coverage on the financed equipment, both of which provide us with certain rights and protections. If our collection efforts fail to bring a defaulted account current, we generally can repossess the financed equipment, after satisfying local legal requirements, and sell it within the Caterpillar dealer network or through third-party auctions. We estimate the allowance for credit losses related to our customer finance receivables based on loss forecast models utilizing probabilities of default and our estimated loss given default based on past loss experience adjusted for current conditions and reasonable and supportable forecasts capturing country and industry-specific economic factors. During the three and nine months ended September 30, 2023, our forecasts reflected a continuation of the trend of relatively low unemployment rates and delinquencies within our portfolio. However, industry delinquencies show an increasing trend as persistently high inflation rates and consequent central bank actions are weakening global economic growth. We believe the economic forecasts employed represent reasonable and supportable forecasts, followed by a reversion to long-term trends. Dealer We provide financing to Caterpillar dealers in the form of wholesale financing plans. Our wholesale financing plans provide assistance to dealers by financing their mostly new Caterpillar equipment inventory and rental fleets on a secured and unsecured basis. In addition, we provide a variety of secured and unsecured loans to Caterpillar dealers. We estimate the allowance for credit losses for dealer finance receivables based on historical loss rates with consideration of current economic conditions and reasonable and supportable forecasts. In general, our Dealer portfolio segment has not historically experienced large increases or decreases in credit losses based on changes in economic conditions due to our close working relationships with the dealers and their financial strength. Therefore, we made no adjustments to historical loss rates during the three and nine months ended September 30, 2023. Caterpillar Purchased Receivables We purchase receivables from Caterpillar, primarily related to the sale of equipment and parts to dealers. Caterpillar purchased receivables are non-interest-bearing short-term trade receivables that are purchased at a discount. We estimate the allowance for credit losses for Caterpillar purchased receivables based on historical loss rates with consideration of current economic conditions and reasonable and supportable forecasts. In general, our Caterpillar Purchased Receivables portfolio segment has not historically experienced large increases or decreases in credit losses based on changes in economic conditions due to the short-term maturities of the receivables, our close working relationships with the dealers and their financial strength. Therefore, we made no adjustments to historical loss rates during the three and nine months ended September 30, 2023. Classes of finance receivables We further evaluate our portfolio segments by the class of finance receivables, which is defined as a level of information (below a portfolio segment) in which the finance receivables have the same initial measurement attribute and a similar method for assessing and monitoring credit risk. Our classes, which align with management reporting for credit losses, are as follows: • North America - Finance receivables originated in the United States and Canada. • EAME - Finance receivables originated in Europe, Africa, the Middle East and Eurasia. • Asia/Pacific - Finance receivables originated in Australia, New Zealand, China, Japan, Southeast Asia and India. • Mining - Finance receivables related to large mining customers worldwide. • Latin America - Finance receivables originated in Mexico and Central and South American countries. • Power - Finance receivables originated worldwide related to Caterpillar electrical power generation, gas compression and co-generation systems and non-Caterpillar equipment that is powered by these systems. An analysis of the allowance for credit losses was as follows: (Millions of dollars) Three Months Ended September 30, 2023 Three Months Ended September 30, 2022 Customer Dealer Caterpillar Total Customer Dealer Caterpillar Total Beginning Balance $ 265 $ 50 $ 5 $ 320 $ 290 $ 82 $ 4 $ 376 Write-offs (22) — — (22) (30) — — (30) Recoveries 13 — — 13 17 — — 17 Provision for credit losses (1) 31 1 — 32 (2) (17) — (19) Other (3) — — (3) (5) — — (5) Ending Balance $ 284 $ 51 $ 5 $ 340 $ 270 $ 65 $ 4 $ 339 Nine Months Ended September 30, 2023 Nine Months Ended September 30, 2022 Customer Dealer Caterpillar Total Customer Dealer Caterpillar Total Beginning Balance $ 277 $ 65 $ 4 $ 346 $ 251 $ 82 $ 4 $ 337 Write-offs (63) — — (63) (68) — — (68) Recoveries 36 — — 36 47 — — 47 Provision for credit losses (1) 35 (14) 1 22 46 (17) — 29 Other (1) — — (1) (6) — — (6) Ending Balance $ 284 $ 51 $ 5 $ 340 $ 270 $ 65 $ 4 $ 339 Finance Receivables $ 20,279 $ 2,882 $ 4,381 $ 27,542 $ 19,927 $ 2,222 $ 3,962 $ 26,111 (1) Excludes provision for credit losses on unfunded commitments and other miscellaneous receivables. Gross write-offs by origination year for the Customer portfolio segment were as follows: (Millions of Dollars) Three Months Ended September 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Finance Receivables Total North America $ 1 $ 2 $ 2 $ 1 $ 1 $ — $ 2 $ 9 EAME — 1 1 1 — — — 3 Asia/Pacific — 2 3 1 — — — 6 Latin America — 1 1 1 — 1 — 4 Total $ 1 $ 6 $ 7 $ 4 $ 1 $ 1 $ 2 $ 22 Nine Months Ended September 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Finance Receivables Total North America $ 1 $ 7 $ 7 $ 2 $ 2 $ 1 $ 9 $ 29 EAME — 2 3 3 — 1 — 9 Asia/Pacific — 3 6 4 1 — — 14 Latin America — 3 3 3 1 1 — 11 Total $ 1 $ 15 $ 19 $ 12 $ 4 $ 3 $ 9 $ 63 Credit quality of finance receivables At origination, we evaluate credit risk based on a variety of credit quality factors including prior payment experience, customer financial information, credit ratings, loan-to-value ratios, probabilities of default, industry trends, macroeconomic factors and other internal metrics. On an ongoing basis, we monitor credit quality based on past-due status as there is a meaningful correlation between the past-due status of customers and the risk of loss. In determining past-due status, we consider the entire finance receivable past due when any installment is over 30 days past due. Customer The tables below summarize the aging category of our amortized cost of finance receivables in the Customer portfolio segment by origination year. (Millions of dollars) September 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Total North America Current $ 3,134 $ 2,940 $ 2,310 $ 919 $ 310 $ 65 $ 304 $ 9,982 31-60 days past due 18 31 23 15 6 2 3 98 61-90 days past due 6 10 7 4 1 — 2 30 91+ days past due 5 19 18 10 5 3 2 62 EAME Current 914 962 649 297 144 124 — 3,090 31-60 days past due 11 8 11 3 1 — — 34 61-90 days past due 3 6 3 3 2 — — 17 91+ days past due 4 16 18 9 3 1 — 51 Asia/Pacific Current 832 760 440 150 47 12 42 2,283 31-60 days past due 3 13 10 4 1 — — 31 61-90 days past due 1 3 3 4 1 — — 12 91+ days past due — 4 5 3 — — — 12 Mining Current 836 740 436 148 111 50 49 2,370 31-60 days past due — — — — — — — — 61-90 days past due — — 1 — — 2 — 3 91+ days past due — 2 2 — — 1 — 5 Latin America Current 552 571 255 74 29 8 — 1,489 31-60 days past due 6 13 7 4 3 1 — 34 61-90 days past due 1 5 2 1 — — — 9 91+ days past due 1 15 9 8 8 20 — 61 Power Current 46 71 70 86 45 122 162 602 31-60 days past due — — — — — 1 — 1 61-90 days past due — — — — — — — — 91+ days past due — — — — — 3 — 3 Totals by Aging Category Current 6,314 6,044 4,160 1,674 686 381 557 19,816 31-60 days past due 38 65 51 26 11 4 3 198 61-90 days past due 11 24 16 12 4 2 2 71 91+ days past due 10 56 52 30 16 28 2 194 Total $ 6,373 $ 6,189 $ 4,279 $ 1,742 $ 717 $ 415 $ 564 $ 20,279 (Millions of dollars) December 31, 2022 2022 2021 2020 2019 2018 Prior Revolving Total North America Current $ 3,915 $ 3,276 $ 1,525 $ 653 $ 206 $ 34 $ 240 $ 9,849 31-60 days past due 25 26 18 12 4 1 4 90 61-90 days past due 9 15 7 3 1 — 3 38 91+ days past due 11 16 12 6 4 3 4 56 EAME Current 1,270 953 477 280 155 68 — 3,203 31-60 days past due 10 12 7 1 1 — — 31 61-90 days past due 8 4 3 1 — — — 16 91+ days past due 6 25 16 4 1 1 — 53 Asia/Pacific Current 1,174 805 393 124 37 5 40 2,578 31-60 days past due 10 12 8 1 1 — — 32 61-90 days past due 2 5 4 2 — — — 13 91+ days past due 2 6 6 4 — — — 18 Mining Current 875 627 227 193 94 108 80 2,204 31-60 days past due — 1 — — — — — 1 61-90 days past due — — — — — — — — 91+ days past due — — — — — 1 — 1 Latin America Current 770 400 150 69 26 20 — 1,435 31-60 days past due 7 8 4 2 — 1 — 22 61-90 days past due 2 5 1 1 — — — 9 91+ days past due 2 13 11 2 1 — — 29 Power Current 82 87 146 51 18 161 125 670 31-60 days past due — — — — — — — — 61-90 days past due — — — — — — — — 91+ days past due — — — — — 5 — 5 Totals by Aging Category Current 8,086 6,148 2,918 1,370 536 396 485 19,939 31-60 days past due 52 59 37 16 6 2 4 176 61-90 days past due 21 29 15 7 1 — 3 76 91+ days past due 21 60 45 16 6 10 4 162 Total $ 8,180 $ 6,296 $ 3,015 $ 1,409 $ 549 $ 408 $ 496 $ 20,353 Finance receivables in the Customer portfolio segment are substantially secured by collateral, primarily in the form of Caterpillar and other equipment. For those contracts where the borrower is experiencing financial difficulty, repayment of the outstanding amounts is generally expected to be provided through the operation or repossession and sale of the equipment. Dealer As of September 30, 2023 and December 31, 2022, our total amortized cost of finance receivables within the Dealer portfolio segment was current, with the exception of $47 million and $62 million, respectively, that was 91+ days past due in Latin America, all of which originated in 2017. Caterpillar Purchased Receivables The tables below summarize the aging category of our amortized cost of finance receivables in the Caterpillar Purchased Receivables portfolio segment. (Millions of dollars) September 30, 2023 31-60 61-90 91+ Total Current Total Finance North America $ 15 $ 5 $ 2 $ 22 $ 2,629 $ 2,651 EAME 1 1 1 3 758 761 Asia/Pacific 8 — 1 9 565 574 Latin America 4 4 23 31 353 384 Power 2 1 1 4 7 11 Total $ 30 $ 11 $ 28 $ 69 $ 4,312 $ 4,381 (Millions of dollars) December 31, 2022 31-60 61-90 91+ Total Current Total Finance North America $ 11 $ 7 $ 4 $ 22 $ 2,458 $ 2,480 EAME 1 — 2 3 812 815 Asia/Pacific 6 2 2 10 555 565 Latin America 9 2 14 25 406 431 Power 1 — — 1 5 6 Total $ 28 $ 11 $ 22 $ 61 $ 4,236 $ 4,297 Non-accrual finance receivables Recognition of income is suspended and the finance receivable is placed on non-accrual status when management determines that collection of future income is not probable. Contracts on non-accrual status are generally more than 120 days past due. Recognition is resumed and previously suspended income is recognized when collection is considered probable. Payments received while the finance receivable is on non-accrual status are applied to interest and principal in accordance with the contractual terms. Interest earned but uncollected prior to the receivable being placed on non-accrual status is written off through Provision for credit losses when, in the judgment of management, it is considered uncollectible. In our Customer portfolio segment, finance receivables which were on non-accrual status and finance receivables over 90 days past due and still accruing income were as follows: (Millions of dollars) September 30, 2023 December 31, 2022 Amortized Cost Amortized Cost Non-accrual Non-accrual 91+ Still Non-accrual Non-accrual 91+ Still North America $ 54 $ — $ 12 $ 52 $ 4 $ 11 EAME 44 — 9 43 — 10 Asia/Pacific 8 — 5 11 — 7 Mining 4 — 1 — 1 — Latin America 69 — — 45 — — Power 9 — — 5 11 — Total $ 188 $ — $ 27 $ 156 $ 16 $ 28 There were $47 million and $62 million, respectively, in finance receivables in our Dealer portfolio segment on non-accrual status as of September 30, 2023 and December 31, 2022, all of which was in Latin America. Modifications We periodically modify the terms of our finance receivable agreements in response to borrowers’ financial difficulty. Typically, the types of modifications granted are payment deferrals, interest only payment periods and/or term extensions. Many modifications we grant are for commercial reasons or for borrowers experiencing some form of short-term financial stress and may result in insignificant payment delays. We do not consider these borrowers to be experiencing financial difficulty. Modifications for borrowers we do consider to be experiencing financial difficulty typically result in payment deferrals and/or reduced payments for a period of four months or longer, term extension of six months or longer or a combination of both. During the three and nine months ended September 30, 2023, there were no finance receivable modifications granted to borrowers experiencing financial difficulty in the Dealer or Caterpillar Purchased Receivables portfolio segments. The amortized cost basis of finance receivables modified for borrowers experiencing financial difficulty in the Customer portfolio segment during the three and nine months ended September 30, 2023, was $13 million and $38 million, respectively. Total modifications with borrowers experiencing financial difficulty represented 0.05 percent and 0.14 percent of our finance receivable portfolio for the same periods, respectively. For the three and nine months ended September 30, 2023, the financial effects of term extensions for borrowers experiencing financial difficulty added a weighted average of 8 and 17 months, respectively, to the terms of modified contracts. For the three and nine months ended September 30, 2023, the financial effects of payment delays for borrowers experiencing financial difficulty resulted in weighted average payment deferral and/or interest only periods of 6 and 7 months, respectively. After we modify a finance receivable, we continue to track its performance under its most recent modified terms. As of September 30, 2023, all finance receivables modified with borrowers experiencing financial difficulty are current except for $3 million in EAME that was 31-60 days past due. The effect of most modifications made to finance receivables for borrowers experiencing financial difficulty is already included in the allowance for credit losses based on the methodologies used to estimate the allowance; therefore, a change to the allowance for credit losses is generally not recorded upon modification. On rare occasions when principal forgiveness is provided, the amount forgiven is written off against the allowance for credit losses. Troubled debt restructurings Prior to the adoption of ASU 2022-02, a modification constituted a TDR when the lender granted a concession it would not otherwise consider to a borrower experiencing financial difficulties. Concessions granted may have included extended contract maturities, inclusion of interest only periods, below market interest rates, payment deferrals and reduction of principal and/or accrued interest. There were no finance receivables modified as TDRs during the three and nine months ended September 30, 2022 for the Dealer or Caterpillar Purchased Receivables portfolio segments. Finance receivables in the Customer portfolio segment modified as TDRs were as follows: (Millions of dollars) Three Months Ended Nine Months Ended Pre-TDR Post-TDR Pre-TDR Post-TDR North America $ 3 $ 3 $ 4 $ 4 EAME — — 1 1 Mining 15 15 15 15 Power 11 11 20 19 Total $ 29 $ 29 $ 40 $ 39 During the three months ended September 30, 2022, there were no TDRs in the Customer portfolio segment with a payment default (defined as 91+ days past due) which had been modified within twelve months prior to the default date. During the nine months ended September 30, 2022, the Post-TDR amortized cost of TDRs in the Customer portfolio segment with a payment default which had been modified within twelve months prior to the default date was $5 million, all of which was in Mining.

Derivative Financial Instrument

Derivative Financial Instruments and Risk Management	9 Months Ended
	Sep. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments and Risk Management	Derivative Financial Instruments and Risk Management Our earnings and cash flows are subject to fluctuations due to changes in foreign currency exchange rates and interest rates. Our Risk Management Policy (policy) allows for the use of derivative financial instruments to prudently manage foreign currency exchange rate and interest rate exposures. Our policy specifies that derivatives are not to be used for speculative purposes. The derivatives that we use are primarily foreign currency forward, option and cross currency contracts and interest rate contracts. Our derivative activities are subject to the management, direction and control of our senior financial officers. We present at least annually to our Board of Directors and the Audit Committee of the Caterpillar Board of Directors on our risk management practices, including our use of financial derivative instruments. All derivatives are recognized on the Consolidated Statements of Financial Position at their fair value. On the date the derivative contract is entered into, the derivative instrument is (1) designated as a hedge of the fair value of a recognized asset or liability (fair value hedge), (2) designated as a hedge of a forecasted transaction or the variability of cash flows (cash flow hedge) or (3) undesignated. We record in current earnings changes in the fair value of a derivative that is qualified, designated and highly effective as a fair value hedge, along with the gain or loss on the hedged recognized asset or liability that is attributable to the hedged risk. We record in Accumulated other comprehensive income (loss) (AOCI) changes in the fair value of a derivative that is qualified, designated and highly effective as a cash flow hedge, to the extent effective, on the Consolidated Statements of Financial Position until we reclassify them to earnings in the same period or periods during which the hedged transaction affects earnings. We report changes in the fair value of undesignated derivative instruments in current earnings. We classify cash flows from designated derivative financial instruments within the same category as the item being hedged on the Consolidated Statements of Cash Flows. We include cash flows from undesignated derivative financial instruments in the investing category on the Consolidated Statements of Cash Flows. We formally document all relationships between hedging instruments and hedged items, as well as the risk-management objective and strategy for undertaking various hedge transactions. This process includes linking all derivatives that are designated as fair value hedges to specific assets and liabilities on the Consolidated Statements of Financial Position and linking cash flow hedges to specific forecasted transactions or variability of cash flow. We also formally assess, both at the hedge’s inception and on an ongoing basis, whether the designated derivatives that are used in hedging transactions are highly effective in offsetting changes in fair value or cash flow of hedged items. When a derivative is determined not to be highly effective as a hedge or the underlying hedged transaction is no longer probable, we discontinue hedge accounting prospectively, in accordance with the derecognition criteria for hedge accounting. Foreign currency exchange rate risk We have balance sheet positions and expected future transactions denominated in foreign currencies, thereby creating exposure to movements in exchange rates. In managing foreign currency risk, our objective is to minimize earnings volatility resulting from conversion and the remeasurement of net foreign currency balance sheet positions and future transactions denominated in foreign currencies. Our policy allows the use of foreign currency forward, option and cross currency contracts to offset the risk of currency mismatch between our assets and liabilities and exchange rate risk associated with future transactions denominated in foreign currencies. Our foreign currency forward and option contracts are primarily undesignated. We designate fixed-to-fixed cross currency contracts as cash flow hedges to protect against movements in exchange rates on foreign currency fixed-rate assets and liabilities. Interest rate risk Interest rate movements create a degree of risk by affecting the amount of our interest payments and the value of our fixed-rate debt. Our practice is to use interest rate contracts to manage our exposure to interest rate changes. We have a match-funding policy that addresses interest rate risk by aligning the interest rate profile (fixed or floating rate and duration) of our debt portfolio with the interest rate profile of our finance receivable portfolio within predetermined ranges on an ongoing basis. In connection with that policy, we use interest rate derivative instruments to modify the debt structure to match assets within the finance receivable portfolio. This matched funding reduces the volatility of margins between interest-bearing assets and interest-bearing liabilities, regardless of which direction interest rates move. Our policy allows us to use fixed-to-floating, floating-to-fixed and floating-to-floating interest rate contracts to meet the match-funding objective. We designate fixed-to-floating interest rate contracts as fair value hedges to protect debt against changes in fair value due to changes in the benchmark interest rate. We designate most floating-to-fixed interest rate contracts as cash flow hedges to protect against the variability of cash flows due to changes in the benchmark interest rate. We have, at certain times, liquidated fixed-to-floating and floating-to-fixed interest rate contracts. We amortize the gains or losses associated with these contracts at the time of liquidation into earnings over the original term of the previously designated hedged item. The location and fair value of derivative instruments reported in the Consolidated Statements of Financial Position were as follows: (Millions of dollars) September 30, 2023 December 31, 2022 Assets 1 Liabilities 2 Assets 1 Liabilities 2 Designated derivatives Foreign exchange contracts $ 282 $ (61) $ 305 $ (44) Interest rate contracts 52 (109) 87 (113) $ 334 $ (170) $ 392 $ (157) Undesignated derivatives Foreign exchange contracts $ 28 $ (35) $ 25 $ (42) $ 28 $ (35) $ 25 $ (42) (1) Assets are classified on the Consolidated Statements of Financial Position as Other assets. (2) Liabilities are classified on the Consolidated Statements of Financial Position as Accrued expenses. The total notional amount of our derivative instruments was $14.44 billion and $13.18 billion as of September 30, 2023 and December 31, 2022, respectively. The notional amounts of derivative financial instruments do not represent amounts exchanged by the parties. We calculate the amounts exchanged by the parties by referencing the notional amounts and by other terms of the derivatives, such as foreign currency exchange rates and interest rates. Gains (Losses) on derivative instruments are categorized as follows: (Millions of dollars) Fair Value / Cash Flow Hedges Gains (Losses) Recognized 1 Gains (Losses) Gains (Losses) Reclassified from AOCI 2 Three Months Ended September 30, 2023 2022 2023 2022 2023 2022 Foreign exchange contracts $ 22 $ 16 $ 76 $ 276 $ 70 $ 303 Interest rate contracts (20) (5) 3 26 15 8 $ 2 $ 11 $ 79 $ 302 $ 85 $ 311 Nine Months Ended September 30, 2023 2022 2023 2022 2023 2022 Foreign exchange contracts $ 21 $ (26) $ 59 $ 570 $ 38 $ 656 Interest rate contracts (53) 4 15 103 43 — $ (32) $ (22) $ 74 $ 673 $ 81 $ 656 (1) Foreign exchange contract gains (losses) are primarily from undesignated forward contracts and are included in Other income (expense). Interest rate contract gains (losses) are from designated fair value hedges and are included in Interest expense. (2) Foreign exchange contract gains (losses) are primarily included in Other income (expense). Interest rate contract gains (losses) are included in Interest expense. The following amounts were recorded in the Consolidated Statements of Financial Position related to cumulative basis adjustments for fair value hedges: (Millions of dollars) Carrying Value of Cumulative Amount of Fair Value September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 Current maturities of long-term debt $ 249 $ — $ (4) $ — Long-term debt 2,720 2,091 (105) (112) Total $ 2,969 $ 2,091 $ (109) $ (112) As of September 30, 2023, $30 million of deferred net gains, net of tax, included in equity (AOCI in the Consolidated Statements of Financial Position), related to our cash flow hedges, are expected to be reclassified to earnings over the next twelve months. The actual amount recorded in earnings will vary based on interest rates and exchange rates at the time the hedged transactions impact earnings. We enter into International Swaps and Derivatives Association master netting agreements that permit the net settlement of amounts owed under their respective derivative contracts. Under these master netting agreements, net settlement generally permits us or the counterparty to determine the net amount payable for contracts due on the same date and in the same currency for similar types of derivative transactions. The master netting agreements may also provide for net settlement of all outstanding contracts with a counterparty in the case of an event of default or a termination event. Collateral is typically not required of the counterparties or us under the master netting agreements. As of September 30, 2023 and December 31, 2022, no cash collateral was received or pledged under the master netting agreements. The effect of net settlement provisions of the master netting agreements on our derivative balances upon an event of default or a termination event was as follows: (Millions of dollars) September 30, 2023 December 31, 2022 Assets Liabilities Assets Liabilities Gross amounts recognized $ 362 $ (205) $ 417 $ (199) Financial instruments not offset (122) 122 (108) 108 Net amount $ 240 $ (83) $ 309 $ (91)

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	9 Months Ended
	Sep. 30, 2023
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss) We present Comprehensive income (loss) and its components in the Consolidated Statements of Comprehensive Income. Changes in Accumulated other comprehensive income (loss) included in the Consolidated Statements of Changes in Shareholder’s Equity consisted of the following: (Millions of dollars) Three Months Ended Nine Months Ended 2023 2022 2023 2022 Foreign currency translation Balance at beginning of period $ (1,059) $ (1,002) $ (1,068) $ (762) Gains (losses) on foreign currency translation (89) (258) (89) (456) Less: Tax provision/(benefit) 13 30 4 72 Net gains (losses) on foreign currency translation (102) (288) (93) (528) Other comprehensive income (loss), net of tax (102) (288) (93) (528) Balance at end of period $ (1,161) $ (1,290) $ (1,161) $ (1,290) Derivative financial instruments Balance at beginning of period $ 21 $ 11 $ 21 $ (12) Gains (losses) deferred 79 302 74 673 Less: Tax provision/(benefit) 20 95 18 158 Net gains (losses) deferred 59 207 56 515 (Gains) losses reclassified to earnings (85) (311) (81) (656) Less: Tax (provision)/benefit (22) (99) (21) (159) Net (gains) losses reclassified to earnings (63) (212) (60) (497) Other comprehensive income (loss), net of tax (4) (5) (4) 18 Balance at end of period $ 17 $ 6 $ 17 $ 6 Total Accumulated other comprehensive income (loss) at end of period $ (1,144) $ (1,284) $ (1,144) $ (1,284)

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2023
Segment Reporting [Abstract]
Segment Information	Segment Information A. Basis for Segment Information The Chief Operating Decision Maker (the CEO) allocates resources and manages performance for our six operating segments described as follows. Our operating segments provide financing alternatives to customers and dealers around the world for Caterpillar products and services and power generation facilities that, in most cases, incorporate Caterpillar products. Financing plans include operating and finance leases, retail loans, working capital loans to Caterpillar dealers and wholesale financing plans within each of the operating segments. Certain operating segments also purchase short-term trade receivables from Caterpillar. B. Description of Segments We have six operating segments that offer financing services. Following is a brief description of our segments: • North America - Includes our operations in the United States and Canada. • EAME - Includes our operations in Europe, Africa, the Middle East and Eurasia. • Asia/Pacific - Includes our operations in Australia, New Zealand, China, Japan, Southeast Asia and India. • Latin America - Includes our operations in Mexico and Central and South American countries. • Mining - Provides financing for large mining customers worldwide. • Power - Provides financing worldwide for Caterpillar electrical power generation, gas compression and co-generation systems and non-Caterpillar equipment that is powered by these systems. C. Segment Measurement and Reconciliations Cash, debt and other expenses are allocated to our segments based on their respective portfolios. The related Interest expense is calculated based on the amount of allocated debt and the rates associated with that debt. The performance of each segment is assessed based on a consistent leverage ratio. The Provision for credit losses is based on each segment’s respective finance receivable portfolio. Capital expenditures include expenditures for equipment on operating leases and other miscellaneous capital expenditures. Reconciling items are created based on accounting differences between segment reporting and consolidated external reporting. For the reconciliation of Profit before income taxes, we have grouped the reconciling items as follows: • Unallocated - This item is related to corporate requirements and strategies that are considered to be for the benefit of the entire organization. Also included are the consolidated results of the special-purpose corporation (SPC) (see Note 7 for additional information) and other miscellaneous items. • Timing - Timing differences in the recognition of costs between segment reporting and consolidated external reporting. • Methodology - Methodology differences between segment reporting and consolidated external reporting are as follows: ◦ Segment assets include off-balance sheet managed assets for which we maintain servicing responsibilities. ◦ The impact of differences between the actual leverage and the segment leverage ratios. ◦ Interest expense includes realized forward points on foreign currency forward contracts. ◦ The net gain or loss from interest rate derivatives is excluded from segment reporting. Supplemental segment data and reconciliations to consolidated external reporting for the three months ended September 30 was as follows: (Millions of dollars) 2023 External Profit Interest Depreciation Provision Assets at Capital North America $ 459 $ 144 $ 128 $ 130 $ 10 $ 15,928 $ 274 EAME 102 35 26 14 1 4,867 14 Asia/Pacific 70 19 32 2 1 3,265 — Latin America 95 15 48 3 13 2,579 3 Mining 86 17 23 32 5 2,880 49 Power 15 (1) 7 1 4 644 — Total Segments 827 229 264 182 34 30,163 340 Unallocated 23 (137) 108 — 1 2,255 1 Timing (4) 1 — — — 19 — Methodology — 77 (92) — — 235 — Inter-segment Eliminations (1) — — — — — (208) — Total $ 846 $ 170 $ 280 $ 182 $ 35 $ 32,464 $ 341 2022 External Profit Interest Depreciation Provision Assets at Capital North America $ 383 $ 150 $ 69 $ 126 $ (5) $ 15,229 $ 205 EAME 72 — 27 13 7 5,067 45 Asia/Pacific 70 33 19 1 1 3,921 3 Latin America 75 31 37 3 (8) 2,636 3 Mining 72 21 11 35 (4) 2,700 36 Power 11 12 5 1 (7) 704 — Total Segments 683 247 168 179 (16) 30,257 292 Unallocated 10 (80) 53 — — 1,628 2 Timing (3) — — — — 18 — Methodology — 21 (70) — — 278 — Inter-segment Eliminations (1) — — — — — (224) — Total $ 690 $ 188 $ 151 $ 179 $ (16) $ 31,957 $ 294 (1) Elimination is primarily related to intercompany loans Supplemental segment data and reconciliations to consolidated external reporting for the nine months ended September 30 was as follows: (Millions of dollars) 2023 External Profit Interest Depreciation Provision Assets at Capital North America $ 1,313 $ 447 $ 331 $ 380 $ 17 $ 15,928 $ 789 EAME 274 79 72 43 3 4,867 50 Asia/Pacific 213 86 78 4 (3) 3,265 2 Latin America 264 81 132 9 (2) 2,579 13 Mining 253 76 56 94 (2) 2,880 168 Power 43 3 19 2 9 644 — Total Segments 2,360 772 688 532 22 30,163 1,022 Unallocated 58 (378) 279 — 1 2,255 7 Timing (11) 1 — — — 19 — Methodology — 184 (225) — — 235 — Inter-segment Eliminations (1) — — — — — (208) — Total $ 2,407 $ 579 $ 742 $ 532 $ 23 $ 32,464 $ 1,029 2022 External Profit Interest Depreciation Provision Assets at Capital North America $ 1,112 $ 411 $ 181 $ 381 $ 11 $ 15,229 $ 652 EAME 207 5 45 41 49 5,067 101 Asia/Pacific 216 104 55 4 5 3,921 6 Latin America 204 65 98 7 (3) 2,636 21 Mining 218 66 29 109 (14) 2,700 83 Power 41 35 10 2 (14) 704 — Total Segments 1,998 686 418 544 34 30,257 863 Unallocated 21 (222) 138 — — 1,628 6 Timing (9) 3 — — — 18 — Methodology — 113 (179) — — 278 — Inter-segment Eliminations (1) — — — — — (224) — Total $ 2,010 $ 580 $ 377 $ 544 $ 34 $ 31,957 $ 869 (1) Elimination is primarily related to intercompany loans

Commitments and Contingent Liab

Commitments and Contingent Liabilities	9 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingent Liabilities	Commitments and Contingent Liabilities Guarantees We provide credit guarantees and residual value guarantees to third parties for financing and leasing associated with Caterpillar machinery. In addition, we provide standby letters of credit issued to third parties on behalf of our customers. These guarantees and standby letters of credit have varying terms and beneficiaries and are generally secured by customer assets. No significant loss has been experienced or is anticipated under any of these guarantees. At September 30, 2023 and December 31, 2022, the related recorded liability was less than $1 million. The maximum potential amount of future payments (undiscounted and without reduction for any amounts that may possibly be recovered under recourse or collateralized provisions) we could be required to make under the guarantees was $19 million and $26 million at September 30, 2023 and December 31, 2022, respectively. We provide guarantees to purchase certain loans of Caterpillar dealers from a SPC that qualifies as a VIE. The purpose of the SPC is to provide short-term working capital loans to Caterpillar dealers. This SPC issues commercial paper and uses the proceeds to fund its loan program. We receive a fee for providing this guarantee. We are the primary beneficiary of the SPC as our guarantees result in us having both the power to direct the activities that most significantly impact the SPC’s economic performance and the obligation to absorb losses and therefore we have consolidated the financial statements of the SPC. As of September 30, 2023 and December 31, 2022, the SPC’s assets of $1.54 billion and $971 million, respectively, were primarily comprised of loans to dealers, which are included in Finance receivables, net in the Consolidated Statements of Financial Position, and the SPC’s liabilities of $1.54 billion and $970 million, respectively, were primarily comprised of commercial paper, which is included in Short-term borrowings in the Consolidated Statements of Financial Position. The assets of the SPC are not available to pay our creditors. We may be obligated to perform under the guarantee if the SPC experiences losses. No loss has been experienced or is anticipated under this loan purchase agreement. Litigation and claims We are involved in unresolved legal actions that arise in the normal course of business. Although it is not possible to predict with certainty the outcome of our unresolved legal actions, we believe that these unresolved legal actions will neither individually nor in the aggregate have a material adverse effect on our consolidated results of operations, financial position or liquidity.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value MeasurementsFair Value Measurements The guidance on fair value measurements defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. This guidance also specifies a fair value hierarchy based upon the observability of inputs used in valuation techniques. Observable inputs (highest level) reflect market data obtained from independent sources, while unobservable inputs (lowest level) reflect internally developed market assumptions. In accordance with this guidance, fair value measurements are classified under the following hierarchy: • Level 1 – Quoted prices for identical instruments in active markets. • Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs or significant value-drivers are observable in active markets. • Level 3 – Model-derived valuations in which one or more significant inputs or significant value-drivers are unobservable. When available, we use quoted market prices to determine fair value and we classify such measurements within Level 1. In some cases where market prices are not available, we make use of observable market-based inputs to calculate fair value, in which case the measurements are classified within Level 2. If quoted or observable market prices are not available, fair value is based upon valuations in which one or more significant inputs are unobservable, including internally developed models that use, where possible, current market-based parameters such as interest rates, yield curves and currency rates. These measurements are classified within Level 3. We classify fair value measurements according to the lowest level input or value-driver that is significant to the valuation. We may therefore classify a measurement within Level 3 even though there may be significant inputs that are readily observable. Fair value measurement includes the consideration of nonperformance risk. Nonperformance risk refers to the risk that an obligation (either by a counterparty or us) will not be fulfilled. For financial assets traded in an active market, the nonperformance risk is included in the market price. For certain other financial assets and liabilities, our fair value calculations have been adjusted accordingly. Derivative financial instruments The fair value of interest rate contracts is primarily based on a standard industry accepted valuation model that utilizes the appropriate market-based forward swap curves and zero-coupon interest rates to determine discounted cash flows. The fair value of foreign currency forward and cross currency contracts is based on standard industry accepted valuation models that discount cash flows resulting from the differential between the contract price and the market-based forward rate. Derivative financial instruments are measured on a recurring basis at fair value and are classified as Level 2 measurements. We had derivative financial instruments included in our Consolidated Statements of Financial Position in a net asset position of $157 million and $218 million as of September 30, 2023 and December 31, 2022, respectively. See Note 4 for additional information. Loans measured at fair value Certain loans are subject to measurement at fair value on a nonrecurring basis and are classified as Level 3 measurements. A loan is measured at fair value when management determines that collection of contractual amounts due is not probable and the loan is individually evaluated. In these cases, an allowance for credit losses may be established based either on the present value of expected future cash flows discounted at the receivables’ effective interest rate, the fair value of the collateral for collateral-dependent receivables or the observable market price of the receivable. In determining collateral value, we estimate the current fair market value of the collateral less selling costs. We had loans carried at fair value of $57 million and $68 million as of September 30, 2023 and December 31, 2022, respectively. Cash and cash equivalents, restricted cash and cash equivalents (included in Other Assets in the Consolidated Statements of Financial Position) and Short-term borrowings are classified as Level 1 measurements and carrying amount approximates fair value. We use the following methods and assumptions to estimate the fair value of our financial instruments not carried at fair value: • Finance receivables, net – We estimate fair value by discounting the future cash flows using current rates representative of receivables with similar remaining maturities. • Long-term debt – We estimate fair value for fixed and floating-rate debt based on quoted market prices. Financial instruments not carried at fair value were as follows: (Millions of dollars) September 30, 2023 December 31, 2022 Carrying Fair Carrying Fair Fair Reference Assets Finance receivables, net (excluding finance leases (1) ) $ 20,345 $ 19,773 $ 19,085 $ 18,448 3 Note 3 Liabilities Long-term debt $ 23,408 $ 22,806 $ 21,418 $ 20,686 2 (1) Represents finance leases and failed sale leasebacks of $6.86 billion and $7.36 billion as of September 30, 2023 and December 31, 2022, respectively.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes

Finance Receivables (Tables)

Finance Receivables (Tables)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Receivables [Abstract]
Summary of finance receivables included in the Consolidated Statements of Financial Position	A summary of finance receivables included in the Consolidated Statements of Financial Position was as follows: (Millions of dollars) September 30, December 31, Retail loans, net (1) $ 15,907 $ 14,973 Retail leases, net 6,432 6,965 Caterpillar purchased receivables, net 4,381 4,297 Wholesale loans, net (1) 817 545 Wholesale leases, net 5 7 Total finance receivables 27,542 26,787 Less: Allowance for credit losses (340) (346) Total finance receivables, net $ 27,202 $ 26,441 (1) Includes failed sale leasebacks.
Allowance for credit losses and total finance receivables	An analysis of the allowance for credit losses was as follows: (Millions of dollars) Three Months Ended September 30, 2023 Three Months Ended September 30, 2022 Customer Dealer Caterpillar Total Customer Dealer Caterpillar Total Beginning Balance $ 265 $ 50 $ 5 $ 320 $ 290 $ 82 $ 4 $ 376 Write-offs (22) — — (22) (30) — — (30) Recoveries 13 — — 13 17 — — 17 Provision for credit losses (1) 31 1 — 32 (2) (17) — (19) Other (3) — — (3) (5) — — (5) Ending Balance $ 284 $ 51 $ 5 $ 340 $ 270 $ 65 $ 4 $ 339 Nine Months Ended September 30, 2023 Nine Months Ended September 30, 2022 Customer Dealer Caterpillar Total Customer Dealer Caterpillar Total Beginning Balance $ 277 $ 65 $ 4 $ 346 $ 251 $ 82 $ 4 $ 337 Write-offs (63) — — (63) (68) — — (68) Recoveries 36 — — 36 47 — — 47 Provision for credit losses (1) 35 (14) 1 22 46 (17) — 29 Other (1) — — (1) (6) — — (6) Ending Balance $ 284 $ 51 $ 5 $ 340 $ 270 $ 65 $ 4 $ 339 Finance Receivables $ 20,279 $ 2,882 $ 4,381 $ 27,542 $ 19,927 $ 2,222 $ 3,962 $ 26,111 (1) Excludes provision for credit losses on unfunded commitments and other miscellaneous receivables.
Write-offs by origination year	Gross write-offs by origination year for the Customer portfolio segment were as follows: (Millions of Dollars) Three Months Ended September 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Finance Receivables Total North America $ 1 $ 2 $ 2 $ 1 $ 1 $ — $ 2 $ 9 EAME — 1 1 1 — — — 3 Asia/Pacific — 2 3 1 — — — 6 Latin America — 1 1 1 — 1 — 4 Total $ 1 $ 6 $ 7 $ 4 $ 1 $ 1 $ 2 $ 22 Nine Months Ended September 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Finance Receivables Total North America $ 1 $ 7 $ 7 $ 2 $ 2 $ 1 $ 9 $ 29 EAME — 2 3 3 — 1 — 9 Asia/Pacific — 3 6 4 1 — — 14 Latin America — 3 3 3 1 1 — 11 Total $ 1 $ 15 $ 19 $ 12 $ 4 $ 3 $ 9 $ 63
Amortized cost of finance receivables in the Customer portfolio segment by origination year	The tables below summarize the aging category of our amortized cost of finance receivables in the Customer portfolio segment by origination year. (Millions of dollars) September 30, 2023 2023 2022 2021 2020 2019 Prior Revolving Total North America Current $ 3,134 $ 2,940 $ 2,310 $ 919 $ 310 $ 65 $ 304 $ 9,982 31-60 days past due 18 31 23 15 6 2 3 98 61-90 days past due 6 10 7 4 1 — 2 30 91+ days past due 5 19 18 10 5 3 2 62 EAME Current 914 962 649 297 144 124 — 3,090 31-60 days past due 11 8 11 3 1 — — 34 61-90 days past due 3 6 3 3 2 — — 17 91+ days past due 4 16 18 9 3 1 — 51 Asia/Pacific Current 832 760 440 150 47 12 42 2,283 31-60 days past due 3 13 10 4 1 — — 31 61-90 days past due 1 3 3 4 1 — — 12 91+ days past due — 4 5 3 — — — 12 Mining Current 836 740 436 148 111 50 49 2,370 31-60 days past due — — — — — — — — 61-90 days past due — — 1 — — 2 — 3 91+ days past due — 2 2 — — 1 — 5 Latin America Current 552 571 255 74 29 8 — 1,489 31-60 days past due 6 13 7 4 3 1 — 34 61-90 days past due 1 5 2 1 — — — 9 91+ days past due 1 15 9 8 8 20 — 61 Power Current 46 71 70 86 45 122 162 602 31-60 days past due — — — — — 1 — 1 61-90 days past due — — — — — — — — 91+ days past due — — — — — 3 — 3 Totals by Aging Category Current 6,314 6,044 4,160 1,674 686 381 557 19,816 31-60 days past due 38 65 51 26 11 4 3 198 61-90 days past due 11 24 16 12 4 2 2 71 91+ days past due 10 56 52 30 16 28 2 194 Total $ 6,373 $ 6,189 $ 4,279 $ 1,742 $ 717 $ 415 $ 564 $ 20,279 (Millions of dollars) December 31, 2022 2022 2021 2020 2019 2018 Prior Revolving Total North America Current $ 3,915 $ 3,276 $ 1,525 $ 653 $ 206 $ 34 $ 240 $ 9,849 31-60 days past due 25 26 18 12 4 1 4 90 61-90 days past due 9 15 7 3 1 — 3 38 91+ days past due 11 16 12 6 4 3 4 56 EAME Current 1,270 953 477 280 155 68 — 3,203 31-60 days past due 10 12 7 1 1 — — 31 61-90 days past due 8 4 3 1 — — — 16 91+ days past due 6 25 16 4 1 1 — 53 Asia/Pacific Current 1,174 805 393 124 37 5 40 2,578 31-60 days past due 10 12 8 1 1 — — 32 61-90 days past due 2 5 4 2 — — — 13 91+ days past due 2 6 6 4 — — — 18 Mining Current 875 627 227 193 94 108 80 2,204 31-60 days past due — 1 — — — — — 1 61-90 days past due — — — — — — — — 91+ days past due — — — — — 1 — 1 Latin America Current 770 400 150 69 26 20 — 1,435 31-60 days past due 7 8 4 2 — 1 — 22 61-90 days past due 2 5 1 1 — — — 9 91+ days past due 2 13 11 2 1 — — 29 Power Current 82 87 146 51 18 161 125 670 31-60 days past due — — — — — — — — 61-90 days past due — — — — — — — — 91+ days past due — — — — — 5 — 5 Totals by Aging Category Current 8,086 6,148 2,918 1,370 536 396 485 19,939 31-60 days past due 52 59 37 16 6 2 4 176 61-90 days past due 21 29 15 7 1 — 3 76 91+ days past due 21 60 45 16 6 10 4 162 Total $ 8,180 $ 6,296 $ 3,015 $ 1,409 $ 549 $ 408 $ 496 $ 20,353
Aging related to finance receivables	The tables below summarize the aging category of our amortized cost of finance receivables in the Caterpillar Purchased Receivables portfolio segment. (Millions of dollars) September 30, 2023 31-60 61-90 91+ Total Current Total Finance North America $ 15 $ 5 $ 2 $ 22 $ 2,629 $ 2,651 EAME 1 1 1 3 758 761 Asia/Pacific 8 — 1 9 565 574 Latin America 4 4 23 31 353 384 Power 2 1 1 4 7 11 Total $ 30 $ 11 $ 28 $ 69 $ 4,312 $ 4,381 (Millions of dollars) December 31, 2022 31-60 61-90 91+ Total Current Total Finance North America $ 11 $ 7 $ 4 $ 22 $ 2,458 $ 2,480 EAME 1 — 2 3 812 815 Asia/Pacific 6 2 2 10 555 565 Latin America 9 2 14 25 406 431 Power 1 — — 1 5 6 Total $ 28 $ 11 $ 22 $ 61 $ 4,236 $ 4,297
Finance receivables on non-accrual status	In our Customer portfolio segment, finance receivables which were on non-accrual status and finance receivables over 90 days past due and still accruing income were as follows: (Millions of dollars) September 30, 2023 December 31, 2022 Amortized Cost Amortized Cost Non-accrual Non-accrual 91+ Still Non-accrual Non-accrual 91+ Still North America $ 54 $ — $ 12 $ 52 $ 4 $ 11 EAME 44 — 9 43 — 10 Asia/Pacific 8 — 5 11 — 7 Mining 4 — 1 — 1 — Latin America 69 — — 45 — — Power 9 — — 5 11 — Total $ 188 $ — $ 27 $ 156 $ 16 $ 28
Finance receivables modified as TDRs		Finance receivables in the Customer portfolio segment modified as TDRs were as follows: (Millions of dollars) Three Months Ended Nine Months Ended Pre-TDR Post-TDR Pre-TDR Post-TDR North America $ 3 $ 3 $ 4 $ 4 EAME — — 1 1 Mining 15 15 15 15 Power 11 11 20 19 Total $ 29 $ 29 $ 40 $ 39 During the three months ended September 30, 2022, there were no TDRs in the Customer portfolio segment with a payment default (defined as 91+ days past due) which had been modified within twelve months prior to the default date. During the nine months ended September 30, 2022, the Post-TDR amortized cost of TDRs in the Customer portfolio segment with a payment default which had been modified within twelve months prior to the default date was $5 million, all of which was in Mining.

Derivative Financial Instrume_2

Derivative Financial Instruments and Risk Management (Tables)	9 Months Ended
	Sep. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Location and fair value of derivative instruments reported in the Consolidated Statements of Financial Position	The location and fair value of derivative instruments reported in the Consolidated Statements of Financial Position were as follows: (Millions of dollars) September 30, 2023 December 31, 2022 Assets 1 Liabilities 2 Assets 1 Liabilities 2 Designated derivatives Foreign exchange contracts $ 282 $ (61) $ 305 $ (44) Interest rate contracts 52 (109) 87 (113) $ 334 $ (170) $ 392 $ (157) Undesignated derivatives Foreign exchange contracts $ 28 $ (35) $ 25 $ (42) $ 28 $ (35) $ 25 $ (42) (1) Assets are classified on the Consolidated Statements of Financial Position as Other assets. (2) Liabilities are classified on the Consolidated Statements of Financial Position as Accrued expenses.
Schedule of Gains (Losses) on derivatives instruments	Gains (Losses) on derivative instruments are categorized as follows: (Millions of dollars) Fair Value / Cash Flow Hedges Gains (Losses) Recognized 1 Gains (Losses) Gains (Losses) Reclassified from AOCI 2 Three Months Ended September 30, 2023 2022 2023 2022 2023 2022 Foreign exchange contracts $ 22 $ 16 $ 76 $ 276 $ 70 $ 303 Interest rate contracts (20) (5) 3 26 15 8 $ 2 $ 11 $ 79 $ 302 $ 85 $ 311 Nine Months Ended September 30, 2023 2022 2023 2022 2023 2022 Foreign exchange contracts $ 21 $ (26) $ 59 $ 570 $ 38 $ 656 Interest rate contracts (53) 4 15 103 43 — $ (32) $ (22) $ 74 $ 673 $ 81 $ 656 (1) Foreign exchange contract gains (losses) are primarily from undesignated forward contracts and are included in Other income (expense). Interest rate contract gains (losses) are from designated fair value hedges and are included in Interest expense. (2) Foreign exchange contract gains (losses) are primarily included in Other income (expense). Interest rate contract gains (losses) are included in Interest expense.
Schedule of amounts recorded in the Consolidated Statements of Financial Position related to cumulative basis adjustments for fair value hedges	The following amounts were recorded in the Consolidated Statements of Financial Position related to cumulative basis adjustments for fair value hedges: (Millions of dollars) Carrying Value of Cumulative Amount of Fair Value September 30, 2023 December 31, 2022 September 30, 2023 December 31, 2022 Current maturities of long-term debt $ 249 $ — $ (4) $ — Long-term debt 2,720 2,091 (105) (112) Total $ 2,969 $ 2,091 $ (109) $ (112)
Schedule of effect of net settlement provisions of the master netting agreements on our derivative balances	The effect of net settlement provisions of the master netting agreements on our derivative balances upon an event of default or a termination event was as follows: (Millions of dollars) September 30, 2023 December 31, 2022 Assets Liabilities Assets Liabilities Gross amounts recognized $ 362 $ (205) $ 417 $ (199) Financial instruments not offset (122) 122 (108) 108 Net amount $ 240 $ (83) $ 309 $ (91)

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	9 Months Ended
	Sep. 30, 2023
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Schedule of Accumulated other comprehensive income (loss)	Changes in Accumulated other comprehensive income (loss) included in the Consolidated Statements of Changes in Shareholder’s Equity consisted of the following: (Millions of dollars) Three Months Ended Nine Months Ended 2023 2022 2023 2022 Foreign currency translation Balance at beginning of period $ (1,059) $ (1,002) $ (1,068) $ (762) Gains (losses) on foreign currency translation (89) (258) (89) (456) Less: Tax provision/(benefit) 13 30 4 72 Net gains (losses) on foreign currency translation (102) (288) (93) (528) Other comprehensive income (loss), net of tax (102) (288) (93) (528) Balance at end of period $ (1,161) $ (1,290) $ (1,161) $ (1,290) Derivative financial instruments Balance at beginning of period $ 21 $ 11 $ 21 $ (12) Gains (losses) deferred 79 302 74 673 Less: Tax provision/(benefit) 20 95 18 158 Net gains (losses) deferred 59 207 56 515 (Gains) losses reclassified to earnings (85) (311) (81) (656) Less: Tax (provision)/benefit (22) (99) (21) (159) Net (gains) losses reclassified to earnings (63) (212) (60) (497) Other comprehensive income (loss), net of tax (4) (5) (4) 18 Balance at end of period $ 17 $ 6 $ 17 $ 6 Total Accumulated other comprehensive income (loss) at end of period $ (1,144) $ (1,284) $ (1,144) $ (1,284)

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2023
Segment Reporting [Abstract]
Segment Information	Supplemental segment data and reconciliations to consolidated external reporting for the three months ended September 30 was as follows: (Millions of dollars) 2023 External Profit Interest Depreciation Provision Assets at Capital North America $ 459 $ 144 $ 128 $ 130 $ 10 $ 15,928 $ 274 EAME 102 35 26 14 1 4,867 14 Asia/Pacific 70 19 32 2 1 3,265 — Latin America 95 15 48 3 13 2,579 3 Mining 86 17 23 32 5 2,880 49 Power 15 (1) 7 1 4 644 — Total Segments 827 229 264 182 34 30,163 340 Unallocated 23 (137) 108 — 1 2,255 1 Timing (4) 1 — — — 19 — Methodology — 77 (92) — — 235 — Inter-segment Eliminations (1) — — — — — (208) — Total $ 846 $ 170 $ 280 $ 182 $ 35 $ 32,464 $ 341 2022 External Profit Interest Depreciation Provision Assets at Capital North America $ 383 $ 150 $ 69 $ 126 $ (5) $ 15,229 $ 205 EAME 72 — 27 13 7 5,067 45 Asia/Pacific 70 33 19 1 1 3,921 3 Latin America 75 31 37 3 (8) 2,636 3 Mining 72 21 11 35 (4) 2,700 36 Power 11 12 5 1 (7) 704 — Total Segments 683 247 168 179 (16) 30,257 292 Unallocated 10 (80) 53 — — 1,628 2 Timing (3) — — — — 18 — Methodology — 21 (70) — — 278 — Inter-segment Eliminations (1) — — — — — (224) — Total $ 690 $ 188 $ 151 $ 179 $ (16) $ 31,957 $ 294 (1) Elimination is primarily related to intercompany loans Supplemental segment data and reconciliations to consolidated external reporting for the nine months ended September 30 was as follows: (Millions of dollars) 2023 External Profit Interest Depreciation Provision Assets at Capital North America $ 1,313 $ 447 $ 331 $ 380 $ 17 $ 15,928 $ 789 EAME 274 79 72 43 3 4,867 50 Asia/Pacific 213 86 78 4 (3) 3,265 2 Latin America 264 81 132 9 (2) 2,579 13 Mining 253 76 56 94 (2) 2,880 168 Power 43 3 19 2 9 644 — Total Segments 2,360 772 688 532 22 30,163 1,022 Unallocated 58 (378) 279 — 1 2,255 7 Timing (11) 1 — — — 19 — Methodology — 184 (225) — — 235 — Inter-segment Eliminations (1) — — — — — (208) — Total $ 2,407 $ 579 $ 742 $ 532 $ 23 $ 32,464 $ 1,029 2022 External Profit Interest Depreciation Provision Assets at Capital North America $ 1,112 $ 411 $ 181 $ 381 $ 11 $ 15,229 $ 652 EAME 207 5 45 41 49 5,067 101 Asia/Pacific 216 104 55 4 5 3,921 6 Latin America 204 65 98 7 (3) 2,636 21 Mining 218 66 29 109 (14) 2,700 83 Power 41 35 10 2 (14) 704 — Total Segments 1,998 686 418 544 34 30,257 863 Unallocated 21 (222) 138 — — 1,628 6 Timing (9) 3 — — — 18 — Methodology — 113 (179) — — 278 — Inter-segment Eliminations (1) — — — — — (224) — Total $ 2,010 $ 580 $ 377 $ 544 $ 34 $ 31,957 $ 869 (1) Elimination is primarily related to intercompany loans

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2023
Fair Value Disclosures [Abstract]
Fair values of financial instruments	Financial instruments not carried at fair value were as follows: (Millions of dollars) September 30, 2023 December 31, 2022 Carrying Fair Carrying Fair Fair Reference Assets Finance receivables, net (excluding finance leases (1) ) $ 20,345 $ 19,773 $ 19,085 $ 18,448 3 Note 3 Liabilities Long-term debt $ 23,408 $ 22,806 $ 21,418 $ 20,686 2 (1) Represents finance leases and failed sale leasebacks of $6.86 billion and $7.36 billion as of September 30, 2023 and December 31, 2022, respectively.

Basis of Presentation (Details)

Basis of Presentation (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended	12 Months Ended
	Mar. 31, 2023	Jun. 30, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Prior Period Reclassification Adjustment	$ 52	$ 52	$ 52	$ 52	$ 25

Finance Receivables (Details)

Finance Receivables (Details) - USD ($) $ in Millions	Sep. 30, 2023	Jun. 30, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable
Total Finance Receivables	$ 27,542		$ 26,787	$ 26,111
Less: Allowance for credit losses	(340)	$ (320)	(346)	$ (339)	$ (376)	$ (337)
Financing Receivable, after Allowance for Credit Loss, Total	27,202		26,441
Retail loans
Accounts, Notes, Loans and Financing Receivable
Total Finance Receivables	15,907		14,973
Retail leases
Accounts, Notes, Loans and Financing Receivable
Total Finance Receivables	6,432		6,965
Caterpillar Purchased Receivables
Accounts, Notes, Loans and Financing Receivable
Total Finance Receivables	4,381		4,297
Wholesale loans
Accounts, Notes, Loans and Financing Receivable
Total Finance Receivables	817		545
Wholesale leases
Accounts, Notes, Loans and Financing Receivable
Total Finance Receivables	$ 5		$ 7

Finance Receivables (Details 2)

Finance Receivables (Details 2) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Receivables [Abstract]
Finance lease revenue (included in retail and wholesale finance revenue)	$ 106	$ 105	$ 314	$ 326

Finance Receivables (Details 3)

Finance Receivables (Details 3) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Financing Receivable, Allowance for Credit Losses
Beginning Balance	$ 320	$ 376	$ 346	$ 337
Write-offs	(22)	(30)	(63)	(68)
Recoveries	13	17	36	47
Financing Receivable, Credit Loss, Expense (Reversal)	32	(19)	22	29
Financing Receivable, Allowance for Credit Losses, Other	(3)	(5)	(1)	(6)
Ending Balance	340	339	340	339
Customer
Financing Receivable, Allowance for Credit Losses
Beginning Balance	265	290	277	251
Write-offs	(22)	(30)	(63)	(68)
Recoveries	13	17	36	47
Financing Receivable, Credit Loss, Expense (Reversal)	31	(2)	35	46
Financing Receivable, Allowance for Credit Losses, Other	(3)	(5)	(1)	(6)
Ending Balance	284	270	284	270
Dealer
Financing Receivable, Allowance for Credit Losses
Beginning Balance	50	82	65	82
Write-offs	0	0	0	0
Recoveries	0	0	0	0
Financing Receivable, Credit Loss, Expense (Reversal)	1	(17)	(14)	(17)
Financing Receivable, Allowance for Credit Losses, Other	0	0	0	0
Ending Balance	51	65	51	65
Caterpillar Purchased Receivables
Financing Receivable, Allowance for Credit Losses
Beginning Balance	5	4	4	4
Write-offs	0	0	0	0
Recoveries	0	0	0	0
Financing Receivable, Credit Loss, Expense (Reversal)	0	0	1	0
Financing Receivable, Allowance for Credit Losses, Other	0	0	0	0
Ending Balance	$ 5	$ 4	$ 5	$ 4

Finance Receivables (Details 4)

Finance Receivables (Details 4) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
Financing Receivable, Credit Quality Indicator
Total Finance Receivables	$ 27,542	$ 26,787	$ 26,111
Customer
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	6,373	8,180
2022 and 2021, respectively	6,189	6,296
2021 and 2020, respectively	4,279	3,015
2020 and 2019, respectively	1,742	1,409
2019 and 2018, respectively	717	549
Prior	415	408
Revolving Finance Receivables	564	496
Total Finance Receivables	20,279	20,353	19,927
Customer | Current
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	6,314	8,086
2022 and 2021, respectively	6,044	6,148
2021 and 2020, respectively	4,160	2,918
2020 and 2019, respectively	1,674	1,370
2019 and 2018, respectively	686	536
Prior	381	396
Revolving Finance Receivables	557	485
Total Finance Receivables	19,816	19,939
Customer | 31-60 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	38	52
2022 and 2021, respectively	65	59
2021 and 2020, respectively	51	37
2020 and 2019, respectively	26	16
2019 and 2018, respectively	11	6
Prior	4	2
Revolving Finance Receivables	3	4
Total Finance Receivables	198	176
Customer | 61-90 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	11	21
2022 and 2021, respectively	24	29
2021 and 2020, respectively	16	15
2020 and 2019, respectively	12	7
2019 and 2018, respectively	4	1
Prior	2	0
Revolving Finance Receivables	2	3
Total Finance Receivables	71	76
Customer | 91+ days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	10	21
2022 and 2021, respectively	56	60
2021 and 2020, respectively	52	45
2020 and 2019, respectively	30	16
2019 and 2018, respectively	16	6
Prior	28	10
Revolving Finance Receivables	2	4
Total Finance Receivables	194	162
Customer | North America | Current
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	3,134	3,915
2022 and 2021, respectively	2,940	3,276
2021 and 2020, respectively	2,310	1,525
2020 and 2019, respectively	919	653
2019 and 2018, respectively	310	206
Prior	65	34
Revolving Finance Receivables	304	240
Total Finance Receivables	9,982	9,849
Customer | North America | 31-60 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	18	25
2022 and 2021, respectively	31	26
2021 and 2020, respectively	23	18
2020 and 2019, respectively	15	12
2019 and 2018, respectively	6	4
Prior	2	1
Revolving Finance Receivables	3	4
Total Finance Receivables	98	90
Customer | North America | 61-90 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	6	9
2022 and 2021, respectively	10	15
2021 and 2020, respectively	7	7
2020 and 2019, respectively	4	3
2019 and 2018, respectively	1	1
Prior	0	0
Revolving Finance Receivables	2	3
Total Finance Receivables	30	38
Customer | North America | 91+ days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	5	11
2022 and 2021, respectively	19	16
2021 and 2020, respectively	18	12
2020 and 2019, respectively	10	6
2019 and 2018, respectively	5	4
Prior	3	3
Revolving Finance Receivables	2	4
Total Finance Receivables	62	56
Customer | EAME | Current
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	914	1,270
2022 and 2021, respectively	962	953
2021 and 2020, respectively	649	477
2020 and 2019, respectively	297	280
2019 and 2018, respectively	144	155
Prior	124	68
Revolving Finance Receivables	0	0
Total Finance Receivables	3,090	3,203
Customer | EAME | 31-60 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	11	10
2022 and 2021, respectively	8	12
2021 and 2020, respectively	11	7
2020 and 2019, respectively	3	1
2019 and 2018, respectively	1	1
Prior	0	0
Revolving Finance Receivables	0	0
Total Finance Receivables	34	31
Customer | EAME | 61-90 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	3	8
2022 and 2021, respectively	6	4
2021 and 2020, respectively	3	3
2020 and 2019, respectively	3	1
2019 and 2018, respectively	2	0
Prior	0	0
Revolving Finance Receivables	0	0
Total Finance Receivables	17	16
Customer | EAME | 91+ days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	4	6
2022 and 2021, respectively	16	25
2021 and 2020, respectively	18	16
2020 and 2019, respectively	9	4
2019 and 2018, respectively	3	1
Prior	1	1
Revolving Finance Receivables	0	0
Total Finance Receivables	51	53
Customer | Asia/Pacific | Current
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	832	1,174
2022 and 2021, respectively	760	805
2021 and 2020, respectively	440	393
2020 and 2019, respectively	150	124
2019 and 2018, respectively	47	37
Prior	12	5
Revolving Finance Receivables	42	40
Total Finance Receivables	2,283	2,578
Customer | Asia/Pacific | 31-60 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	3	10
2022 and 2021, respectively	13	12
2021 and 2020, respectively	10	8
2020 and 2019, respectively	4	1
2019 and 2018, respectively	1	1
Prior	0	0
Revolving Finance Receivables	0	0
Total Finance Receivables	31	32
Customer | Asia/Pacific | 61-90 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	1	2
2022 and 2021, respectively	3	5
2021 and 2020, respectively	3	4
2020 and 2019, respectively	4	2
2019 and 2018, respectively	1	0
Prior	0	0
Revolving Finance Receivables	0	0
Total Finance Receivables	12	13
Customer | Asia/Pacific | 91+ days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	0	2
2022 and 2021, respectively	4	6
2021 and 2020, respectively	5	6
2020 and 2019, respectively	3	4
2019 and 2018, respectively	0	0
Prior	0	0
Revolving Finance Receivables	0	0
Total Finance Receivables	12	18
Customer | Mining | Current
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	836	875
2022 and 2021, respectively	740	627
2021 and 2020, respectively	436	227
2020 and 2019, respectively	148	193
2019 and 2018, respectively	111	94
Prior	50	108
Revolving Finance Receivables	49	80
Total Finance Receivables	2,370	2,204
Customer | Mining | 31-60 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	0	0
2022 and 2021, respectively	0	1
2021 and 2020, respectively	0	0
2020 and 2019, respectively	0	0
2019 and 2018, respectively	0	0
Prior	0	0
Revolving Finance Receivables	0	0
Total Finance Receivables	0	1
Customer | Mining | 61-90 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	0	0
2022 and 2021, respectively	0	0
2021 and 2020, respectively	1	0
2020 and 2019, respectively	0	0
2019 and 2018, respectively	0	0
Prior	2	0
Revolving Finance Receivables	0	0
Total Finance Receivables	3	0
Customer | Mining | 91+ days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	0	0
2022 and 2021, respectively	2	0
2021 and 2020, respectively	2	0
2020 and 2019, respectively	0	0
2019 and 2018, respectively	0	0
Prior	1	1
Revolving Finance Receivables	0	0
Total Finance Receivables	5	1
Customer | Latin America | Current
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	552	770
2022 and 2021, respectively	571	400
2021 and 2020, respectively	255	150
2020 and 2019, respectively	74	69
2019 and 2018, respectively	29	26
Prior	8	20
Revolving Finance Receivables	0	0
Total Finance Receivables	1,489	1,435
Customer | Latin America | 31-60 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	6	7
2022 and 2021, respectively	13	8
2021 and 2020, respectively	7	4
2020 and 2019, respectively	4	2
2019 and 2018, respectively	3	0
Prior	1	1
Revolving Finance Receivables	0	0
Total Finance Receivables	34	22
Customer | Latin America | 61-90 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	1	2
2022 and 2021, respectively	5	5
2021 and 2020, respectively	2	1
2020 and 2019, respectively	1	1
2019 and 2018, respectively	0	0
Prior	0	0
Revolving Finance Receivables	0	0
Total Finance Receivables	9	9
Customer | Latin America | 91+ days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	1	2
2022 and 2021, respectively	15	13
2021 and 2020, respectively	9	11
2020 and 2019, respectively	8	2
2019 and 2018, respectively	8	1
Prior	20	0
Revolving Finance Receivables	0	0
Total Finance Receivables	61	29
Customer | Power | Current
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	46	82
2022 and 2021, respectively	71	87
2021 and 2020, respectively	70	146
2020 and 2019, respectively	86	51
2019 and 2018, respectively	45	18
Prior	122	161
Revolving Finance Receivables	162	125
Total Finance Receivables	602	670
Customer | Power | 31-60 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	0	0
2022 and 2021, respectively	0	0
2021 and 2020, respectively	0	0
2020 and 2019, respectively	0	0
2019 and 2018, respectively	0	0
Prior	1	0
Revolving Finance Receivables	0	0
Total Finance Receivables	1	0
Customer | Power | 61-90 days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	0	0
2022 and 2021, respectively	0	0
2021 and 2020, respectively	0	0
2020 and 2019, respectively	0	0
2019 and 2018, respectively	0	0
Prior	0	0
Revolving Finance Receivables	0	0
Total Finance Receivables	0	0
Customer | Power | 91+ days past due
Financing Receivable, Credit Quality Indicator
2023 and 2022, respectively	0	0
2022 and 2021, respectively	0	0
2021 and 2020, respectively	0	0
2020 and 2019, respectively	0	0
2019 and 2018, respectively	0	0
Prior	3	5
Revolving Finance Receivables	0	0
Total Finance Receivables	3	5
Dealer
Financing Receivable, Credit Quality Indicator
Total Finance Receivables	2,882		$ 2,222
Dealer | Total past due
Financing Receivable, Credit Quality Indicator
Prior	$ 47	$ 62

Finance Receivables (Details 5)

Finance Receivables (Details 5) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022
Receivables [Abstract]
Period after which unpaid installments are considered as past due	30 days
Financing Receivable, Past Due
Total Finance Receivables	$ 27,542	$ 26,787	$ 26,111
Caterpillar Purchased Receivables
Financing Receivable, Past Due
Total Finance Receivables	4,381	4,297	$ 3,962
Caterpillar Purchased Receivables | 31-60 days past due
Financing Receivable, Past Due
Total Finance Receivables	30	28
Caterpillar Purchased Receivables | 61-90 days past due
Financing Receivable, Past Due
Total Finance Receivables	11	11
Caterpillar Purchased Receivables | 91+ days past due
Financing Receivable, Past Due
Total Finance Receivables	28	22
Caterpillar Purchased Receivables | Total Past Due
Financing Receivable, Past Due
Total Finance Receivables	69	61
Caterpillar Purchased Receivables | Current
Financing Receivable, Past Due
Total Finance Receivables	4,312	4,236
Caterpillar Purchased Receivables | North America
Financing Receivable, Past Due
Total Finance Receivables	2,651	2,480
Caterpillar Purchased Receivables | North America | 31-60 days past due
Financing Receivable, Past Due
Total Finance Receivables	15	11
Caterpillar Purchased Receivables | North America | 61-90 days past due
Financing Receivable, Past Due
Total Finance Receivables	5	7
Caterpillar Purchased Receivables | North America | 91+ days past due
Financing Receivable, Past Due
Total Finance Receivables	2	4
Caterpillar Purchased Receivables | North America | Total Past Due
Financing Receivable, Past Due
Total Finance Receivables	22	22
Caterpillar Purchased Receivables | North America | Current
Financing Receivable, Past Due
Total Finance Receivables	2,629	2,458
Caterpillar Purchased Receivables | EAME
Financing Receivable, Past Due
Total Finance Receivables	761	815
Caterpillar Purchased Receivables | EAME | 31-60 days past due
Financing Receivable, Past Due
Total Finance Receivables	1	1
Caterpillar Purchased Receivables | EAME | 61-90 days past due
Financing Receivable, Past Due
Total Finance Receivables	1	0
Caterpillar Purchased Receivables | EAME | 91+ days past due
Financing Receivable, Past Due
Total Finance Receivables	1	2
Caterpillar Purchased Receivables | EAME | Total Past Due
Financing Receivable, Past Due
Total Finance Receivables	3	3
Caterpillar Purchased Receivables | EAME | Current
Financing Receivable, Past Due
Total Finance Receivables	758	812
Caterpillar Purchased Receivables | Asia/Pacific
Financing Receivable, Past Due
Total Finance Receivables	574	565
Caterpillar Purchased Receivables | Asia/Pacific | 31-60 days past due
Financing Receivable, Past Due
Total Finance Receivables	8	6
Caterpillar Purchased Receivables | Asia/Pacific | 61-90 days past due
Financing Receivable, Past Due
Total Finance Receivables	0	2
Caterpillar Purchased Receivables | Asia/Pacific | 91+ days past due
Financing Receivable, Past Due
Total Finance Receivables	1	2
Caterpillar Purchased Receivables | Asia/Pacific | Total Past Due
Financing Receivable, Past Due
Total Finance Receivables	9	10
Caterpillar Purchased Receivables | Asia/Pacific | Current
Financing Receivable, Past Due
Total Finance Receivables	565	555
Caterpillar Purchased Receivables | Latin America
Financing Receivable, Past Due
Total Finance Receivables	384	431
Caterpillar Purchased Receivables | Latin America | 31-60 days past due
Financing Receivable, Past Due
Total Finance Receivables	4	9
Caterpillar Purchased Receivables | Latin America | 61-90 days past due
Financing Receivable, Past Due
Total Finance Receivables	4	2
Caterpillar Purchased Receivables | Latin America | 91+ days past due
Financing Receivable, Past Due
Total Finance Receivables	23	14
Caterpillar Purchased Receivables | Latin America | Total Past Due
Financing Receivable, Past Due
Total Finance Receivables	31	25
Caterpillar Purchased Receivables | Latin America | Current
Financing Receivable, Past Due
Total Finance Receivables	353	406
Caterpillar Purchased Receivables | Power
Financing Receivable, Past Due
Total Finance Receivables	11	6
Caterpillar Purchased Receivables | Power | 31-60 days past due
Financing Receivable, Past Due
Total Finance Receivables	2	1
Caterpillar Purchased Receivables | Power | 61-90 days past due
Financing Receivable, Past Due
Total Finance Receivables	1	0
Caterpillar Purchased Receivables | Power | 91+ days past due
Financing Receivable, Past Due
Total Finance Receivables	1	0
Caterpillar Purchased Receivables | Power | Total Past Due
Financing Receivable, Past Due
Total Finance Receivables	4	1
Caterpillar Purchased Receivables | Power | Current
Financing Receivable, Past Due
Total Finance Receivables	$ 7	$ 5

Finance Receivables (Details 6)

Finance Receivables (Details 6) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Financing Receivable, Past Due
Period after which collection of future income is considered as not probable	120 days
Customer
Financing Receivable, Past Due
Amortized Cost, Non-accrual With an Allowance	$ 188	$ 156
Amortized Cost, Non-accrual Without an Allowance	0	16
Amortized Cost, 91+ Still Accruing	27	28
Customer | North America
Financing Receivable, Past Due
Amortized Cost, Non-accrual With an Allowance	54	52
Amortized Cost, Non-accrual Without an Allowance	0	4
Amortized Cost, 91+ Still Accruing	12	11
Customer | EAME
Financing Receivable, Past Due
Amortized Cost, Non-accrual With an Allowance	44	43
Amortized Cost, Non-accrual Without an Allowance	0	0
Amortized Cost, 91+ Still Accruing	9	10
Customer | Asia/Pacific
Financing Receivable, Past Due
Amortized Cost, Non-accrual With an Allowance	8	11
Amortized Cost, Non-accrual Without an Allowance	0	0
Amortized Cost, 91+ Still Accruing	5	7
Customer | Mining
Financing Receivable, Past Due
Amortized Cost, Non-accrual With an Allowance	4	0
Amortized Cost, Non-accrual Without an Allowance	0	1
Amortized Cost, 91+ Still Accruing	1	0
Customer | Latin America
Financing Receivable, Past Due
Amortized Cost, Non-accrual With an Allowance	69	45
Amortized Cost, Non-accrual Without an Allowance	0	0
Amortized Cost, 91+ Still Accruing	0	0
Customer | Power
Financing Receivable, Past Due
Amortized Cost, Non-accrual With an Allowance	9	5
Amortized Cost, Non-accrual Without an Allowance	0	11
Amortized Cost, 91+ Still Accruing	0	0
Dealer | Latin America
Financing Receivable, Past Due
Amortized Cost, Non-accrual With an Allowance	$ 47	$ 62

Finance Receivables (Details 7)

Finance Receivables (Details 7) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023 contracts	Sep. 30, 2022 USD ($) contracts	Sep. 30, 2023 contracts	Sep. 30, 2022 USD ($) contracts
Customer
Finance receivables modified as TDRs
Pre-TDR Amortized Cost		$ 29		$ 40
Post-TDR Amortized Cost		29		39
Customer | North America
Finance receivables modified as TDRs
Pre-TDR Amortized Cost		3		4
Post-TDR Amortized Cost		3		4
Customer | EAME
Finance receivables modified as TDRs
Pre-TDR Amortized Cost		0		1
Post-TDR Amortized Cost		0		1
Customer | Mining
Finance receivables modified as TDRs
Pre-TDR Amortized Cost		15		15
Post-TDR Amortized Cost		15		15
TDRs with a payment default which had been modified within twelve months prior to the default date
Post-TDR Amortized Cost				5
Customer | Power
Finance receivables modified as TDRs
Pre-TDR Amortized Cost		11		20
Post-TDR Amortized Cost		$ 11		$ 19
Dealer
Finance receivables modified as TDRs
Number of Contracts | contracts	0	0	0	0
Caterpillar Purchased Receivables
Finance receivables modified as TDRs
Number of Contracts | contracts	0	0	0	0

Finance Receivables (Details 8)

Finance Receivables (Details 8) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Write-offs by origination year [Line Items]
Total	$ 22	$ 30	$ 63	$ 68
Customer
Write-offs by origination year [Line Items]
2023	1		1
2022	6		15
2021	7		19
2020	4		12
2019	1		4
Prior	1		3
Revolving Finance Receivables	2		9
Total	22	$ 30	63	$ 68
Customer | North America
Write-offs by origination year [Line Items]
2023	1		1
2022	2		7
2021	2		7
2020	1		2
2019	1		2
Prior	0		1
Revolving Finance Receivables	2		9
Total	9		29
Customer | EAME
Write-offs by origination year [Line Items]
2023	0		0
2022	1		2
2021	1		3
2020	1		3
2019	0		0
Prior	0		1
Revolving Finance Receivables	0		0
Total	3		9
Customer | Asia/Pacific
Write-offs by origination year [Line Items]
2023	0		0
2022	2		3
2021	3		6
2020	1		4
2019	0		1
Prior	0		0
Revolving Finance Receivables	0		0
Total	6		14
Customer | Latin America
Write-offs by origination year [Line Items]
2023	0		0
2022	1		3
2021	1		3
2020	1		3
2019	0		1
Prior	1		1
Revolving Finance Receivables	0		0
Total	$ 4		$ 11

Finance Receivables (Details 9)

Finance Receivables (Details 9) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2023 USD ($)	Sep. 30, 2023 USD ($)
Dealer
Financing Receivable, Modified [Line Items]
Financing Receivable, Modified in Period, Amount	$ 0	$ 0
Caterpillar Purchased Receivables
Financing Receivable, Modified [Line Items]
Financing Receivable, Modified in Period, Amount	0	0
Customer
Financing Receivable, Modified [Line Items]
Financing Receivable, Modified in Period, Amount	$ 13	$ 38
Financing Receivable, Modification To Total Financing Receivables, Percent	0.05%	0.14%
Financing Receivable, Modified, Weighted Average Term Increase from Modification	8 months	17 months
Financing Receivable, Modified, Weighted Average Payment Delay	6 months	7 months
EAME | 31-60 days past due | Customer
Financing Receivable, Modified [Line Items]
Financing Receivable, Modified, Accumulated	$ 3	$ 3

Derivative Financial Instrume_3

Derivative Financial Instruments and Risk Management (Details) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Derivatives, Fair Value
Derivative assets	$ 362	$ 417
Derivative liabilities	(205)	(199)
Designated derivatives | Other assets
Derivatives, Fair Value
Derivative assets	334	392
Designated derivatives | Accrued expenses
Derivatives, Fair Value
Derivative liabilities	(170)	(157)
Designated derivatives | Foreign exchange contracts | Other assets
Derivatives, Fair Value
Derivative assets	282	305
Designated derivatives | Foreign exchange contracts | Accrued expenses
Derivatives, Fair Value
Derivative liabilities	(61)	(44)
Designated derivatives | Interest rate contracts | Other assets
Derivatives, Fair Value
Derivative assets	52	87
Designated derivatives | Interest rate contracts | Accrued expenses
Derivatives, Fair Value
Derivative liabilities	(109)	(113)
Undesignated derivatives | Other assets
Derivatives, Fair Value
Derivative assets	28	25
Undesignated derivatives | Accrued expenses
Derivatives, Fair Value
Derivative liabilities	(35)	(42)
Undesignated derivatives | Foreign exchange contracts | Other assets
Derivatives, Fair Value
Derivative assets	28	25
Undesignated derivatives | Foreign exchange contracts | Accrued expenses
Derivatives, Fair Value
Derivative liabilities	$ (35)	$ (42)

Derivative Financial Instrume_4

Derivative Financial Instruments and Risk Management (Details 2) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Derivative
Derivative instruments, notional amount	$ 14,440	$ 13,180

Derivative Financial Instrume_5

Derivative Financial Instruments and Risk Management (Details 3) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Derivative Instruments, Gain (Loss)
Gains (Losses) Recognized in AOCI	$ 79	$ 302	$ 74	$ 673
Gains (Losses) Reclassified from AOCI	(85)	(311)	(81)	(656)
Undesignated derivatives | Fair Value Hedges
Derivative Instruments, Gain (Loss)
Gains (Losses) Recognized on Undesignated Hedges	2	11	(32)	(22)
Undesignated derivatives | Fair Value Hedges | Foreign exchange contracts
Derivative Instruments, Gain (Loss)
Gains (Losses) Recognized on Undesignated Hedges	22	16	21	(26)
Undesignated derivatives | Fair Value Hedges | Interest rate contracts
Derivative Instruments, Gain (Loss)
Gains (Losses) Recognized on Undesignated Hedges	(20)	(5)	(53)	4
Designated derivatives | Cash Flow Hedges
Derivative Instruments, Gain (Loss)
Gains (Losses) Recognized in AOCI	79	302	74	673
Gains (Losses) Reclassified from AOCI	85	311	81	656
Designated derivatives | Cash Flow Hedges | Foreign exchange contracts
Derivative Instruments, Gain (Loss)
Gains (Losses) Recognized in AOCI	76	276	59	570
Gains (Losses) Reclassified from AOCI	70	303	38	656
Designated derivatives | Cash Flow Hedges | Interest rate contracts
Derivative Instruments, Gain (Loss)
Gains (Losses) Recognized in AOCI	3	26	15	103
Gains (Losses) Reclassified from AOCI	$ 15	$ 8	$ 43	$ 0

Derivative Financial Instrume_6

Derivative Financial Instruments and Risk Management (Details 4) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Derivatives, Fair Value
Carrying Value of the Hedged Liabilities	$ 2,969	$ 2,091
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Value of the Hedged Liabilities	(109)	(112)
Current maturities of long-term debt
Derivatives, Fair Value
Carrying Value of the Hedged Liabilities	249	0
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Value of the Hedged Liabilities	(4)	0
Long-term debt
Derivatives, Fair Value
Carrying Value of the Hedged Liabilities	2,720	2,091
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Value of the Hedged Liabilities	$ (105)	$ (112)

Derivative Financial Instrume_7

Derivative Financial Instruments and Risk Management (Details 5) $ in Millions	9 Months Ended
	Sep. 30, 2023 USD ($)
Derivative
Deferred net gains, net of tax, included in equity, related to cash flow hedges, expected to be reclassified to earnings over the next twelve months	$ 30

Derivative Financial Instrume_8

Derivative Financial Instruments and Risk Management (Details 6) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Assets, Gross amounts recognized	$ 362	$ 417
Assets, Financial instruments not offset	(122)	(108)
Assets, Net amount	240	309
Liabilities, Gross amounts recognized	(205)	(199)
Liabilities, Financial instruments not offset	122	108
Liabilities, Net amount	$ (83)	$ (91)

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	$ (1,059)	$ (1,002)	$ (1,068)	$ (762)
Gains (losses) on foreign currency translation	(89)	(258)	(89)	(456)
Less: Tax provision/(benefit)	13	30	4	72
Net gains (losses) on foreign currency translation	(102)	(288)	(93)	(528)
Other comprehensive income (loss), net of tax	(102)	(288)	(93)	(528)
Balance at end of period	(1,161)	(1,290)	(1,161)	(1,290)
Balance at beginning of period	21	11	21	(12)
Gains (losses) deferred	79	302	74	673
Less: Tax provision/(benefit)	20	95	18	158
Net gains (losses) deferred	59	207	56	515
(Gains) losses reclassified to earnings	(85)	(311)	(81)	(656)
Less: Tax (provision)/benefit	(22)	(99)	(21)	(159)
Net (gains) losses reclassified to earnings	(63)	(212)	(60)	(497)
Other comprehensive income (loss), net of tax	(4)	(5)	(4)	18
Balance at end of period	17	6	17	6
Total Accumulated other comprehensive income (loss) at end of period	$ (1,144)	$ (1,284)	$ (1,144)	$ (1,284)	$ (1,047)

Segment Information (Details)

Segment Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Segment Reporting Information
External Revenues	$ 846	$ 690	$ 2,407	$ 2,010
Profit before income taxes	170	188	579	580
Interest Expense	280	151	742	377
Depreciation on equipment leased to others	182	179	532	544
Provision for credit losses	35	(16)	23	34
Assets	32,464		32,464		$ 31,957
Capital expenditures	341	294	1,029	869
Operating Segments
Segment Reporting Information
External Revenues	827	683	2,360	1,998
Profit before income taxes	229	247	772	686
Interest Expense	264	168	688	418
Depreciation on equipment leased to others	182	179	532	544
Provision for credit losses	34	(16)	22	34
Assets	30,163		30,163		30,257
Capital expenditures	340	292	1,022	863
Unallocated
Segment Reporting Information
External Revenues	23	10	58	21
Profit before income taxes	(137)	(80)	(378)	(222)
Interest Expense	108	53	279	138
Depreciation on equipment leased to others	0	0	0	0
Provision for credit losses	1	0	1	0
Assets	2,255		2,255		1,628
Capital expenditures	1	2	7	6
Segment Reconciling Items | Timing
Segment Reporting Information
External Revenues	(4)	(3)	(11)	(9)
Profit before income taxes	1	0	1	3
Interest Expense	0	0	0	0
Depreciation on equipment leased to others	0	0	0	0
Provision for credit losses	0	0	0	0
Assets	19		19		18
Capital expenditures	0	0	0	0
Segment Reconciling Items | Methodology
Segment Reporting Information
External Revenues	0	0	0	0
Profit before income taxes	77	21	184	113
Interest Expense	(92)	(70)	(225)	(179)
Depreciation on equipment leased to others	0	0	0	0
Provision for credit losses	0	0	0	0
Assets	235		235		278
Capital expenditures	0	0	0	0
Inter-segment Eliminations
Segment Reporting Information
External Revenues	0	0	0	0
Profit before income taxes	0	0	0	0
Interest Expense	0	0	0	0
Depreciation on equipment leased to others	0	0	0	0
Provision for credit losses	0	0	0	0
Assets	(208)		(208)		(224)
Capital expenditures	0	0	0	0
North America | Operating Segments
Segment Reporting Information
External Revenues	459	383	1,313	1,112
Profit before income taxes	144	150	447	411
Interest Expense	128	69	331	181
Depreciation on equipment leased to others	130	126	380	381
Provision for credit losses	10	(5)	17	11
Assets	15,928		15,928		15,229
Capital expenditures	274	205	789	652
EAME | Operating Segments
Segment Reporting Information
External Revenues	102	72	274	207
Profit before income taxes	35	0	79	5
Interest Expense	26	27	72	45
Depreciation on equipment leased to others	14	13	43	41
Provision for credit losses	1	7	3	49
Assets	4,867		4,867		5,067
Capital expenditures	14	45	50	101
Asia/Pacific | Operating Segments
Segment Reporting Information
External Revenues	70	70	213	216
Profit before income taxes	19	33	86	104
Interest Expense	32	19	78	55
Depreciation on equipment leased to others	2	1	4	4
Provision for credit losses	1	1	(3)	5
Assets	3,265		3,265		3,921
Capital expenditures	0	3	2	6
Latin America | Operating Segments
Segment Reporting Information
External Revenues	95	75	264	204
Profit before income taxes	15	31	81	65
Interest Expense	48	37	132	98
Depreciation on equipment leased to others	3	3	9	7
Provision for credit losses	13	(8)	(2)	(3)
Assets	2,579		2,579		2,636
Capital expenditures	3	3	13	21
Mining | Operating Segments
Segment Reporting Information
External Revenues	86	72	253	218
Profit before income taxes	17	21	76	66
Interest Expense	23	11	56	29
Depreciation on equipment leased to others	32	35	94	109
Provision for credit losses	5	(4)	(2)	(14)
Assets	2,880		2,880		2,700
Capital expenditures	49	36	168	83
Power | Operating Segments
Segment Reporting Information
External Revenues	15	11	43	41
Profit before income taxes	(1)	12	3	35
Interest Expense	7	5	19	10
Depreciation on equipment leased to others	1	1	2	2
Provision for credit losses	4	(7)	9	(14)
Assets	644		644		$ 704
Capital expenditures	$ 0	$ 0	$ 0	$ 0

Commitments and Contingent Li_2

Commitments and Contingent Liabilities (Details) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Guarantor Obligations
Guarantees, maximum potential amount of future payments	$ 19	$ 26
Total assets	32,464	31,957
Liabilities	29,357	28,994
Maximum
Guarantor Obligations
Related recorded liability	1	1
Variable interest entity, primary beneficiary
Guarantor Obligations
Total assets	1,540	971
Liabilities	$ 1,540	$ 970

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Recurring basis | Fair Value, Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Derivative financial instruments, net asset position	$ 157	$ 218

Fair Value Measurements (Deta_2

Fair Value Measurements (Details 2) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Fair Value, Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Loans carried at fair value	$ 57	$ 68

Fair Value Measurements (Deta_3

Fair Value Measurements (Details 3) - USD ($) $ in Millions	Sep. 30, 2023	Dec. 31, 2022
Fair Value, Level 2
Financial Instruments, Financial Liabilities, Balance Sheet Groupings
Long-term debt	$ 22,806	$ 20,686
Fair Value, Level 3
Financial Instruments, Financial Assets, Balance Sheet Groupings
Finance receivables, net (excluding finance leases)	19,773	18,448
Carrying Amount
Financial Instruments, Financial Assets, Balance Sheet Groupings
Finance receivables, net (excluding finance leases)	20,345	19,085
Financial Instruments, Financial Liabilities, Balance Sheet Groupings
Long-term debt	23,408	21,418
Carrying amount of assets excluded from measurement at fair value
Financial Instruments, Financial Liabilities, Balance Sheet Groupings
Finance leases and failed sale leasebacks, Carrying Value	$ 6,860	$ 7,360

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Income Tax Disclosure [Abstract]
Estimated annual tax rate	26%	27%
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount	$ 27