Slide 1: Third Quarter Fiscal 2026 Earnings
Third Quarter Fiscal 2026 Earnings Lori Flees, CEO & President Kevin Willis, CFO Elizabeth Clevinger, Investor Relations 08.05.2026 1
Slide 2: Safe Harbor: Forward-Looking Statements
SAFE HARBOR Forward-Looking Statements Certain statements herein, other than statements of historical fact, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements may include, without limitation, statements about the
Slide 3: 3Q FY2026 Business Highlights
3Q FY2026 BUSINESS HIGHLIGHTS1 $1.05B $545M $162M $0.57 System-wide Store Sales2 Net Sales Adjusted EBITDA3 Adjusted EPS3 19% 24% 25% 21% 8.0% 47 2,456 System-wide Same Store Net Store Additions System locations2 Sales2 Growth 16% 1. All comparisons are year over year unless otherwise note
Slide 4: Delivering Shareholder Value through Strategic Focus
Delivering Drive Deliver Full Potential Sustainable Shareholder of the Core Network Growth Value through Strategic Focus Innovate for the Evolving Needs of Customers and the Car Parc Long-term Shareholder Value Creation THIRD QUARTER FISCAL 2026 EARNINGS / 08.05.2026 4
Slide 5: 3Q Adjusted Results Summary
3Q Adjusted Results Summary 3Q FY2026 3Q FY2025 Net Sales $544.6 $439.0 Gross Profit Margin 40.0% 40.5% ADJUSTED SG&A2 $92.5 $78.7 RESULTS1 EBITDA $162.4 $129.5 EBITDA Margin 29.8% 29.5% EPS $0.57 $0.47 Free Cash Flow – YTD $112.3 $19.7 1. For a reconciliation of adjusted amounts to amounts reported
Slide 6: 3Q Financial Highlights
3Q FINANCIAL HIGHLIGHTS 40.0% 17.0% 29.8% $545M 50 bps decrease 90 bps decrease 30 bps increase Net Sales Adjusted Gross Margin1 Adjusted SG&A1 Adjusted EBITDA1 As a % of Net Sales As a % of Net Sales As a % of Net Sales $73M $0.57 2.8x $112.3M 21% increase $93M increase Adjusted Net Income1 Adjuste
Slide 7: FY26 Updated Guidance
FY26 Updated Guidance Updated Outlook Prior Outlook System-wide SSS Growth1 7.5% - 8% 5% - 6.5% System-Wide Store No Change 330 – 360 Additions1 Net Revenues $2.05B - $2.1B $2.0B - $2.1B Adjusted EBITDA2 $550M - $560M $540M - $560M Adjusted EPS2 $1.70 - $1.75 $1.65 - $1.75 Capital Expenditures $240M
Slide 8: Key Takeaways
1 Delivered strong Q3 results in-line with expectations. Key Team continues to effectively manage the 2 Takeaways business well in a changing supply and macro environment. 3 Remain confident in resilient business model. THIRD QUARTER FISCAL 2026 EARNINGS / 08.05.2026 THIRD QUARTER FISCAL 2026 EARNIN
Slide 9: Appendix
Appendix THIRD QUARTER FISCAL 2026 EARNINGS / 08.05.2026 9
Slide 10: 3Q 2026 Financial Drivers
3Q 2026 Financial Drivers1 SG&A2 EBITDA Margin Gross Margin (as a % of Net Sales) 1. For a reconciliation of adjusted amounts to amounts reported under GAAP, please refer to the Appendix. 2. Prior year amounts include a reclass related to sublease income previously presented in Other (income) loss,
Slide 11: Significant Expenses Segment Disclosure
SIGNIFICANT EXPENSES SEGMENT DISCLOSURE (Preliminary and unaudited) Three months ended Three months ended June 30 June 30 2026 2025 (In millions) GAAP Key Items (b) Adjusted GAAP Key Items (b) Adjusted Net revenues $ 544.6 $ — $ 544.6 $ 439.0 $ — $ 439.0 Less: Labor cost 127.4 — 127.4 102.3 — 102.3
Slide 12: System-Wide Store Information
SYSTEM-WIDE STORE INFORMATION (Preliminary and unaudited) Company-operated Third Quarter Second Quarter First Quarter Fourth Quarter Third Quarter 2026 2026 2026 2025 2025 Beginning of period 1,210 1,196 1,016 983 950 Opened 15 8 26 26 19 Acquired 5 3 210 8 8 Divested (a) — — (45) — — Net conversion
Slide 13: Retail Services – Q3 System Results
RETAIL SERVICES – Q3 SYSTEM RESULTS (Preliminary and unaudited) Three months ended Nine months ended June 30 June 30 2026 2025 2026 2025 Sales information Store sales - in millions Company-operated $ 481.0 $ 382.6 $ 1,340.0 $ 1,100.6 Franchised (a) 572.9 507.0 1,624.1 1,434.8 System-wide store sales
Slide 14: Reconciliation of Non-GAAP Data – Income from Continuing Operations & Diluted EPS
RECONCILIATION OF NON-GAAP DATA – INCOME FROM CONTINUING OPERATIONS & DILUTED EARNINGS PER SHARE (Preliminary and unaudited) Three months ended Nine months ended June 30 June 30 2026 2025 2026 2025 Reported income from continuing operations $ 65.0 $ 57.0 $ 78.1 $ 189.2 Adjustments: Net pension and o
Slide 15: Reconciliation of Non-GAAP Data – 3Q Adjusted EBITDA
RECONCILIATION OF NON-GAAP DATA – 3Q ADJUSTED EBITDA (Preliminary and unaudited) Three months ended Nine months ended June 30 June 30 (in millions) 2026 2025 2026 2025 Reported net revenues (a) $ 544.6 $ 439.0 $ 1,510.2 $ 1,256.5 Income from continuing operations $ 65.0 $ 57.0 $ 78.1 $ 189.2 Add: In
Slide 16: Reconciliation of Non-GAAP Data – Free Cash Flows
RECONCILIATION OF NON-GAAP DATA – FREE CASH FLOWS (Preliminary and unaudited) Nine months ended (In millions) June 30 Free cash flow (a) 2026 2025 Operating cash flows from continuing operations $ 284.6 $ 180.0 Adjustments: Additions to property, plant and equipment from continuing operations (172.3
Slide 17: Consolidated GAAP Income Statement
CONSOLIDATED GAAP INCOME STATEMENT (Preliminary and unaudited) Three months ended Nine months ended June 30 June 30 (In millions, except per share amounts) 2026 2025 2026 2025 Net revenues $ 544.6 $ 439.0 $ 1,510.2 $ 1,256.5 Cost of sales 329.7 261.4 935.8 775.5 Gross profit 214.9 177.6 574.4 481.0
Slide 18: Reconciliation of Non-GAAP Data – Adjusted Gross Profit, SG&A & Operating Income
RECONCILIATION OF NON-GAAP DATA – ADJUSTED GROSS PROFIT, SG&A, & OPERATING INCOME Three months ended June 30 Selling, general and Gross profit administrative expenses (d) Operating income In millions - preliminary and unaudited 2026 2025 2026 2025 2026 2025 As reported $ 214.9 $ 177.6 $ 103.0 $ 82.8
Slide 19: Use of Non-GAAP Measures
USE OF NON-GAAP MEASURES This presentation includes the following non-GAAP measures: Adjusted gross profit, Adjusted operating income; adjusted operating margin; adjusted selling, general and administrative expenses; adjusted selling, general and administrative margin; EBITDA, adjusted EBITDA, and a
Slide 20: Use of Non-GAAP Measures, Continued
USE OF NON-GAAP MEASURES, CONTINUED Refer to the following for descriptions of the key items that comprise the adjustments which depart from the computations in accordance with U.S. GAAP: Net pension and other postretirement plan income: Includes several elements impacted by changes in plan assets a
Slide 21: Key Business Measures
KEY BUSINESS MEASURES Valvoline tracks its operating performance and manages its business using certain key measures, including system-wide, company-operated and franchised store counts and system-wide SSS and store sales, along with select financial metrics such target leverage on a rating agency a