TEX – Quick Take – Live from the Truist Securities Industrials & Services Conference

Research evidence excerpt

TEX – Quick Take – Live from the Truist Securities Industrials & Services Conference

s placed making it difficult to go

back a revise budgets. Now, SV’s backlog is positioned to take inflation into consideration

with contractual escalators that embed a steady pricing increase of MSD% annually. Backlog

4 Page Document remains robust with ~2 years backlog and 3+ years in certain products lines, including

pumpers and aerials, and the company expects to benefit from increased pricing as

they work through the backlog. TEX noted that as additional capacity comes online and

Reasons for this report throughput increases, book-to-bill in the Fire is expected to fall below 1x for a period of time.

This dynamic reflects improved operating efficiency rather than any underlying change in

✓ Quick Reaction to Newsflow/Volatility demand. More broadly, management reiterated its target of approximately $75M in synergies

✓ Truist Securities Conference Takeaways from REV Group deal, beginning with reducing corporate redundancies and followed by

procurement savings and operational improvements. As an example, the company is

implementing RFID-based material tracking to improve visibility into supplies and support

more efficient production.

Utilities positioned for robust growth tied to secular growth and operational / capacity

investments: The Utilities segment remains in a strong demand environment, supported

by structural drivers like grid expansion and data center connectivity needs. Competitive

dynamics are primarily concentrated for Altec (private) and Terex, and TEX is increasing

capacity by ~30% by the end of 2027. Order books are effectively sold out for up to two years

depending on the model, and replacement demand remains healthy given shorter asset