Delayed CapEx and tariffs impact Genie’s Q2

Terex Corp. announced a decline in Genie’s second-quarter 2025 revenues and operating profit, citing delayed capital expenditure from North American rental companies and “significant tariff rate increases.”

The new Genie S-85 XC FE will be launched at the ARA Show. (Photo: Genie).

For the second quarter, Genie reported net sales of $607 million, a -17.1% or $125 million decrease year-over-year. Operating profit for the quarter was $46 million, down -60% from $115 million during the same period last year.

The company said the decline was due to lower sales volume, an unfavorable customer mix and tariff-related price increases, which were partially offset by cost reduction actions. Terex also noted aerials sales to independent rental customers were down proportionately more than sales to national accounts.

Revenues, order intake, backlog

Looking at the first half of 2025, Genie’s year-to-date revenues for the six months to the end of June fell -22% to $1.06 billion, compared to the same period in 2024. Despite this, however, order intake for the quarter jumped 70% to $310 million, compared to $182 million in the prior year’s second quarter. Year-to-date order intake also saw a healthy increase of 13.3% to $958 million. Genie’s backlog at the end of June rested at $714 million.

Simon Meester.

“Our overall financial performance demonstrates the power of the evolving Terex portfolio,” Terex President and Chief Executive Officer Simon Meester said. “Our Environmental Solutions segment exceeded our outlook for the second quarter with strong sales and margin performance in Environmental Solutions Group and Terex Utilities, more than offsetting industry-wide headwinds in Aerials where independent rental customers deployed less capex than anticipated. The addition of ESG and on-going implementation of our strategy will continue to make Terex a more resilient and predictable performer, well positioned to navigate through this dynamic environment.”

‘Significant’ tariff rate increases

Meester also addressed the impact of tariffs, which have affected the segment’s operating profit.

“As a global company with a significant footprint in the United States and around the world, we have optionality to adapt to various tariff scenarios,” Meester said. “That said, significant tariff rate increases could have a transitory impact on operating margins until mitigation actions are fully deployed. Assuming that tariffs broadly remain at current rates, we maintain our full year EPS outlook of $4.70 to $5.10.”

For the full year, Genie is forecasting revenues in the range of $2.6 to $2.72 billion, representing a -9 to -10% year-on-year decline over 2024.

Terex as a whole saw revenues improve 2% to $2.72 billion compared to the first half of 2024.