Terex announces third quarter 2018 results
Terex Corporation has announced third quarter 2018 income from continuing operations of $38.4 million, or $0.51 per share, on net sales of $1.2 billion. In the third quarter of 2017, the reported income from continuing operations, which benefited from a non-recurring interim period tax adjustment, was $56.6 million, or $0.63 per share, on net sales of $1.1 billion. Income from continuing operations, as adjusted, for the third quarter of 2018 was $51.4 million, or $0.68 per share. This compares to income from continuing operations, as adjusted, of $45.0 million or $0.50 per share in the third quarter of 2017. The Glossary at the end of this press release contains further details regarding these non-GAAP measures.
“We continue to see strong global demand for our products,” stated John L. Garrison, Terex Chairman and CEO. “We increased sales, bookings, and backlog in the quarter. AWP bookings grew by 50% to $601 million, reflecting continued strong demand for AWP products across all our major regions. Overall backlog increased by 41% to $1.6 billion, led by a 72% increase in MP.”
“AWP continues to execute well, meeting growing customer demand and improving operating margins despite input cost headwinds including tariffs,” Mr. Garrison continued. “MP had another excellent quarter. It improved its operating margin again, as it continues to execute very well across its portfolio of businesses.”
Mr. Garrison added, “As a result of supply chain challenges our mobile crane operations did not achieve its production plan. That led to lower Cranes revenue and margin in the quarter which impacts our outlook for the full year.”
“We continue to implement our Execute to Win priorities,” commented Mr. Garrison. “We are seeing benefits from our Commercial Excellence initiative in our market performance and executing plans in Strategic Sourcing and Lifecycle Solutions designed to significantly improve future performance.”
Mr. Garrison concluded, “We are updating our full year 2018 adjusted EPS guidance to $2.60 to $2.70. While our global markets remain strong, this guidance reflects our third quarter results, updated production plan in Cranes, higher input costs, including tariffs, and anticipated foreign exchange headwinds.”