Oshkosh Corporation (Holding Company)Common Stock

Greetings and welcome to the Oshkosh Corporation third quarter 2025 results conference call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Pat Davidson, Senior Vice President, Investor Relations for Oshkosh. Please proceed.

Good morning and thanks for joining us. Earlier today we published our third quarter 2025 results. A copy of that release is available on our website at OshkoshCorp.com. Today's call is being webcast and is accompanied by a slide presentation which includes a reconciliation of GAAP to non-GAAP financial measures that we will use during this call and is also available on our website. The audio replay and slide presentation will be available on our website for approximately 12 months. Please refer now to slide two of that presentation. Our remarks that follow, including answers to your questions, contain statements that we believe to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act. These forward-looking statements are subject to risks that could cause actual results to be materially different from those expressed or implied by such forward-looking statements. These risks include, among others, matters that we have described in our Form 8K filed with the SEC this morning and other filings we make with the SEC, as well as matters noted at our Investor Day in June 2025. We disclaim any obligation to update these forward-looking statements, which may not be updated until our next quarterly earnings conference call, if at all. Our presenters today include John Pfeiffer, President and Chief Executive Officer, and Matt Field, Executive Vice President and Chief Financial Officer. Please turn to slide three, and I'll turn it over to you, John.

Thanks, Pat, and good morning, everyone. We continue to successfully navigate a dynamic external environment with resilience and a strong sense of purpose to serve our everyday heroes with high-quality products that are safe, intuitive and productive we do this with a strong mission of service for our everyday heroes like firefighters in our communities we proudly sponsored the 13th annual 9 11 memorial stair climb in green bay where more than 2 000 people raised over a hundred and twenty thousand dollars for the national fallen firefighters foundation and honored the brave firefighters that lost their lives on 9-11. We also demonstrated our commitment to our communities as over 1,200 volunteers came together for Oshkosh's eighth annual Feed the Body, Feed the Soul event. These volunteers packed 224,000 pounds of rice in just 12 hours to support individuals and families facing food insecurity across eastern Wisconsin. Turning to our financial results on slide four, we delivered an adjusted operating margin of 10.2% on revenue of $2.7 billion in our third quarter. This led to adjusted earnings per share of $3.20, an increase of 9.2% over the prior year. These results reflect solid performance across each of our segments. Despite lower revenue, we maintained a double-digit adjusted operating income margin year over year, reflecting continued strong performance in our vocational segment, improved returns in our transport segment, and a resilient double-digit margin in our access segment. Our adjusted EPS grew compared with last year, reflecting our operating performance and taxes. While I am pleased with the resilience demonstrated in our third quarter results, we are updating our outlook for the full year to reflect the demand environment we have been seeing, starting mostly in the third quarter. We are revising our 2025 adjusted EPS guidance to a range of $10.50 to $11, which reflects slightly lower revenue expectations for both access and transport segments. I want to emphasize that end market activity in our access segment is healthy, but we are seeing customers be more cautious in the near term regarding new equipment purchases as a result of tariffs and the current economic environment. Matt will provide additional details on segment performance and our outlook later in the call. Please turn to slide six for Q3 highlights. In September, we continued to demonstrate how Oshkosh is shaping the future of airports by showcasing our advanced technologies at the International Airport Ground Service Equipment Expo. and in washington dc at the ausa defense conference just two weeks ago we introduced our family of multi-mission autonomous vehicles fmav autonomy was a key focus at both events at the gse expo we displayed our full range of ground support equipment and showcased a flexible autonomous robot that can serve multiple roles on the tarmac we also launched the new tempus SID ICER, designed to easily navigate congested ramps while providing improved visibility and more intuitive controls for operators. At AUSA, Oshkosh featured three production-ready variants from the Autonomous Vehicle Portfolio, that's FMAV, highlighting our ability to deliver autonomous payload agnostic platforms. Please turn to slide seven. As I mentioned earlier, access equipment and market activity remains healthy as we see in equipment utilization percentages. That said, customers are being cautious with capex spending. I'm proud of our team's execution, delivering double digit adjusted operating margins despite this environment. While overall demand in the current environment is lower than in 2024, Construction activity for data centers and infrastructure has continued to drive demand. We believe that additional long-term tailwinds related to lower interest rates, project deferrals, aged equipment, and manufacturing reshoring will support a broader pickup in construction activity. In the near term, the team remains resilient and is working to mitigate the impacts of tariffs across our business. As we have discussed previously, we are aggressively pursuing cost levers to offset the impact of tariffs. We are also having initial discussions with customers regarding the impact of tariffs on pricing with the expectation that we will raise prices in 2026 to keep pace with input costs. Our success is driven by designing and building world-class products to meet the needs of our customers. This quarter, we introduced our new AG619 mid-sized ag telehandler aimed at the heart of the market, which we revealed at the World Dairy Expo last month. And in Europe, we launched the innovative LiftPod, providing low-level access for commercial customers needing a safe, portable, and stowable solution to support a wide range of projects at height. Turning to slide eight, In the vocational segment, we continue to advance initiatives that support increased production of fire trucks. This is a multi-year process as we seek to improve production efficiency by addressing bottlenecks associated with building highly customized, complex trucks. At the same time, we continue to support firefighters with our stock pumpers and Build My Pierce product offerings, which improve lead times by simplifying configurations. In recent quarters, we've seen an increase in the mix of orders for Build My Pierce pumpers, which should further support our efforts to streamline production and reduce lead times. We finished the quarter with strong orders for vocational, as the segment recorded $1.1 billion in the quarter, led by orders for Pierce fire trucks and our Aerotech products. of course we remain focused on increasing throughput and we expect to bring the backlog down over the next few years as we discussed at our investor day in june finally for the segment i want to recognize the team that supports our mcneilis volterra zsl refuse collection vehicle which won the coolest thing made in tennessee 2025. this product is a game changer for the refuse collection industry as the first fully integrated electric vehicle designed with the operator in mind to deliver world-class ergonomics, purpose-built performance, and a zero-emission, quiet driving experience in neighborhoods. Please turn to slide nine. As I previously mentioned, we showcase autonomy at the AUSA Defense Conference. Earlier this month, we announced an order from the United States Army valued at $89 million for the modernized PLS-A2 autonomy-ready heavy tactical truck designed for load handling, another example of innovation that is already available in our products today, not years in the future. We continue to advance core programs to support U.S. and international customers, including building FHTVs under our previously announced contract extension. We have also monetized JLTV-related technology through a one-time license of select operational software IP to the Department of Defense that occurred during the quarter. This further demonstrates our commitment to our government customers by providing cutting-edge technologies to support mission-critical requirements and fleet sustainment. Lastly, we continued to ramp production of the NGDV this quarter and are targeting line rates that support our annual production goals. As with any new product launch in a new assembly plant, challenges are to be expected, and we've seen this across the vehicle industry worldwide, and the team continues to work with urgency to ramp production while maintaining quality. We now have over 4 million miles driven by postal workers, and we remain excited about the rollout of this much needed productivity enhancing vehicle. With that, I'll hand it over to Matt to walk through our detailed financial results. Thanks, John.