Slides
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ParkOhio ParkOhio Park - Ohio Holdings Corp. Second Quarter 2026 Earnings Call Presentation August 6 , 2026
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These slides contain forward-looking statements, including statements regarding future performance of the Company, that are subject to known and unknownrisks, uncertainties and other factors that may cause our actual results, performance and achievements, or industry results, to be materially different from any futureresults, performance or achievements expressed or implied by such forward-looking statements. These factors that could cause actual results to differ materially fromexpectations include, but are not limited to, the following: the outcome of our strategic review of the SSP business; the impact supply chain and logistic issues have onour business, results of operations, financial position and liquidity; our substantial indebtedness; the uncertainty of the global economic environment; general businessconditions and competitive factors, including pricing pressures and product innovation; demand for our products and services; the impact of labor disturbancesaffecting our customers; raw material availability and pricing; fluctuations in energy costs; component part availability and pricing; changes in our relationships withcustomers and suppliers; the financial condition of our customers, including the impact of any bankruptcies; our ability to successfully integrate recent and futureacquisitions into existing operations; the amounts and timing, if any, of purchases of our common stock; changes in general economic conditions such as inflation rates,interest rates, tax rates, unemployment rates, higher labor and healthcare costs, recessions and changing government policies, laws and regulations, including thoserelated to the current global uncertainties and crises, such as tariffs and surcharges; adverse impacts to us, our suppliers and customers from acts of terrorism orhostilities, or geopolitical unrest; public health issues, including the outbreak of infectious diseases and any impact on our facilities and operations and our customersand suppliers; our ability to meet various covenants, including financial covenants, contained in the agreements governing our indebtedness; disruptions, uncertaintiesor volatility in the credit markets that may limit our access to capital; potential disruption due to a partial or complete reconfiguration of the European Union;increasingly stringent domestic and foreign governmental regulations, including those affecting the environment or import and export controls and other trade barriers;inherent uncertainties involved in assessing our potential liability for environmental remediation-related activities; the outcome of pending and future litigation andother claims and disputes with customers; our dependence on the automotive and heavy-duty truck industries, which are highly cyclical; the dependence of theautomotive industry on consumer spending; our ability to negotiate contracts with labor unions; our dependence on key management; our dependence on informationsystems; our ability to continue to pay cash dividends, and the timing and amount of any such dividends; and the other factors we describe under “Item 1A. RiskFactors” included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025. Any forward-looking statement speaks only as of the date onwhich such statement is made, and we undertake no obligation to update any forward-looking statement, whether as a result of new information, future events orotherwise, except as required by law. In light of these and other uncertainties, the inclusion of a forward-looking statement herein should not be regarded as arepresentation by us that our plans and objectives will be achieved.The Company uses certain non-GAAP measures, including Adjusted EPS and Adjusted Segment Operating Income. The reconciliation of these measures to themost directly comparable GAAP measures is detailed at the end of these slides and in the Company’s press release for the second quarter of 2026, which is available onthe Company’s website atwww.pkoh.com. 2 Forward-Looking Statements and Non-GAAP Measures
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Second Quarter 2026 Highlights 3 Record revenue of $440 million, up 10% year-over-year. Year-over-year sales growth in all three business segments, reflecting continued strong demand across aerospace and defense, AI data center, electrical steel, semiconductor, oil and gas, heavy-duty truck and powersports end markets.Gross margin of 17.9%, up 90 basis points compared to 17.0% in the 2025 second quarter and the highest quarterly level since 2013.GAAP EPS of $0.87, up 30% compared to $0.67 in the 2025 second quarter; Adjusted EPS of $0.93, up 24% compared to $0.75 in the prior year quarter. Operating cash flow of $9 million compared to a use of $14 million in the 2025 second quarter, an improvement of $23 million year-over-year.
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2026 Outlook Raised 4Our raised outlook reflects revenue growth and continued margin expansion, supported by continued strong aerospace and defense production, AI data center growth trends and continued growth in several key industrial markets in Supply Technologies; strong backlogs in Engineered Products resulting from increasing demand from electrical steel, aerospace and defense and oil and gas markets; and increased operating efficiency across all three business segments.
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Q2 Consolidated Results (in millions, except EPS) 5•Net sales increased 10% year-over-year to a record $440 million, driven by growth in all three business segments, reflecting continued strength across aerospace and defense, AI data center, electrical steel, semiconductor, oil and gas, heavy-duty truck and power sports end markets.•Adjusted EPS driven by higher segment operating income offset by higher interest expense.•Operating income up 22% year-over-year, driven by the higher sales levels and profit-enhancement initiatives. $400 $440 Q2 2025 Q2 2026Net Sales $20 $25 Q2 2025 Q2 2026Operating Income $0.75 $0.93 Q2 2025 Q2 2026Adjusted EPS
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Q2 Supply Technologies Segment (in millions) 6•Record revenue of $209 million compared to $187 million in the second quarter of 2025, up 12%. •Sales growth year-over-year driven by growth in the semiconductor, AI data center, powersports, aerospace and defense, heavy-duty truck, agricultural and industrial equipment end markets.•Operating income was up 13% compared to the 2025 period, and operating income margin was up 10 basis points in the 2026 period compared to the same period a year ago. •The profit increases were due primarily to the higher sales levels, profit enhancement initiatives and investments in automation to reduce operating costs. $187 $209 Q2 2025 Q2 2026Net Sales $16.3$18.5Q2 2025 Q2 2026Operating Income 8.7%8.8%Q2 2025 Q2 2026Operating Income Margin
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Q2 Assembly Components Segment (in millions) 7•Higher revenue in Q2 2026 driven by new business and increased year-over-year demand from various automotive platforms in each of our product lines. •Our vertically integrated polymer extrusion and molding capabilities, combined with a global manufacturing footprint, position us to support fluid transfer and critical component applications across traditional, hybrid and electrified powertrains, as well as broader industrial markets. •Operating income and margins impacted by unfavorable mix, which offset the favorable impact of higher sales.•We continue to focus on improving operating margins through revenue growth from new programs and through profit-enhancement initiatives. Several operating initiatives, such as increasing our rubber mixing production to support sales growth in our molded and extruded products, and plant floor automation investments, are expected to improve the operating margin in the future. $95 $101 Q2 2025 Q2 2026Net Sales $5.6$5.3Q2 2025 Q2 2026Operating Income 5.9%5.2%Q2 2025 Q2 2026Operating Income Margin
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Q2 Engineered Products Segment (in millions) 8•Record revenue of $129 million compared to $118 million in the second quarter of 2025, an increase of 10%.•New equipment bookings totaled $66 million in the quarter and were driven by strong demand across defense, electrical steel processing, oil and gas, agriculture, AI data center, semiconductor and other general industrial end markets. On a year-to-date basis, bookings were up 19% compared to the first half of 2025.•Equipment backlog at June 30, 2026 totaled $252 million, an increase of 23% from December 31, 2025 and 29% from June 30, 2025. •Operating income increased 50% year-over-year, and operating margins increased 190 basis points compared to the corresponding 2025 quarter, driven by 13% year-over-year sales growth in our aftermarket sales and service business, and improved operational efficiencies in our forged and machined products group. $118 $129 Q2 2025 Q2 2026Net Sales $6.0$9.0Q2 2025 Q2 2026Operating Income 5.1%7.0%Q2 2025 Q2 2026Operating Income Margin
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Review of Strategic Alternatives for SSP 9 As announced on May 6, 2026, the Company has engaged an investment banking firm to assist in a formal review of strategic alternatives for our Southwest Steel Processing (“SSP”) business, including a potential sale or other transaction. Our 2026 outlook includes the impact of SSP , which is expected to contribute approximately $15 million in revenue and a loss of approximately $0.50 per diluted share. Accordingly, the outcome of our strategic review process represents potential upside to our current outlook. In the three and six months ended June 30, 2026, our share of the net loss attributable to the SSP business, which is included in our results from continuing operations, was approximately $0.09 and $0.21 per diluted share, respectively. Our review of strategic alternatives is ongoing. There can be no assurance that this review will result in any transaction or particular outcome.
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Non-GAAP Reconciliations – Q2 10