01.05.2019

Terex no longer reports cranes

Terex released its first quarter results last night, which do not include the cranes business.

The crane operation will of course be included in the final numbers possibly as a discontinued operation, although the plan is currently to retain the tower and Rough Terrain crane business. The US mobile crane assets were recently sold to the Load King subsidiary of Custom Truck One Source See Terex sells US crane assets

Terex group revenues – Genie and Material Processing – totalled $1.4 billion, up six percent on a like for like basis. Pre-tax profits were just over nine percent lower at $75.2 million.

Terex chief executive John Garrison said: “Overall we had a strong first quarter. Our improving financial results, with adjusted operating margins greater than 9% and adjusted EPS increasing over 50% from what we presented in our Q1 earnings release in May 2018, clearly demonstrate the impact of executing our Focus, Simplify and Execute to Win strategy.”

“Aerial Work Platforms started slower than last year but gained momentum throughout the quarter. Revenue and operating margin were impacted by severe weather across the United States including a week long closure of AWP’s principal manufacturing and distribution facilities in Washington state. Additionally, the strength of the U.S. dollar, particularly against the Euro, represented a headwind in the quarter. AWP is well positioned heading into the second quarter with $1.1 billion of backlog.”

“The previously announced agreement to sell the Demag Mobile Cranes business remains on track to close mid year, subject to government regulatory approvals and other customary closing conditions. We implemented our new two segment structure and are moving forward with plans to further simplify our corporate organisation and reduce general and administrative expenses.”

“As a result of our first quarter performance, we now expect full year net sales of approximately $4.7 billion.”

Vertikal Comment

We will add a comment when we have further information on the numbers later today.