Companies /Industrials

Terex Corp

NYSE: TEX Farm & Heavy Construction Machinery
$58.33
▲ $0.45 (+0.77%) today
Markets open · 3:24pm ET

Q3 2025 Earnings

Reported Oct 30, 2025, 7:34am ET · SEC source
$1.50
Beat +24.46%
EPS · est. $1.21
$1.4B
Miss −1.94%
Revenue · est. $1.4B
−1.7%
Trailing market
TEX vs S&P since report
5 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−18%−12%−6%0Oct 30Oct 31report 7:34am ETearnings−1.1%−15.6%
−18%−12%−6%0Oct 30Oct 31earnings−1.1%−15.6%
TEX −15.6%S&P 500 −1.1%
−18%−12%−6%0Oct 30Oct 31report 7:34am ETearnings−1.3%−15.6%
−18%−12%−6%0Oct 30Oct 31earnings−1.3%−15.6%
TEX −15.6%NASDAQ −1.3%
−16%−8%0+8%Oct 29Nov 7report 7:34am ETearnings−2.8%−14.8%
−16%−8%0+8%Oct 29Nov 7earnings−2.8%−14.8%
TEX −14.8%S&P 500 −2.8%
−16%−8%0+8%Oct 29Nov 7report 7:34am ETearnings−4.3%−14.8%
−16%−8%0+8%Oct 29Nov 7earnings−4.3%−14.8%
TEX −14.8%NASDAQ −4.3%
−15.70%
Day of report
−2.48%
Next session
−2.01%
One week
−1.46%
30 days

S&P 500 over the same 30 days: +0.25%.

Did TEX Beat Earnings? Q3 2025 Results

Terex delivered a strong earnings beat in Q3 2025, posting adjusted EPS of $1.50 against a consensus estimate of $1.21, a 24.46% positive surprise, even as revenue of $1.39 billion came in just shy of the $1.41 billion analysts expected. The top-line result still represented a 14.4% year-over-year gain, powered almost entirely by the Environmental Solutions Group acquisition, which contributed $435 million in sales at an impressive 18.3% adjusted operating margin while legacy segments faced headwinds from softer North American demand and tariff pressures. Aerials sales fell 13.2% to $537 million as rental customers curtailed capital spending, and Materials Processing declined 6.1% to $417 million, reflecting weakness in the concrete business. Free cash flow reached $130 million, representing 200% conversion. Looking ahead, Terex maintained its full-year adjusted EPS guidance of $4.70 to $5.10 and net sales outlook of $5.30 billion to $5.50 billion, though management flagged an estimated $0.70 per share net tariff headwind for the full year, with heavier impacts expected in Q4.

Key Takeaways
  • ESG acquisition contributed incremental revenue and strong margins
  • Environmental Solutions achieved 18.3% adjusted operating margin, up 160 bps on pro forma basis
  • Aerials benefited from $18 million favorable customs-related contingency release
  • Cost reduction actions partially offset volume declines in Aerials and Materials Processing
  • Free cash flow of $130 million with 200% cash conversion rate
  • Bookings grew 57% year over year on a pro forma basis

“We continue to deliver solid financial performance. Environmental Solutions continued to grow and achieve strong margins in line with our expectations. Materials Processing executed in line with our expectations in spite of challenging conditions in some of its markets and Aerials achieved modestly better than expected operating margins.”

Terex CEO, on the earnings call

Forward Guidance & Outlook

Terex maintained its full-year 2025 adjusted EPS outlook of $4.70 to $5.10 and net sales guidance of $5.3 billion to $5.5 billion, assuming tariffs broadly remain at current rates and reasonable deals are made with key countries. Full-year segment operating margin is expected at approximately 12%, EBITDA of approximately $640 million, and free cash flow of $300 million to $350 million with conversion exceeding 120%. The company expects higher tariff-related costs in Q4 due to expanded Section 232 steel and aluminum tariffs, with full-year net unfavorable tariff impact on EPS of approximately $0.70. Aerials sales are expected to decline low double-digits vs. 2024, Materials Processing down high single-digits, and Environmental Solutions up low double-digits. Legacy sales (excluding ESG) are expected to decline 8%-12% vs. 2024.

TEX YoY Financials

Q3 2025 vs Q3 2024 · SEC filings Q3 2024 Q3 2025
$0$400.0M$800.0M$1.2B$1.2B$1.4BRevenue$245.0M$282.0MGross Profit$122.0M$140.0MOperating Income$88.0M$65.0MNet Income
$0$400.0M$800.0M$1.2BRevenueGross ProfitOperating IncomeNet Income

TEX Revenue by Segment

Aerials$537.0M−13.2%
Specialty Vehicles
Materials Processing$417.0M−6.1%
Environmental Solutions$435.0M+13.6%

Figures from SEC filings and company reports. Not investment advice.