Timken to Participate in the Evercore ISI Industrial Conference [Accessibility Statement] Skip NavigationNORTH CANTON, Ohio, Feb. 25, 2026 /PRNewswire/ -- The Timken Company (NYSE: TKR; [www.timken.com]), a global technology leader in engineered bearings and industrial motion, will participate in the Evercore ISI Industrial Conference on Wednesday, March 11, 2026 in New York City. Participating on behalf of Timken will be Michael A. Discenza, executive vice president and chief financial officer, and Neil Fr ...

EWINEZw1IIF5f7CwGAJQ%252524%2526a%253Dwww.timken.com)%26a%3Dwww.timken.com)&a=www.timken.com)), a global technology leader in engineered bearings and industrial motion, designs a growing portfolio of next-generation products for diverse industries. For more than 125 years, Timken has used its specialized expertise to innovate and create customer-centric solutions that increase reliability and efficiency. Timken posted $4.6 billion in sales in 2025 and employs approximately 19,000 people globally, operating ...

Core Viewpoint - The Timken Company will participate in the Citi Global Industrial Tech and Mobility Conference, highlighting its role as a leader in engineered bearings and industrial motion [1][2]. Company Overview - The Timken Company is a global technology leader specializing in engineered bearings and industrial motion, with over 125 years of experience in creating customer-centric solutions [3]. - In 2025, Timken reported sales of $4.6 billion and employs approximately 19,000 people across 45 countries [3]. Conference Participation - Lucian Boldea, president and CEO, and Michael A. Discenza, vice president and CFO, will represent Timken at the conference [2]. - The fireside chat is scheduled for February 18, 2026, at 8:00 a.m. Eastern Time, and will be accessible via a live webcast on the company's website [1][2]. - A replay of the webcast will be available until March 4, 2026, along with materials shared during the conference [2].

Financial Data and Key Metrics Changes - Adjusted earnings per share for Q4 2025 was $1.40, exceeding the high end of guidance range [6] - Total sales in Q4 increased by 3.5% year-over-year, with organic revenue growth of more than 1% driven by higher pricing and volume in the Industrial Motion segment [6][7] - Free cash flow reached $141 million in Q4, allowing the company to return $36 million to shareholders and reduce debt by over $100 million [7][8] - The company ended the year with a net leverage of 2 times, indicating a strong balance sheet [8] Business Segment Data and Key Metrics Changes - Engineered Bearings sales were $714 million in Q4, up 0.9% year-over-year, with organic sales down 1% due to lower volumes offsetting higher pricing [15] - Industrial Motion sales were $397 million in Q4, up 8.4% year-over-year, with organic sales increasing by 5.6% driven by higher demand and pricing [16] - Adjusted EBITDA margins for Engineered Bearings were 16.1%, down from 17.2% the previous year, while Industrial Motion margins improved due to operational execution and higher volumes [16][17] Market Data and Key Metrics Changes - In the Americas, sales were flat, with growth in North America offset by declines in Latin America [12] - Asia Pacific saw a 4% increase in sales, driven by growth in India, while EMEA also experienced a 4% increase led by the Industrial Motion segment [12] - The company reported a backlog increase at the end of 2025, indicating encouraging order activity across several industrial markets [8] Company Strategy and Development Direction - The company is focusing on strategic initiatives such as the 80/20 portfolio work to exit underperforming businesses and prioritize high-impact actions for margin and growth [9] - New leadership appointments, including a Chief Technology Officer and Vice President of Marketing, aim to align the organization with primary growth drivers and enhance innovation [10] - The company plans to continue integrating acquisitions and driving synergies through global expansion [10] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for 2026, expecting organic revenue growth of 2% driven by higher pricing and modest volume growth despite ongoing trade volatility [8][38] - The company anticipates adjusted EPS to increase by around 8% at the midpoint of guidance for 2026, with a focus on generating stronger top and bottom line performance [19][22] - Management acknowledged macroeconomic uncertainties but emphasized the importance of executing strategic initiatives to improve performance [9][23] Other Important Information - The company plans to host an Investor Day on May 20, 2026, to provide further insights into its strategy and performance [5] - The company expects to generate around $350 million in free cash flow for the full year 2026, representing approximately 105% conversion on GAAP net income [20] Q&A Session Summary Question: Order trends in Q4 and January outlook - Management noted that Q4 orders were better than expected, with a strong order book contributing to optimism for 2026 despite some seasonal declines [30][32] Question: Segment contribution to full year guidance - Management explained that the difference in performance between Engineered Bearings and Industrial Motion was largely due to mix issues, with expectations for improved margins moving forward [35][36] Question: Headwinds from distribution inventories - Management indicated that distribution inventories are in good shape, with expectations for low single-digit growth next year [45][46] Question: Volume growth expectations for 2026 - Management expects volumes to be slightly lower in Q1 2026 due to a challenging comparison from the previous year, with pricing expected to offset this decline [50][51] Question: Impact of 80/20 strategy on revenue - Management clarified that the 80/20 strategy aims to simplify operations and focus on growth, with potential upfront costs before benefits materialize [55][56] Question: M&A strategy and portfolio focus - Management emphasized that M&A remains a priority, with plans to clarify the strategy at the upcoming Investor Day [97][98]

Financial Data and Key Metrics Changes - Adjusted earnings per share for Q4 2025 was $1.40, exceeding the high end of guidance range [5] - Total sales in Q4 increased by 3.5% year-over-year, with organic revenue growth of over 1% driven by higher pricing and volume in the industrial motion segment [5][10] - Free cash flow reached $141 million in Q4, allowing the company to return $36 million to shareholders and reduce debt by over $100 million [5][16] - The company ended 2025 with a net leverage of 2 times, indicating a strong balance sheet [6] Business Line Data and Key Metrics Changes - Engineered bearings sales were $714 million in Q4, up 0.9% from last year, with organic sales down 1% due to lower volumes offsetting higher pricing [13] - Industrial motion sales were $397 million in Q4, up 8.4% year-over-year, with organic sales increasing by 5.6% driven by higher demand and pricing [14] Market Data and Key Metrics Changes - In the Americas, sales were flat, with growth in North America offset by lower revenue in Latin America [11] - Asia Pacific saw a 4% increase in sales, driven by growth in India and other regions, despite lower revenue in China [11] - EMEA also experienced a 4% increase, led by growth in the industrial motion segment [11] Company Strategy and Development Direction - The company is focusing on strategic initiatives, including the 80/20 portfolio work, to exit underperforming businesses and prioritize high-impact actions for margin and growth [7][8] - New leadership appointments, including a Chief Technology Officer and Vice President of Marketing, aim to align the organization with growth drivers and enhance innovation [9] - The company plans to generate organic revenue growth, strong free cash flow, and higher margins in 2026, with an expected adjusted EPS increase of around 8% [6][17] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about improving customer demand and order activity in 2026, despite macroeconomic uncertainties [6][30] - The company anticipates a 2% organic sales growth in 2026, driven by higher pricing and modest volume growth [17][36] - Management highlighted the importance of the 80/20 approach in simplifying operations and enhancing margins, although benefits may take time to materialize [52] Other Important Information - The company plans to host an Investor Day on May 20, 2026, to provide further insights into its strategy and performance [4] - Adjusted EBITDA margins for Q4 were 16%, slightly down from 16.6% the previous year, with cost savings and pricing actions helping to mitigate headwinds [10][12] Q&A Session Summary Question: How did orders progress through Q4 and into January? - Management noted that Q4 orders were better than expected, with a strong order book contributing to optimism for 2026, despite some seasonal declines [27][30] Question: Can you provide more color on segment contributions to the full-year guide? - Management indicated that margins were impacted by mix issues in engineered bearings, while industrial motion performed strongly, contributing to overall positive expectations [31][34] Question: What are the expectations for volume growth in 2026? - Management expects volumes to be slightly lower in Q1 due to a strong comparison from the previous year, with overall organic sales expected to be flat year-over-year [46][47] Question: How will new executive appointments impact innovation and sales growth? - The new appointments are focused on creating a framework for growth, aligning the company with macro trends, and enhancing the innovation portfolio [88][90] Question: What is the company's stance on M&A activity? - Management clarified that M&A remains a priority, with a focus on defining strategy and identifying potential acquisitions while also considering divestitures [92][94]

Core Insights - The Timken Company announced strategic leadership appointments aimed at accelerating profitable growth through technology innovation, market focus, and regional expansion [1][2] Leadership Appointments - Lucian Boldea, the CEO, emphasized the importance of having the right talent in place to serve customers and achieve growth objectives [2] - John Szarka has been appointed as the chief technology officer, responsible for advancing the company's technology strategy, including AI and automation initiatives [2] - Sean Hendricks has been appointed as vice president of marketing, focusing on customer-centric positioning and expanding go-to-market initiatives [3] Regional Leadership Structure - Sudesh Kumar has been appointed president of Americas, while Diego Macario is now president of Europe, with existing leaders continuing in their roles for China and India [4] - These leaders are tasked with driving geographic penetration and unlocking new commercial opportunities [4] Operations and Supply Chain - The company is expanding its operations and supply chain functions to enhance global manufacturing and procurement strategies [5] - This holistic approach aims to improve cost and performance, enabling faster realization of synergies from acquisitions [5] Company Overview - The Timken Company reported $4.6 billion in sales for 2024 and employs approximately 19,000 people globally, operating in 45 countries [6]

Baird Global Industrial Conference Lucian Boldea, President and CEO Mike Discenza, Vice President and CFO The Company cautions that actual results may differ materially from those projected or implied in forward-looking statements due to a variety of important factors, including: fluctuations in customer demand for the Company's products or services; unanticipated changes in business relationships with customers or their purchases from the Company; changes in the financial health of the Company's customers, ...

Financial Data and Key Metrics Changes - Revenue for the third quarter was $1.16 billion, an increase of 2.7% from the previous year [12] - Adjusted EBITDA margins improved to 17.4%, a 50 basis point increase [12] - Adjusted earnings per share for the quarter was $1.37, up 11% from last year [12] Business Line Data and Key Metrics Changes - Engineered bearings sales were $766 million, up 3.4% from last year, with organic sales up 2.7% driven by higher pricing and volumes [16] - Industrial motion sales were $391 million, up 1.3% from last year, but organic sales declined 3.5% due to lower demand [18] Market Data and Key Metrics Changes - In the Americas, revenue was down 1%, with growth in North America offset by lower revenue in Latin America [13] - Asia Pacific saw a 2% increase, led by growth in China, particularly in wind energy shipments [13] - EMEA experienced a 2% growth, marking the first growth in over two years, driven by off-highway, rail, and heavy industry sectors [13] Company Strategy and Development Direction - The management team is focused on margin expansion and improving top-line performance through an 80/20 mindset, targeting profitable verticals [9] - The company aims to leverage its strong market positions and enhance cross-selling opportunities across its product portfolio [10] - Future growth is targeted in newer markets such as automation and food and beverage [8] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for 2026, citing encouraging order trends in key markets [34] - The evolving trade situation continues to impact industrial market activity, leading to cautious customer behavior [22] - The company is focused on mitigating tariff impacts and expects to recapture margins in 2026 [24] Other Important Information - The company generated operating cash flow of $201 million in the third quarter, with free cash flow of $164 million, significantly up from last year [19] - The full-year earnings guidance midpoint is reaffirmed at $5.25, with a slight increase in the sales outlook [20] Q&A Session Summary Question: Near-term outlook and order rates - Management noted that the outlook includes the latest order trends, with a seasonally declining order book but year-over-year orders up [32] Question: Organic growth implications for Q4 - Management indicated no evidence of a pull forward into Q3 and remains cautious about Q4 due to trade uncertainties [41] Question: Impact of tariffs and pricing strategies - Management is focused on controlling tariffs and expects to fully offset the tariff impact exiting this year, with pricing strategies in place [43] Question: Organic sales decline by segment for Q4 - Organic sales are expected to decline in both segments, with a more significant decline in industrial motion due to last year's military marine project [49] Question: Growth in renewable energy - Management highlighted strength in renewable energy, particularly in wind, while solar remains challenged [51] Question: Long-term capital allocation strategy - No immediate changes in capital allocation strategy, with a focus on disciplined growth and leveraging acquired businesses [65] Question: Margin drivers for 2026 - Management confirmed they are on track to deliver $75 million in cost savings, with expectations for incremental savings in the first half of next year [100]

Financial Performance - The company reported net sales of $1.157 billion in 3Q 2025, a 2.7% increase year-over-year (YOY)[13] - Organic sales increased by 0.6% YOY[6] - Adjusted EBITDA was $202 million, representing a 17.4% margin, a 50 bps increase YOY[6, 13] - Adjusted EPS was $1.37, an 11% increase YOY[6] - Free cash flow was $164 million[6] Segment Performance - Engineered Bearings segment net sales were $766 million, a 3.4% increase YOY[23] - Engineered Bearings adjusted EBITDA was $144 million, with a 18.8% margin[23] - Industrial Motion segment net sales were $391 million, a 1.3% increase YOY[28] - Industrial Motion adjusted EBITDA was $75 million, with a 19.0% margin[28] Outlook - The company reaffirmed its 2025 EPS outlook at the midpoint, with an updated range of $5.20-$5.30[6, 36] - Free cash flow for 2025 is expected to be approximately $375 million[35] - Full-year 2025 sales are expected to decrease by 0.75% at the midpoint[36] Capital Allocation - The company paid its 413th consecutive quarterly dividend of $0.35 per share[6, 32] - Net debt to adjusted EBITDA ratio was 2.1x[6, 8]

Company Leadership Change - The Timken Company has appointed Lucian Boldea as the new president and CEO, effective September 1, 2025, succeeding Richard G. Kyle [1] - Boldea previously served as President and CEO of Industrial Automation at Honeywell, overseeing a segment with over $10 billion in sales and 31,000 employees [2] - The Board of Directors expressed confidence in Boldea's leadership to advance Timken's strategy and accelerate growth [3] Executive Background - Boldea has over 25 years of industry experience and a strong record in strategic leadership and innovation [2] - He has been instrumental in Honeywell's transformation towards autonomous operations, utilizing AI, IoT, and advanced sensor technologies [3] - Prior to Honeywell, Boldea held various executive roles at Eastman Chemical Company, starting as a chemist [3] Company Overview - The Timken Company is a global leader in engineered bearings and industrial motion, with $4.6 billion in sales in 2024 and approximately 19,000 employees across 45 countries [5] - The company focuses on designing next-generation products for diverse industries, emphasizing customer-centric solutions that enhance reliability and efficiency [5]