Slides
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Atmus ™ FILTRATION TECHNOLOGIES Second Quarter 2026 Earnings Call August 7 , 2026
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2| Forward-Looking Statements Public This presentation contains forward-looking statements within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995, including, without limitation, the slide entitled “2026 Outlook” and those that are based on current expectations, estimates and projections about the industries in which we operate and management’s views, plans, objectives, projections, beliefs and assumptions. Forward-looking statements may be identified by the use of words such as “anticipates,” “expects,” “forecasts,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “could,” “should,” “may” or words of similar meaning. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding the outlook for our future business and financial performance, discussions of future operations, our strategy for growth and market position. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions, which are difficult to predict. If the underlying assumptions prove inaccurate, or known or unknown risks or uncertainties materialize, our actual outcomes, results and financial condition may differ materially from what is expressed, implied or forecasted in such forward-looking statements. Risks and uncertainties include, but are not limited to, those reflected in Part I, Item 1A, “Risk Factors,” and elsewhere in our Annual Report on Form 10-K for our fiscal year ended December 31, 2025, in our Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2026, and also as may be described from time to time in future reports we file with the Securities and Exchange Commission. You are cautioned not to place undue reliance on forward-looking statements. The forward-looking statements made herein are made only as of the date hereof, and we undertake no obligation to publicly update or to revise any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
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3| Steph Disher Chief Executive Officer Jack Kienzler Chief Financial Officer
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4| Second quarter 2026 1. For the three months ended June 30, 2026, GAAP net income was $64 million, diluted earnings per share was $0.78 and cash provided by operating activities was $78 million. See non-GAAP reconciliation in Appendix. Total company financial highlights1 Sales ($ millions) $528 Adj. FCF ($ millions) $67 Adj. EBITDA margin 20.7% Adj. EPS $0.82
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5| Our growth strategy Grow share in first-fit Transform our supply chain Expand into industrial filtration markets Accelerate profitable growth in the aftermarket 2 4 3 1
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6| Second quarter total company results For the three months ended June 30, (in millions except per share amount) 1. See non-GAAP reconciliation in Appendix. 2026 2025 Sales $528 $454 Gross margin Gross margin % $154 29.2% $131 28.9% Selling, Admin & Research (SAR) SAR % $62 11.6% $57 12.5% Joint venture $8 $8 Other income (expense) ($1) $4 Adj. EBITDA1 Adj. EBITDA margin %1 $109 20.7% $95 21.0% Net income $64 $60 Diluted earnings per share $0.78 $0.72 Adj. earnings per share1 $0.82 $0.75
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7| Second quarter segment results 1. Koch Filter acquired January 7, 2026. 2. See non-GAAP reconciliation in Appendix. Three months ended June 30, Power Solutions Industrial Solutions1 2026 2025 2026 Sales $486 $454 $42 Adj. EBITDA2 $101 $95 $8 Adj. EBITDA margin %2 20.8% 21.0% 18.9%
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8| Strategic capital deployment Driving growth and shareholder returns Q2 2026 Highlights Capital Deployment Priorities Invest for organic growth Industrial filtration M&A Return value to shareholders $13M Capital expenditures $5M Dividends paid $13M Share repurchases • $0.055 quarterly dividend • $20M share repurchases YTD1 • Expect 2026 repurchases of $20M - $40M Maintain balance sheet flexibility 1.9x Net debt to Adj. EBITDA2 1. As of June 30, 2026, $49 million authorization remaining on $150 million program. Program authorization is indefinite. 2. See non-GAAP reconciliation in Appendix.
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9| 2026 outlook (in millions) Segment Sales ($ millions) $1,820 – $1,865 Power Solutions Industrial Solutions1 $155 – $165 1. Koch Filter acquired as of January 7, 2026. 2. Excludes $3 - $6 million of one-time costs related to Koch Filter integration and $6 million of transaction costs. See slide entitled “Non-GAAP Financial Measures” in Appendix. 3. Excludes amortization of the intangible assets acquired in the Koch Filter acquisition. 4. Includes $11 - $13 million of amortization of the intangible assets acquired in the Koch Filter acquisition. 5. Excludes one-time Koch Filter integration capital expenditures of $3 - $5 million. Total Company Revised Guidance Prior Sales1 ($ millions) $1,975 - $2,030 $1,945 - $2,015 Adj. EBITDA margin %1,2 19.75% - 20.25% 19.5% - 20.5% Adj. earnings per share1,2,3 $2.85 - $3.00 $2.75 - $3.00 Additional Planning Assumptions Joint venture income $29 - $33 Effective tax rate 21% - 23% Interest expense $50 - $55 Depreciation & amortization4 ~$50 Capital expenditures5 $50 - $55 Prior: $1,790 – $1,850 No change
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10| Why invest in Atmus? Partnerships with leading OEMs Multi-channel path to diverse global markets Technology leadership and deep industry knowledge to deliver better customer solutions Mission-critical products in predictable and growing end markets Strong positioning and brand recognition Compelling growth strategy Consistent and attractive financial results
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Purpose- driven company WITH A CULTURE SHAPED BY OUR SHARED VALUES
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Non-GAAP Financial Measures
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13| Non-GAAP Financial Measures We use non-GAAP financial information and believe it is useful to investors as it provides additional information to facilitate comparisons of historical operating results, identify trends in our underlying operating results and provide additional insight and transparency on how we evaluate our business. We use non-GAAP financial measures to budget, make operating and strategic decisions and evaluate our performance. We have detailed the non-GAAP adjustments that we make in our non-GAAP definitions below. We believe the non-GAAP measures should always be considered along with the related U.S. GAAP financial measures. We have provided the reconciliations between the U.S. GAAP and non-GAAP financial measures in the appendix and we also discuss our underlying U.S. GAAP results throughout our Management’s Discussion and Analysis of Financial Condition and Results of Operations in our annual report on Form 10-K for our fiscal year ended December 31, 2025, and in our Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2026, except no reconciliation is provided for 2026 Adjusted EBITDA Margin and 2026 Adjusted Earnings Per Share provided in the slide entitled "2026 Outlook" because to do so would be potentially misleading and not practical given the difficulty in projecting event-driven transactional and other non-core operating items in any future period, which may be significant. Our primary non-GAAP financial measures are listed below and reflect how we evaluate our current and prior-year operating results. As new events or circumstances arise, these definitions could change. When our definitions change, we provide the updated definitions and present the related non-GAAP historical results on a comparable basis. • “EBITDA” is defined as earnings or losses before interest expense, income taxes, depreciation and amortization and “EBITDA margin” is defined as EBITDA as a percent of Net sales. We believe EBITDA and EBITDA margin are useful measures of our operating performance as they assist investors and debt holders in comparing our performance on a consistent basis without regard to financing methods, capital structure, income taxes or depreciation and amortization methods, which can vary significantly depending upon many factors. Additionally, we believe these metrics are widely used by investors, securities analysts, ratings agencies and others in our industry in evaluating performance. • “Adjusted EBITDA” is defined as EBITDA after adding back certain one-time expenses, reflected in Cost of sales and Selling, general and administrative expenses, associated with becoming a standalone public company, transaction costs associated with the Koch Filter acquisition and costs related to the integration of Koch Filter, one-time restructuring costs and long-lived asset impairment charges, “Adjusted EBITDA margin” is defined as Adjusted EBITDA as a percent of Net sales and Net Debt to Adjusted EBITDA is defined as Net Debt (long-term debt less cash) divided by Adjusted EBITDA . We believe Adjusted EBITDA, Adjusted EBITDA and Net Debt to Adjusted EBITDA margin are useful measures of our operating performance as they allow investors and debt holders to compare our performance on a consistent basis without regard to one-time costs attributable to our becoming a standalone public company and costs associated with the acquisition and integration of Koch Filter and non-recurring asset impairment charges. • “Adjusted earnings per share” is defined as diluted earnings per share (the most comparable U.S. GAAP financial measure) after adding back certain one-time expenses, reflected in Cost of sales and Selling, general and administrative expenses, associated with becoming a standalone public company transaction costs associated with the Koch Filter acquisition and costs related to the integration of Koch Filter and amortization of the intangible assets acquired in the Koch Filter acquisition less the related tax impact of the same one-time expenses acquisition and integration costs and amortization expense. We believe Adjusted earnings per share provides improved comparability of underlying operating results. • “Free cash flow” is defined as cash flows provided by (used in) operating activities less capital expenditures and “Adjusted free cash flow” is defined as Free cash flow after adding back certain one-time capital expenditures and other separation costs associated with becoming a standalone public company, transaction costs associated with the Koch Filter acquisition and capital expenditures and other costs related to the integration of Koch Filter. We believe Free cash flow and Adjusted free cash flow are useful metrics used by management and investors to analyze our ability to service and repay debt and return value to shareholders. The metrics defined above are not in accordance with, or alternatives for, U.S. GAAP financial measures and may not be consistent with measures used by other companies. It should be considered supplemental data; however, the amounts included in the EBITDA, EBITDA margin, Adjusted EBITDA, Adjusted EBITDA margin, Net Debt to Adjusted EBITDA, Adjusted earnings per share, Free cash flow and Adjusted free cash flow calculations are derived from amounts included in the consolidated statements of net income and cash flows. We do not consider our non-GAAP financial measures as superior to, or a substitute for, the equivalent measures calculated and presented in accordance with GAAP. Some of the limitations are: such measures do not reflect our cash expenditures, or future requirements for capital expenditures or contractual commitments; such measures do not reflect changes in, or cash requirements for, our working capital needs; such measures do not reflect the interest expense or the cash requirements necessary to service interest or principal payments on our debt; although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future and such measures do not reflect any cash requirements for such replacements; and other companies in our industry may calculate such measures differently than we do, limiting their usefulness as comparative measures. To properly and prudently evaluate our business, we encourage you to review the unaudited condensed consolidated financial statements included in our SEC filings and not rely on a single financial measure to evaluate our business.
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14| Non-GAAP Financial Measures (a) Primarily comprised of transaction costs associated with the Koch Filter acquisition and other Information Technology, Human Resources, and manufacturing costs related to the integration of Koch Filter. (b) Primarily comprised of one-time expenses related to Information Technology, warehousing, manufacturing and Human Resources separation costs. EBITDA and Adjusted EBITDA Reconciliations ($ millions) For the Three Months Ended June 30, 2026 2025 NET INCOME 64$ 60$ Plus: Interest expense 14 9 Income tax expense 19 17 Depreciation and amortization 12 7 EBITDA 108$ 93$ Plus: One-time integration costs(a) 1$ -$ One-time separation costs(b) - 3 Adjusted EBITDA 109$ 95$ Net Sales 528$ 454$ EBITDA Margin 20.5% 20.4% Adjusted EBITDA Margin 20.7% 21.0% Note: Amounts may not total due to rounding
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15| Non-GAAP Financial Measures (a) During 2025, Atmus recognized fixed asset impairment charges on idled machinery, equipment and fixtures. We do not expect the idling of the assets to have a material adverse effect on our financial position, results of operations, cash flows, liquidity or capital resources. (b) Primarily comprised of transaction costs associated with the Koch Filter acquisition and other Information Technology, Human Resources and manufacturing costs related to the Integration of Koch Filter. (c) Primarily comprised of one-time expenses related to Information Technology, warehousing, manufacturing and Human Resources separation costs. (d) Koch Filter Adj. EBITDA adjusted for six months ended December 31, 2025. EBITDA and Adjusted EBITDA Reconciliations and Net Debt Post Koch Filter Acquisition ($ millions) NET INCOME 215$ Plus: Interest expense 44 Income tax expense 62 Depreciation and amortization 39 EBITDA 360$ Plus: Impairment Charges - Long-lived assets(a) 8$ Acquisition costs(b) 6 One-time integration costs(b) 2 One-time separation costs(c) 4 Adj. EBITDA for TTM June 30, 2026 380$ Koch Filter approx Adj. EBITDA July 1 - Dec. 31, 2025(d) 16$ Atmus & Koch Filter Adjusted EBITDA 396$ Cash 259$ Long-term debt 1,000$ Net Debt (long-term debt less cash) 741$ Net Debt to Adjusted EBITDA 1.9 Note: Amounts may not total due to rounding
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16| Non-GAAP Financial Measures (a) Other expense (income) includes Other operating expense (income), net and Other (expense) income, net from Consolidated Statements of Net Income. (b) Depreciation and amortization are not considered significant segment expenses but are presented here to reconcile to Segment Adjusted EBITDA, the measure used by our chief operating decision maker. The amount of depreciation and amortization disclosed by reportable segment is included within the cost of sales and selling, general and administrative expenses. (c) Corporate expenses for the three months ended June 30, 2026, include $1 million of costs associated with the integration of Koch Filtration and in the three months ended June 30, 2025, include $3 million of one-time separation costs. Segment Adjusted EBITDA Reconciliations ($ millions) For the Three Months Ended For the Three Months Ended June 30, 2026 June 30, 2025 Power Industrial Power Solutions Solutions Total Solutions Total External Sales 486$ 42$ 528$ 454$ 454$ Cost of Sales 342 32 321 Selling, general and administrative expenses 48 3 46 Research, development and engineering expenses 10 - 11 Equity, royalty and interest income from investees 8 - 8 Other expense (income)(a) 1 - (4) Add back: Depreciation and amortization(b) 8 1 7 Segment Adjusted EBITDA 101$ 8$ 109$ 95$ 95$ Segment Adjusted EBITDA Margin 20.8% 18.9% 21.0% Reconciliation to Income before income taxes: Corporate expenses(c) 1 3 Interest expense 14 9 Depreciation and amortization 12 7 Income before income taxes 83$ 77$ Note: Amounts may not total due to rounding
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17| Non-GAAP Financial Measures (a) Primarily comprised of transaction costs associated to the Koch Filter acquisition and other Information Technology, Human Resources and manufacturing costs related to the integration of Koch Filter. (b) Primarily comprised of one-time expenses related to Information Technology, warehousing, manufacturing and Human Resources separation costs and the related tax impact of those expenses. (c) Amortization expense of the intangible assets acquired in the Koch Filter acquisition. Adjusted EPS Reconciliation ($ per share) For the Three Months Ended June 30, 2026 2025 Diluted earnings per share 0.78$ 0.72$ Plus: One-time integration costs(a) 0.01 - One-time separation costs(b) - 0.03 Intangible asset amortization(c) 0.04 - Less: Tax impact of one-time integration costs(a) - - Tax impact of one-time separation costs(b) - - Tax impact of intangible asset amortization(c) 0.01 - Adjusted earnings per share 0.82$ 0.75$
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18| Non-GAAP Financial Measures (a) One-time capital expenditures for the three months ended June 30, 2026, are primarily comprised of expenditures associated with the integration of Koch Filter. One-time capital expenditures for the three months ended June 30, 2025, are primarily comprised of separation related expenditures. Free Cash Flow and Adjusted Free Cash Flow Reconciliations ($ millions) For the Three Months Ended June 30, 2026 2025 Cash provided by operating activities 78$ 44$ Less: Capital expenditures 13 12 Free cash flow 65$ 32$ Plus: One-time restructuring costs -$ -$ Acquisition Costs -$ -$ One-time integration Costs 1 - One-time capital expenditures (a) 1 3 Adjusted free cash flow 67$ 36$ Note: Amounts may not total due to rounding