Shares of Terex (TEX), a leading global manufacturer of aerial work platforms, materials processing machinery, and environmental solutions, plummeted 5.07% during intraday trading on Friday, February 7th, 2025, following the company's fourth-quarter 2024 earnings release and 2025 outlook.

The company's Q4 2024 earnings report revealed a mixed performance, with revenue of $1.2 billion, slightly up from the prior year due to the addition of the recently acquired Environmental Solutions Group (ESG). However, the earnings per share (EPS) of $0.77 missed analysts' expectations, and the company provided a cautious outlook for 2025.

During the earnings call, Terex's CEO, Simon Meester, acknowledged the challenging macroeconomic conditions and industry-wide channel adjustments that impacted the company's legacy segments, including Aerial Work Platforms (AWP) and Materials Processing (MP). As a result, Terex scaled back production in the second half of 2024 to align with market demand.

For 2025, Terex expects overall growth driven by the full-year contribution of ESG, projecting net sales of approximately $5.4 billion and segment operating margins of around 12%. However, the company anticipates a slower start to the year, delivering about 10% of its full-year EPS in the first quarter due to continued corrective actions and lower production volumes in the AWP segment.

Meester highlighted that while the company expects a soft market in Europe, it remains optimistic about the North American market, supported by infrastructure investments and manufacturing onshoring. Additionally, Terex plans to continue introducing innovative products, focusing on robotics, automation, and digitization to enhance operational efficiency and flexibility.