Despite first-quarter 2014 sales virtually identical to that of Q1 2013, Terex Corp. income from continuing operations leaped 69% to $32.6 million, or $0.28 per share. Excluding the impact of certain items totaling $5.8 million, or $0.05 per share, income from continuing operations as adjusted in the first quarter of 2013 was $25.1 million, or $0.22 per share.
Net sales were $1,654.6 million in the first quarter of 2014, flat with the $1,653.7 million in the first quarter of 2013.
"We remain encouraged by the performance of our Aerial Work Platform (AWP) segment, which delivered excellent results in the first quarter,” said Ron DeFeo, Terex chairman and CEO. First-quarter net sales at Terex AWP rose 14.9% to $584.9 million and delivered a similar (13.5%) increase in income from operations. The Terex AWP division, home of the Genie brand, is the largest Terex segment, producing 35% of the company’s sales.
“Performance across our remaining businesses was mixed,” said DeFeo. “The Materials Processing (net sales up 8.5%), Construction (net sales down 7.0%) and Material Handling & Port Solutions (net sales up 8.5%) segments all delivered quarters roughly in-line with our expectations. While both the MHPS and Construction segments had an operating loss in the quarter, we planned for and continue to expect better operating results from these businesses for the balance of 2014. Our Cranes segment had a disappointing first quarter (net sales fell 16.4%), but recent order trends suggest improvements as the year progresses, particularly in the second half of the year.”
“The Company’s overall outlook for 2014 has not changed,” DeFeo added. “We expect continued strength from our AWP segment and improvement from our other segments throughout the remainder of 2014. We reiterate our annual outlook for earnings per share of between $2.50 and $2.80, excluding restructuring and other unusual items, on net sales of between $7.3 billion and $7.7 billion. Terex remains focused on improving profit through organic means, integrating the businesses more thoroughly, and generating free cash flow.”
Press Release: Terex Corp. First-Quarter 2014 Financial Results
