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Oshkosh Corp.: Q4 FY2025 earnings call

What management said about Q4 FY2025, from the documents filed with the SEC on 29 January 2026: press release. Guidance figures: 1 raised, 4 new. The quarter’s numbers.

Key takeaways

  • Fourth quarter sales rose 3.5 percent: Consolidated sales rose $90.7 million to $2.69 billion, mainly from improved Vocational pricing and higher Access volume. Source
  • Fourth quarter EPS declined year over year: Diluted EPS was $2.10 against $2.33, and adjusted EPS was $2.26 against $2.58. Net income was $133.8 million against $153.1 million. Source
  • Full-year sales and EPS declined: Full-year net sales were $10.42 billion against $10.73 billion. Diluted EPS was $10.02 against $10.35, and adjusted EPS $10.79 against $11.74. Source
  • Access operating income fell 30.5 percent: Access operating income was $99.3 million, down from $142.9 million. Adjusted Access operating income was $103.0 million. Source
  • Operating income hit by mix and overhead: Operating income fell on unfavorable product mix and higher manufacturing overhead, partly offset by lower incentive compensation and higher volume. Source
  • Period-end backlog reached $14.18 billion: Period-end backlog was $14.18 billion against $14.74 billion a year earlier. Access backlog fell to $1,275.8 million from $1,832.2 million; Vocational rose to $6,614.8 million. Source
  • Operating cash flow reached $783 million: Net cash provided by operations was $783.4 million for 2025, against $550.1 million the prior year. Source
  • NGDV ramp and fire truck investment: Management said it is continuing the NGDV ramp-up and investing in additional U.S. fire truck production into 2026 to meet customer demand. Source

“fourth quarter results that were within our expectations driven by our people and innovative products”

John Pfeifer, president and chief executive officer of Oshkosh Corporation

Guidance

AreaPeriodFigureAgainst last quarter
Diluted EPS Source2026approximately $10.90New
Adjusted diluted EPS Source2026approximately $11.50New
Net sales Source2026approximately $11.0 billionNew
Amortization of purchased intangibles, net of tax Source2026$0.60 per shareNew
Quarterly cash dividend SourcePayable March 3, 2026$0.57 per shareRaised from $0.51 per share

What changed from last quarter

  • New guidance: 2026 diluted and adjusted EPS guidance initiated for the first time in this release. Source
  • New: Quarterly dividend declared at $0.57 per share, up from $0.51 per share in the prior release. Source

Results and growth drivers

  • Fourth quarter sales rose 3.5 percent: Consolidated sales rose $90.7 million to $2.69 billion, mainly from improved Vocational pricing and higher Access volume. Source
  • Fourth quarter EPS declined year over year: Diluted EPS was $2.10 against $2.33, and adjusted EPS was $2.26 against $2.58. Net income was $133.8 million against $153.1 million. Source
  • Full-year sales and EPS declined: Full-year net sales were $10.42 billion against $10.73 billion. Diluted EPS was $10.02 against $10.35, and adjusted EPS $10.79 against $11.74. Source
  • Operating income fell 5.3 percent: Operating income was $212.0 million, 7.9 percent of sales, against $223.9 million and 8.6 percent. Adjusted operating income was $225.9 million, 8.4 percent of sales. Source

Segment results

  • Access operating income fell 30.5 percent: Access operating income was $99.3 million, down from $142.9 million. Adjusted Access operating income was $103.0 million. Source
  • Vocational income rose on pricing: Vocational sales rose to $922.4 million. Operating income rose to $140.3 million, 15.2 percent of sales, against 12.6 percent. Source
  • Transport income rose on lower catch-up adjustments: Transport sales rose to $566.7 million. Operating income rose to $22.8 million, 4.0 percent of sales, against $15.0 million and 2.8 percent. Source
  • Corporate costs rose on healthcare timing: Corporate and other net operating costs rose to $50.4 million, which management attributed to timing of healthcare charges between Corporate and the segments. Source

“We believe our People First culture and strategic investments position us to create long-term value for our customers, shareholders and team members,”

John Pfeifer, president and chief executive officer of Oshkosh Corporation

Products and customers

  • Fire apparatus and airport sales grew: Municipal fire apparatus sales were $382.9 million against $334.6 million, and airport products $252.7 million against $234.4 million. Source
  • Refuse vehicle sales fell: Refuse and recycling vehicle sales fell to $156.1 million from $193.9 million, with lower sales volume. Source
  • Defense sales fell on JLTV wind-down: Defense sales fell to $401.7 million from $498.8 million as the domestic JLTV program wound down, while international wheeled vehicle volume rose. Source
  • Delivery vehicle sales rose sharply: Delivery vehicle sales were $165.0 million against $35.0 million, reflecting the NGDV ramp for the United States Postal Service. Source

Costs, margins and pricing

  • Operating income hit by mix and overhead: Operating income fell on unfavorable product mix and higher manufacturing overhead, partly offset by lower incentive compensation and higher volume. Source
  • Access margin compressed on price and mix: Access operating margin was 8.5 percent against 12.4 percent, with adverse price/cost and product mix. Adjusted Access margin was 8.8 percent against 13.1 percent. Source
  • Adjusted operating margin narrowed: Adjusted operating income was $225.9 million, 8.4 percent of sales, against $245.4 million and 9.4 percent. Source
  • Tax rate rose on state apportionment: Effective tax rate was 26.3 percent against 22.7 percent, affected by deferred tax changes from state apportionment adjustments on final 2024 state returns. Source

Demand and the order book

  • Period-end backlog reached $14.18 billion: Period-end backlog was $14.18 billion against $14.74 billion a year earlier. Access backlog fell to $1,275.8 million from $1,832.2 million; Vocational rose to $6,614.8 million. Source
  • Transport backlog declined: Transport backlog was $6,181.2 million against $6,531.0 million a year earlier. Source
  • Access sales rose on North American volume: Access sales were $1.17 billion, up $14.6 million, on higher North American volume partly offset by higher sales discounts. Source

Capital, cash and returns to shareholders

  • Operating cash flow reached $783 million: Net cash provided by operations was $783.4 million for 2025, against $550.1 million the prior year. Source
  • Fourth quarter buybacks of $118.7 million: The company repurchased 911,873 shares for $118.7 million in the fourth quarter. Full-year repurchases were $278.0 million. Source
  • Buybacks added to EPS: Repurchases over the prior twelve months added $0.06 to fourth quarter EPS compared with 2024. Source
  • Cash rose, long-term debt increased: Cash and cash equivalents were $479.8 million, against $204.9 million. Long-term debt was $1,100.3 million, against $599.5 million. Source

Drivers of 2026 expectations

  • Vocational and Transport improvement expected: Management expects improved results in Vocational and Transport, supported by backlog and innovation, partly offset by Access weakness in non-residential construction. Source
  • NGDV ramp and fire truck investment: Management said it is continuing the NGDV ramp-up and investing in additional U.S. fire truck production into 2026 to meet customer demand. Source
  • Adjusted measures exclude amortization: Adjusted measures exclude amortization of purchased intangibles and impairments, which the company says aids comparison with prior periods. Source

Coming up, as management said on 29 January 2026

  • Quarterly dividend payment: The $0.57 quarterly dividend is payable March 3, 2026 to holders of record as of February 17, 2026. Source

Risks management discussed

  • Demand: Management cited continued weakness in non-residential construction affecting Access. Source
  • Operational: Transport's NGDV ramp-up carried costs that partly offset segment income. Source
  • Operational: Full-year net income decline was attributed partly to higher warranty costs. Source

Earlier plans management reported on

  • Met: Management said fourth quarter results were within its expectations. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.