Terex Corp. last week announced net second quarter income of $78.8 million, or $1.54 per share, compared to net income of $59.1 million, or $1.17 per share for the second quarter of 2004, a 33 percent increase. Net sales increased to $1.8 billion in Q205, up 32 percent from $1.3 billion for the same period last year. Net debt, consisting of long-term debt, decreased by $139 million in the quarter.
For the first six months of 2005, net sales totaled $3.2 billion, a 35 percent year-over-year leap.
“Terex continues to gain momentum, both in the marketplace and from our internal initiatives,” said chairman and CEO Ron DeFeo. “Our incremental margin [year over year change in income from operations divided by year-over-year change in net sales] in the quarter was 13 percent, well above the 6 percent we achieved in the first quarter of 2005. We have a commitment to fulfilling customer demand and growing our products’ presence in the marketplace while improving operating margin through price realization and enhance manufacturing efficiencies.”
DeFeo expressed strong optimism about Terex’ prospects for the rest of 2005 and beyond, “particularly in profitability, capital structure and the Terex Business System implementation.”
Terex Corp., based in Westport, Conn., had 2004 net sales of about $5 billion. The company operates in five business segments: construction, cranes, aerial work platforms, materials processing and mining; and roadbuilding, utility products and other.