NYSE$TEX

Terex Corporation · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Terex delivered positive results with strong customer demand, increased operating margins, and bookings in both AWP and MP segments. Earnings per share significantly improved compared to last year, and the company increased its earnings and free cash flow outlook for the full year 2021.

Terex reported a strong second quarter with revenues up 50% year-over-year to $1 billion. Operating margins improved dramatically to 11.8%, and the company generated $101 million in positive free cash flow. The company is increasing its earnings and free cash flow outlook for the full-year 2021.

  • Customer demand remained strong during the quarter.
  • Operating margins improved dramatically to 11.8% for the Company.
  • Positive free cash flow was $101 million in the quarter.
  • Earnings per share significantly improved compared to last year.

Headline financials

Total Revenue

$1.04B

Previous: $691M+50.4%
EPS (adj)

$1.02

Previous: -$0.05+2140.0%
Free Cash Flow

$73.9M

Previous: -$9.2M+903.3%
Net Income

$73.9M

Previous: -$9.2M+903.3%
Operating Income

$123M

Previous: $7.4M+1555.4%
Gross Profit

$232M

Previous: $107M+116.2%
Cash & Equivalents

$542M

Previous: $426M+27.3%
Total Assets

$3.07B

Previous: $2.86B+7.1%
Stock-Based Comp

$7.7M

Previous: $4.6M+67.4%

Revenue & EPS history

Terex · Revenue · Quarterly

$1.04B

Q2 2021+50.4%vs Q2 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Terex · $441M total across 1 segment · Q2 2021

  • Materials Processing
    $441M+67.0%

Forward guidance

The company expects continued end-market strength in both segments over the remainder of the year and increasing levels of AWP customer fleet replenishment. Full-year revenue outlook is limited though as a result of the availability of components from our supply chain.

Tailwinds

  • End-markets remain robust over the course of the second quarter.
  • Continued end-market strength in both segments over the remainder of the year.
  • Increasing levels of AWP customer fleet replenishment.
  • Operating profits and margins to increase each quarter year-over-year in 2021.
  • Estimating free cash flow of approximately $200 million.

Headwinds

  • Revenue outlook is limited as a result of the availability of components from our supply chain.
  • The absolute amount of operating profit in the second half of 2021 is expected to be lower than the actual operating profit achieved in the first-half 2021.
  • Corporate and other costs are expected to be slightly higher in the second half versus the first half of the year.
  • Net cost pressures from material cost headwinds.
  • Full-year free cash flow includes approximately $75 million from income and VAT tax refunds, which are not expected to reoccur.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-0.3%

Avg return

Earnings day

-0.8%

Avg return

5 days after

-0.4%

Avg return

30 days after

40%

29 / 72 earnings

Positive

+26.7%

Q2 2012

Best reaction

-10.6%

Q2 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.4%+3.3%-6.5%
Q4 2025+16.6%+16.8%+0.3%
Q3 2025-2.3%-19.3%-19.0%
Q1 2025+9.0%+7.0%+23.7%
Q4 2024-3.1%-5.0%-14.6%
Q3 2024-4.7%-5.6%+1.0%
Q2 2024-10.6%-17.7%-13.6%
Q1 2024-1.6%-6.9%+1.8%
Q4 2023-8.0%-13.9%-8.5%
Q3 2023-2.3%-0.1%+6.5%
Q2 2023+2.1%+1.7%+1.4%
Q1 2023+8.0%+4.1%+3.7%
Q4 2022+11.7%+10.0%+3.4%
Q3 2022+10.6%+5.8%+24.8%
Q2 2022+6.3%+9.5%+1.0%
Q1 2022+0.6%+6.1%+3.2%
Q4 2021-3.8%+0.1%-13.0%
Q3 2021+1.7%+1.7%-2.4%
Q2 2021+1.2%+3.6%+10.9%
Q1 2021+2.3%+7.8%+8.7%
Q4 2020+0.6%+2.5%+20.6%
Q3 2020-0.8%+4.5%+28.6%
Q2 2020-3.1%+0.7%+2.6%
Q1 2020-10.1%-12.4%+3.5%
Q4 2019-8.3%-7.9%-40.1%
Q3 2019-4.4%+3.3%-2.6%
Q2 2019-2.1%-14.0%-28.8%
Q1 2019-3.2%-1.9%-16.5%
Q4 2018+0.2%+7.1%-0.5%
Q3 2018-6.6%-5.1%-1.0%
Q2 2018-6.6%-5.0%-8.7%
Q1 2018+2.7%+6.8%+8.4%
Q4 2017-3.0%-5.1%-10.2%
Q3 2017-3.9%-1.1%+0.2%
Q2 2017-4.5%+0.2%-2.1%
Q1 2017-5.8%-5.2%-3.7%
Q4 2016-1.8%-5.2%-6.5%
Q3 2016-5.2%-4.1%+28.2%
Q2 2016-3.3%+1.5%+0.6%
Q1 2016-1.9%
Q4 2015+8.1%
Q3 2015-0.8%
Q2 2015+0.5%
Q1 2015-1.6%
Q4 2014+6.6%
Q3 2014-10.2%
Q2 2014-7.6%
Q1 2014-0.3%
Q4 2013-3.9%
Q3 2013+0.9%
Q2 2013-3.8%
Q1 2013+1.5%
Q4 2012-7.0%
Q3 2012-5.5%
Q2 2012+26.7%
Q1 2012+2.6%
Q4 2011-2.3%
Q3 2011-0.2%
Q2 2011-10.6%
Q1 2011+1.6%
Q4 2010-7.5%
Q3 2010+3.3%
Q2 2010+7.5%
Q1 2009+1.3%
Q1 2010+6.7%
Q4 2009-2.4%
Q4 2007-2.4%
Q3 2009-2.6%
Q3 2008-2.6%
Q2 2008+8.0%
Q2 2009+8.0%
Q4 2008+8.0%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro