Gold bars to be exempt from tariffs, White House clarifies
CLEVELAND - Hyster-Yale, Inc. (NYSE: HY), a global lift truck and materials handling provider with $4.3 billion in annual revenue, has announced a strategic realignment of its Nuvera fuel cell business, aiming to boost near-term profits and advance an integrated energy solutions program. According to InvestingPro data, the company maintains a strong financial health score of 3.04 (rated as "GREAT"), despite its stock declining nearly 38% over the past six months. This move includes a reduction of its fuel cell operations and an expansion into lithium-ion battery modules, chargers, and energy management systems, primarily at its Billerica facility.
The realignment is set to generate annualized direct cost savings between $15 and $20 million and indirect savings of $10 to $15 million by integrating Nuvera resources into Hyster-Yale Materials Handling’s (HYMH) development of battery products and mobile charging platforms. The company anticipates severance and impairment costs of approximately $15 to $18 million in the second quarter of 2025 due to this strategic shift.
Hyster-Yale’s decision reflects a limited uptake of fuel cells as an energy solution and changes in the political environment. The company will continue a limited fuel cell program, focusing on finalizing a 125KW fuel cell for port equipment and larger charging applications.
Sales of battery programs are expected to accelerate significantly from 2024, with the introduction of its HydroChargeTM product slated for the second half of 2025. Battery and fuel cell electric port equipment trucks are already undergoing customer application tests.
This realignment is part of a broader strategic change program aimed at transforming Hyster-Yale’s core forklift truck business and expanding into warehousing, automation, and energy management solutions. The company believes these initiatives will support revenue growth, improve operating profitability, and yield higher returns on capital with lower capital intensity.
The information in this article is based on a press release statement from Hyster-Yale, Inc. The company has cautioned that forward-looking statements are subject to various risks and uncertainties, which could cause actual results to differ materially from those projected. InvestingPro analysis suggests the stock is currently undervalued, with 12 additional ProTips available to subscribers, including insights about dividend consistency and valuation metrics. Get access to the complete Hyster-Yale research report and analysis for 1,400+ stocks through an InvestingPro subscription.
In other recent news, Hyster-Yale Materials Handling Inc. reported its Q4 2024 earnings, which exceeded analysts’ expectations with an adjusted earnings per share (EPS) of $1.47, surpassing the projected $1.22. However, the company’s revenue of $1.07 billion did not meet the anticipated $1.09 billion. Despite this revenue shortfall, Hyster-Yale achieved a 5% increase in full-year revenues, totaling $4.3 billion, and a significant 60% rise in full-year adjusted operating profit, reaching $267 million. The company is actively implementing strategic initiatives, including a $21 million footprint optimization program, to streamline operations and reduce costs. Analysts from Northland Securities noted the company’s plans for increased operating expenses in 2025 to support growth, despite expectations of lower revenues and lift truck gross profit margins. The company remains focused on its long-term operating profit goal of 7%, despite potential challenges such as market corrections and trade uncertainties. Hyster-Yale’s management expressed confidence in gaining market share in 2025 as they continue to optimize production and introduce new modular products.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.