Terex Reports Second-Quarter Loss
By Mike Brezonick03 August 2020
Terex Corp. announced a second quarter 2020 loss from continuing operations of $3.2 million on net sales of $690.5 million. In the second quarter of 2019, the reported income from continuing operations was $81.6 million on net sales of $1.3 billion. This compares to income from continuing operations, as adjusted in the second quarter of 2019.
“While the COVID-19 pandemic continues, global economic activity has gradually recovered but remains below pre-COVID-19 levels,” said John L. Garrison, Jr., Terex chairman and CEO. “In response to lower customer demand, we are closely aligning our production plans.
“Aerial Work Platforms (AWP) rapidly reduced Aerials production in response to lower customer bookings in North America and Europe but saw commercial demand return in China. In addition, the Utilities team has moved into its new, state-of-the-art facility, which will improve production efficiency and enable future growth.”
“Materials Processing (MP) demonstrated strong execution by delivering high single digit operating margin despite significantly lower demand in commercial end markets. MP continues to position its business for future growth by expanding into new geographies and delivering innovative, new products.”
Based on the company’s current expectations of the markets for the remainder of 2020, the company anticipates sales in the second half of 2020 to be similar to the first half of the year. Although the full severity and duration of the global pandemic is unknown, it is anticipated that our operating results will continue to be impacted.
“While the economic outlook remains uncertain, by producing in-line with customer demand and aggressively managing costs, Terex is confident it will successfully navigate these challenging times,” Garrison said.