Slides
Page 1
Park-Ohio Holdings Corp.Third Quarter 2026 Earnings Call PresentationNovember 5, 2026
Page 2
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 Free Cash Flow. The reconciliation of these measures to the most directlycomparable GAAP measures is detailed at the end of these slides and in the Company’s press release for the third quarter of 2026, which is available on the Company’swebsite atwww.pkoh.com. 2 Forward-Looking Statements and Non-GAAP Measures
Page 3
Third Quarter 2026 Highlights 3 Record revenue of $459 million, up 15% year-over-year. Year-over-year sales growth in all three business segments, reflecting continued strong demand across many key end markets, including aerospace and defense, AI data center, electrical steel, and semiconductor.Gross margin of 17.9%, up 120 basis points compared to 16.7% in the 2025 third quarter.GAAP EPS of $0.97, up 149% compared to $0.39 in the 2025 third quarter; Adjusted EPS of $1.04, up 60% compared to $0.65 in the prior year quarter and the highest level in two years. Operating cash flows of $16 million and free cash flow of $7 million; expect $35 to $45 million of free cash flow in the fourth quarter of 2026.
Page 4
FY 2026 Sales and Adjusted EPS Outlook Raised 4 Our raised outlook reflects revenue growth and continued margin expansion supported by continued strong demand in key industrial markets in Supply Technologies and Engineered Products, including the semiconductor, AI data center, electrical steel, aerospace and defense, oil and gas and other industrial markets, and increased operating efficiency across all three business segments.
Page 5
Q3 Consolidated Results(in millions, except Adjusted EPS) 5•Net sales increased 15% year-over-year to a record $459 million, driven by growth in all three business segments, reflecting continued strength across aerospace and defense, AI data center, electrical steel and semiconductor end markets.•Operating income up 54% year-over-year, driven by flow-through from the higher sales levels and profit-enhancement initiatives across the Company.•Adjusted EPS up 60%, driven by higher segment operating income. $399 $459 Q3 2025 Q3 2026Net Sales $17 $27 Q3 2025 Q3 2026Operating Income $0.65 $1.04 Q3 2025 Q3 2026Adjusted EPS
Page 6
Q3 Supply Technologies Segment (in millions) 6•Record revenue of $225 million compared to $186 million in the third quarter of 2025, an increase of 21%. •Sales increased year-over-year driven by growth in the semiconductor, AI data center, heavy-duty truck, powersports, and aerospace and defense end markets.•The segment continues to expand customized supply-chain management programs, providing global sourcing, specialized production components, inventory management and value-added services to OEM customers.•Operating income increased 23%, with operating margins of 9.5%, resulting from higher volumes, operating leverage and ongoing productivity initiatives, including automation.•Proprietary fastener sales increased 12%, reflecting demand for engineered fastening technologies. $186 $225 Q3 2025 Q3 2026Net Sales $17.4$21.4Q3 2025 Q3 2026Segment Operating Income 9.4%9.5%Q3 2025 Q3 2026Segment Operating Income Margin
Page 7
Q3 Assembly Components Segment (in millions) 7•Revenue increased 7% to $104 million compared to $97 million in the corresponding prior year period, driven by new programs and higher demand across automotive platforms.•The segment designs and manufactures fluid-routing systems, including engineered hoses, tubing, molded rubber and plastic products and completed assemblies serving traditional, hybrid and electric vehicle applications. •Operating margins improved to 5.4% from 4.8% a year ago. •Productivity improvements and new product development remain priorities, while the underlying capabilities provide opportunities to serve additional industrial applications over time. $97 $104 Q3 2025 Q3 2026Net Sales $4.7$5.6Q3 2025 Q3 2026Segment Operating Income 4.8%5.4%Q3 2025 Q3 2026Segment Operating Income Margin
Page 8
Q3 Engineered Products Segment (in millions) 8•Record revenue increased to $130 million compared to $116 million in the third quarter of 2025, an increase of 12%. •New equipment bookings totaled $53 million and equipment backlog reached $242 million at September 30, up 18% from year-end 2025. •Global aftermarket capabilities, customized equipment applications and productivity initiatives remain important earnings drivers.•Operating income rose to $9.1 million from $3.4 million a year ago, an increase of 168% year-over-year. •Operating margin improved to 7.0% from 2.9%, reflecting growth in engineered capital equipment, aftermarket parts and services and better operating performance in forged and machined products. $116 $130 Q3 2025 Q3 2026Net Sales $3.4$9.1Q3 2025 Q3 2026Segment Operating Income 2.9%7.0%Q3 2025 Q3 2026Segment Operating Income Margin
Page 9
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 $0.46 per diluted share. Accordingly, the outcome of our strategic review process represents potential upside to our current outlook.In the three and nine months ended September 30, 2026, our share of the net loss attributable to the SSP business, which is included in our results from continuing operations, was approximately $0.13 and $0.35 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.
Page 10
Non-GAAP Reconciliations – Q3 10