Terex Reports First Quarter 2026 Results

Terex Reports First Quarter 2026 Results NORWALK, Conn., May 1, 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 first quarter 2026.

CEO Commentary

"We are off to a good start and executing to plan, including the first 58 days with REV Group in our portfolio, now operating as our Specialty Vehicles (SV) segment, which made a meaningful contribution in the quarter. Our quarter-end backlog of $7.1 billion, supported by strong booking trends in Materials Processing, Aerials, and Terex Utilities, provides solid forward visibility. As a result, we are reiterating our full-year outlook," said Simon Meester, Terex President and Chief Executive Officer. "We continue to execute our strategy, including the integration of REV. We remain on track to deliver approximately $28 million of synergies in 2026 through the elimination of duplicate overhead and to achieve the full $75 million run-rate within our 24 month target."

First Quarter Operational and Financial Highlights

Business Segment Review

Environmental Solutions

Materials Processing

Specialty Vehicles

Aerials

Balance Sheet and Liquidity

CFO Commentary

"Our overall first quarter operational financial results were consistent with our expectations. Adjusted EPS for the quarter of $0.98 which included approximately $0.10 of tax favorability when the Q1 rate is compared to our 2026 full year expected tax rate of 21%. Our operational EPS improvement was $0.05 compared to last year. Notably our current Q1 EPS is based on 96.1 million diluted weighted average shares outstanding, up from 66.9 million diluted weighted average shares outstanding in the first quarter of 2025," commented Jennifer Kong-Picarello, Senior Vice President and Chief Financial Officer. "I was also pleased with our net working capital efficiency improvement in the quarter which decreased to 16.7%, down 930 basis points compared with the prior year largely due to the addition of Specialty Vehicles. Looking ahead, we are confirming our full year outlook, which includes the impact of the recent change in 232 tariffs which is expected to be negligible as the vast majority of our US sales are manufactured in the US."

2026 Outlook

With Q1 operational performance in line with our expectations, $7.1 billion in backlog, and end markets trending as anticipated, we are reiterating our full year outlook. We expect 2026 sales to grow ~5% on a pro forma 14 basis to $7.5 to $8.1 billion. We expect EBITDA to grow by ~$100 million or ~12% year over year on a pro forma 14 basis to between $930 million and $1 billion, or 12.4% EBITDA margin at the mid-point. The EPS outlook of $4.50 - $5.00 includes the following assumptions/commentary:

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

Net Sales 3

$7.5B - $8.1B

EBITDA 1

$930M - $1B

EPS 1,2

$4.50 - $5.00

FCF Conversion 15

80% - 90%

Segment Net Sales Outlook 5

Prior Year Baseline

2026

Environmental Solutions

$1,691

MSD

Materials Processing 8

$1,578

HSD

Specialty Vehicles 9

$2,179

HSD

Aerials

$2,060

Flat

Figures in millions

MSD = revenue up mid single-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 Friday, May 1, 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 ~111 million; Q2-Q4 share count ~115 million

3 Legacy sales expected to increase by 4% 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, EBITDA 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 ~$190 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.

15 Based on net income as adjusted.

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

Derek Everitt

VP Investor Relations

Email: [email protected]

TEREX CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME

(unaudited)

(in millions, except per share data)

Three Months Ended

March 31,

2026

2025

Net sales

1,734

1,229

Cost of goods sold

(1,528)

(982)

Gross profit

206

247

Selling, general and administrative expenses

(241)

(161)

Amortization of purchased intangibles

(47)

(17)

Operating (loss) profit

(82)

Other income (expense)

Interest income

Interest expense

(47)

(43)

Other expense – net

(1)

(2)

(Loss) income before income taxes

(126)

Benefit from (provision for) income taxes

(5)

(Loss) income from continuing operations

(93)

Gain on disposition of discontinued operations – net of tax

—

Net (loss) income

(89)

Basic (loss) earnings per share

(Loss) income from continuing operations

(0.97)

0.32

Gain on disposition of discontinued operations – net of tax

0.04

—

Net (loss) income

(0.93)

0.32

Diluted (loss) earnings per share:

(Loss) income from continuing operations

(0.97)

0.31

Gain on disposition of discontinued operations – net of tax

0.04

—

Net (loss) income

(0.93)

0.31

Weighted average number of shares outstanding in per share calculation

Basic

96.1

66.3

Diluted

96.1

66.9

Net (loss) income

(89)

Other comprehensive (loss) income

(12)

Comprehensive (loss) income

(101)

TEREX CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEET

(unaudited)

(in millions, except par value)

March 31, 2026

December 31, 2025

Assets

Current assets

Cash and cash equivalents

392

772

Other current assets

2,779

1,953

Total current assets

3,171

2,725

Non-current assets

Property, plant and equipment – net

935

760

Other non-current assets

6,082

2,654

Total non-current assets

7,017

3,414

Total assets

10,188

6,139

Liabilities and Stockholders' Equity

Current liabilities

Current portion of long-term debt

Other current liabilities

1,720

1,181

Total current liabilities

1,724

1,187

Non-current liabilities

Long-term debt, less current portion

2,745

2,578

Other non-current liabilities

897

279

Total non-current liabilities

3,642

2,857

Total liabilities

5,366

4,044

Total stockholders' equity

4,822

2,095

Total liabilities and stockholders' equity

10,188

6,139

TEREX CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(unaudited)

(in millions)

Three Months Ended

March 31,

2026

2025

Operating Activities

Net (loss) income

(89)

Depreciation and amortization

Changes in operating assets and liabilities and non-cash charges

(19)

(81)

Net cash used in operating activities

(31)

(21)

Investing Activities

Capital expenditures

(26)

(36)

Other investing activities, net

(441)

Net cash used in investing activities

(467)

(26)

Financing Activities

Net cash provided by (used in) financing activities

122

(50)

Effect of Exchange Rate Changes on Cash and Cash Equivalents

(4)

Net Decrease in Cash and Cash Equivalents

(380)

(90)

Cash and Cash Equivalents at Beginning of Period

772

388

Cash and Cash Equivalents at End of Period

392

298

TEREX CORPORATION AND SUBSIDIARIES

SEGMENT RESULTS DISCLOSURE

(unaudited)

(in millions)

2026

2025

% of

Net

Sales

Net

Sales

Consolidated

Net sales

1,734

1,229

Adjusted EBITDA

173

9.9 %

128

10.4 %

Net sales

412

399

Adjusted EBITDA

18.0 %

20.3 %

Net sales

419

382

Adjusted EBITDA

15.0 %

11.2 %

Net sales

436

—

Adjusted EBITDA

14.2 %

—

Aerials

Net sales

469

450

Adjusted EBITDA

—

0.1 %

4.4 %

Corp and Other /

Eliminations

Net sales

(2)

Adjusted EBITDA

(26)

(16)

* 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 March 31, 2026, unless otherwise indicated.

2026 Outlook

The Company's 2026 outlook for segment operating margin, earnings per share, EBITDA, free cash flow, and free cash flow conversion 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 (used in) 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 or use in our primary operations and the efficiency with which the Company converts earnings into cash. The following table reconciles Net cash provided by (used in) operating activities to free cash flow (in millions):

Three Months Ended

March 31,

2026

2025

Net cash used in operating activities

$ (31)

$ (21)

Capital expenditures, net of proceeds from sale of

capital assets

(26)

(34)

Free cash (outflow)

$ (57)

$ (55)

GAAP to Non-GAAP Reconciliation: Q1 2026

Q1 2026

GAAP

Restructuring

and Other

Deal related

Purchase

Price

Accounting

Divestitures

Tax

Q1 2026

Adjusted

(non-GAAP)

Net Sales

1,734

—

1,734

Gross Profit

206

—

118

—

325

% of Sales

11.9 %

18.8 %

SG&A

(241)

—

(3)

—

(175)

Amortization of Purchased

Intangibles

(47)

—

SG&A % of Sales

(13.9 %)

(10.1 %)

Operating (Loss) Profit

(82)

166

(3)

—

150

Operating Margin

(4.7 %)

8.6 %

Net Interest (Expense) Income

(43)

—

(43)

Other (Expense) Income - Net

(1)

—

(1)

(Loss) Income Before Income

Taxes

(126)

166

(3)

—

106

Benefit From (Provision for)

Income Taxes

—

(10)

(39)

(12)

Effective Tax Rate

26.5 %

11.0 %

(Loss) Income from

Continuing Operations

(93)

127

(2)

Earnings (Loss) per Share

from Continuing Operations

(0.97)

$ 0.01

$ 0.61

$ 1.32

$ (0.02)

$ 0.03

0.98

GAAP to Non-GAAP Reconciliation: Q1 2025

Q1 2025

GAAP

Restructuring

and Other 1

Deal Related

Purchase

Price

Accounting

Litigation

Mark to

Market

Q1 2025

Adjusted

(non-GAAP)

Net Sales

1,229

—

1,229

Gross Profit

247

—

253

% of Sales

20.1 %

20.5 %

SG&A

(161)

—

(142)

Amortization of Purchased

Intangibles

(17)

—

SG&A % of Sales

(13.1 %)

(11.6 %)

Operating Profit

—

111

Operating Margin

5.6 %

9.1 %

Net Interest Income (Expense)

(41)

—

(41)

Other Income (Expense) - Net

(2)

—

–

Income (Loss) Before Income

Taxes

(Provision for) Benefit From

Income Taxes

(5)

(1)

(5)

(2)

(1)

(15)

Effective Tax Rate

20.3 %

21.0 %

Net Income (Loss)

—

Earnings (Loss) per Share

0.31

$ 0.07

$ 0.25

$ 0.13

$ —

0.83

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

Segment Operating Profit and Adjusted Operating Profit: Q1 2026 and Q1 2025

Three Months Ended

March 31,

2026

2025

Aerials

Operating Profit

$ 49

$ 63

$ (88)

$ (7)

$ 56

$ 36

$ 2

Restructuring and Other

—

Purchase Price Accounting

—

144

—

Litigation Related

—

Divestitures

—

(5)

—

Adjusted Operating Profit

$ 70

$ 58

$ (7)

$ 77

$ 38

$ 14

Net Sales

$ 412

$ 419

$ 436

$ 469

$ 399

$ 382

$ 450

OP Margin %

11.9 %

15.0 %

(20.2 %)

(1.5 %)

14.0 %

9.4 %

0.4 %

Adjusted OP Margin %

17.0 %

13.8 %

13.3 %

(1.5 %)

19.4 %

10.0 %

3.0 %

Reconciliation of Q1 2026 Pro Forma Net Sales Performance

Three Months Ended

March 31,

2026 Net Sales (as reported)

$ 1,734

2025 Net Sales (as reported)

1,229

Less: MP Cranes Impact 1

(28)

Plus: Specialty Vehicles (Feb 2 - March 31)

364

2025 Net Sales (pro forma)

$ 1,565

Pro Forma YoY Change in Net Sales

$ 169

11 %

1 The Adjusted EBITDA impact from the divested MP Cranes business was $1 million for the three months ended March 31, 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.

Three Months Ended

March 31,

2026

2025

Net (loss) income

$ (89)

$ 21

(Gain) loss on disposition of discontinued operations - net of tax

(4)

—

Income (loss) from continuing operations

(93)

Interest & Other (Income) Expense

Provision for (benefit from) income taxes

(33)

Operating (loss) profit

(82)

Depreciation

Amortization

Non-Cash Interest Costs

(2)

EBITDA

$ (7)

$ 106

Restructuring and Other

Deal Related

Purchase Price Accounting

114

Litigation Related

—

Divestitures

(3)

—

Adjusted EBITDA

$ 173

$ 128

Net Sales

$ 1,734

$ 1,229

EBITDA Margin %

(0.4 %)

8.7 %

Adjusted EBITDA Margin %

9.9 %

10.4 %

Segment EBITDA and Adjusted EBITDA: Q1 2026 and Q1 2025

Three Months Ended

March 31,

2026

2025

Aerials

Net income (loss) 1

$ 49

$ 60

$ (91)

$ (8)

$ 56

$ 33

$ 2

Interest expense

—

Other expense

—

Operating (Loss) Profit

$ 49

$ 63

$ (88)

$ (7)

$ 56

$ 36

$ 2

Depreciation

Amortization

—

EBITDA

(53)

—

Restructuring and Other

—

Purchase Price Accounting

—

113

—

Litigation Related

—

Divestitures

—

(5)

—

Adjusted EBITDA

$ 74

$ 63

$ 62

$ —

$ 81

$ 43

$ 20

Net Sales

$ 412

$ 419

$ 436

$ 469

$ 399

$ 382

$ 450

EBITDA Margin %

17.7 %

16.2 %

(12.2 %)

0.1 %

20.1 %

10.8 %

1.8 %

Adjusted EBITDA Margin %

18.0 %

15.0 %

14.2 %

0.1 %

20.3 %

11.2 %

4.4 %

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

SOURCE Terex Corporation