Twin Disc, Incorporated · NASDAQ:TWIN
Twin Disc — Investor Presentation (August 2026)
25 slides from Twin Disc's investor presentation, Aug 26, 2026
Slide 1: Investor Presentation 2026
We Put Horsepower to Work. 2026 Investor Presentation NASDAQ: TWIN
Slide 2: Disclosures
Disclosures Safe Harbor This presentation contains statements that are forward-looking within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These statements are based on management’s current expectations that are based on assumptions that are subject to risks and u n
Slide 3: A Century Of Expertise Powering Drivetrain Solutions At Sea and On Land
A Century Of Expertise Powering Drivetrain Solutions At Sea and On Land Diesel - Hybrid - Electric 3
Slide 4: Investment Highlights
Investment Highlights Leader in global power transmission technology Diversified IP-protected portfolio Healthy backlog and robust project pipeline Benefitting from industry tailwinds Margin enhancement driving results Successful integration of acquisitions Strong cash flow generation and balance sh
Slide 5: Integrated, High-Margin Product Ecosystem
Integrated, High-Margin Product Ecosystem Marine and Propulsion 60%* Land-Based Transmission 24%* Industrial 12%* Planing and displacement vessels Off-highway and all-terrain vehicles Heavy duty disconnect applications • Positioned for the propulsion shift • Rising global oil and gas demand • Full s
Slide 6: A Worldwide Network, Anchored By Manufacturing In Seven Countries
A Worldwide Network, Anchored By Manufacturing In Seven Countries Manufacturing 9 Distribution & service 6 Purchasing and sourcing 1 Racine, Wisconsin Global manufacturing headquarters 50+ countries $381.3M FY26 Global Sales FY26 Revenue by Geography Europe 41% North America 29% Asia Pacific 22% Oth
Slide 7: Successful Integration of Acquisitions Creating Scale
Successful Integration of Acquisitions Creating Scale Diversifying geography, product lines, and end markets 2018 2024 2025 Veth Propulsion Katsa Oy Kobelt Papendrecht, Netherlands · azimuth Tampere, Finland · custom gearboxes and Surrey, British Columbia · brake, control thrusters, marine electroni
Slide 8: Marine & Propulsion Systems
Marine & Propulsion Systems Defense and Government - Commercial Craft - Fast Commercial Craft - Passenger Vessels - Pleasure Craft Twin Disc’s Unique Position Veth & Kobelt acquisitions provide complementary products and powerful new technologies: • In-house hybrid and electrification expertise • Ex
Slide 9: Land-Based Transmissions
Land-Based Transmissions Airport Rescue and Firefighting (ARFF) - Energy - Defense - Specialty Commercial Application Twin Disc’s Unique Position Katsa acquisition provides strategic advantages: • Over a century of experience in power transmission, product design, and innovation • Strong North Ameri
Slide 10: Industrial
Industrial Agriculture - Irrigation - Construction - Municipal - Energy - Forestry - Recycling - Transport Twin Disc’s Unique Position • Kobelt acquisition provides geographic expansion, complementary products, powerful new technologies, and in-house engineering capabilities • Katsa represents a str
Slide 11: Defense Remains a Key Long-Term Growth Driver
Defense Remains a Key Long-Term Growth Driver R obust Defense Ac ti vi t y M ajor Geog raphie s +13% YoY increase in 2026 U.S. Defense spending (1) North America Europe 150% YoY increase in NATO spend target, as a share of GDP (2) (3) Asia Pacific Del iv eri ng R esul ts S ele ct Defe nse E nd U ser
Slide 12: Transforming the Industry with Sustainable Solutions
Transforming the Industry with Sustainable Solutions Hybrid and electric powertrains for the marine, off-highway, and industrial markets 5x–10x more content per application vs. standard configuration KEY APPLICATIONS Workboat Pleasure Craft Passenger Vessel Industrial E-Frac Precise low-speed Hinckl
Slide 13: Financial Overview
Financial Overview 13
Slide 14: Fiscal Year 2026 Highlights
Fiscal Year 2026 Highlights • Defense continues to be a key growth driver, supported by demand from the U.S. Navy and NATO $381.3M Sales • Enhanced performance from Oil & Gas, which is trending positively due to higher-margin e-frac opportunities 11.9% increase YoY • Six-month backlog (as of 6/30/26
Slide 15: Financial Performance
Financial Performance Net Sales by Product Group ($ in millions) $381.3 Diluted Earnings Per Share $340.7 $17.8 $276.9 $295.1 $46.1 $242.9 $17.9 $1.86 $41.5 $19.2 $26.3 $25.7 $89.7 $20.5 $80.2 $29.8 $32.1 $78.5 $73.0 $64.9 $227.7 $201.1 $147.8 $171.8 $125.5 FY22 FY23 FY24 FY25 FY26 $0.78 $0.75 $0.79
Slide 16: Balance Sheet
Balance Sheet Net Debt ($ in millions) $24.0 $15.4 Leverage Ratio $13.8 1.0x $5.4 $5.7 0.8x FY22 FY23 FY24 FY25 FY26 0.5x EBITDA ($ in millions) $29.9 0.2x 0.2x $25.8 $26.5 $24.0 $20.2 FY22* FY23 FY24 FY25* FY26 FY22* FY23 FY24 FY25* FY26 *Adjusted for change in accounting method 16
Slide 17: Long-Term Strategy
Long-Term Strategy Leading Hybrid/Electric solution provider for niche marine and land-based applications 2030 FY Targets Strategic acquisitions to reach new markets and geographies $500M Revenue Rationalize global footprint for efficiency and customer response 30% Gross Margins Increased focus on c
Slide 18: Capital Allocation Framework
Capital Allocation Framework Organic Growth Bolt-On & Transformational Return Capital To Shareholders Acquisitions & Deleverage • Research & Development • Cash Dividends • Strategic Fit • Geographic Extension • Share repurchases • Financial Fit (Internal Rate of • Marketing • Debt Reduction Return >
Slide 19: Summary
Summary • 2026 was a year of strong sales performance, profitability and cash flow generation • We remain confident that gross margins will improve over the long-term as we continue to diversify our end markets and recognize enhanced operating leverage • Defense momentum continues to build in backlo
Slide 20: Appendix
Appendix 20
Slide 21: Marine & Propulsion Sample Applications
Marine & Propulsion Sample Applications Unmanned Military Vessel Megayacht Tugboat Patrol Boat Saronic Marauder River Cruise Vessel Commercial Vessel 21
Slide 22: Land-Based Transmission Sample Applications
ARFF Vehicle FRAC Rig Land-Based Transmission Sample Applications XT Tank Retriever 22
Slide 23: Industrial Sample Applications
Industrial Sample Applications Military: Patria Forestry: Shredder Construction: Rock Crusher Agro: Manure Spreader 23
Slide 24: Reconciliation Of Non-GAAP Financial Measures To Reported Financial Measures
Reconciliation Of Non-GAAP Financial Measures To Reported Financial Measures RECONCILIATION OF TOTAL DEBT TO NET DEBT TO EBITDA LEVERAGE RATIO CALCULATION (In thousands; unaudited) FY26 FY25* FY24 FY23 FY22* Current maturities of $3,000 $2,000 $2,010 $2,000 $1,500 long-term debt Long-term debt 28,31
Slide 25: Reconciliation Of Non-GAAP Financial Measures To Reported Financial Measures
Reconciliation Of Non-GAAP Financial Measures To Reported Financial Measures RECONCILIATION OF CONSOLIDATED NET INCOME TO EBITDA (In thousands; unaudited) FY26 FY25* FY24 FY23 FY22* Net Income (loss) attributable to Twin Disc $27,077 ($697) $10,988 $10,380 $10,467 Interest expense 3,078 2,646 1,443