Terex Corporation reported third quarter 2026 financial results that show sales growth and improved margins across its portfolio. For the three months ended September 30, 2026, consolidated sales reached $2.2 billion, representing an increase of approximately 12% year over year.
Adjusted EBITDA for the quarter was $286 million, up approximately 14% on a proforma basis. The company reported consolidated earnings increased sequentially despite slightly lower sales, driven by improved execution and earnings conversion. The adjusted diluted earnings per share (EPS) for the quarter was $1.50.
Order activity improved significantly during the period. Proforma orders increased 53% year over year to $2.3 billion, with bookings exceeding sales in the Materials Processing, Specialty Vehicles, and Environmental Solutions segments. The consolidated book-to-bill ratio was approximately 103%. The company’s backlog reached $7 billion, with the Materials Processing backlog reaching a two-year high.
Segment performance varied by business. Materials Processing sales grew 11.3% to $434 million, with an adjusted EBITDA margin expanding 530 basis points to 19.3%. Specialty Vehicles sales rose 8.1% to $657 million, with an adjusted EBITDA margin improving 300 basis points to 16.0%. Environmental Solutions sales decreased 8.0% to $400 million, while Aerials sales grew 32.0% to $709 million.
Regarding capital allocation, the company returned $91 million to shareholders during the quarter, including $72 million in share repurchases and $19 million in dividends. The Board of Directors approved a new $500 million share repurchase authorization. Net debt at quarter-end was $2.2 billion, resulting in a net leverage ratio of 2.3x on a proforma basis.
Looking ahead, Terex updated its full-year 2026 outlook. The company now expects sales in the range of $8 billion to $8.2 billion and adjusted proforma EBITDA between $930 million and $960 million. The company also noted progress regarding the separation of its Aerials segment, moving from evaluating inbound interest to active engagement with strategic counterparties.
