Terex Aerial Work Platforms (AWP), which includes Genie and Terex Utilities, reported a -14% decrease in sales for the fourth quarter and an overall decrease in AWP sales of -4% for the year.
The Terex AWP business segment reported net sales of $628 million for the fourth quarter, down from $729 million during Q3 2018. For the full year, reported AWP sales were $2.2 billion, down from 2018’s $2.3 billion.
Global Terex AWP backlog totaled $494 million and bookings in the quarter were $367 million.
“It has become clear that we are in a softening environment for industrial equipment,” stated John Garrison, Terex chairman and CEO. “Demand in the major markets for Aerial Work Platforms (AWP) has declined, putting pressure on sales. We reduced AWP production in the third quarter and have made further reductions in the fourth quarter to align with the market, which is impacting margins.”
Matt Fearon, Genie president, Terex AWP, said, “At every point in the equipment cycle, our global teams focus on meeting the needs of our customers. While we are taking steps to align production levels and cost structure with the current environment, we will continue to invest in product development, innovation and technology that enhances our value proposition with our customers.
“I am encouraged by our performance in China where growth continues to be driven by customers adopting our advanced products, and we are excited about our long-term growth prospects across the Asia-Pacific region.
“The Terex Utilities team continues to execute well in a more stable market environment, and the new, state-of-the-art manufacturing facility that we are building in Watertown, S.D., remains on schedule.”
Garrison added, “Looking at the global market environment, it has become clear that we are in a softening environment for industrial equipment, which is putting pressure on our global sales and booking levels.”