"All those justified by faith through Baptism are incorporated into Christ. They therefore have a right to be honored by the title of Christian, and are properly regarded as brothers and sisters in the Lord by the sons and daughters of the Catholic Church" Vatican II

Absolutely, so all those referred to are, AT LEAST in a manner of speaking, Catholics. And that is what I SUSPECT the priest meant when he said that only Catholics are saved.

Either HE misinterpreted the Church's teaching or YOU misinterpreted his. I suspect the latter, but I wasn't there.