Slower market hits Genie sales

Euan Youdale Editor, Access International

07 February 2025

Net sales were 13.2% down in the fourth quarter at Terex’s Aerial Work Platform (AWP) division, which includes Genie and Terex Utilities, as the company faces slower market conditions in North America.

Sales reached $573 million for the final quarter of Terex AWP’s 2024 financial, representing a drop of $87 million compared to the same period last year.

Income from operations stood at $18 million in the fourth quarter, compared to $61 million, or 9.2% of net sales in the prior year

The all electric Genie S-85 XC E made its debut at the ARA Show. (Photo: Genie).

The softening of the market towards the end of the year is reflected in Terex AWP’s full year results, which shows a 2.5% rise in net sales to $3 billion overall. Although income from operations was down year-on-year from $371 million in the company’s 2023 financial year to $342 million in 2024.

Terex President and CEO Simon Meester, said, “Our legacy businesses adapted quickly to industry-wide channel adjustments in the second half of the year, reducing costs and stepping down production levels to align with demand.”

The company added that margins at Genie have been impacted by aggressive production cuts, product moves, and unfavourable mix in aerials.

Production strategy

In response Genie is continuing to adapt its manufacturing footprint and drive operational efficiency, which has included optimising the company’s locations in Mexico, Italy and China, as well as introducing new products aimed at maximizing return on investment.

The Utilities segment saw a more positive figure, said the company. “We expect the industry-wide channel dynamics that impacted our Aerials and MP (Material Processing) businesses in the back half of 2024 to carry into the first half of 2025. We also expect ESG (Environmental Solutions Group) and Terex Utilities to carry strong momentum into 2025 and continue to grow,” added Meester.

ESG made a strong contribution in the fourth quarter, following the Terex’s 2024 acquisition of the company in the fourth quarter.

Julie Beck, Senior Vice President and Chief Financial Officer of Terex, added, “Our Q4 results were largely in line with our expectations as channel adjustments impacted our legacy businesses and ESG was immediately accretive following the completion of the acquisition early in the quarter. We continue to maintain a flexible balance sheet, and will focus on deleveraging, investing in our businesses and returning capital to shareholders in 2025.”