Oshkosh Corporation (Holding Company) · NYSE:OSK
Oshkosh Corporation (Holding Company) — Q4 2014 Earnings Presentation
22 slides from Oshkosh Corporation (Holding Company)'s earnings presentation, Oct 31, 2014
Slide 1: Moving the World at Work
MOVING THE WORLD AT WORK Charles L. Szews Oshkosh Corporation Chief Executive Officer Fourth Quarter Fiscal 2014 Wilson R. Jones President and Chief Operating Officer October 31, 2014 David M. Sagehorn Executive Vice President and Chief Financial Officer Patrick N. Davidson Vice President, Investor
Slide 2: Forward-Looking Statements
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
Slide 3: On the MOVE!
On the MOVE! FY14 adjusted EPS** of $3.62, above high end of Company’s initial guidance FY15 adjusted EPS** estimate range of $4.00 - $4.25 within Company’s 2012 Analyst Day EPS target range for FY15 Non-Defense markets continue to recover, generally slower than 2012 Analyst Day expectations
Slide 4: Solid Q4 Performance to Close Out FY14
Solid Q4 Performance to Close Out FY14 Adjusted results above both prior OSK Fiscal Q4 Performance year and high end of most recent expectations $2.0 $1.7 $1.25 $1.8 $1.7 – Led by continued strong access Adjusted EPS** $1.6 $0.96 $1.00 Net Sales equipment segment performance $1.4 (billions) $1.2 $
Slide 5: MOVE Impact Evident in Strong Full Year Results
MOVE Impact Evident in Strong Full Year Results Operating income margins increased in all non-Defense OSK Full Year Performance segments – Led by access equipment $10.0 $5.00 segment $8.0 $7.7 $3.74 $4.00 $3.62 Adjusted EPS** Strong new product launches; $6.8 Net Sales (billions) more to come $6
Slide 6: On Track to Achieve in FY15…
On Track to Achieve in FY15… FY15 Initiative FY15 Targets Estimate …Bottom Line Results for Shareholders (1) Compared with FY12 expectations as of September 2012 Analyst Day. (2) Net of investment costs and compared with consolidated FY11 operating income margins. MOVING THE WORLD AT WORK * Non-GAAP
Slide 7: Defense
Defense Successfully concluded JLTV EMD testing – Expect formal Production RFP to be released in November Continue to pursue international programs – Additional M-ATV sales and Canadian MSVS Re-purposed production facilities – Announced additional workforce reductions Expect operating loss i
Slide 8: Access Equipment
Access Equipment MOVE delivered in FY14 – Exciting new products – Strong incremental margins – Record revenues, operating income and operating income margin Continued growth expected in FY15 – Moderate growth in North America – Mixed outlook in other regions Recent European economic slowdown m
Slide 9: Fire & Emergency
Fire & Emergency Stepped back to better execute business improvement roadmap – Expect FY15 Q1 operating loss International progress continues Strong orders for new Enforcer and Saber chassis North American fire truck demand remains soft – Slow market growth expected in FY15 MOVING THE WORLD
Slide 10: Commercial
Commercial Solid improvement in FY14 – Strong yr/yr concrete mixer sales – Early stage investments in MOVE initiatives began to impact performance Expect continued market recovery in FY15 – Modest U.S. housing market growth expected to drive mixer market – Slow growth in refuse collection vehicl
Slide 11: Consolidated Results
Consolidated Results (Dollars in millions, except per share amounts) Fourth Quarter Comments 2014 2013* Sales impacted by: Net Sales $1,667.7 $1,726.5 ‒ Lower defense segment sales % Change (3.4)% (15.8)% + Higher access equipment and commercial segment sales Adjusted EPS impacted by: Operating
Slide 12: Expectations for FY15
Expectations for FY15 Revenues of $6.5 billion to $6.6 billion Operating income of $510 million to $540 million Adjusted EPS* of $4.00 to $4.25 Segment information Access Fire & Measure Defense Commercial Equipment Emergency Sales $3.7 - $3.8 ~$1.0 ~$0.80 ~$1.0 (billions) Operating Slightly ab
Slide 13: Executing the MOVE
Executing the MOVE MOVE has driven results and continues to evolve Management completely focused on achieving adjusted EPS* of $4.00 - $4.25 for FY15 Within 2012 Analyst Day target range of $4.00 - $4.50 Positioning Oshkosh to sustain earnings growth in FY16 and beyond Planning Analyst Day
Slide 14: For information contact
MOVING THE WORLD AT WORK For information Patrick N. Davidson Vice President, Investor Relations contact: (920) 966-5939 [email protected] Jeffrey D. Watt Director, Investor Relations (920) 233-9406 [email protected] OSK Fourth Quarter 2014 Earnings Call October 31, 2014 14
Slide 15: Appendix: Access Equipment
Appendix: Access Equipment (Dollars in millions) Fourth Quarter Comments 2014 2013 Sales impacted by: Net Sales $932.7 $780.6 Continued recovery of global market % Change 19.5%* 8.9% Prior year sales of U.S. military telehandlers Adjusted Operating income impacted by: Operating Income $127.4
Slide 16: Appendix: Defense
Appendix: Defense (Dollars in millions) Fourth Quarter Comments Sales impacted by: 2014 2013 Lower sales to U.S. DoD Net Sales $288.1 $513.8 Prior year international M-ATV % Change (43.9)% (46.1)% sales Prior year JLTV test unit sales Adjusted Operating income impacted by: Operating Income
Slide 17: Appendix: Fire & Emergency
Appendix: Fire & Emergency (Dollars in millions) Fourth Quarter Comments Sales impacted by: 2014 2013 Production delays Net Sales $214.9 $232.0 Prior year large international % Change (7.4)% 6.6% deliveries Operating income impacted by: Operating Income $12.5 $9.2 Favorable product mix % C
Slide 18: Appendix: Commercial
Appendix: Commercial (Dollars in millions) Fourth Quarter Comments 2014 2013 Sales impacted by: Higher concrete mixer volume Net Sales $243.7 $209.4 % Change 16.4% 15.4% Operating income impacted by: Higher sales volume Operating Income $18.4 $15.7 Backlog up 13.7% vs. prior % Change 17.3%
Slide 19: Appendix: Commonly Used Acronyms
Appendix: Commonly Used Acronyms ARFF Aircraft Rescue and Firefighting MECV Modernized Expanded Capability Vehicle AWP Aerial Work Platform MRAP Mine Resistant Ambush Protected CapEx Capital Expenditures MSVS Medium Support Vehicle System (Canada) CNG Compressed Natural Gas NOL Net Operating Loss DG
Slide 20: Non-GAAP to GAAP Reconciliation
Appendix: Non-GAAP to GAAP Reconciliation • The tables below present a reconciliation of the Company’s presented non-GAAP measures to the most directly comparable GAAP measures (in millions): Three Months Ended September 30, 2014 2013 Access equipment segment sales excluding military (non-GAAP) $ 93
Slide 21: Non-GAAP to GAAP Reconciliation
Appendix: Non-GAAP to GAAP Reconciliation • The tables below present a reconciliation of the Company’s presented non-GAAP measures to the most directly comparable GAAP measures: Three Months Ended Fiscal Year Ended September 30, September 30, 2014 2013 2014 2013 2012 Adjusted earnings per share from
Slide 22: Non-GAAP to GAAP Reconciliation
Appendix: Non-GAAP to GAAP Reconciliation • The tables below present a reconciliation of the Company’s presented non-GAAP measures to the most directly comparable GAAP measures (in millions, except per share amounts): Fiscal 2015 Expectations Low High Adjusted earnings per share from continuing oper