JLG Boosts Oshkosh Truck's Earnings

August 1, 2007 • Oshkosh Truck Corporation, Oshkosh, Wis., today reported third quarter fiscal 2007 earnings per share ("EPS") of $1.21 on sales of $1.85 billion and net income of $90.6 million. These results compare with EPS of $0.72 on sales of $887.9 million and net income of $53.4 million for last year's third quarter.

Sales in the third quarter of fiscal 2007 more than doubled, increasing 108.1 percent as compared to the third quarter of fiscal 2006. The recent acquisition of JLG Industries, Inc. contributed sales of $873.8 million in the third quarter of fiscal 2007. Sales also grew in the company's defense and fire and emergency segments, while the company's commercial segment sales declined primarily due to an anticipated decrease in demand following the January 1, 2007, diesel engine emission standards changes.

 

Operating income increased 133.2 percent to $192.7 million, or 10.4 percent of sales. JLG contributed operating income of $98.3 million. Operating income grew at a double-digit percentage in the defense segment, while the fire and emergency and commercial segments each experienced decreases in operating income.

 

Commenting on the results, Robert Bohn, chairman, president and CEO said, "The team at JLG really delivered this quarter as they continue to integrate into the Oshkosh Truck family. Global demand for aerial work platforms has been outstanding, and we believe these conditions will continue in fiscal 2008, particularly in our overseas markets."

 

Based on strong demand in for access equipment and defense segments and the scope of the company's cost reduction activities, Bohn predicted growing company revenues above $7 billion.

 

Compared to JLG's pre-acquisition results for the same period in 2006, sales reflected higher worldwide demand for aerial work platforms and the addition of the sales of Caterpillar branded telehandlers, offset in part by lower demand for traditional telehandlers in North America. Sales for the segment were 30.8 percent higher in the quarter than sales for JLG as a stand-alone company for the same period last year.