Oshkosh Q3 2016 Earnings Presentation

MOVING THE WORLD AT WORK

Third Quarter Fiscal 2016July 28, 2016

Wilson R. JonesPresident and Chief Executive Officer

David M. SagehornExecutive Vice President and Chief Financial Officer

Patrick N. DavidsonVice President, Investor Relations

Oshkosh Corporation (NYSE:OSK)


Forward-Looking StatementsThis 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 thatmay 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; risksrelated 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.

July 28, 2016OSK Third Quarter 2016 Earnings Call 2


Q3 FY16

Q3 FY16 EPS of $1.13

− Equal to Q3 FY15

Higher defense and fire & emergency segment sales

Higher operating income margin vs. prior year in defense, fire & emergency and commercial segments

Progress on funding and delivery schedules for the large international M-ATV order

Increased full year EPS outlook to range of $2.60 to $2.80

Net Sales(billions) EPS

3

$1.7 $1.6

$1.13 $1.13

$0.00

$0.25

$0.50

$0.75

$1.00

$1.25

$0.0$0.2$0.4$0.6$0.8$1.0$1.2$1.4$1.6$1.8$2.0

FY16 FY15Net Sales EPS

OSK Fiscal Q3 Performance

July 28, 2016OSK Third Quarter 2016 Earnings Call


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



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



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



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



Consolidated Results

Sales impacted by: Higher defense, fire &

emergency and access equipment segment sales

EPS impacted by: Higher defense, fire &

emergency and commercial segment results

Lower share count

Lower access equipment segment results

Higher tax rate

Higher incentive compensation

Q3 Comments

(Dollars in millions, except per share amounts)

Third Quarter

Net Sales $1,747.5 $1,612.3% Change 8.4% (16.6)%

Operating Income $146.8 $136.6% Change 7.5% (22.1)%% Margin 8.4% 8.5%

EPS $1.13 $1.13% Change 0.0% (7.4)%

2016 2015



Updated Expectations for FY16

Additional expectations Corporate expenses of $150 - $155 million Tax rate of ~ 32% CapEx of ~ $100 million Free Cash Flow* ~ $400 million Assumes share count of ~ 74.5 million

Segment information

Revenues of ~ $6.0 to $6.1 billion Operating income of $340 million to $360 million EPS of $2.60 to $2.80

* Non-GAAP results. See Appendix for reconciliation to GAAP results.

9

Increased full year EPS estimate range Added ~ 175 international M-ATVs in Q4 Improved F&E performance Reduced access equipment operating margin

expectations Increased incentive compensation expense Higher tax rate

Measure Access Equipment Defense Fire &

Emergency Commercial

Sales(billions) $2.9 to $2.95 ~$1.25 ~ $0.95 ~ $1.0

Operating Income Margin 9.5% - 9.75% ~ 7.75% ~ 6.75% ~ 7.0%

July 28, 2016OSK Third Quarter 2016 Earnings Call


For informationcontact:

Patrick N. DavidsonVice President, Investor Relations(920) [email protected]

Jeffrey D. WattDirector, Investor Relations(920) [email protected]



Net Sales $952.5 $932.6% Change 2.1% (10.3)%

Operating Income $122.1 $136.4% Change (10.4)% (18.2)%% Margin 12.8% 14.6%

Third Quarter

(Dollars in millions)

2016 2015

Appendix: Access Equipment

Sales impacted by: Higher volume in North America,

primarily telehandlers− Competitive pricing

Operating income impacted by:− Competitive pricing− Prior year reversal of accrued

incentive compensation expense Lower spending on engine

emissions standards changes Higher sales volume

Backlog down 5% vs. prior year to $375 million

Q3 Comments



Appendix: Defense

Sales impacted by: Higher FHTV volume

Operating income impacted by: Favorable product mix Contractual price increases Higher sales volume

Backlog up 88% vs. prior year to $2.3 billion

Q3 Comments

Net Sales $264.3 $194.2% Change 36.1% (58.7)%

Operating Income / (Loss) $19.1 $(7.1)

% Change 369.3% (137.0)%% Margin 7.2% (3.7)%

Third Quarter


2016 2015



Net Sales $248.5 $199.8% Change 24.4% 6.6%

Operating Income $19.7 $9.6% Change 105.0% 55.5%% Margin 7.9% 4.8%

Third Quarter


2016 2015

Appendix: Fire & Emergency

Sales impacted by: Higher Pierce fire truck volume

Operating income impacted by: Higher sales volume Improved pricing

Backlog up 12% vs. prior year to $853 million

Q3 Comments



Appendix: Commercial

Sales impacted by:− Lower international RCV volume

Operating income impacted by: Improved product mix

Backlog down 5% vs. prior year to $206 million

Q3 Comments

Net Sales $287.9 $294.0% Change (2.1)% 18.9%

Operating Income $23.8 $22.4% Change 6.2% 12.9%% Margin 8.3% 7.6%

Third Quarter


2016 2015



Appendix: Commonly Used Acronyms

15July 28, 2016OSK Third Quarter 2016 Earnings Call

ARFF Aircraft Rescue and Firefighting M-ATV MRAP All-Terrain VehicleAWP Aerial Work Platform MRAP Mine Resistant Ambush ProtectedAMPS Aftermarket parts & service MSVS Medium Support Vehicle System (Canada)CapEx Capital Expenditures NOL Net Operating LossCNG Compressed Natural Gas NPD New Product DevelopmentDGE Diesel Gallon Equivalent NRC National Rental CompanyDoD Department of Defense OCO Overseas Contingency OperationsEAME Europe, Africa & Middle East OH OverheadEMD Engineering & Manufacturing Development OI Operating IncomeEPS Diluted Earnings Per Share OOS Oshkosh Operating SystemFAST Act Fixing America’s Surface Transportation Act OPEB Other Post-Employment BenefitsFHTV Family of Heavy Tactical Vehicles PLS Palletized Load SystemFMS Foreign Military Sales PUC Pierce Ultimate ConfigurationFMTV Family of Medium Tactical Vehicles R&D Research & DevelopmentGAAP U.S. Generally Accepted Accounting Principles RCV Refuse Collection VehicleGAO Government Accountability Office RFP Request for ProposalHEMTT Heavy Expanded Mobility Tactical Truck ROW Rest of WorldHET Heavy Equipment Transporter SMP Standard Military Pattern (Canadian MSVS)HMMWV High Mobility Multi-Purpose Wheeled Vehicle TACOM Tank-automotive and Armaments CommandIRC Independent Rental Company TDP Technical Data PackageIT Information Technology TPV Tactical Protector VehicleJLTV Joint Light Tactical Vehicle TWV Tactical Wheeled VehicleJPO Joint Program Office UCA Undefinitized Contract ActionJROC Joint Requirements Oversight Council UIK Underbody Improvement Kit (for M-ATV)JUONS Joint Urgent Operational Needs Statement UK United KingdomL-ATV Light Combat Tactical All-Terrain Vehicle ZR Zero Radius

LVSR Logistic Vehicle System Replacement



Appendix: Non-GAAP to GAAP Reconciliation

• The table below presents a reconciliation of the Company’s presented non-GAAP measures to the most directly comparable GAAP measures (in millions):

Fiscal 2016Expectations

Net cash flows provided by operating activities $ 500.0 Additions to property, plant and equipment (100.0)Free cash flow $ 400.0