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Terex (TEX) investor relations material

Terex Q2 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2025 earnings summary31 Jul, 2025

Executive summary

  • Q2 2025 net sales reached $1.5B, up 7.6–8% year-over-year, with strong Environmental Solutions (ES) performance offsetting Aerials headwinds.

  • Adjusted operating margin was 11.0%, with adjusted EPS of $1.49; GAAP EPS was $1.09.

  • Free cash flow was $78M, up significantly year-over-year, with 108% cash conversion.

  • Backlog remains healthy at $2.2B, supporting a positive second-half outlook.

  • Portfolio strengthened by ESG acquisition, reducing cyclicality and enhancing segment balance.

Financial highlights

  • Q2 2025 net sales were $1.49–$1.5B, up from $1.38B in Q2 2024, driven by ESG acquisition.

  • Adjusted operating profit was $164M (11.0% margin), down from $195M (14.1%) in Q2 2024.

  • Adjusted EBITDA was $182M (12.2% margin); adjusted net income was $98M, or $1.49 per share.

  • Free cash flow for Q2 was $78M, with a 108% conversion rate.

  • ROIC at June 30, 2025 was 12.3%, exceeding cost of capital.

Outlook and guidance

  • Full-year 2025 net sales expected at $5.3–$5.5B; adjusted EPS guidance maintained at $4.70–$5.10.

  • Segment operating margin expected around 12%; free cash flow guidance raised to $300M–$350M.

  • Free cash flow conversion expected above 120%; EBITDA forecasted at $640M.

  • Outlook assumes tariffs remain at current rates and legacy sales to decline 8–12%.

  • Management notes macroeconomic and geopolitical uncertainties could impact results.

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Frequently asked questions

Terex Corporation is a global manufacturer of lifting and material handling equipment used in construction, infrastructure, quarrying, and recycling. The company operates through segments such as aerial work platforms and materials processing, providing machinery and support services to industrial and commercial clients. Its products include cranes, lifts, and crushers. The company is headquartered in Norwalk, Connecticut, and its shares are listed on the NYSE.

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