Hyster-Yale Reports 13.8% Revenue Decline to $910.4 Million in Q1 2025

Hyster-Yale, Inc. reported a significant decline in financial performance for the first quarter of 2025, with revenues totaling $910.4 million, down 13.8% from $1,056.5 million in the same period of 2024. The decrease was primarily attributed to a reduction in unit volume, particularly in the Americas and EMEA regions, which was partially offset by increased aftermarket sales. The company's gross profit also fell to $177.7 million from $235.7 million year-over-year, reflecting a 24.6% decline. Operating profit decreased sharply to $21.3 million from $83.8 million, while net income attributable to stockholders dropped to $8.6 million, down 83.3% from $51.5 million in the prior year.

In terms of operational metrics, Hyster-Yale's lift truck business saw a notable decrease in revenues across its segments, with the Americas down 9.2% to $698.9 million, EMEA down 40.7% to $118.2 million, and JAPIC up 25.5% to $47.3 million. The company’s dealer network remained stable with approximately 310 independent dealers as of March 31, 2025. The decline in revenues was compounded by increased selling, general, and administrative expenses, which rose to $156.2 million from $151.9 million, driven by higher marketing and product development costs.

Strategically, Hyster-Yale announced a realignment of its Nuvera Fuel Cells business aimed at enhancing profitability and integrating energy solutions into its lift truck operations. This initiative is expected to yield annual cost reductions of $15 to $20 million starting in the second half of 2025. The company anticipates incurring employee severance and impairment costs of approximately $15 to $18 million in the upcoming quarter as part of this restructuring. Additionally, the company is focusing on optimizing its manufacturing footprint and streamlining operations, with expected costs of $8 million to $16 million in both 2025 and 2026.

Looking ahead, Hyster-Yale's outlook for 2025 remains cautious, with expectations of continued revenue and profit declines compared to the previous year. The company is preparing for potential negative impacts from tariffs and is implementing proactive initiatives to mitigate these effects. Despite the challenging economic environment, Hyster-Yale aims to leverage its strategic initiatives to capture market share and improve operational efficiency. The company projects that its lift truck bookings market will stabilize and improve throughout 2025, supported by a backlog of $1.9 billion as of March 31, 2025, which is expected to be sold within the next twelve months.