NORWALK,
Conn., Sept. 19, 2024 /PRNewswire/ -- Terex
Corporation (NYSE: TEX) today announced that it is updating its
2024 outlook. Full-year 2024 adjusted earnings per share, excluding
the benefit of the recently announced Environmental Solutions Group
(ESG) acquisition, is now expected to be between $5.80 and $6.20 on
revenue of $4.85 to $5.05 billion.
"Our channels globally made adjustments faster than we
anticipated, resulting in lower than expected sales volume. In AWP,
customers reduced planned deliveries to align their fleet
configuration with seasonal rental demand. On the MP side, dealers
adjusted their inventory levels as end users gauge the macro
environment," commented Simon
Meester, President and Chief Executive Officer. "Long-term
mega trends remain intact but over the near-term we will continue
to take action to align our cost structure and production plans
accordingly."
Mr. Meester added, "We anticipate closing the ESG acquisition
early in Q4, which represents a significant step for Terex. ESG
further reduces our cyclicality, is immediately financially
accretive, adds meaningful scale and offers operational and
commercial synergies with both MP and AWP. We are expecting ESG to
generate approximately $45 million of
Adjusted EBITDA in Q4, which is consistent with our prior
expectations."
Terex will host a conference call to review its third quarter
2024 financial results on Wednesday, October
30, 2024 at 8:30 a.m. Eastern
Time. Simon Meester,
President and Chief Executive Officer, and Julie Beck, Senior Vice President and Chief
Financial Officer, will host the call.
The Company's financial results will be issued and available at
https://investors.terex.com before the call on Wednesday, October 30, 2024.
Participants are encouraged to access the webcast 15 minutes
prior to the starting time. The webcast will be available for
replay at https://investors.terex.com.
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 and the Private Securities Litigation Reform Act of
1995) regarding future events or Terex's future financial
performance that involve certain contingencies and uncertainties,
including those discussed in the Company's Annual Report on Form
10-K for the year ended December 31,
2023, and subsequent reports the Company files with the U.S.
Securities and Exchange Commission from time to time, in the
sections 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. The Company has 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. Actual
events or the actual future results of Terex may differ materially
from any forward-looking statement due to these and other risks,
uncertainties and material factors. The forward-looking statements
speak only as of the date of this release. Terex expressly
disclaims any obligation or undertaking to release publicly any
updates or revisions to any forward-looking statement included in
this release to reflect any changes in expectations with regard
thereto or any changes in events, conditions, or circumstances on
which any such statement is based.
About Terex
Terex is a global manufacturer of
materials processing machinery and aerial work platforms. We
design, build and support products used in maintenance,
manufacturing, energy, recycling, minerals and materials
management, and construction applications. Certain Terex products
and solutions enable customers to reduce their impact on the
environment including electric and hybrid offerings that deliver
quiet and emission-free performance, products that support
renewable energy, and products that aid in the recovery of useful
materials from various types of waste. Our products are
manufactured in North America,
Europe, Australia and Asia and sold worldwide. We engage with
customers through all stages of the product life cycle, from
initial specification to parts and service support. We report our
business in the following segments: (i) Materials Processing and
(ii) Aerial Work Platforms.
Contact Information
Derek Everitt
VP Investor Relations
Email:
InvestorRelations@Terex.com
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.
2024 Outlook
The Company's 2024 outlook for adjusted earnings per share is a
non-GAAP financial measure because it excludes the impact of the
ESG acquisition, potential future acquisitions, divestitures,
restructuring, and other unusual items. The Company is not able to
reconcile this forward-looking non-GAAP financial measure to its
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 2024 GAAP financial
results. This forward-looking information provides guidance to
investors about the Company's earnings per share expectations
excluding unusual items that the Company does not believe are
reflective of its ongoing operations.
Adjusted EBITDA
EBITDA is defined as earnings, before interest, other non-operating
income (loss), income (loss) attributable to non-controlling
interest, taxes, depreciation and amortization. he 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 calculated by adding
items to EBITDA such as equipment warranty normalization, E&O
normalization, non-operational expense items and non-recurring
restructuring costs.
The Company is not able to reconcile this forward-looking
non-GAAP financial measure to its 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 ESG's
GAAP financial results. This forward-looking information provides
guidance to investors about ESG's performance in the fourth quarter
of 2024.
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SOURCE Terex Corporation