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Terex Reports Second Quarter 2026 Results

prnewswire.com

Terex Reports Second Quarter 2026 Results NORWALK, Conn., July 30, 2026 /PRNewswire/ -- Terex Corporation (NYSE: TEX), a global leader in specialized equipment, serving essential sectors such as emergency services, waste and recycling, utilities, and construction, today announced its results for the second quarter 2026.

CEO Commentary

"Terex delivered a strong second quarter, with revenue growth in all segments, improved profitability, and positive booking trends that reflect healthy demand across much of the portfolio," said Simon Meester, Terex President and Chief Executive Officer. "Our second quarter performance reflects strength in key businesses, strong execution by our teams, and increasing operational momentum across the company. While conditions remain mixed in certain end markets, demand continues to be favorable across most of our significantly improved portfolio, and we are making meaningful progress on our integration plans as we realize the benefits of expected synergies. With solid backlog visibility, improving demand indicators, and an operational plan that supports stronger second-half performance, we are raising our full-year outlook."

Second Quarter Operational and Financial Highlights

Business Segment Review

Environmental Solutions

Materials Processing

Specialty Vehicles

Aerials

Balance Sheet and Liquidity

CFO Commentary

"Second quarter results reflected solid execution across the portfolio, including strong year-over-year incremental margin conversion in the Materials Processing and Specialty Vehicles segments, and free cash flow of $101 million, demonstrating the lower capital intensity of our new portfolio. Adjusted EPS for the quarter of $1.37 included approximately $8 million of IEEPA tariff refunds received, net of a discrete one-time unfavorable customs-related accrual," said Jennifer Kong-Picarello, Terex Senior Vice President and Chief Financial Officer. "We are encouraged by the team's ability to navigate a dynamic backdrop, and deliver results that exceeded expectations in the first half of the year. As a result, today we are increasing our full-year outlook. At the midpoint, our outlook implies a meaningful step up in second-half earnings and profitability, supported by a healthy backlog and operational momentum."

2026 Outlook

Based on second quarter performance, backlog visibility, and synergy realization, the company is raising its full year outlook. It expects 2026 sales to grow approximately 7% on a pro forma 14 basis to $7.9 to $8.2 billion, and Adjusted 1 EBITDA to grow by $124 million or 14.5% year over year on a pro forma 14 basis to between $960 million and $1 billion, or 12.2% Adjusted 1 EBITDA margin at the mid-point. The Adjusted 1 EPS 2 outlook of $4.70 - $5.10 includes the following assumptions/commentary:

Terex Outlook 4,5,6,10,11,12,14

Net Sales 3

$7.9B - $8.2B

Adjusted EBITDA 1

$960M - $1B

Adjusted EPS 1,2

$4.70 - $5.10

Free Cash Flow 1

$300M - $350M

Segment Net Sales Outlook 5

Prior Year Baseline

2026

Environmental Solutions

$1,691

LSD

Materials Processing 8

$1,578

LDD

Specialty Vehicles 9

$2,179

HSD

Aerials

$2,060

LDD

Figures in millions

LSD = revenue up low single-digits

LDD = revenue up low double-digits

HSD = revenue up high single-digits

Non-GAAP Measures and Other Items

Results of operations reflect continuing operations. All per share amounts are on a fully diluted basis. A comprehensive review of the quarterly financial performance is contained in the presentation that will accompany the Company's earnings conference call.

In this press release, Terex refers to various GAAP (U.S. generally accepted accounting principles) and non-GAAP financial measures. These non-GAAP measures may not be comparable to similarly titled measures being disclosed by other companies. Management believes that presenting these non-GAAP financial measures provide investors with additional analytical tools which are useful in evaluating our operating results and the ongoing performance of our underlying businesses because they (i) provide meaningful supplemental information regarding financial performance by excluding impact of one-time items and other items affecting comparability between periods, (ii) permit investors to view performance using the same tools that management uses to budget, make operating and strategic decisions, and evaluate our core operating performance across periods, and (iii) otherwise provide supplemental information that may be useful to investors in evaluating our financial results. We do not, nor do we suggest that investors, consider such non-GAAP financial measures in isolation from, or as a substitute for, financial information prepared in accordance with GAAP.

The Glossary at the end of this press release contains further details about this subject.

Conference call

The Company has scheduled a conference call to review the financial results on Thursday, July 30, 2026 beginning at 8:30 a.m. ET. Simon A. Meester, President and CEO, and Jennifer Kong-Picarello, Senior Vice President and Chief Financial Officer, will host the call. A simultaneous webcast of this call can be accessed at https://investors.terex.com. Participants are encouraged to access the call 15 minutes prior to the starting time. The call will also be archived in the Event Archive at https://investors.terex.com.

1 Non-GAAP financial measures included within this press release are referred to as "Adjusted" or "non-GAAP." Refer to the glossary for definitions and/or reconciliations.

2 Full year share count ~110 million; Q3-Q4 share count ~114 million.

3 Legacy sales expected to increase by 10% vs. 2025 excluding the tower and rough terrain cranes divestiture.

4 Outlook assumes that tariffs broadly remain at current rates.

5 Includes REV businesses for the period February 2 - December 31.

6 Excludes the impact of future acquisitions, divestitures, restructuring and other unusual items.

7 Free cash flow and Adjusted EBITDA are non-GAAP financial measures.

8 2025 comparable MP revenue excludes Cranes divestiture.

9 2025 comparable SV revenue shown on a pro forma basis reflecting February 2 - December 31 2025, excludes Lance & Midwest RV businesses

10 Interest / Other Expense ~$185 million

11 Tax rate ~21%

12 Depreciation & Amortization of ~$110 million excluding amortization pertaining to purchase price accounting

13 Pro forma information presents past performance as if certain events, such as mergers, acquisitions or divestitures, had occurred at an earlier date to illustrate comparable performance.

14 The Company is not able to reconcile these forward-looking non-GAAP financial measures to their most directly comparable forward-looking GAAP financial measures without unreasonable efforts because the Company is unable to predict with a reasonable degree of certainty the exact timing and impact of such items. See "Glossary _ Non-GAAP Measures Definition - 2026 Outlook" below for additional information.

Forward-Looking Statements

Certain information in this press release includes forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act") and the Private Securities Litigation Reform Act of 1995) regarding future events or our future financial performance that involve certain contingencies and uncertainties, including those discussed in Mr. Meester's and Ms. Kong-Picarello's quotations, our Annual Report on Form 10-K for the year ended December 31, 2025, and subsequent reports we file with the U.S. Securities and Exchange Commission from time to time, in the section entitled "Management's Discussion and Analysis of Financial Condition and Results of Operations – Contingencies and Uncertainties." In addition, when included in this press release, the words "may," "expects," "should," "intends," "anticipates," "believes," "plans," "projects," "estimates," "will" and the negatives thereof and analogous or similar expressions are intended to identify forward-looking statements. However, the absence of these words does not mean that the statement is not forward-looking. We have based these forward-looking statements on current expectations and projections about future events. These statements are not guarantees of future performance. Such statements are inherently subject to a variety of risks and uncertainties that could cause actual results to differ materially from those reflected in such forward-looking statements. Such risks and uncertainties, many of which are beyond our control, include, among others:

Actual events or our actual future results may differ materially from any forward-looking statement due to these and other risks, uncertainties and material factors. The forward-looking statements contained herein speak only as of the date of this press release. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement contained in this press release to reflect any change in our expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

About Terex

Terex Corporation is a global leader in specialized equipment solutions, serving essential sectors such as emergency services, waste and recycling, utilities, and construction. Our diversified portfolio positions us in resilient, high-demand markets with strong long-term growth potential.

We design and manufacture advanced specialty vehicles—including fire, ambulance, and recreational vehicles—alongside waste collection vehicles, materials processing machinery, mobile elevating work platforms, and equipment for the electric utility industry. Through our global dealer, parts and service network and true value-creating digital solutions, we deliver best-in-class lifecycle support, helping customers maximize return on investment.

With a strong manufacturing footprint in the United States and operations across Europe, India, and Asia Pacific, Terex combines global reach with local expertise to capture opportunities worldwide. Our strategy is clear: exceed customer expectations, invest in innovation, leverage our diversified portfolio, and deliver consistent, profitable growth for our shareholders.

For more information, please visit www.terex.com.

Contact Information

Drew Konop, CFA

VP Investor Relations

Email: [email protected]

TEREX CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENT OF INCOME AND COMPREHENSIVE INCOME

(unaudited)

(in millions, except per share data)

Three Months Ended

June 30,

Six Months Ended

June 30,

2026

2025

2026

2025

Net sales

$

2,238

$

1,487

$

3,972

$

2,716

Cost of goods sold

(1,794)

(1,179)

(3,321)

(2,160)

Gross profit

444

308

651

556

Selling, general and administrative expenses

(209)

(162)

(451)

(323)

Amortization of purchased intangibles

(48)

(17)

(95)

(35)

Operating profit

187

129

105

198

Other income (expense)

Interest income

5

2

9

4

Interest expense

(50)

(44)

(97)

(87)

Other (expense) income – net

(3)

2

(4)

Income before income taxes

139

89

13

115

(Provision for) benefit from income taxes

(29)

(17)

4

(22)

Income from continuing operations

110

72

17

93

Gain on disposition of discontinued operations – net of tax

4

Net income

110

72

21

93

Basic earnings per share

Income from continuing operations

$

0.97

$

1.10

$

0.16

$

1.41

Gain on disposition of discontinued operations – net of tax

0.04

Net income

0.97

1.10

0.20

1.41

Diluted earnings per share:

Income from continuing operations

$

0.96

$

1.09

$

0.16

$

1.40

Gain on disposition of discontinued operations – net of tax

0.04

Net income

0.96

1.09

0.20

1.40

Weighted average number of shares outstanding in per share calculation

Basic

113.6

65.6

104.5

66.0

Diluted

114.2

65.9

105.4

66.5

Net income

$

110

$

72

21

93

Other comprehensive income (loss)

74

(12)

106

Comprehensive income

$

110

$

146

9

199

TEREX CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited)

(in millions, except par value)

June 30, 2026

December 31, 2025

Assets

Current assets

Cash and cash equivalents

$

407

$

772

Other current assets

2,969

1,953

Total current assets

3,376

2,725

Non-current assets

Property, plant and equipment – net

966

760

Other non-current assets

6,002

2,654

Total non-current assets

6,968

3,414

Total assets

$

10,344

$

6,139

Liabilities and Stockholders' Equity

Current liabilities

Current portion of long-term debt

$

4

$

6

Other current liabilities

1,853

1,181

Total current liabilities

1,857

1,187

Non-current liabilities

Long-term debt, less current portion

2,683

2,578

Other non-current liabilities

879

279

Total non-current liabilities

3,562

2,857

Total liabilities

5,419

4,044

Total stockholders' equity

4,925

2,095

Total liabilities and stockholders' equity

$

10,344

$

6,139

TEREX CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited)

(in millions)

Six Months Ended

June 30,

2026

2025

Operating Activities

Net income

$

21

$

93

Depreciation and amortization

163

79

Changes in operating assets and liabilities and non-cash charges

(87)

(91)

Net cash provided by operating activities

97

81

Investing Activities

Capital expenditures

(59)

(60)

Other investing activities, net

(429)

22

Net cash used in investing activities

(488)

(38)

Financing Activities

Net cash provided by (used in) financing activities

30

(84)

Effect of Exchange Rate Changes on Cash and Cash Equivalents

(4)

27

Net Decrease in Cash and Cash Equivalents

(365)

(14)

Cash and Cash Equivalents at Beginning of Period

772

388

Cash and Cash Equivalents at End of Period

$

407

$

374

TEREX CORPORATION AND SUBSIDIARIES

SEGMENT RESULTS DISCLOSURE

(unaudited)

(in millions)

Q2

Year to Date

2026

2025

2026

2025

% of

% of

% of

% of

Net

Sales

Net

Sales

Net

Sales

Net

Sales

Consolidated

Net sales

$

2,238

$

1,487

$

3,972

$

2,716

Adjusted EBITDA

269

12.0 %

182

12.2 %

442

11.1 %

310

11.4 %

ES

Net sales

$

456

$

430

$

867

$

829

Adjusted EBITDA

80

17.5 %

86

20.0 %

154

17.7 %

167

20.2 %

MP

Net sales

$

464

$

454

$

883

$

836

Adjusted EBITDA

87

18.8 %

62

13.8 %

150

17.0 %

105

12.6 %

SV

Net sales

$

650

$

$

1,086

$

Adjusted EBITDA

94

14.5 %

*

156

14.4 %

*

Aerials

Net sales

$

673

$

607

$

1,142

$

1,057

Adjusted EBITDA

38

5.7 %

55

9.1 %

39

3.4 %

75

7.1 %

Corp and Other / Eliminations

Net sales

$

(5)

$

(4)

$

(6)

$

(6)

Adjusted EBITDA

(30)

*

(21)

*

(57)

*

(37)

*

* Not a meaningful percentage

GLOSSARY

Non-GAAP Measures Definitions

In an effort to provide investors with additional information regarding the Company's results, Terex refers to various GAAP (U.S. generally accepted accounting principles) and non-GAAP financial measures which management believes provides useful information to investors. These non-GAAP measures may not be comparable to similarly titled measures being disclosed by other companies. In addition, the Company believes that non-GAAP financial measures should be considered in addition to, and not in lieu of, GAAP financial measures. Terex believes that this non-GAAP information is useful to understanding its operating results and the ongoing performance of its underlying businesses. Management of Terex uses both GAAP and non-GAAP financial measures to establish internal budgets and targets and to evaluate the Company's financial performance against such budgets and targets.

The amounts described below are unaudited, are reported in millions of U.S. dollars (except share data and percentages), and are as of or for the period ended June 30, 2026, unless otherwise indicated.

2026 Outlook

The Company's 2026 outlook for Adjusted EBITDA, earnings per share, and free cash flow are non-GAAP financial measures because they exclude the impact of potential future acquisitions, divestitures, restructuring, tariffs, trade policies and other unusual items. The Company is not able to reconcile these forward-looking non-GAAP financial measures to their most directly comparable forward-looking GAAP financial measures without unreasonable efforts because the Company is unable to predict with a reasonable degree of certainty the exact timing and impact of such items. The unavailable information could have a significant impact on the Company's full-year 2026 GAAP financial results. This forward looking information provides guidance to investors about the Company's 2026 Outlook excluding unusual items that the Company does not believe is reflective of its ongoing operations.

Free Cash Flow

The Company calculates a non-GAAP measure of free cash flow that is defined as Net cash provided by operating activities less Capital expenditures, net of proceeds from sale of capital assets. The Company believes this measure provides management and investors further useful information on cash generation in our primary operations. The following table reconciles Net cash provided by operating activities to free cash flow (in millions):

Three Months Ended

June 30,

2026

2025

Net cash provided by operating activities

$ 128

$ 102

Capital expenditures, net of proceeds from sale of capital assets

(27)

(24)

Free cash flow

$ 101

$ 78

GAAP to Non-GAAP Reconciliation: Q2 2026

Q2 2026

GAAP

Restructuring

and Other

Deal related

Purchase

Price

Accounting

Tax

Q2 2026

Adjusted

(non-GAAP)

Net Sales

$

2,238

$

2,238

Gross Profit (Loss)

444

4

(11)

437

% of Sales

19.8 %

19.5 %

SG&A

(209)

3

12

2

(192)

Amortization of Purchased Intangibles

(48)

48

SG&A % of Sales

(9.3 %)

(8.6 %)

Operating Profit

$

187

7

12

39

$

245

Operating Margin

8.4 %

10.9 %

Net Interest (Expense)

(45)

(45)

Other (Expense) - Net

(3)

(3)

Income Before Income Taxes

139

7

12

39

197

(Provision For) Benefit From Income Taxes

(29)

(2)

(3)

(9)

2

(41)

Effective Tax Rate

20.6 %

20.7 %

Net Income

$

110

5

9

30

2

$

156

Earnings per Share

$

0.96

$ 0.04

$ 0.09

$ 0.26

$ 0.02

$

1.37

GAAP to Non-GAAP Reconciliation: Q2 2025

Q2 2025

GAAP

Restructuring

and Other

Deal Related

Purchase

Price

Accounting

Equity

Security

Related

Tax

Q2 2025

Adjusted

(non-GAAP)

Net Sales

$

1,487

$

1,487

Gross Profit

308

7

3

318

% of Sales

20.7 %

21.4 %

SG&A

(162)

5

3

(154)

Amortization of Purchased Intangibles

(17)

17

SG&A % of Sales

(10.9 %)

(10.4 %)

Operating Profit

$

129

12

3

20

$

164

Operating Margin

8.7 %

11.0 %

Net Interest (Expense)

(42)

(42)

Other Income (Expense) - Net

2

1

(5)

(2)

Income (Loss) Before Income Taxes

89

12

4

20

(5)

120

(Provision For) Benefit From Income Taxes

(17)

(3)

(1)

(5)

2

2

(22)

Effective Tax Rate

18.5 %

18.3 %

Net Income (Loss)

$

72

9

3

15

(3)

2

$

98

Earnings (Loss) per Share

$

1.09

$ 0.14

$ 0.05

$ 0.23

$ (0.05)

$ 0.03

$

1.49

GAAP to Non-GAAP Reconciliation: YTD Q2 2026

YTD Q2 2026

GAAP

Restructuring

and Other

Deal related

Purchase

Price

Accounting

Divestitures

Tax

YTD Q2 2026

Adjusted

(non-GAAP)

Net Sales

$

3,972

$

3,972

Gross Profit

651

4

107

762

% of Sales

16.4 %

19.2 %

SG&A

(451)

4

80

3

(3)

(367)

Amortization of Purchased Intangibles

(95)

95

SG&A % of Sales

(11.4 %)

(9.2 %)

Operating Profit (Loss)

$

105

8

80

205

(3)

$

395

Operating Margin

2.6 %

9.9 %

Net Interest (Expense)

(88)

(88)

Other (Expense) - Net

(4)

(4)

Income (Loss) Before Income Taxes

13

8

80

205

(3)

303

Benefit From (Provision For) Income Taxes

4

(2)

(13)

(48)

1

6

(52)

Effective Tax Rate

(37.4 %)

17.3 %

Income (Loss) from Continuing Operations

$

17

6

67

157

(2)

6

$

251

Earnings (Loss) per Share

$

0.16

$ 0.06

$ 0.63

$ 1.49

$ (0.02)

$ 0.06

$

2.38

GAAP to Non-GAAP Reconciliation: YTD Q2 2025

YTD Q2 2025

GAAP

Restructuring

and Other 1

Deal Related

Purchase

Price

Accounting

Litigation

Related

Equity

Security

Related

Tax

YTD Q2 2025

Adjusted

(non-GAAP)

Net Sales

$

2,716

$

2,716

Gross Profit

556

9

6

571

% of Sales

20.5 %

21.0 %

SG&A

(323)

9

8

1

10

(295)

Amortization of Purchased Intangibles

(35)

35

SG&A % of Sales

(11.9 %)

(10.9 %)

Operating Profit

$

198

18

8

42

10

$

276

Operating Margin

7.3 %

10.1 %

Net Interest (Expense)

(83)

(83)

Other Income (Expense) - Net

2

(5)

(3)

Income (Loss) Before Income Taxes

115

18

10

42

10

(5)

190

(Provision For) Benefit From Income Taxes

(22)

(4)

(2)

(10)

(2)

1

2

(37)

Effective Tax Rate

18.9 %

19.3 %

Net Income (Loss)

$

93

14

8

32

8

(4)

2

$

153

Earnings (Loss) per Share

$

1.40

$ 0.22

$ 0.12

$ 0.48

$ 0.12

$ (0.06)

$ 0.03

$

2.31

1Includes previously disclosed adjustments in Q1 2025 pertaining to Accelerated vesting / Severance and Tariff related activity

Segment Operating Profit and Adjusted Operating Profit: Q2 2026 and Q2 2025

Three Months Ended

June 30,

2026

2025

ES

MP

SV

Aerials

ES

MP

Aerials

Operating Profit

$ 55

$ 82

$ 73

$ 25

$ 61

$ 49

$ 46

Restructuring and Other

7

9

3

Purchase Price Accounting

20

15

21

Adjusted Operating Profit

$ 75

$ 82

$ 88

$ 32

$ 82

$ 58

$ 49

Net Sales

$ 456

$ 464

$ 650

$ 673

$ 430

$ 454

$ 607

OP Margin %

12.1 %

17.6 %

11.2 %

3.7 %

14.2 %

10.8 %

7.6 %

Adjusted OP Margin %

16.5 %

17.6 %

13.6 %

4.7 %

19.1 %

12.7 %

8.0 %

Segment Operating Profit and Adjusted Operating Profit: YTD Q2 2026 and Q2 2025

Six Months Ended

June 30,

2026

2025

ES

MP

SV

Aerials

ES

MP

Aerials

Operating Profit (Loss)

$ 104

$ 145

$ (15)

$ 18

$ 117

$ 85

$ 49

Restructuring and Other

1

7

11

3

Purchase Price Accounting

40

159

42

Litigation Related

10

Divestitures

(5)

2

Adjusted Operating Profit

$ 145

$ 140

$ 146

$ 25

$ 159

$ 96

$ 62

Net Sales

$ 867

$ 883

$ 1,086

$ 1,142

$ 829

$ 836

$ 1,057

OP Margin %

12.0 %

16.4 %

(1.4 %)

1.6 %

14.1 %

10.2 %

4.6 %

Adjusted OP Margin %

16.7 %

15.9 %

13.5 %

2.2 %

19.2 %

11.5 %

5.9 %

Reconciliation of Q2 2026 Pro Forma Net Sales Performance

Three Months Ended

June 30,

2026 Net Sales (as reported)

$ 2,238

2025 Net Sales (as reported)

1,487

Less: MP Cranes Impact 1

(36)

Plus: Specialty Vehicles

612

2025 Net Sales (pro forma)

$ 2,063

Pro Forma YoY Change in Net Sales

$ 175

8.5 %

1 The Adjusted EBITDA impact from the divested MP Cranes business was $2 million for the three months ended June 30, 2025

EBITDA

EBITDA is defined as earnings, before interest, other non-operating income (loss), income (loss) attributable to non-controlling interest, taxes, depreciation and amortization. The Company calculates this by subtracting the following items from Net income (loss): (Gain) loss on disposition of discontinued operations- net of tax; and (Income) loss from discontinued operations – net of tax. Then adds the Provision for (benefit from) income taxes; Interest & Other (Income) Expense; the Depreciation and Amortization amounts reported in the Consolidated Statement of Cash Flows less amortization of debt issuance costs that are recorded in Interest expense. Adjusted EBITDA is defined as EBITDA plus certain SG&A and other income/expenses.

Terex believes that disclosure of EBITDA and Adjusted EBITDA will be helpful to those reviewing its performance, as EBITDA provides information on Terex's ability to meet debt service, capital expenditure and working capital requirements, and is also an indicator of profitability.

EBITDA and Adjusted EBITDA: Q2 2026 QTD

Three Months Ended

June 30, 2026

ES

MP

SV

Aerials

Corporate and

Other / Elims

Total

Net income (loss) 1

$ 55

$ 79

$ 69

$ 25

$ (118)

$ 110

Provision for (benefit from) income taxes

29

29

Interest income

(5)

(5)

Interest expense

3

4

43

50

Other (expense) income - net

3

3

Operating Profit (Loss)

$ 55

$ 82

$ 73

$ 25

$ (48)

$ 187

Depreciation 2

5

4

7

6

4

26

Amortization 2

20

1

35

3

59

Non-Cash Interest Costs

(2)

(2)

EBITDA

80

87

115

31

(43)

270

Restructuring and Other

7

7

Deal Related

12

12

Purchase Price Accounting

(21)

1

(20)

Adjusted EBITDA

$ 80

$ 87

$ 94

$ 38

$ (30)

$ 269

Net Sales

$ 456

$ 464

$ 650

$ 673

$ (5)

$ 2,238

EBITDA Margin %

17.5 %

18.8 %

17.8 %

4.7 %

*

12.1 %

Adjusted EBITDA Margin %

17.5 %

18.8 %

14.5 %

5.7 %

*

12.0 %

1 Management does not allocate income taxes, interest costs incurred at the Corporate level, and certain other Corporate items to the segments.

2 These line items include $1 million of depreciation and $55 million of amortization within the ES and SV segments related to purchase price accounting.

EBITDA and Adjusted EBITDA: Q2 2025 QTD

Three Months Ended

June 30, 2025

ES

MP

Aerials

Corporate and

Other / Elims

Total

Net income (loss) 1

$ 61

$ 46

$ 45

$ (80)

$ 72

Provision for (benefit from) income taxes

17

17

Interest income

(2)

(2)

Interest expense

3

41

44

Other (expense) income - net

1

(3)

(2)

Operating Profit (Loss)

$ 61

$ 49

$ 46

$ (27)

$ 129

Depreciation

4

4

6

3

17

Amortization 2

20

2

22

Non-Cash Interest Costs

(2)

(2)

EBITDA

85

53

52

(24)

166

Restructuring and Other

9

3

12

Deal Related

3

3

Purchase Price Accounting

1

1

Adjusted EBITDA

$ 86

$ 62

$ 55

$ (21)

$ 182

Net Sales

$ 430

$ 454

$ 607

$ (4)

$ 1,487

EBITDA Margin %

19.8 %

11.9 %

8.7 %

*

11.2 %

Adjusted EBITDA Margin %

20.0 %

13.8 %

9.1 %

*

12.2 %

1 Management does not allocate income taxes, interest costs incurred at the Corporate level, and certain other Corporate items to the segments.

2 This line item includes $20 million of amortization within the ES segment related to purchase price accounting.

EBITDA and Adjusted EBITDA: Q2 2026 YTD

Six Months Ended

June 30, 2026

ES

MP

SV

Aerials

Corporate and

Other / Elims

Total

Net income (loss) 1

$ 104

$ 138

$ (22)

$ 17

$ (216)

$ 21

Gain on disposition of discontinued operations - net of tax

(4)

(4)

Provision for (benefit from) income taxes

(4)

(4)

Interest income

(9)

(9)

Interest expense

7

7

83

97

Other (expense) income - net

1

3

4

Operating Profit (Loss)

$ 104

$ 145

$ (15)

$ 18

$ (147)

$ 105

Depreciation 2

9

9

11

14

6

49

Amortization 2

40

1

67

5

113

Non-Cash Interest Costs

(4)

(4)

EBITDA

153

155

63

32

(140)

263

Restructuring and Other

1

7

8

Deal Related

80

80

Purchase Price Accounting

91

3

94

Divestitures

(5)

2

(3)

Adjusted EBITDA

$ 154

$ 150

$ 156

$ 39

$ (57)

$ 442

Net Sales

$ 867

$ 883

$ 1,086

$ 1,142

$ (6)

$ 3,972

EBITDA Margin %

17.6 %

17.6 %

5.8 %

2.8 %

*

6.6 %

Adjusted EBITDA Margin %

17.7 %

17.0 %

14.4 %

3.4 %

*

11.1 %

1 Management does not allocate income taxes, interest costs incurred at the Corporate level, and certain other Corporate items to the segments.

2 These line items include $1 million of depreciation and $107 million of amortization within the ES and SV segments related to purchase price accounting.

EBITDA and Adjusted EBITDA: Q2 2025 YTD

Six Months Ended

June 30, 2025

ES

MP

Aerials

Corporate and

Other / Elims

Total

Net income (loss) 1

$ 117

$ 78

$ 48

$ (150)

$ 93

Provision for (benefit from) income taxes

22

22

Interest income

(4)

(4)

Interest expense

7

80

87

Other (expense) income - net

1

(1)

Operating Profit (Loss)

$ 117

$ 85

$ 49

$ (53)

$ 198

Depreciation

8

8

13

4

33

Amortization 2

40

1

4

45

Non-Cash Interest Costs

(4)

(4)

EBITDA

165

94

62

(49)

272

Restructuring and Other

11

3

4

18

Deal Related

8

8

Purchase Price Accounting

2

2

Litigation Related

10

10

Adjusted EBITDA

$ 167

$ 105

$ 75

$ (37)

$ 310

Net Sales

$ 829

$ 836

$ 1,057

$ (6)

$ 2,716

EBITDA Margin %

19.9 %

11.4 %

5.8 %

*

10.0 %

Adjusted EBITDA Margin %

20.2 %

12.6 %

7.1 %

*

11.4 %

1 Management does not allocate income taxes, interest costs incurred at the Corporate level, and certain other Corporate items to the segments.

2 This line item includes $40 million of amortization within the ES segment related to purchase price accounting.

Reconciliation of Q2 2026 Pro Forma Adjusted EBITDA Performance

Three Months Ended

June 30,

2026 Adjusted EBITDA (as reported)

$ 269

2025 Adjusted EBITDA (as reported)

182

Less: MP Cranes

(2)

Plus: Legacy REV Corporate / Other

(13)

Plus: Specialty Vehicles

76

2025 Adjusted EBITDA (pro forma)

$ 243

Pro Forma YoY Change in Adjusted EBITDA

$ 26

10.7 %

SOURCE Terex Corporation