TEX · Terex Corporation

Terex Corporation reported a strong start to 2026, with first quarter results reflecting the immediate impact of the REV Group merger completed on February 2nd. Sales increased 41% on a reported basis to $1.7 billion, while proforma growth stood at 10.8%, led by the new Specialty Vehicles (SV) segment and Materials Processing (MP). The SV segment contributed $436 million in revenue for the two months it was in the portfolio, growing 20% year-over-year. MP also performed well, with sales rising 18.3% on a proforma basis and EBITDA margin expanding 310 basis points to 15%. However, consolidated EBITDA margin contracted 50 basis points to 9.9%, primarily attributed to new tariffs not present in the prior year and a seasonal loss in the Aerials segment. EPS of $0.98 represented an 18% year-over-year increase, though this included a $0.10 one-time tax benefit; operational EPS improved by $0.05 despite tariff headwinds.

Management highlighted the successful integration of REV Group, noting that synergy realization is on track for approximately $28 million in 2026, with a clear path to a $75 million run-rate within 24 months. The company also provided an update on the strategic review of its Aerials business, confirming ongoing engagement with multiple interested parties. With a quarter-ending backlog of $7.1 billion and a 109% book-to-bill ratio, Terex reiterated its full-year 2026 outlook. The company maintains its guidance for proforma sales of $7.5 to $8.1 billion and EPS of $4.50 to $5.00, signaling confidence in the resilience of its portfolio despite complex macroeconomic variables.