Oshkosh Corp
Q2 2024 Earnings
Market Reaction
S&P 500 over the same 30 days: +2.34%.
Did OSK Beat Earnings? Q2 2024 Results
Oshkosh Corporation delivered a stronger-than-expected second quarter, with adjusted EPS of $3.34 beating the $2.98 consensus estimate by 12.08% and revenue of $2.85 billion topping forecasts by 3.39% as sales climbed 18.0% year over year. The standout driver was broad-based volume growth across all three business segments, amplified by $192.00 million in contributions from the newly acquired AeroTech business within a Vocational segment that saw sales surge 43.5% to $843.10 million. The headline results were clouded, however, by a $51.60 million intangible asset impairment at Pratt Miller that pushed GAAP EPS down to $2.56 from $2.67 a year ago and produced a GAAP operating loss in the Defense segment. Looking ahead, management raised its full-year adjusted EPS guidance to approximately $11.75 from $11.25, while trimming its GAAP EPS outlook modestly to $10.45, with full-year revenue held steady at approximately $10.70 billion and a consolidated backlog of $15.37 billion providing visibility into 2025.
- Favorable price/cost dynamics across segments
- Higher organic sales volume in all three segments
- AeroTech acquisition contributing $192 million in Vocational segment sales
- Higher North America sales volume in Access segment
- Higher FMTV sales volume and NGDV production commencement in Defense
- Improved sales mix in Access segment
“We are pleased to report another quarter of strong performance highlighted by growth in revenue, adjusted operating income and adjusted earnings per share. In the second quarter, we grew revenues by 18 percent and adjusted operating income by 36 percent, leading to an adjusted operating margin of 11.5 percent and adjusted earnings per share of $3.34. Our exceptional performance is a testament to the outstanding execution of our 18,000 Oshkosh team members who share a passion for our mission.”
Oshkosh CEO, on the earnings call
Forward Guidance & Outlook
Oshkosh updated 2024 full-year guidance: GAAP diluted EPS expected at approximately $10.45 (down from $10.55 previously) and adjusted EPS raised to approximately $11.75 (up from $11.25). Full-year net sales maintained at approximately $10.7 billion. For 2025, management expects Access segment sales to be in the range of 2024 levels, supported by infrastructure investments, mega projects, industrial onshoring, and fleet age. Defense revenues from NGDV ramp-up are expected to more than offset declining JLTV revenues. Vocational segment has a large backlog and strong pricing supporting continued revenue and margin growth.
OSK YoY Financials
OSK Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.