Terex Corporation reported net sales of $1.810 billion in the third quarter of 2013, a decrease of 0.6 percent from $1.822 billion in 2013. Despite the increase, the company reported a third-quarter 2013 income from continuing operations of $89.3 million as compared to income from continuing operations of $30.2 million for the third quarter of 2012.
Income from operations was $140.9 million in the third quarter of 2013, an increase of $9 million when compared to income from operations of $131.9 million in the third quarter of 2012. Excluding the impact of certain items in the third quarter of 2012, income from operations as adjusted was approximately $140 million.
"Our third quarter operating results were as we expected but with a better tax rate," said Ron DeFeo, Terex chairman and CEO. "The current environment is mixed overall, and remains challenging to predict. We are seeing strength in early-cycle product categories where demand is mostly replacement driven.”
DeFeo attributes the increase to strong performance in the company’s Aerial Work Platform business, as well as improved performance in the Material Handling and Port Solutions segment.
“Our operating margins have remained consistent. However, we expected 2013 to be a year of significant sales growth, and this has not occurred,” DeFeo said. “Our businesses that have a significant portion of products dependent on non-residential construction have not recovered as quickly as we had expected.”
The company’s net sales forecast was revised down, from between $7.5 billion and $7.7 billion in 2Q, to $7.3 billion to $7.5 billion.