Oshkosh Cuts 2026 Adjusted Earnings Outlook After Fire Truck Slump

The Tip Desk · October 31, 2026 · 4 min read

The purpose-built vehicle maker now expects 2026 adjusted earnings of $8.50 to $9.50 a share after third-quarter sales of $2.84 billion.

Oshkosh Corporation (OSK) lowered its 2026 adjusted earnings outlook to a range of $8.50 to $9.50 a share, down $1.50 to $2.50 from its most recent view of approximately $11.00, after fire truck production fell short as the company modernized manufacturing.

The purpose-built vehicle and equipment maker also cut its 2026 net sales expectation to about $11.0 billion, down $0.2 billion from prior guidance. The company said the revised outlook reflects lower fire apparatus and Next Generation Delivery Vehicle production, offset in part by higher Access volume. The bottom of the earnings range also reflects the possibility of no NGDV order in 2026, which the company said could affect earnings by up to $0.50 a share.

Third-quarter sales were $2.84 billion, up 5.7% from a year earlier, slower year-over-year growth than the 6.7% rise to $2.92 billion in the second quarter. GAAP net income was $138.4 million, or $2.22 a share, compared with $196.2 million, or $3.04 a share, in the third quarter of 2025. Adjusted net income was $150.1 million, or $2.41 a share.

Consolidated operating income fell 24.3% to $197.1 million, or 6.9% of sales, from $260.4 million, or 9.7% of sales, a year earlier. The company said the decline was primarily due to unfavorable sales mix and higher selling, general and administrative expenses, offset in part by higher sales volume and improved price/cost dynamics. Adjusted operating income was $216.9 million, or 7.6% of sales.

President and Chief Executive Officer John Pfeifer said results reflected challenges from the transformation of fire truck production, that improvements in throughput are taking longer than previously expected, and that the company has identified the primary factors that affected production. He said Oshkosh is taking focused actions to improve material flow and strengthen production scheduling and that the company believes this is a near-term issue.

Access was the offset. Segment sales increased $229.9 million, or 20.7%, to $1.34 billion, accelerating from a 9.4% increase to $1.37 billion in the second quarter. The company said the rise was primarily due to higher sales volume in North America and improved pricing. Access operating income rose 23.5% to $145.7 million, or 10.9% of sales, from $118.0 million, or 10.6% of sales, a year earlier. Adjusted Access operating income was $149.9 million, or 11.2% of sales. Pfeifer said the segment delivered solid performance reflecting strong customer demand and improved execution.

Vocational sales decreased $68.1 million, or 7.0%, to $899.9 million. The company said lower fire apparatus production compared with last year and the second quarter of 2026 reflected challenges associated with initiatives to modernize fire apparatus manufacturing. Vocational operating income fell 38.2% to $87.6 million, or 9.7% of sales, from $141.7 million, or 14.6% of sales, a year earlier. Adjusted Vocational operating income was $102.4 million, or 11.4% of sales.

Transport sales decreased $25.9 million, or 4.4%, to $562.0 million, primarily due to a $25.0 million license of JLTV-related intellectual property to the U.S. government in the third quarter of 2025. Transport operating income fell 77.6% to $8.2 million, or 1.5% of sales, from $36.6 million, or 6.2% of sales, a year earlier.

Period-end Access backlog was $2,655.6 million versus $721.2 million a year earlier. Consolidated backlog was $15,146.8 million.

Pfeifer said the company is lowering its full-year adjusted earnings expectation given short-term challenges in fire truck production, that fire truck backlog remains elevated, and that the company remains confident actions to move to high-flow lines will result in increased production levels over time. The company now expects 2026 diluted earnings per share of $8.00 to $9.00.

Oshkosh repurchased 556,138 shares for $82.4 million in the third quarter and declared a quarterly cash dividend of $0.57 a share, payable November 30, 2026.