Park-Ohio (PKOH) investor relations material

Executive summary

• Achieved strong cost management and productivity improvements in 2025, offsetting demand volatility from tariffs and economic uncertainty.

• Full-year 2025 revenue was $1.6 billion, with GAAP diluted EPS of $1.77 and adjusted EPS of $2.70.

• EBITDA for 2025 was $138 million (8.6% margin); Q4 EBITDA was $35 million (8.9% margin).

• Prioritized cash management, meeting a $40 million debt reduction goal in Q4, and focused on long-term asset allocation and deleveraging.

• Refinanced $350 million in senior notes and revolving credit, extending maturities to 2030 and strengthening the capital structure.

Financial highlights

• Q4 2025 net sales rose 2% year-over-year to $395 million, driven by Supply Technologies and Assembly Components.

• Full-year 2025 sales were $1.6 billion, down from $1.7 billion in 2024, mainly due to North American industrial market weakness.

• Q4 gross margin improved 70 bps to 17.3%; full-year gross margin stable at 17%.

• Q4 adjusted operating income up 4% to $20 million; full-year adjusted EPS was $2.70, down from $3.59 in 2024.

• Q4 operating cash flow was $49 million, free cash flow $36 million; full-year operating cash flow increased to $42 million.

Outlook and guidance

• 2026 consolidated revenues expected at $1.675–1.71 billion, up 5–7% year-over-year.

• Adjusted EPS guidance of $2.90–3.20, up 7–19% year-over-year; EBITDA expected at 8–9% of net sales.

• Free cash flow projected at $20–30 million for 2026.

• Growth to be broad-based across segments, with record bookings, backlog expansion, and recovery in industrial end markets.