Terex Utilities will become part of the Terex AWP business segment, which includes the Genie brand, said Terex Corp as it announced good financial results in the fourth quarter and full 2018 year.
The company said Terex Utilities was a natural fit for Genie as both focus on working safely at height. The reorganisation follows Terex’s announcement that it will sell its Demag Mobile Cranes business and discontinue its mobile crane production lines at its Oklahoma City facility.
As a result, the Oklahoma City facility will join Terex AWP, focusing on telehandlers, aerial re-manufacturing and various products for Materials Processing.
The Demag Mobile Cranes business sale, which is subject to government regulatory approvals and other customary closing conditions, is expected to close in mid-2019. Terex will continue to manufacture several specialized crane products, including tower cranes and rough terrain cranes.
Terex AWP has also announced its fourth quarter and full year 2018 results. The segment increased net sales by 19% to $536 million in the quarter 2018 and $2.6 billion for the full year 2018, up 24% compared to 2017.
Results were driven by strong growth in North America and the Asia Pacific region, said the company. Terex AWP entered 2019 with a healthy backlog of $868 million, up 14% on the previous year, or $1.1 billion, up 21%, including Terex Utilities.
Sales for the quarter were down at $26.4 million, or 4.9%, of net sales, compared to $30.3 million in the same period in 2017. But net sales across 2018 were well up at $261, or 10% of sales, up from $170.3 million in 2017, representing a 53.2% increase year-on-year.
“Global markets for aerial work platforms are stable at healthy levels and our dedicated, passionate Terex AWP team will continue to meet the growing demand of our customers around the world,” commented Matt Fearon, Genie President Terex AWP.
“The Genie brand is synonymous with technological leadership and innovation. In 2019, we’re using the ANSI standard change as an opportunity to innovate and add customer value with the Genie XC family of booms that increases platform capacity allowing contractors to safely lift more workers, tools and equipment.”
Terex Corporation group’s fourth quarter 2018 net sales stood at $1.2 billion, up 16% compared to the same period in 2017. For the full year, Terex’s net sales were $5.1 billion, an increase of 18%.
“Overall, our global team executed well in the fourth quarter, completing a strong year for Terex,” said John L. Garrison, Terex Chairman and CEO.
“We also continued investing to improve the experiences of our customers and grow our businesses. We will continue to support all of our customers, including those affected by the changes in our Cranes segment, as we execute our strategy to be a high-performing, customer-focused company.”