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1 Chris Nelson President & CEO Patrick Hallinan EVP, CFO & Chief Administrative Officer Michael Wherley VP, Investor RelationsPRESENTERS: THIRD QUARTER 2026 OVERVIEW November 4, 2026 FINAL [v5] 11-03-2026
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2 Cautionary Statement This Presentation and related discussions contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All such statements other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, including, but not limited to: any statements of goals, targets, priorities, projections, or guidance, planning assumptions or scenarios; any statements of the plans, strategies and objectives of management for future operations including expectations around the Company’s productivity and efficiency goals and future operational strategies; any statements concerning market share gain, proposed new products, services, developments, investments, or innovation and brand prioritization strategies; any statements regarding future economic conditions or performance, and the Company’s responses thereto, including potential price increases; any statements concerning future dividends, share repurchases or shareholder returns; any statements and assumptions regarding geopolitical events, possible tariff and tariff impact projections such as those concerning Section 122, 232 or 301 tariffs (including the amount, timing and materiality thereof), tariff refunds and related tariff mitigation plans including obtaining price increases and supply chain adjustments, and related mitigation timing and anticipated benefits; and any assumptions underlying any of the foregoing; and any such statements may include, among others, the words “may,” “will,” “estimate,” “intend,” “could,” “project,” “plan,” “continue,” “believe,” “expect,” “anticipate”, “annualized”, “forecast”, “commit”, “targeted”, “design”, “positioned or positioning”, “guidance” “looking forward”, “future”, “vision”, “strategy”, “long-term”, “on-track” or any other similar words. You are cautioned not to rely on these forward-looking statements, which are based on the Company’s current expectations and assumptions of future events. Each of the forward-looking statements involves risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these forward-looking statements. Factors that might cause actual results, performance and achievements to differ materially from estimates or projections contained in forward-looking statements include, but are not limited to: the Company’s continued success with its productivity and efficiency initiatives, complexity reduction, cost containment, and supply chain improvements; changes in macroeconomic conditions, including interest rates and geopolitical events; changes in trade-related regulations and restrictions such as import and export controls, tariffs, raw material and rare earth related clearances or controls and other monetary and non-monetary trade regulations or barriers, and the Company’s ability to predict the timing, extent, materiality, impact or disruptiveness of such regulations, restrictions, tariffs and import/export controls or clearances to the Company; the Company’s ability to successfully mitigate or respond to such macroeconomic, geopolitical, or trade, tariff and rare earth policy changes including, obtaining price increases from customers, repositions of supply chain, reprioritizing resources all within estimated time frames and costs and successful government engagement efforts; the timing and ultimate amount of any tariff refunds; the Company successfully developing, marketing and achieving sales from new products and services and the continued acceptance of current products and services as well as successful execution of, and realization of expected benefits from, the Company’s brand prioritization and investment strategy, including potential licensing initiatives and related restructuring efforts, and its ability to estimate and mitigate negative consequences from the same including, but not limited to, reduced ability to generate sales; and failure to realize the expected benefits of the Company’s value creation, debt reduction and capital allocation strategy, including its share repurchase authorization; unanticipated developments that may prevent, delay or negatively impact repurchases under the Company’s share repurchase authorization; and those factors set forth in the Company’s corresponding Press Release and Form 8-K and its Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and its other filings with the SEC. Forward-looking statements in this Presentation and related discussions speak only as of the date hereof, and forward-looking statements in documents that are incorporated by reference herein speak only as of the date of those documents. The Company undertakes no obligation or intention to update or revise any forward-looking statements, whether because of future events or circumstances, new information or otherwise, except as required by law. Additionally, Non-GAAP Financial Measures Are Referenced In This Presentation And Related Discussions. For Applicable Reconciliations To The Related GAAP Financial Measure And Additional Information, As Applicable, Please Refer To The Appendix Of These Materials And The Corresponding Press Release Which Are Available On Our Website Under The “Investors” Heading.
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3 3Q 2026 Key Messages 39.4% Adj. Gross Margin* Net tariff refunds3 contributed ~430 bps with the balance from gross productivity and product mix Down 1% YoY1 Organic Revenue* Up 4% $3.7B Total Net Sales Adjusted EPS* * Non-GAAP financial measure: Refer to appendix for additional information on all non -GAAP financial measures. 1. Factors do n ot sum due to rounding. 2. Portfolio includes divestiture of Consolidated Aerospace Manufacturing ‘CAM’ and licensing transition of the gas walk -behind outdoor products. 3. Adjusted gross margin includ es net tariff refunds, which also benefited 3Q GAAP and Adjusted EPS by ~$0.67 per share; net tariff refund includes gross IEEPA tariff refunds received in 3Q, partially offset by directly attribut able variable incentive compensation costs, growth investments, and taxes (for EPS only). Price -2% Volume +6% FX Flat GAAP EPS: $1.83 $2.31 Focused execution is driving organic growth and margin expansion Up 780 bps YoY Port. 2 -4% 3 $250M Share Buyback in 3Q $1B New Buyback Authorization 3 Board Approved 10/29
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4 17.6% Adj. Segment Margin* Organic Revenue* Up 4% Organic revenue* was primarily driven by power tools strength in North America. Net tariff refunds2 contributed ~430 bps, with the balance from net productivity gains and favorable product mix. Adj. Segment Margin* Up YoY Up 560 Bps YoY Tools & Outdoor Segment $3,336M Net Sales Up 2% YoY 4 Price -3% Volume +7% FX Flat Port.1 -2% * Non-GAAP financial measure: Refer to appendix for additional information on all non-GAAP financial measures. 1. Portfolio includes licensing transition of the gas walk-behind outdoor products. 2. Net tariff refund includes gross IEEPA tariff refunds received in 3Q’26, partially offset by directly attributable variable incentive compensation costs, growth investments, and taxes (for EPS only). U.S. Retail and Commercial & Industrial channels contributed to strong YoY growth PT HTAS OPG + 10% + 2% - 12% N.A. Europe RoW + 6% + 1% - 1%
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5 11.7% Adj. Segment Margin* Down 110 Bps YoY Engineered Fastening Segment Organic growth* driven by broad- based strength across global industrial markets, partially offset by auto results below expectations. Largely driven by automotive demand pressure. Net tariff refunds2 did not impact segment margin. 5 $396M Net Sales Down 21% YoY * Non-GAAP financial measure: Refer to appendix for additional information on all non-GAAP financial measures. 1. Portfolio includes divestiture of CAM. 2. Net tariff refund includes gross IEEPA tariff refunds received in 3Q’26, partially offset by directly attributable variable incentive compensation costs, growth investments, and taxes (for EPS only). - 2% +10% Auto Industrial Price +1% Volume +1% FX -1% Port.1 -22% Adj. Segment Margin* Down YoY Organic Revenue* Up 2% Industrial strength offset softness in auto market
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6 Building Stronger Brands to Drive Durable Organic Growth Targeted investments behind innovation, channel execution, and brand activation are strengthening end user engagement and augmenting early commercial momentum
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7 Pre-Tax Non-GAAP Adjustments4: Flat to $20M Other Net*: ~$230M Net Interest Expense: ~$250M Depreciation*: ~$330M | Intangible Amortization: ~$105M Capex: ~$350M Adjusted Tax Rate*: ~20% | Shares: ~150M 4Q’26: ~$3.6B Net Sales; ~$1.45 Adj. EPS* OTHER METRICS TOTAL COMPANY EPS TOTAL NET SALES2 YoY Organic Revenue* Currency CAM Divestiture (2Q-4Q) and Licensing OPG Gas Walk Behind3 ADJ. EBITDA MARGIN* $5.45 to $5.85 ~Flat Up LSD % Up ~1 % Down ~3% (inorganic) Positive YOY $5.95 to $6.25ADJUSTED EPS* 2026 Guidance1 (CAM included through April 6) TOOLS & OUTDOOR ENGINEERED FASTENING ORGANIC REVENUE* ADJ. SEGMENT MARGIN* Up LSD %Up LSD % Positive YoY Flat YoY • Temporary tariff rate tailwinds (from IEEPA cancellations) still largely offsetting increasing inflation in 2026 forecast • Tariff Refund Impact (YTD) o FY Adj. EPS* guidance includes +$0.60 from net tariff refunds received YTD; gross tariff refunds are partially offset by compensation considerations, growth investments, and U.S. and State tax o Company has now received most of refunds for which the government has provided a refund pathway TARIFF & OTHER ASSUMPTIONS *Non-GAAP financial measure: Refer to appendix for additional information on all non-GAAP financial measures. 1. This guidance includes the results of the CAM business through April 6, 2026, and excludes the impact of any potential 4Q’26 tariff refunds. 2. Forecasted total net sales reflects the impact of forecasted foreign currency, assuming the end of Sep 2026 rates. 3. Reflects strategic decision to transition from manufacturing gas-powered walk-behind products to a licensing model. Impact from CAM in 2Q-4Q and OPG Gas Walk Behind is excluded from Organic change calculation. 4. Includes gain of $277M on the CAM divestiture. Excluding that gain, the estimated pre-tax non-GAAP adjustments are $270M to $300M (~35% non-cash). FREE CASH FLOW* ~ $1.0B to $1.2B
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8 Operational Focus Driving Strong Margin Performance and Thoughtful Capital Allocation Strategy Committed to delivering near-term and long-term margin and cash flow objectives, while strengthening earnings power to support long-term growth Cash and Capital Deployment Update *Non-GAAP financial measure: Refer to appendix for additional information on all non-GAAP financial measures. • Strong free cash flow* of $836M YTD, affording the ability to invest in growth, support the dividend, and repurchase our shares • Repurchased ~2.5M shares for $250M in 3Q completing prior authorization of $500M (~5.8M shares in total) • New share repurchase authorization for up to $1 billion approved by Board of Directors 4Q Adj. Gross Margin* Forecast • Long-term target remains: 35% - 37% Still Expected To Be ~34-35% 33.3% 4Q'25 4Q'26F ~34-35%
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9 Building a World Class, Branded Industrial Company *Non-GAAP financial measure: Refer to appendix for additional information on all non-GAAP financial measures. Strategic Imperatives Activate Brands with Purpose Drive Operational Excellence Accelerate Innovation Focused on delivering long-term value by solving our end users’ most pressing and complex challenges
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10 Q&A
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11 Liquidity and Free Cash Flow Reconciliation Financial flexibility in a challenging and dynamic macro environment Liquidity Key Points • Target: Maintain solid investment grade credit ratings • $3.0B in credit facilities backed by a well capitalized, diversified bank group which supports the commercial paper program • Next upcoming debt maturity in 2028 Liquidity Sources as of 3Q’26 Free Cash Flow Debt leverage targeted to be at or around 2.5x Adjusted EBITDA* at year end Cash on hand $0.7B Addl. commercial paper capacity ($3.0B Max) $3.0B Total additional liquidity $3.7B *Non-GAAP financial measure: Refer to appendix for additional information on all non-GAAP financial measures.
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12 Reconciliation of GAAP to Non-GAAP Measures
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13 Reconciliation of GAAP to Non-GAAP Segment Profit
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14 Reconciliation of GAAP to Non-GAAP Measures
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15 EBITDA Reconciliation
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16 Summary of Non-GAAP Adjustments
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17 Non-GAAP Financial Measures The Company has provided a discussion of its results both inclusive and exclusive of certain gains and charges. The results and measures, including gross profit, SG&A, Other, net, Income taxes, and segment profit, on a basis excluding certain gains and charges, free cash flow, organic revenue and organic growth are Non-GAAP financial measures. Organic revenue or organic sales is defined as the difference between total current and prior year sales less the impact of companies acquired and divested in the past twelve months, foreign currency fluctuations, transfers of product lines between segments, and the strategic transition to a licensing model for gas walk-behind outdoor product lines (as previously communicated). Organic revenue growth, organic sales growth or organic growth is organic revenue or organic sales divided by prior year sales. Gross profit is defined as sales less cost of sales. Gross margin is gross profit as a percent of sales. Segment profit is defined as sales less cost of sales and selling, general and administrative (“SG&A”) expenses (aside from corporate overhead expense). Segment margin is segment profit as a percent of sales. EBITDA is earnings before interest, taxes, depreciation and amortization. EBITDA margin is EBITDA as a percent of sales. Gross profit, gross margin, SG&A, segment profit, segment margin, earnings, EBITDA and EBITDA margin are adjusted for certain gains and charges, such as costs related to supply chain transformation and footprint actions, asset impairments, voluntary retirement program costs, environmental charges, divestiture-related items, restructuring, gains or losses on sales of businesses, and other adjusting items. Income taxes attributable to Non-GAAP adjustments are determined by calculating income taxes on pre-tax earnings, both inclusive and exclusive of Non-GAAP adjustments, taking into consideration the nature of the Non-GAAP adjustments and the applicable statutory income tax rates. Management uses these metrics as key measures to assess the performance of the Company as a whole, as well as the related measures at the segment level. Adjusted earnings per share or adjusted EPS, is diluted GAAP EPS excluding certain gains and charges. Free cash flow is defined as cash flow from operations less capital and software expenditures. Management considers free cash flow an important indicator of its liquidity, as well as its ability to fund future growth and to provide a return to the shareowners and is useful information for investors. Free cash flow does not include deductions for mandatory debt service, other borrowing activity, discretionary dividends on the Company’s common stock and business acquisitions, among other items. Free cash flow conversion is defined as free cash flow divided by net income. Net debt to adjusted EBITDA is total debt less cash on hand divided by adjusted EBITDA. The Non-GAAP financial measures are reconciled to GAAP on pages 12 through 17 of the press release and in slides 11 through 16. The Company considers the use of the Non-GAAP financial measures above relevant to aid analysis and understanding of the Company’s results, business trends and outlook measures aside from the material impact of certain gains and charges and ensures appropriate comparability to operating results of prior periods. The Company provides expectations for the non-GAAP financial measures of full year 2026 adjusted EPS, presented on a basis excluding certain gains and charges, as well as 2026 organic revenue growth and free cash flow. Forecasted full-year 2026 adjusted EPS and 2026 organic revenue growth are reconciled to forecasted full-year 2026 GAAP EPS and total 2026 revenue growth, respectively, on slide 7. Consistent with past methodology, the forecasted full-year 2026 GAAP EPS excludes the impacts of potential acquisitions and divestitures (unless otherwise noted), future regulatory changes or strategic shifts that could impact the Company's contingent liabilities or intangible assets, respectively, potential future cost actions in response to external factors that have not yet occurred, and any other items not specifically referenced on slide 7. Forecasted 2026 organic revenue growth assumes the impact of foreign currency using historical rates and excludes the impacts of potential acquisitions and divestitures. In addition to 2026 adjusted EPS and 2026 organic revenue growth, the Company also provides additional expectations for forward-looking non-GAAP financial measures, presented on a basis excluding certain gains and charges, as well as forecasted free cash flow (slide 7). A reconciliation of forecasted free cash flow to its most directly comparable GAAP estimate is not available without unreasonable effort due to high variability and difficulty in predicting items that impact cash flow from operations, which could be material to the Company’s results in accordance with U.S. GAAP. The Company believes such a reconciliation would also imply a degree of precision that is inappropriate for this forward-looking measure. The Company may also provide multi-year strategic goals or partial year forward-looking expectations for the non-GAAP financial measures of adjusted gross margin, adjusted EPS, and net debt to adjusted EBITDA, presented on a basis excluding certain gains and charges, as well as organic revenue or organic growth. A reconciliation for these non-GAAP measures is not available without unreasonable effort due to the inherent difficulty of forecasting the timing and/or amount of various items that have not yet occurred, including the high variability and low visibility with respect to certain gains or charges that would generally be excluded from non-GAAP financial measures and which could be material to the Company’s results in accordance with U.S. GAAP. Additionally, estimating such GAAP measures and providing a meaningful reconciliation consistent with the Company’s accounting policies for future periods requires a level of precision that is unavailable for these future multi-year periods and cannot be accomplished without unreasonable effort. The Company believes such a reconciliation would also imply a degree of precision that is inappropriate for these forward-looking measures.