diff --git a/datafusion/sql/src/expr/mod.rs b/datafusion/sql/src/expr/mod.rs
index c2e4822f76b99..b1de4e95fd8a2 100644
--- a/datafusion/sql/src/expr/mod.rs
+++ b/datafusion/sql/src/expr/mod.rs
@@ -1593,4 +1593,32 @@ mod tests {
 
         assert!(matches!(expr, Expr::Alias(_)));
     }
+
+    #[test]
+    fn test_parse_numbers_with_underscores() {
+        use datafusion_common::ScalarValue::*;
+
+        let context_provider = TestContextProvider::new();
+        let sql_to_rel = SqlToRel::new(&context_provider);
+
+        // (input, positive result, negative result)
+        let test_cases = [
+            ("1_000", Int64(Some(1000)), Int64(Some(-1000))),
+            ("100_000", Int64(Some(100000)), Int64(Some(-100000))),
+            ("1_2_3_4", Int64(Some(1234)), Int64(Some(-1234))),
+            ("0_0", Int64(Some(0)), Int64(Some(-0))),
+            ("1_23.4_56", Float64(Some(123.456)), Float64(Some(-123.456))),
+        ];
+
+        for (literal, out_positive, out_negative) in test_cases {
+            assert_eq!(
+                sql_to_rel.parse_sql_number(literal, false).unwrap(),
+                Expr::Literal(out_positive, None)
+            );
+            assert_eq!(
+                sql_to_rel.parse_sql_number(literal, true).unwrap(),
+                Expr::Literal(out_negative, None)
+            );
+        }
+    }
 }
diff --git a/datafusion/sql/src/expr/value.rs b/datafusion/sql/src/expr/value.rs
index 13a47f545cf7e..1307e917e4251 100644
--- a/datafusion/sql/src/expr/value.rs
+++ b/datafusion/sql/src/expr/value.rs
@@ -74,10 +74,27 @@ impl<S: ContextProvider> SqlToRel<'_, S> {
         unsigned_number: &str,
         negative: bool,
     ) -> Result<Expr> {
-        let signed_number: Cow<str> = if negative {
-            Cow::Owned(format!("-{unsigned_number}"))
-        } else {
+        // remove underscores, since the Rust parser used here does not support them
+        let signed_number = if !negative && !unsigned_number.contains('_') {
             Cow::Borrowed(unsigned_number)
+        } else {
+            let mut signed_number =
+                String::with_capacity(unsigned_number.len() + usize::from(negative));
+            if negative {
+                signed_number.push('-');
+            }
+            unsigned_number.bytes().for_each(|b| {
+                if b != b'_' {
+                    signed_number.push(b as char);
+                }
+            });
+            Cow::Owned(signed_number)
+        };
+
+        let unsigned_number = if negative {
+            &signed_number[1..]
+        } else {
+            &signed_number
         };
 
         // Try to parse as i64 first, then u64 if negative is false, then decimal or f64
diff --git a/datafusion/sqllogictest/test_files/expr.slt b/datafusion/sqllogictest/test_files/expr.slt
index ba4e4d03b3c2d..32113890aadc0 100644
--- a/datafusion/sqllogictest/test_files/expr.slt
+++ b/datafusion/sqllogictest/test_files/expr.slt
@@ -2665,3 +2665,18 @@ false
 
 statement ok
 drop table t;
+
+
+# Test numeric literals with underscore separators
+# (https://github.com/apache/datafusion/issues/23877)
+
+statement ok
+set datafusion.sql_parser.dialect = 'postgres'
+
+query IIIRI
+select 1_000, 1_2_3_4, -1_2_3_4, 1_2.3_4, 0_0
+----
+1000 1234 -1234 12.34 0
+
+statement ok
+reset datafusion.sql_parser.dialect