Terex Stock Earnings Reports

Terex reported a solid start to 2026 with pro forma sales growth, strong bookings and an increased backlog providing good forward visibility. Reported Q1 sales were $1.7B (41% year-over-year, driven by the REV merger); pro forma sales grew ~10.8% year-over-year. EPS was $0.98 (up 18% YoY; includes ~ $0.10 of one-time tax benefit). Backlog rose to $7.1B with 109% pro forma book-to-bill in Q1. Key segment highlights: Specialty Vehicles (REV) grew strongly (pro forma +20%), Materials Processing showed robust bookings and margin expansion (MP EBITDA margin ~15%), Terex Utilities is ramping production to meet a very bullish market, and Aerials had strong bookings/backlog though Q1 margins were seasonally low. Integration of REV is progressing on plan; management expects ~$28M of synergies in 2026 and a $75M run-rate within 24 months. Terex reiterated its full-year 2026 guidance: pro forma revenue growth of ~5% to $7.5–$8.1B, pro forma EBITDA up ~$100M to $930M–$1.0B (midpoint ~12.4% margin), interest & other expense around $190M, effective tax rate ~21%, EPS $4.50–$5.00, free cash conversion 80–90% of net income, and net leverage expected to improve (current net leverage ~2.4x). Management flagged ongoing macro and tariff uncertainties but described tariff impacts as manageable for the year and emphasized execution, integration, and disciplined capital allocation (including a strategic review of Aerials). Risks include tariff/macro volatility, seasonality of cash flows, and integration execution, while upside drivers are backlog conversion, further synergy capture, and continued strength in utilities, MP, and Specialty Vehicles.