HYSTER-YALE, INC.
For the period ended Sep 30, 2026. Filed Nov 5, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2026 · Filed Nov 5, 2026
HY$28.41+5.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-06-30; filed 2026-08-04.
0001173514-26-000202
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-09-30; filed 2026-11-05.
0001173514-26-000247
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 90 previous paragraphs and 98 current paragraphs.
42 unchanged; 29 reworded; 27 added; 19 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 16 previous and 18 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (27)
Current report
Third Quarter of 2026 Compared with Third Quarter of 2025
Current report
First Nine Months of 2026 Compared with First Nine Months of 2025
Current report
Building on the sequential improvement demonstrated in Q3 2026, the Company expects substantially stronger operating performance in Q4 2026, as stronger bookings are expected to increasingly convert into shipments and ongoing pricing, sourcing and cost-reduction actions support improved profitability.
Current report
Operating results for Q4 2026 are expected to include anticipated implementation costs associated with new programs discussed in "New Operational Initiatives and Cost-Reduction Programs" below. Excluding these anticipated costs, adjusted net income is expected to be significantly higher than in Q3 2026 and return to positive levels.
Current report
While customer delivery schedules and sourcing transitions slowed the conversion of higher bookings into shipments, the Company expects this conversion to accelerate in Q4 2026, driving higher shipment volumes, increased revenue, and improved operating efficiencies. Together, these factors are expected to result in a positive Q4 2026 adjusted net income. This outlook depends on external factors as outlined below.
Current report
Industry conditions in the lift truck market continue to improve from 2025, although demand varies by region and customer application. The Company has experienced increased customer activity as deferred fleet replacement needs continued to convert into new equipment purchases, as well as growing acceptance of its value and standard product offerings. The sequential decrease in bookings from Q2 2026 to Q3 2026 reflects normal seasonal declines in orders.
Current report
Lift Truck bookings and backlog were as follows:
Current report
•Bookings increased 45% from the prior year and represents the fourth quarter of elevated booking level compared to the cyclical low in Q2 2025.
Current report
•Backlog remained steady at $1.6 billion compared to Q2 2026 as production approximated shipments during the quarter.
Current report
Strong booking activity is expected to translate into meaningfully higher production and shipment volumes in Q4 2026 compared with Q3 2026. Higher shipment volumes are expected to drive sequential revenue growth, while increased production volumes are expected to improve manufacturing absorption and operating efficiency. Shipment timing could continue to be affected by customer delivery schedules and production transitions associated with tariff-mitigation and sourcing initiatives.
Current report
Gross profit and gross margin are expected to improve sequentially, primarily reflecting higher production and shipment volumes, improved manufacturing efficiencies and the benefits of pricing, sourcing and cost-reduction actions. These benefits are expected to be partially offset by elevated tariff-related costs, inflation and competitive pricing, particularly in South America and Europe. The Company's newly introduced lighter-intensity, lower-priced trucks are expected to broaden its addressable market and support increased manufacturing scale over time.
Current report
Overall, the Company expects Lift Truck adjusted operating results to be positive and improve in Q4 2026. The expected increase in profitability reflects a stronger conversion of recent booking momentum into shipment and earnings, demonstrating the operating leverage available as production volumes recover. Anticipated continued market share gains and a broader product portfolio provide additional opportunities for growth as industry conditions strengthen.
Current report
The Company expects demand and production levels to remain healthy in 2027, supported by gradually strengthening market conditions and ongoing growth initiatives. This is expected to drive volume and revenue growth. However, the pace of gross profit improvement is expected to remain moderated by a competitive operating environment, continued cost pressures and the time required for strategic growth investments to fully mature. As a result, operating profit improvement may be more gradual than the recovery in demand and production levels.
Current report
In Q4 2026, the Company launched a major set of projects expected to strengthen the Company's cost structure, capital efficiency and long-term competitiveness. The Company's modular, scalable products have created new product opportunities and production efficiencies, which the Company believes provide the foundation for these new projects in addition to previously announced restructuring plans. These new projects are expected to improve operations and better align the Company with evolving market and regulatory requirements, including significant changes in demand for forklift truck types and volumes.
Current report
The projects are focused on five key areas:
Current report
•reshaping the Company’s product portfolio and route-to-market, including exiting from the hydrogen fuel cell and HydroCharge business and discontinuing plans to manufacture Big Trucks in the U.S.;
Current report
•reducing manufacturing complexity and costs, including manufacturing plant consolidation;
Current report
•consolidating supporting facilities and activities;
Current report
•simplifying the Company’s organizational structure; and
Current report
•reducing the Company’s capital intensity.
Current report
The Company is targeting at least $100 million of an annual cost savings expected at maturity in 2029. These anticipated savings relate to cost reductions and mitigation of future expenses related to increased volumes and inflationary factors. Implementation costs are estimated to be at least $50 million over the duration of the programs, including severance, impairment charges, contract termination, and other exit-related costs. The Company continues to pursue the mitigation of these costs and is currently unable to estimate the high-end of the expected implementation costs or segments in which these costs will be recorded.
Current report
These initiatives are also expected to support cash generation and decreased capital expenditures. To preserve cash amid a slower-than-anticipated recovery, the Company expects 2026 capital expenditures of $50 million to $60 million and to limit 2027 capital expenditures to $40 million to $50 million. Over time, product portfolio simplification, reduced manufacturing complexity and lower capital intensity are also expected to reduce working capital requirements and support the Company's continued target of working capital at approximately 15% of revenue.
Current report
The Company expects these projects to strengthen its cost structure while supporting key strategic programs, including modular, scalable forklift truck product solutions for lighter-intensity and standard applications and broader sales coverage across the addressable market. Together with the significant year-over-year increase in bookings, the Company believes these actions will strengthen its competitive position and support improved financial results in 2027 and 2028.
Current report
Implementation is expected to occur in stages. We have begun to initiate certain projects, while others remain subject to final planning, applicable legal and regulatory requirements, consultation obligations and other customary approval processes. Accordingly, the scope, timing and financial effect of individual actions may change as planning and implementation progress. The Company expects to provide additional information as material plans and actions are finalized.
Current report
A summary of the Company's previously announced and current operational and cost-reduction programs are shown below:
Current report
Long-Term
Current report
Further information regarding the Company's strategic initiatives can be found in the Company's Q3 2026 Investor Deck. This presentation, currently available on the Hyster-Yale website, elaborates on the strategies that are critical for the Company's long-term prospects. The Company encourages investors to review this material as a supplement to understand the Company's future direction.
Removed paragraphs (19)
Previous report
Second Quarter of 2026 Compared with Second Quarter of 2025
Previous report
First Six Months of 2026 Compared with First Six Months of 2025
Previous report
The change in net cash used for investing activities during the first six months of 2026 compared with the first six months of 2025 was mainly due to Bolzoni's acquisition of a manufacturing business in Italy in 2025.
Previous report
The Company continues to believe the first half of 2026 marked the bottom of the current lift truck market cycle. Lower shipment volumes, higher tariff costs and an unfavorable product mix negatively impacted first-half results. However, bookings have increased for four consecutive quarters and second-quarter revenue, operating results and cash flow improved sequentially. These trends are expected to support improving performance through the remainder of 2026.
Previous report
•the temporary global import surcharge imposed under Section 122 of the Trade Act of 1974, which replaced tariffs previously imposed under the International Emergency Economic Powers Act (“IEEPA”), is assumed to remain in effect through its statutory expiration; given uncertainty regarding any successor trade measures, no benefit or incremental cost from potential replacement actions has been assumed;
Previous report
Cost-reduction initiatives launched in 2025 continue to progress as planned. The Company's 2025 restructuring program began generating benefits with approximately half of the expected annualized $40 million to $45 million cost reductions recognized in the first six months of 2026.
Previous report
Expected savings in 2027 have been revised to reflect lower anticipated production volumes. Once fully implemented and production volumes increase, these actions are expected to generate annualized benefits beginning in 2028.
Previous report
Together, these actions are expected to lower the Company’s cost structure, improve operating leverage, and strengthen financial resilience across the business cycle.
Previous report
Industry conditions in the lift truck market generally improved during Q2 2026, although demand varied by region and customer application. The Company gained market share primarily through its expanded product portfolio and increasing customer acceptance of its value and standard product offerings.
Previous report
•Bookings increased 17% from the first quarter and more than doubled from the prior year, marking the fourth consecutive quarter of growth and the strongest booking quarter in three years. Growth was driven primarily by the Americas.
Previous report
•Backlog increased to approximately $1.6 billion and approached five months of production as bookings exceeded shipments during the quarter.
Previous report
The improvement in bookings has begun to benefit shipments, with a meaningful impact on production and revenue expected to occur by the end 2026. Customer delivery schedules have shifted, resulting in a greater portion of expected shipment growth occurring later in the year.
Previous report
The Company is implementing sourcing and production changes in response to new Section 232 tariffs, including shifting certain sourcing and production activities into the U.S. These actions are expected to reduce tariff costs over time but are delaying a portion of shipment growth while implementation is completed. As a result, production growth is expected to temporarily lag booking growth in the near term despite strong demand.
Previous report
Gross margins are expected to improve gradually from Q2 2026 levels as production volumes increase and pricing and sourcing actions offset a portion of recent tariff costs. The Company's newly introduced low-intensity trucks are expected to contribute favorably to margins while expanding the addressable market and increasing manufacturing scale. However, competitive pricing, particularly in South America and Europe, where competitors continue to compete aggressively with lower-priced value and standard products, is expected to limit the pace of margin improvement. As a result, the Company is maintaining a disciplined approach to balance market share growth and profitability.
Previous report
Lift truck operating results are expected to improve in the second half of 2026 as shipment volumes increase and production levels rise. Improved manufacturing efficiency, pricing actions, and cost reduction initiatives are expected to support earnings growth. Customer delivery timing, production transitions related to tariff mitigation actions, and competitive pricing are expected to moderate the pace of recovery. The largest improvement is expected as shipment volumes increase later in the year.
Previous report
The Company expects to have a moderate operating loss for full-year 2026. While improved demand and higher bookings are expected to support increased shipments and revenue, customer delivery schedules and sourcing transitions have delayed the timing of the recovery. The strongest improvement in operating results is expected in the latter part of 2026.
Previous report
The Company remains focused on working capital efficiency and cash generation. Working capital initiatives contributed to positive operating cash flow in the second quarter, and management intends to maintain the inventory discipline established during the downturn as production increases. The Company continues to target working capital of approximately 15% of revenue over time.
Previous report
The Company remains committed to strategic investments that support long-term growth and transformation, including modular product development, manufacturing capabilities, and information technology. Capital expenditures for 2026 are expected to range from $50 million to $60 million, with spending dependent on production requirements and the timing of approved projects.
Previous report
Long-Term Objectives
Reworded paragraphs (29)
Previous wording
Hyster-Yale, Inc. ("Hyster-Yale" or the "Company") and its subsidiaries, including its operating companies, Hyster-Yale Materials Handling, Inc. ("HYMH") and Bolzoni S.p.A. ("Bolzoni Group" or "Bolzoni"), is a globally integrated company offering a full line of high-quality, application-tailored lift trucks and solutions aimed at meeting the specific materials handling needs of its customers. The Company's solutions include attachments, parts, fleet management services, technology and energy solutions.
Current wording
Hyster-Yale, Inc. ("Hyster-Yale" or the "Company") and its subsidiaries, including its operating companies, Hyster-Yale Materials Handling, Inc. ("HYMH" or the "lift truck business") and Bolzoni S.p.A. ("Bolzoni Group" or "Bolzoni"), is a globally integrated company offering a full line of high-quality, application-tailored lift trucks and solutions aimed at meeting the specific materials handling needs of its customers. The Company's solutions include attachments, parts, fleet management services, technology and energy solutions.
Previous wording
The following table identifies the components of change in revenues for the second quarter of 2026 compared with the second quarter of 2025:
Current wording
The following table identifies the components of change in revenues for the third quarter of 2026 compared with the third quarter of 2025:
Previous wording
Revenues decreased 15.0% to $812.9 million in the second quarter of 2026 from $956.6 million in the second quarter of 2025. The decrease in Lift Truck revenues was primarily due to lower unit volume within Class 1 and Class 4 products and a shift in the mix of sales to lower-intensity, lower-priced models, primarily in the Americas and EMEA. This shift reflects continued market demand for lighter-duty, lower-priced trucks which has led to reduced shipment volumes of the traditional, higher-priced models across all Lift Truck segments. Recently introduced low-intensity products continued to gain market acceptance and helped offset lower sales of higher-revenue products. In addition, lower parts volume and other revenues, primarily in the Americas, also contributed to the decline in Lift Truck revenues. The decline was partially offset by improved pricing and favorable currency movements in the second quarter of 2026 compared to the second quarter of 2025.
Current wording
Revenues decreased 15.5% to $827.4 million in the third quarter of 2026 from $979.1 million in the third quarter of 2025. The decrease in Lift Truck revenues was primarily due to a shift in the mix of sales to lighter-intensity, lower-priced models, primarily in the Americas and EMEA and lower unit volume within all product classes. This shift reflects continued market demand for lighter-intensity, lower-priced trucks which has led to reduced shipment volumes of the traditional, higher-priced models across all Lift Truck segments. Recently introduced low-intensity products continued to gain market acceptance and helped offset lower sales of higher-revenue products. In addition, lower parts volume and other revenues, primarily in the Americas, also contributed to the decline in Lift Truck revenues. The decline was partially offset by improved pricing and favorable currency movements in the third quarter of 2026 compared to the third quarter of 2025.
Previous wording
Bolzoni Group's revenues decreased in the second quarter of 2026 compared with the second quarter of 2025, primarily due to lower unit volume, partially offset by a shift in sales to higher-priced products and favorable foreign currency movements.
Current wording
Bolzoni's revenues decreased in the third quarter of 2026 compared with the third quarter of 2025, primarily due to lower unit volume and a shift in sales to lower-priced products.
Previous wording
The following table identifies the components of change in operating profit (loss) for the second quarter of 2026 compared with the second quarter of 2025:
Current wording
The following table identifies the components of change in operating profit (loss) for the third quarter of 2026 compared with the third quarter of 2025:
Previous wording
The Company recognized an operating loss of $18.4 million in the second quarter of 2026 compared to $8.5 million in the second quarter of 2025. The decrease was primarily due to lower unit volume, mainly in the Americas and EMEA, a shift in mix of sales to lower-duty units, and approximately $20 million of additional tariff-related costs in the second quarter of 2026 compared with the prior year's second quarter. The unfavorable changes were partially offset by favorable pricing actions in the Americas and approximately $35 million of tariff-related recoveries recognized during the second quarter of 2026 related to amounts previously paid under the International Emergency Economic Powers Act ("IEEPA"). Selling, general and administrative expenses were lower across all Lift Truck segments, primarily related to reduced employee-related costs resulting from lower headcount and lower incentive compensation estimates. In addition, the Company recognized lower restructuring and impairment charges in the second quarter of 2026 compared with the second quarter of 2025.
Current wording
The Company recognized an operating loss of $9.1 million in the third quarter of 2026 compared to an operating profit of $2.3 million in the third quarter of 2025. The decrease was primarily due to a shift in mix of sales to lighter-intensity, lower-priced units, lower unit volume, mainly in the Americas and EMEA, and higher material costs. The unfavorable changes were partially offset by favorable pricing actions in the Americas and approximately $15 million of tariff-related recoveries recognized during the third quarter of 2026 related to amounts previously paid under the International Emergency Economic Powers Act ("IEEPA"). Selling, general and administrative expenses were lower in the third quarter of 2026 compared to the third quarter of 2025, primarily due to reduced employee-related costs resulting from lower headcount and lower incentive compensation estimates.
Previous wording
Bolzoni recognized an operating profit of $2.0 million in the second quarter of 2026 compared to $2.4 million in the second quarter of 2025. The decrease was primarily due to increased employee-related costs included in selling, general and administrative expenses.
Current wording
Bolzoni recognized an operating profit of $1.8 million in the third quarter of 2026 compared to $2.1 million in the third quarter of 2025. The decrease was primarily due to a shift in mix of sales to lower-margin products, partially offset by lower employee-related costs included in selling, general and administrative expenses.
Previous wording
The Company recognized a net loss attributable to stockholders of $31.6 million in the second quarter of 2026 compared with net loss attributable to stockholders of $13.9 million in the second quarter of 2025. The decline was primarily the result of lower operating profit and higher income tax expense. The Company reported an income tax expense of $8.1 million in the second quarter of 2026. See Note 5, Income Taxes, to the unaudited condensed consolidated financial statements for further discussion.
Current wording
The Company recognized a net loss attributable to stockholders of $14.9 million in the third quarter of 2026 compared with net loss attributable to stockholders of $2.3 million in the third quarter of 2025. The decline was primarily the result of lower operating profit.
Previous wording
The following table identifies the components of change in revenues for the first six months of 2026 compared with the first six months of 2025:
Current wording
The following table identifies the components of change in revenues for the first nine months of 2026 compared with the first nine months of 2025:
Previous wording
Revenues decreased 13.9% to $1,608.1 million in the first six months of 2026 from $1,867.0 million in the first six months of 2025. The decrease in Lift Truck revenues was primarily due to a shift in the mix of sales to lower-intensity, lower-priced models, primarily in the Americas and EMEA and lower volume. This shift reflects continued market demand for lighter-duty, lower-priced trucks which has led to reduced shipment volumes of the traditional, higher-priced models. The decline in Lift Truck revenues was partially offset by improved pricing and favorable currency movements in the first six months of 2026 compared to the first six months of 2025.
Current wording
Revenues decreased 14.4% to $2,435.5 million in the first nine months of 2026 from $2,846.1 million in the first nine months of 2025. The decrease in Lift Truck revenues was primarily due to a shift in the mix of sales to lighter-intensity, lower-priced models, primarily in the Americas and EMEA, lower unit and parts volumes, and lower other revenues, mainly in the Americas. This shift reflects continued market demand for lighter-intensity, lower-priced trucks which has led to reduced shipment volumes of the traditional, higher-priced models. The decline in Lift Truck revenues was partially offset by improved pricing and favorable currency movements in the first nine months of 2026 compared to the first nine months of 2025.
Previous wording
Bolzoni revenues decreased in the first six months of 2026 compared with the first six months of 2025, primarily due to lower unit volume, partially offset by favorable foreign currency movements.
Current wording
Bolzoni revenues decreased in the first nine months of 2026 compared with the first nine months of 2025, primarily due to lower unit volume, partially offset by favorable foreign currency movements.
Previous wording
The following table identifies the components of change in operating profit for the first six months of 2026 compared with the first six months of 2025:
Current wording
The following table identifies the components of change in operating profit for the first nine months of 2026 compared with the first nine months of 2025:
Previous wording
The Company recognized an operating loss of $46.4 million in the first six months of 2026 compared to operating profit of $12.8 million in the first six months of 2025. The decrease in Lift Truck operating results was primarily due to a shift in the mix of sales to lower-duty units, mainly in the Americas, approximately $50 million of additional tariff-related costs during the first six months of 2026 compared to the first six months of 2025 and lower unit volume. These unfavorable impacts were partially offset by pricing actions in the Americas and approximately $35 million of tariff-related recoveries recognized during the second quarter of 2026 related to amounts previously paid under IEEPA. Selling, general and administrative expenses were lower across all Lift Truck segments, primarily related to reduced employee-related costs resulting from lower headcount and lower incentive compensation estimates. In addition, the Company recognized lower restructuring and impairment charges in the first six months of 2026 compared with the first six months of 2025.
Current wording
The Company recognized an operating loss of $55.5 million in the first nine months of 2026 compared to operating profit of $15.1 million in the first nine months of 2025. The decrease in Lift Truck operating results was primarily due to a shift in the mix of sales to lighter-intensity, lower-priced units, mainly in the Americas, approximately $45 million of additional tariff-related costs during the first nine months of 2026 compared to the first nine months of 2025 and lower unit volume. These unfavorable impacts were partially offset by pricing actions in the Americas and approximately $50 million of tariff-related recoveries recognized during the first nine months of 2026 related to amounts previously paid under IEEPA. Selling, general and administrative expenses were lower across all Lift Truck segments, primarily related to reduced employee-related costs resulting from lower headcount and lower incentive compensation estimates. In addition, the Company recognized lower restructuring and impairment charges in the first nine months of 2026 compared with the first nine months of 2025.
Previous wording
Bolzoni's operating profit decreased to $1.9 million in the first six months of 2026 compared with $3.0 million in the first six months of 2025. The decrease was primarily due to increased employee-related costs included in higher selling, general and administrative expenses.
Current wording
Bolzoni's operating profit decreased to $3.7 million in the first nine months of 2026 compared with $5.1 million in the first nine months of 2025. The decrease was primarily due to a shift in mix of sales to lower-margin products.
Previous wording
The Company recognized a net loss attributable to stockholders of $62.1 million in the first six months of 2026 compared with $5.3 million in the first six months of 2025. The decline was primarily the result of the decrease in operating profit (loss).
Current wording
The Company recognized a net loss attributable to stockholders of $77.0 million in the first nine months of 2026 compared with $7.6 million in the first nine months of 2025. The decline was primarily the result of the decrease in operating profit (loss).
Previous wording
The following tables detail the changes in cash flow for the six months ended June 30, 2026 compared to the same period in the prior year:
Current wording
The following tables detail the changes in cash flow for the nine months ended September 30, 2026 compared to the same period in the prior year:
Previous wording
Net cash used for operating activities increased by $8.7 million in the first six months of 2026 compared with the first six months of 2025. The increase was primarily due to a higher net loss, which includes cash received for tariff refunds, the change in other operating activities and lower restructuring charges, partially offset by favorable changes in working capital. Accounts payable and other liabilities increased operating cash flows compared with the prior year primarily due to the timing of vendor payments and lower employee-related payments, including incentive compensation.
Current wording
Net cash provided by operating activities decreased by $19.5 million in the first nine months of 2026 compared with the first nine months of 2025. The decrease was primarily due to a higher net loss, the change in other operating activities and lower restructuring charges, partially offset by favorable changes in working capital and cash received for tariff refunds. Accounts payable and other liabilities increased operating cash flows compared with the prior year primarily due to the timing of vendor payments and lower employee-related payments, including incentive compensation.
Previous wording
The change in net cash used for financing activities was primarily due to a smaller increase in net borrowings under the Company's revolving credit facilities during the first six months of 2026 compared to the first six months of 2025.
Current wording
The increase in net cash used for financing activities was primarily due to repayments of debt during the first nine months of 2026 compared to net borrowings under the Company's revolving credit facilities during the first nine months of 2025.
Previous wording
The Company had other debt outstanding, excluding finance leases, of approximately $169.4 million at June 30, 2026. In addition to the excess availability under the Facility of $200.1 million, the Company had remaining availability of $23.3 million related to other non-U.S. revolving credit agreements at June 30, 2026.
Current wording
The Company had other debt outstanding, excluding finance leases, of approximately $161.1 million at September 30, 2026. In addition to the excess availability under the Facility of $205.5 million, the Company had remaining availability of $27.9 million related to other non-U.S. revolving credit agreements at September 30, 2026.
Previous wording
The Company believes funds available from cash on hand, the Facility, other available lines of credit and operating cash flows will provide sufficient liquidity to meet its operating needs and commitments during the next twelve months and the foreseeable future thereafter.
Current wording
The Company believes funds available from cash on hand, the Facility, other available lines of credit and operating cash flows, as well as access to the capital markets, will provide sufficient liquidity to meet its operating needs and commitments during the next twelve months and the foreseeable future thereafter.
Previous wording
Planned expenditures for the remainder of 2026 are primarily for improvements at manufacturing locations and manufacturing equipment, product development and improvements to information technology infrastructure. Management will closely monitor market conditions and may adjust investments levels and timing as market visibility improves. The primary sources of financing for these capital expenditures are expected to be internally generated funds and bank financing.
Current wording
Planned expenditures for the remainder of 2026 are primarily for improvements at manufacturing locations and manufacturing equipment, product development and improvements to information technology infrastructure. Management will closely monitor market conditions and may adjust investment levels and timing as market visibility improves. The primary sources of financing for these capital expenditures are expected to be internally generated funds and bank financing.
Previous wording
The Company expects bookings in 2026 to exceed 2025, supported by healthier industry conditions, market share gains, and broader customer acceptance of its expanded product portfolio. Investments made over the past several years to broaden the product lineup have positioned the Company to address increasing demand for lower-intensity applications and compete across a larger portion of the lift truck market. The Company's standard and value offerings in the 1-3.5 ton, 4-9 ton and Big Truck product lines continue to support volume growth, profitability, and market share gains. However, inflation, tariffs, geopolitical uncertainty, and increased competition continue to affect customer purchasing patterns across regions and end markets.
Current wording
The Company expects bookings in Q4 2026 to exceed Q4 2025 and Q3 2026, supported by improving industry conditions, anticipated market share gains, and broader customer acceptance of its expanded product portfolio. The Company believes investments made over the past several years to broaden the product lineup have positioned the Company to address increasing demand for lower-intensity applications and compete across a larger portion of the lift truck market. The Company expects its standard and value offerings in the 1-3.5 ton, 4-9 ton and Big Truck product lines will continue to support volume growth, profitability, and market share gains. However, inflation, tariffs, geopolitical uncertainty, and increased competition continue to influence customer purchasing patterns across regions and end markets.
Previous wording
Tariff-related costs on steel, components, and other imported materials remain elevated. Pricing, sourcing, and product-cost actions are expected to provide increasing benefit in the second half of 2026, although the Company does not currently expect to offset all tariff-related expenses.
Current wording
Tariff-related costs on steel, components, and other imported materials are expected to remain elevated. However, pricing, sourcing, and product-cost actions are expected to benefit Q4 2026 and partially offset these pressures.
Previous wording
Bolzoni is expected to achieve a modest improvement in operating profit in 2026 despite slightly lower revenue. Revenue is expected to decline modestly due to the planned phase-out of certain legacy component sales to the Lift Truck business. However, a continued shift toward higher-margin attachment products and improved plant utilization are expected to support margin expansion and improved profitability. Management remains focused on optimizing product mix and maintaining operational discipline across its global operations.
Current wording
Sequentially, Bolzoni Group is expected to benefit from a greater mix of higher-margin attachment products and plant utilization in Q4 2026. Revenue is expected to continue reflecting the planned phase-out of certain legacy sales to the Lift Truck business. Management remains focused on optimizing product mix and maintaining operational discipline across its global operations.
Previous wording
Manufacturing footprint optimization projects also remain on track. The Company expects future costs and benefits for the projects as shown below:
Current wording
The Company's previously announced 2024 U.S. manufacturing footprint optimization projects remain on track to deliver increased operational benefits in 2027. The anticipated savings, which are reflected in the Company's outlook, are expected to substantially offset ongoing cost increases and support underlying product margins rather than translate fully into incremental margin expansion. Higher production volumes and improved manufacturing efficiencies are expected to support a progressive improvement in gross profit. The Company expects future costs and benefits for the projects as shown below:
Previous wording
Operational Initiatives and Cost‑Reduction Programs
Current wording
New Operational Initiatives and Cost-Reduction Programs
Previous wording
The financial discipline established over the past several years continues to strengthen the Company’s ability to navigate changing market conditions while progressing toward its long-term objective of achieving approximately 7% operating profit over the business cycle. Management believes higher production volumes, improved manufacturing efficiency, modular product platforms, and portfolio expansion into value and standard segments remain key drivers supporting achievement of this objective.
Current wording
The Company's financial discipline provides a foundation for navigating changing market conditions while progressing toward its long-term objective of achieving approximately 7% operating profit over the business cycle. Management believes higher production volumes, improved manufacturing efficiency, modular product platforms, portfolio expansion into value and standard segments, broader sales coverage of the addressable market and the benefits of its operational and cost-reduction initiatives are key drivers supporting this objective.
Previous wording
The Company's vision is to transform the way the world moves materials from Port to Home. It strives to do this through its two customer promises: first, to provide optimal customer solutions, and second, to provide exceptional customer care. The Company is focused on executing established strategic initiatives and key projects to transform the Company’s core lift truck business while building new business opportunities in the warehouse lift truck, vehicle automation, energy management and attachment business activities. These complementary growth and profit improvement projects should help the Company fulfill these two promises while achieving long-term revenue and operating profit growth. The Company believes key projects will contribute to an increased and sustainable lift truck and attachment competitive advantage over time.
Current wording
In this context, long-term objectives for the Company's vision is to transform the way the world moves materials from Port to Home. It strives to do this through its two customer promises: first, to provide optimal customer solutions, and second, to provide exceptional customer care. The Company is focused on executing established strategic initiatives and key projects to transform the Company’s core lift truck business while building new business opportunities in the warehouse lift truck, vehicle automation, energy management and attachment business activities. These complementary growth and profit improvement projects should help the Company fulfill these two promises while achieving long-term revenue and operating profit growth. The Company believes key projects will contribute to an increased and sustainable lift truck and attachment competitive advantage over time.
Previous wording
The statements contained in this Form 10-Q that are not historical facts are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are made subject to certain risks and uncertainties, which could cause actual results to differ materially from those presented. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof. Among the factors that could cause plans, actions and results to differ materially from current expectations are, without limitation: (1) delays in delivery and other supply chain disruptions, or increases in costs as a result of inflation or otherwise, including materials, critical components and transportation costs and shortages, the effects of tariffs on raw materials or sourced products, and labor, or changes in or unavailability of quality suppliers or transporters, including the impacts of the foregoing risks on the Company's liquidity, (2) impacts resulting from sustained or increased trade barriers and restrictions on international trade, including as a result of previously announced, and potentially new, changes to U.S. trade policy and tariffs as well as retaliatory or other tariffs imposed by other countries where the Company does business, (3) the Company's ability to recover previously paid IEEPA tariffs, (4) delays in manufacturing and delivery schedules, (5) reduction in demand for lift trucks, attachments and related parts and service on a global basis, including any cyclical reduction in demand in the lift truck industry, (6) customer acceptance of pricing, (7) customer acceptance of, changes in the costs of, or delays in the development of new products, (8) the ability of the Company and its dealers, suppliers and end-users to access credit, or obtain financing at reasonable rates, or at all, as a result of interest rate volatility and current economic and market conditions, including inflation, (9) unfavorable effects of geopolitical and legislative developments on global operations, including without limitation the entry into new trade agreements and the imposition of tariffs and/or economic sanctions, including the Uyghur Forced Labor Prevention Act (the “UFLPA”) which could impact the Company's imports from China, as well as armed conflicts, including the Iran conflict, the Russia/Ukraine conflict, the Israel and Gaza conflict and/or the conflict in the Red Sea, and their regional effects, (10) exchange rate fluctuations, interest rate volatility and monetary policies and other changes in the regulatory climate in the countries in which the Company operates and/or sells products, (11) the effectiveness of the cost reduction programs implemented globally, including…
Excerpt shortened here; the source contains the full paragraph.
Current wording
The statements contained in this Form 10-Q that are not historical facts are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are made subject to certain risks and uncertainties, which could cause actual results to differ materially from those presented. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof. Among the factors that could cause plans, actions and results to differ materially from current expectations are, without limitation: (1) delays in delivery and other supply chain disruptions, or increases in costs as a result of inflation or otherwise, including materials, critical components and transportation costs and shortages, the effects of tariffs on raw materials or sourced products, and labor, or changes in or unavailability of quality suppliers or transporters, including the impacts of the foregoing risks on the Company's liquidity, (2) impacts resulting from current or changes in trade barriers and restrictions on international trade, including as a result of previously announced, and potentially new changes, including reductions to U.S. trade policy and tariffs as well as retaliatory or other tariffs imposed by other countries where the Company does business, (3) the effectiveness of the cost reduction programs implemented, and to be implemented globally, including the successful implementation of procurement and sourcing initiatives and restructuring programs, (4) delays in manufacturing and delivery schedules, (5) reduction in demand for lift trucks, attachments and related parts and service on a global basis, including any cyclical reduction in demand in the lift truck industry, (6) customer acceptance of pricing, (7) customer acceptance of, changes in the costs of, or delays in the development of new products, (8) the ability of the Company and its dealers, suppliers and end-users to access credit, or obtain financing at reasonable rates, or at all, as a result of interest rate volatility and current economic and market conditions, including inflation, (9) unfavorable effects of geopolitical and legislative developments on global operations, including without limitation the entry into new trade agreements and the imposition of tariffs and/or economic sanctions, including the Uyghur Forced Labor Prevention Act (the “UFLPA”) which could impact the Company's imports from China, as well as armed conflicts, including the Iran conflict, the Russia/Ukraine conflict, the Israel and Gaza conflict and/or the conflict in the Red Sea, and their regional effects, (10) exchange rate fluctuations, interest rate volatility and monetary policies and other changes in the regulatory clima…
Excerpt shortened here; the source contains the full paragraph.