Oshkosh Corporation Secures Order from Republic Services for 100 McNeilus® Volterra™ Electric Refuse Trucks After Successful Operation of Initial Units

Rhea-AI Summary

Oshkosh (NYSE: OSK) has secured an order for 100 McNeilus® Volterra™ ZSL™ electric refuse and recycling collection vehicles from Republic Services, Inc. (NYSE: RSG). This follows a successful initial deployment and reinforces Republic Services' commitment to sustainability. The order supports Republic's goal of having electric vehicles comprise half of its new truck purchases over the next five years and aims to reduce greenhouse gas emissions by 35% by 2030.

The Volterra eRCV is the industry's first fully integrated electric refuse vehicle, designed to operate a full day's route on a single charge. It features advanced safety systems, including 360-degree cameras and automated braking. The vehicles will be deployed across multiple states, contributing to Republic Services' environmental initiatives while offering operational efficiency and driver comfort.

Positive

• Secured a large order for 100 electric refuse vehicles from a major customer
• Demonstrates market acceptance and successful performance of initial units
• Supports customer's sustainability goals and fleet electrification efforts
• Volterra eRCV offers full-day operation on a single charge, enhancing efficiency
• Product features advanced safety systems, improving driver and community safety
• Strengthens long-standing partnership with a leading environmental services company

Negative

• None.

Insights

Financial Analyst

The order for 100 McNeilus® Volterra™ ZSL™ electric refuse trucks from Republic Services represents a significant win for Oshkosh This deal not only reinforces Oshkosh's position in the electric vehicle (EV) market but also demonstrates strong demand for their products in the waste management sector.

Key financial implications:

• Revenue Boost: While specific financial terms weren't disclosed, this large order will likely contribute substantially to Oshkosh's top line in the coming quarters.
• Market Share: The repeat order suggests Oshkosh is gaining traction in the EV refuse truck market, potentially leading to increased market share.
• Long-term Growth: As more waste management companies transition to electric fleets, Oshkosh is well-positioned to capitalize on this trend, supporting long-term growth prospects.
• Profitability: The Volterra line's focus on total cost of ownership advantages could lead to higher margins compared to traditional vehicles.

Investors should monitor Oshkosh's future earnings reports to gauge the impact of this deal and potential follow-on orders in the EV segment.

Environmental Policy Expert

This order marks a significant milestone in the waste management industry's transition towards sustainability. Key points to consider:

• Emissions Reduction: The deployment of 100 electric refuse trucks will substantially reduce carbon emissions in multiple states, aligning with growing environmental regulations.
• Industry Leadership: Republic Services' commitment to have EVs comprise half of new truck purchases over the next five years sets a new benchmark for the industry.
• Regulatory Compliance: The Volterra eRCV's zero-emission certifications from CARB and EPA position Oshkosh favorably as environmental regulations tighten.
• Market Transformation: This large-scale adoption of electric refuse trucks could accelerate the industry's shift away from diesel vehicles, potentially influencing policy makers and other waste management companies.

The success of this initiative could lead to more stringent emissions standards for heavy-duty vehicles, creating both opportunities and challenges for vehicle manufacturers in the coming years.

Republic Services’ order expands fleet electrification efforts and advances commitment to sustainability and reduced environmental impact.

OSHKOSH, Wis.--(BUSINESS WIRE)-- Oshkosh Corporation (NYSE: OSK), a leading innovator of purpose-built vehicles and equipment, announced today that Republic Services, Inc. (NYSE: RSG), a leader in the environmental services industry, has placed an order for 100 McNeilus® Volterra™ ZSL™ electric refuse and recycling collection vehicles. This second order follows the successful operation of initial units into Republic Services' residential collection fleet. This significant order reinforces Republic Services’ commitment to sustainability and the transition to a more efficient fleet.

Oshkosh Corporation (NYSE: OSK), a leading innovator of purpose-built vehicles and equipment, announced today that Republic Services, Inc. (NYSE: RSG), a leader in the environmental services industry, has placed an order for 100 McNeilus® Volterra™ ZSL™ electric refuse and recycling collection vehicles. This second order follows the successful operation of initial units into Republic Services' residential collection fleet. This significant order reinforces Republic Services’ commitment to sustainability and the transition to a more efficient fleet. (Photo: Business Wire)

“Republic Services has made an industry-leading commitment to fleet electrification, and we look forward to continuing our longstanding partnership with Oshkosh and McNeilus,” said Brett Rogers, Republic Services vice president, operations technology. “Our latest order of Volterra EVs will help us provide cleaner, quieter service to customers and help our municipal partners achieve their climate goals.”

Building on a longstanding partnership, Republic Services first ordered 50 Volterra ZSL electric refuse and recycling collection vehicles from Oshkosh in 2023. As the operator of one of the nation’s largest fleets of vocational trucks, Republic Services is a leader in fleet electrification with plans for electric vehicles to comprise half of its new truck purchases over the next five years. The McNeilus Volterra eRCV, the industry’s first fully integrated electric refuse and recycling collection vehicle, is designed to meet the rigorous demands of waste and recycling collection while managing carbon emissions and providing exceptional total cost of ownership.

“Republic Services has been a valued partner for many years, and we are thrilled to support their sustainability initiatives with our McNeilus® Volterra™ electric refuse and recycling collection vehicles,” said John Pfeifer, president and chief executive officer of Oshkosh Corporation. “This order is a testament to our shared vision of advancing environmental sustainability while delivering high-performance solutions for waste and recycling management.”

The 100 McNeilus Volterra electric vehicles will be deployed across multiple states, contributing to Republic Services' ambitious goals to reduce greenhouse gas emissions by 35 percent by 2030. Each vehicle is equipped with advanced safety features, including 360-degree cameras, lane-departure sensors and automated braking systems, ensuring both driver and community safety. The Volterra eRCV can operate a full day’s route on a single charge, offering unparalleled reliability and efficiency in refuse and recycling collection.

“In addition to helping advance environmental goals, the Volterra eRCV was thoughtfully designed with drivers, service technicians and business owners in mind,” said Lee Dreas, vice president and general manager of McNeilus Truck and Manufacturing. “We’re proud to offer this innovative solution, which transforms the driver experience while delivering outstanding total cost of ownership advantages.”

The McNeilus Volterra electric refuse and recycling collection vehicles feature a purpose-built chassis and body, integrated as a single unit to maximize interior space and streamline operations. The vehicle’s zero emission certifications from the California Air Resources Board (CARB) and the United States Environmental Protection Agency (EPA) help customers meet stringent environmental regulations and clean fleet goals.

For more information about McNeilus’ Volterra electric refuse and recycling collection vehicles, visit mcneilusgarbagetrucks.com.

To learn more about Oshkosh Corporation, its long and successful history of developing fully electric and hybrid vehicles across a wide variety of industries please visit Oshkoshcorp.com.

About Oshkosh Corporation

At Oshkosh (NYSE: OSK), we make innovative, mission-critical equipment to help everyday heroes advance communities around the world. Headquartered in Wisconsin, Oshkosh Corporation employs over 18,000 team members worldwide, all united behind a common purpose: to make a difference in people’s lives. Oshkosh products can be found in more than 150 countries under the brands of JLG®, Pierce®, MAXIMETAL, Oshkosh® S-Series™, Oshkosh® Defense, McNeilus®, IMT®, Jerr-Dan®, Frontline™ Communications, Oshkosh® Airport Products, Oshkosh AeroTech™ and Pratt Miller. For more information, visit oshkoshcorp.com.

®, ™ All brand names referred to in this news release are trademarks of Oshkosh Corporation or its subsidiary companies.

About McNeilus

McNeilus Truck and Manufacturing, Inc. is a refuse and recycling collection vehicle innovator with leading advancements in electrification, intelligent products, active safety and advanced manufacturing. Product offerings include an expansive lineup of front loaders, rear loaders and side loaders, including EV solutions. McNeilus provides OEM parts and also partners with top equipment dealers across North America to provide best-in-class support and access to service and parts close to home. Learn more: https://mcneilusgarbagetrucks.com/.

Forward Looking Statements

This news release contains statements that the Company believes to be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact, including, without limitation, statements regarding the Company’s future financial position, business strategy, targets, projected sales, costs, earnings, capital expenditures, debt levels and cash flows, and plans and objectives of management for future operations, are forward-looking statements. When used in this news release, words such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “should,” “project” or “plan” or the negative thereof or variations thereon or similar terminology are generally intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, assumptions, and other factors, some of which are beyond the Company’s control, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors include risks related to the Company’s ability to successfully execute on its strategic road map and meet its long-term financial goals. Additional information concerning these and other factors is contained in the Company’s filings with the Securities and Exchange Commission. All forward-looking statements speak only as of the date of this news release. The Company assumes no obligation, and disclaims any obligation, to update information contained in this news release. Investors should be aware that the Company may not update such information until the Company’s next quarterly earnings conference call, if at all.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241003340711/en/

Financial:

Patrick Davidson

Senior Vice President, Investor Relations

920.502.3266



Media:

Tim Gilman

Senior Manager, Communications and Branding

920-509-0617

Source: Oshkosh Corporation

FAQ

How many McNeilus Volterra electric refuse trucks did Republic Services order from Oshkosh (OSK)?

Republic Services ordered 100 McNeilus Volterra ZSL electric refuse and recycling collection vehicles from Oshkosh (OSK).

What are the key features of the McNeilus Volterra electric refuse vehicle ordered by Republic Services from Oshkosh (OSK)?

The McNeilus Volterra eRCV features a fully integrated electric design, full-day operation on a single charge, advanced safety systems including 360-degree cameras and automated braking, and zero emission certifications from CARB and EPA.

How does this order align with Republic Services' sustainability goals in relation to Oshkosh (OSK) products?

The order supports Republic Services' goal to have electric vehicles comprise half of its new truck purchases over the next five years and contributes to their aim of reducing greenhouse gas emissions by 35% by 2030.

When did Republic Services place their initial order for Oshkosh (OSK) Volterra electric refuse vehicles?

Republic Services first ordered 50 Volterra ZSL electric refuse and recycling collection vehicles from Oshkosh in 2023.