Mega projects give boost to Genie

Strong demand linked to mega projects helped Terex Corp’s Aerials division - the Genie brand - - increase its second quarter revenues by 10.9% to US$673 million. EBITDA profit was down 31% as a result of the impact of US tariffs.

Terex said it was now expecting full-year low double digit growth in the aerials business, which last year generated $2 billion in sales. That compares to the “flat” outlook given three months ago at the end of the first quarter.

The backlog at the aerials business reduced by 13% to $914 million, at the end of June.

The Genie S-85 XC FE. (Photo: Genie).

The increase in aerials sales was the result of higher shipments to large national customers for mega projects - Oshkosh reported the same for JLG in its recent Q2 results - as well as a positive impact from exchange rate changes.

Update on Genie divestment

Simon Meester, Terex president and CEO, gave investor analysts an update on the the possible sale of the Genie business.

He said the business was pleased with the progress it was making on the review and that it had received interest from multiple partners.

He added that Terex did not have a pre-determined timeline for the sale and was focused rather on making the right decision.

Overall group sales were up 50.5% to $2.2 billion, including the REV Group acquisition. Pro forma sales were up 8.5%

On the wider results, Meester said; “Our second quarter performance reflects strength in key businesses, strong execution by our teams, and increasing operational momentum across the company.

“While conditions remain mixed in certain end markets, demand continues to be favourable across most of our significantly improved portfolio”.