MOVING THE WORLD AT WORK Wilson R. Jones President and Chief - PowerPoint PPT Presentation

MOVING THE WORLD AT WORK Wilson R. Jones President and Chief Executive Officer Oshkosh Corporation David M. Sagehorn (NYSE:OSK) Executive Vice President and Chief Financial Officer Third Quarter Fiscal 2016 Patrick N. Davidson Vice President, Investor Relations July 28, 2016

Forward-Looking Statements This presentation contains statements that the Company believes to be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact, including, without limitation, statements regarding the Company’s future financial position, business strategy, targets, projected sales, costs, earnings, capital expenditures, debt levels and cash flows, and plans and objectives of management for future operations, are forward-looking statements. When used in this press release, words such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “should,” “project” or “plan” or the negative thereof or variations thereon or similar terminology are generally intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, assumptions and other factors, some of which are beyond the Company’s control, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors include the cyclical nature of the Company’s access equipment, commercial and fire & emergency markets, which are particularly impacted by the strength of U.S. and European economies and construction seasons; the Company’s estimates of access equipment demand which, among other factors, is influenced by customer historical buying patterns and rental company fleet replacement strategies; the strength of the dollar and its impact on Company exports, translation of foreign sales and purchased materials; the expected level and timing of U.S. DoD and international defense customer procurement of products and services and funding or payments thereof; the Company’s ability to utilize material and components which it has committed to purchase from suppliers; higher material costs resulting from production variability due to uncertainty of timing of funding or payments from international defense customers; risks related to reductions in government expenditures in light of U.S. defense budget pressures, sequestration and an uncertain DoD tactical wheeled vehicle strategy; the impact of any DoD solicitation for competition for future contracts to produce military vehicles, including a future FMTV production contract; the Company’s ability to increase prices to raise margins or offset higher input costs; increasing commodity and other raw material costs, particularly in a sustained economic recovery; risks related to facilities expansion, consolidation and alignment, including the amounts of related costs and charges and that anticipated cost savings may not be achieved; global economic uncertainty, which could lead to additional impairment charges related to many of the Company’s intangible assets and/or a slower recovery in the Company’s cyclical businesses than Company or equity market expectations; projected adoption rates of work at height machinery in emerging markets; the impact of severe weather or natural disasters that may affect the Company, its suppliers or its customers; risks related to the collectability of receivables, particularly for those businesses with exposure to construction markets; the cost of any warranty campaigns related to the Company’s products; risks related to production or shipment delays arising from quality or production issues; risks associated with international operations and sales, including compliance with the Foreign Corrupt Practices Act; the Company’s ability to comply with complex laws and regulations applicable to U.S. government contractors; cybersecurity risks and costs of defending against, mitigating and responding to a data security breach; and risks related to the Company’s ability to successfully execute on its strategic road map and meet its long-term financial goals. Additional information concerning these and other factors is contained in the Company’s filings with the Securities and Exchange Commission, including the Form 8-K filed today. All forward-looking statements speak only as of the date of this presentation. The Company assumes no obligation, and disclaims any obligation, to update information contained in this presentation. Investors should be aware that the Company may not update such information until the Company’s next quarterly earnings conference call, if at all. MOVING THE WORLD AT WORK July 28, 2016 OSK Third Quarter 2016 Earnings Call 2

Q3 FY16  Q3 FY16 EPS of $1.13 OSK Fiscal Q3 Performance − Equal to Q3 FY15  Higher defense and fire & Net Sales (billions) EPS emergency segment sales $2.0 $1.25 $1.13 $1.13 $1.7  Higher operating income margin $1.8 $1.6 $1.6 $1.00 vs. prior year in defense, fire & $1.4 emergency and commercial $1.2 $0.75 segments $1.0 $0.8 $0.50  Progress on funding and $0.6 delivery schedules for the large $0.4 $0.25 international M-ATV order $0.2 $0.0 $0.00  Increased full year EPS outlook FY16 FY15 Net Sales EPS to range of $2.60 to $2.80 MOVING THE WORLD AT WORK July 28, 2016 OSK Third Quarter 2016 Earnings Call 3

Access Equipment  North America market remains cautious − Lower replacement demand − Rental companies selective with capital expenditures  Solid activity in Europe − Continued access equipment market recovery  Brazil extremely depressed  Asia-Pacific growth and ongoing impact of mining slowdown in Australia  Challenging pricing environment  On track to achieve inventory reduction target by year-end  Positive long-term trends MOVING THE WORLD AT WORK OSK Third Quarter 2016 Earnings Call July 28, 2016 4

Defense  Strong defense segment outlook  New segment president – promotion of John Bryant − Ret. USMC colonel - 28 years experience − Led Oshkosh U.S. TWV programs  JLTV ramp up gaining momentum − Higher levels of test & development activities − Solid long-term international potential  Progress on funding and delivery schedules for international M-ATVs − Positive impact on FY16 performance MOVING THE WORLD AT WORK OSK Third Quarter 2016 Earnings Call July 28, 2016 5

Fire & Emergency  Solid performance led by Pierce − Executed production rate increase in Wisconsin and Florida, with additional increase in Q4 FY16  Modest market recovery continues − Improved municipal tax receipts − Fleet replacement  New products and technologies driving customer excitement MOVING THE WORLD AT WORK OSK Third Quarter 2016 Earnings Call July 28, 2016 6

Commercial  Higher operating income on slightly lower sales  Continued solid RCV business − Replacement demand − Solid construction activity and improved municipal tax receipts − Share gains − Prior year large international sale  Seasonal concrete mixer demand increase − Continued strong front discharge demand − Cautious rear discharge customers MOVING THE WORLD AT WORK OSK Third Quarter 2016 Earnings Call July 28, 2016 7

Consolidated Results (Dollars in millions, except per share amounts) Third Quarter Q3 Comments  Sales impacted by: 2016 2015  Higher defense, fire & Net Sales $1,747.5 $1,612.3 % Change 8.4% (16.6)% emergency and access equipment segment sales  EPS impacted by: Operating Income $146.8 $136.6  Higher defense, fire & % Change 7.5% (22.1)% emergency and commercial % Margin 8.4% 8.5% segment results  Lower share count EPS $1.13 $1.13  Lower access equipment segment results % Change 0.0% (7.4)%  Higher tax rate  Higher incentive compensation MOVING THE WORLD AT WORK OSK Third Quarter 2016 Earnings Call July 28, 2016 8

Updated Expectations for FY16  Revenues of ~ $6.0 to $6.1 billion  Operating income of $340 million to $360 million  EPS of $2.60 to $2.80 Segment information Access Fire & Measure Defense Commercial Equipment Emergency Sales $2.9 to $2.95 ~$1.25 ~ $0.95 ~ $1.0 (billions) Operating 9.5% - 9.75% ~ 7.75% ~ 6.75% ~ 7.0% Income Margin Additional expectations  Corporate expenses of $150 - $155 million  Increased full year EPS estimate range  Tax rate of ~ 32%  Added ~ 175 international M-ATVs in Q4  Improved F&E performance  CapEx of ~ $100 million  Reduced access equipment operating margin  Free Cash Flow* ~ $400 million expectations  Assumes share count of ~ 74.5 million  Increased incentive compensation expense  Higher tax rate MOVING THE WORLD AT WORK * Non-GAAP results. See Appendix for reconciliation to GAAP results. OSK Third Quarter 2016 Earnings Call July 28, 2016 9

Patrick N. Davidson Jeffrey D. Watt For information Vice President, Investor Relations Director, Investor Relations contact: (920) 966-5939 (920) 233-9406 pdavidson@oshkoshcorp.com jwatt@oshkoshcorp.com MOVING THE WORLD AT WORK OSK Third Quarter 2016 Earnings Call July 28, 2016 10