Table of Contents Supplemental Data for Results of Operations For The Years Ended December 31 $^{1}$  Represents Caterpillar Inc. and its subsidiaries with Financial Products accounted for on the equity basis. $^{2}$  Elimination of Financial Products’ revenues earned from Machinery, Energy & Transportation. $^{3}$  Elimination of net expenses recorded by Machinery, Energy & Transportation paid to Financial Products. $^{4}$  Elimination of interest expense recorded between Financial Products and Machinery, Energy & Transportation. $^{5}$  Elimination of discount recorded by Machinery, Energy & Transportation on receivables sold to Financial Products and of interest earned between Machinery, Energy & Transportation and Financial Products. $^{6}$  Elimination of Financial Products’ profit due to equity method of accounting. $^{7}$  Profit (loss) attributable to common shareholders. 61 Supplemental consolidating data Consolidated Machinery, Energy & Transportation  1 Financial Products Consolidating Adjustments (Millions of dollars) 2018 2017 2016 2018 2017 2016 2018 2017 2016 2018 2017 2016 Sales and revenues: Sales of Machinery, Energy & Transportation $51,822 $ 42,676 $ 35,773 $51,822 $ 42,676 $ 35,773 $ — $ — $ — $ — $ — $ — Revenues of Financial Products 2,900 2,786 2,764 — — — 3,362 3,167 3,065 (462) $^{2}$  (381) $^{2}$  (301) $^{2}$  Total sales and revenues 54,722 45,462 38,537 51,822 42,676 35,773 3,362 3,167 3,065 (462) (381) (301) Operating costs: Cost of goods sold 36,997 31,260 28,044 36,998 31,261 28,046 — — — (1) $^{3}$  (1) $^{3}$  (2) $^{3}$  Selling, general and administrative expenses 5,478 4,999 4,383 4,675 4,411 3,826 825 604 573 (22) $^{3}$  (16) $^{3}$  (16) $^{3}$  Research and development expenses 1,850 1,842 1,853 1,850 1,842 1,853 — — — — — — Interest expense of Financial Products 722 646 596 — — — 756 667 611 (34) $^{4}$  (21) $^{4}$  (15) $^{4}$  Goodwill impairment charge — — 595 — — 595 — — — — — — Other operating (income) expenses 1,382 2,255 1,904 144 1,056 700 1,259 1,220 1,232 (21) $^{3}$  (21) $^{3}$  (28) $^{3}$  Total operating costs 46,429 41,002 37,375 43,667 38,570 35,020 2,840 2,491 2,416 (78) (59) (61) Operating profit 8,293 4,460 1,162 8,155 4,106 753 522 676 649 (384) (322) (240) Interest expense excluding Financial Products 404 531 505 448 622 553 — — — (44) $^{4}$  (91) $^{4}$  (48) $^{4}$  Other income (expense) (67) 153 (518) (391) (170) (753) (16) 92 43 340 $^{5}$  231 $^{5}$  192 $^{5}$  Consolidated profit (loss) before taxes 7,822 4,082 139 7,316 3,314 (553) 506 768 692 — — — Provision (benefit) for income taxes 1,698 3,339 192 1,574 3,317 (24) 124 22 216 — — — Profit (loss) of consolidated companies 6,124 743 (53) 5,742 (3) (529) 382 746 476 — — — Equity in profit (loss) of unconsolidated affiliated companies 24 16 (6) 24 16 (6) — — — — — — Equity in profit of Financial Products’ subsidiaries — — — 362 738 470 — — — (362) $^{6}$  (738) $^{6}$  (470) $^{6}$  Profit (loss) of consolidated and affiliated companies 6,148 759 (59) 6,128 751 (65) 382 746 476 (362) (738) (470) Less: Profit (loss) attributable to noncontrolling interests 1 5 8 (19) (3) 2 20 8 6 — — — Profit (loss) $^{7}$  $ 6,147 $ 754 $ (67) $ 6,147 $ 754 $ (67) $ 362 $ 738 $ 470 $ (362) $ (738) $ (470)