Quarterly revenue of $657.4 million
Quarterly operating income of $57.7 million with operating margin of 8.8%
Quarterly earnings per diluted share of $0.84
Record backlog of $3.4 billion bolstered by the addition of long-term customer agreement
2023 Outlook initiated with midpoints of $2.9 billion revenue and diluted earnings per share of $2.85

LAFAYETTE, Ind., Feb. 02, 2023 (GLOBE NEWSWIRE) -- Wabash (NYSE:WNC), the innovation leader of engineered solutions for the transportation, logistics and distribution industries, today reported results for the quarter and full year ended December 31, 2022.

For the fourth quarter of 2022, net sales were $657.4 million. Operating income was $57.7 million, or 8.8% of sales. Net income attributable to common stockholders was $41.5 million, or $0.84 per diluted share. Sales and EPS both reached record levels during the quarter. For the full year 2022, revenue totaled an annual record of $2.5 billion with operating income of $166.6 million, or 6.7% of sales. Full year net income attributable to common stockholders was $112.3 million, or $2.25 per diluted share. Full year 2022 achieved record levels for both sales and EPS.

Operating EBITDA, a non-GAAP measure that excludes the effects of certain items, for the fourth quarter of 2022 was $69.8 million, or 10.6% of net sales, and full year operating EBITDA was $224.0 million, or 9.0% of net sales.

Total Company backlog as of December 31, 2022 increased to approximately $3.4 billion as sequential new order activity substantially outpaced shipments, supported by a long-term agreement with J.B. Hunt that was executed during the fourth quarter. Backlog rose 46% compared to September 2022 and was 34% above December 2021. Backlog expected to be shipped within the following 12-months was $2.8 billion as of December 31, 2022.

"Although 2022 will go down as the most successful year of financial performance the Company has achieved so far, the groundwork to enable this execution has been in progress since 2019," explained Brent Yeagy, President and Chief Executive Officer. "The changes to our strategy and the accompanying improvements to our organization that we've communicated in recent years have positioned us for this record performance, which we fully expect to expand upon in 2023."

Outlook

For the full year ending December 31, 2023, the Company has issued guidance in the range of $2.8 to $3.0 billion in sales with a midpoint of $2.9 billion and earnings per diluted share of $2.70 to $3.00 with a midpoint of $2.85.

Mr. Yeagy continued, "With the partnership of strategic customers like J.B. Hunt, we are jointly exercising a new level of control over our destiny. The commercial implications of this activity are clear from a total backlog of $3.4 billion, which blows away our prior backlog record by almost $1 billion and already provides significant visibility in 2024. What is less noticeable, but just as exciting, is how our Wabash team has embraced the level of change we have driven in recent years and is creating a future with more opportunity for organic growth than the Company has enjoyed at any point since its inception."

Business Segment Highlights

The table below is a summary of select segment operating and financial results prior to the elimination of intersegment sales for the fourth quarter of 2022 and 2021. A complete disclosure of the results by individual segment is included in the tables following this release.

	Wabash National Corporation
Three Months Ended December 31,		2022			2021
Units Shipped
New trailers		13,310			11,655
New truck bodies		3,250			3,230
Used trailers		15			25

	Transportation Solutions						Parts & Services
Three Months Ended December 31,		2022			2021			2022			2021
	(Unaudited, dollars in thousands)
Net sales	$	611,088		$	443,146		$	49,645		$	38,143
Gross profit	$	83,326		$	36,854		$	11,271		$	7,958
Gross profit margin		13.6	%		8.3	%		22.7	%		20.9	%
Income (loss) from operations	$	66,998		$	(7,623	)	$	7,899		$	1,692
Income (loss) from operations margin		11.0	%		(1.7	)%		15.9	%		4.4	%
Adjusted income from operations	$	66,998		$	17,996		$	7,899		$	4,419
Adjusted income from operations margin		11.0	%		4.1	%		15.9	%		11.6	%

Transportation Solutions' net sales for the fourth quarter were $611.1 million, an increase of 37.9% compared to the prior year quarter, as a result of robust customer demand and strong production. During the quarter, operating income was $67.0 million, or 11.0% of sales.

Parts & Services' net sales for the fourth quarter were $49.6 million, an increase of 30.2% compared to the prior year quarter, as a result of enhanced organizational focus and the early success of Wabash Parts, the Company's parts distribution joint venture. Operating income was $7.9 million, or 15.9% of sales during the quarter.

Non-GAAP Measures

In addition to disclosing financial results calculated in accordance with United States generally accepted accounting principles (GAAP), the financial information included in this release contains non-GAAP financial measures, including operating EBITDA, free cash flow, adjusted operating income and margin, adjusted net income attributable to common stockholders, adjusted diluted earnings per share, adjusted segment EBITDA, and adjusted segment EBITDA margin. These non-GAAP measures should not be considered a substitute for, or superior to, financial measures and results calculated in accordance with GAAP, including net income, and reconciliations to GAAP financial statements should be carefully evaluated.

Operating EBITDA includes noncontrolling interest and is defined as earnings before interest, taxes, depreciation, amortization, stock-based compensation, impairment and other, net, and other non-operating income and expense (including any loss on debt extinguishment charges). Management believes providing operating EBITDA is useful for investors to understand the Company's performance and results of operations period to period with the exclusion of the items identified above. Management believes the presentation of operating EBITDA, when combined with the GAAP presentations of operating income and net income, is beneficial to an investor's understanding of the Company's operating performance. A reconciliation of operating EBITDA to net income, the most comparable GAAP financial measure, is included in the tables following this release.

Free cash flow is defined as net cash provided by (used in) operating activities minus cash payments for capital expenditures. Management believes providing free cash flow is useful for investors to understand the Company's performance and results of cash generation period to period with the exclusion of the item identified above. Management believes the presentation of free cash flow, when combined with the GAAP presentations of cash provided by operating activities, is beneficial to an investor's understanding of the Company's operating performance. A reconciliation of free cash flow to cash used in operating activities, the most comparable GAAP financial measure, is included in the tables following this release.

Adjusted operating income and margin, non-GAAP financial measures, exclude certain costs, expenses, other charges, gains or income that are included in the determination of operating income under U.S. GAAP, but that management would not consider important in evaluating the quality of the Company's operating results as they are not indicative of the Company's core operating results or may obscure trends useful in evaluating the Company's continuing activities. Accordingly, the Company presents adjusted operating income and margin excluding these special items to help investors evaluate our operating performance and trends in our business consistent with how management evaluates such performance and trends. Further, the Company presents adjusted operating income and margin to provide investors with a better understanding of the Company's view of our results as compared to prior periods. Adjusted operating income margin is calculated by dividing adjusted operating income by total net sales. A reconciliation of adjusted operating income to operating income, the most comparable GAAP financial measure, is included in the tables following this release.

Adjusted net income attributable to common stockholders and adjusted diluted earnings per share reflect adjustments for non-cash impairment, debt transactions, and the impact of sales and divestitures, and the related tax effects of these adjustments. Management believes providing adjusted measures and excluding certain items facilitates comparisons to the Company's prior year periods and, when combined with the GAAP presentation of net income and diluted net income per share, is beneficial to an investor's understanding of the Company's performance. A reconciliation of adjusted net income attributable to common stockholders and adjusted diluted earnings per share to net income attributable to common stockholders and diluted earnings per share, the most comparable GAAP financial measures, are included in the tables following this release.

Adjusted segment EBITDA, a non-GAAP financial measure, includes noncontrolling interest and is calculated by adding back segment depreciation and amortization expense to segment operating income, and excludes certain costs, expenses, other charges, gains or income that are included in the determination of operating income under GAAP, but that management would not consider important in evaluating the quality of the Company's segment operating results as they are not indicative of each segment's core operating results or may obscure trends useful in evaluating the segment's continuing activities. Adjusted segment EBITDA Margin is calculated by dividing Adjusted segment EBITDA by segment total net sales. A reconciliation of adjusted segment EBITDA to income from operations, the most comparable GAAP financial measure, is included in the tables following this release.

Information reconciling any forward-looking Operating EBITDA, Operating EBITDA Margin, Adjusted Operating Income, Adjusted Operating Income Margin, Free Cash Flow, Adjusted EBITDA Margin, and Adjusted EPS to GAAP financial measures is unavailable to us without unreasonable effort. We cannot provide reconciliations of the above noted forward looking non-GAAP measures to GAAP financial measures because certain items required for such reconciliations are outside of our control and/or cannot be reasonably predicted. Preparation of such reconciliations would require a forward-looking balance sheet, statement of income and statement of cash flows, prepared in accordance with GAAP, and such forward-looking financial statements are unavailable to us without unreasonable effort.

Fourth Quarter 2022 Conference Call

Wabash will discuss its results during its quarterly investor conference call on Thursday, February 2, beginning at 11:00 a.m. EST. The call and an accompanying slide presentation will be accessible on the "Investors" section of the Company's website www.onewabash.com. The conference call will also be accessible by dialing (888) 440-6928, conference ID 6579482. A replay of the call will be available on the site shortly after the conclusion of the presentation.

About Wabash

Wabash (NYSE:WNC) is the visionary leader of connected solutions for the transportation, logistics and distribution industries that is Changing How the World Reaches You^®. Headquartered in Lafayette, Indiana, the company enables customers to thrive by providing insight into tomorrow and delivering pragmatic solutions today to move everything from first to final mile. Wabash designs, manufactures, and services a diverse range of products, including: dry freight and refrigerated trailers, flatbed trailers, tank trailers, dry and refrigerated truck bodies, structural composite panels and products, trailer aerodynamic solutions, and specialty food grade processing equipment. Learn more at www.onewabash.com.

Safe Harbor Statement

This press release contains certain forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements convey the Company's current expectations or forecasts of future events. All statements contained in this press release other than statements of historical fact are forward-looking statements. These forward-looking statements include, among other things, all statements regarding the Company's outlook for trailer and truck body shipments, backlog, expectations regarding demand levels for trailers, truck bodies, non-trailer equipment and our other diversified product offerings, pricing, profitability and earnings, cash flow and liquidity, opportunity to capture higher margin sales, new product innovations, our growth and diversification strategies, our expectations for improved financial performance during the course of the year and our expectations with regards to capital allocation. These and the Company's other forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. Without limitation, these risks and uncertainties include the highly cyclical nature of our business, uncertain economic conditions including the possibility that customer demand may not meet our expectations, our backlog may not reflect future sales of our products, increased competition, reliance on certain customers and corporate partnerships, risks of customer pick-up delays, shortages and costs of raw materials including the impact of tariffs or other international trade developments, risks in implementing and sustaining improvements in the Company's manufacturing operations and cost containment, dependence on industry trends and timing, supplier constraints, labor costs and availability, customer acceptance of and reactions to pricing changes, costs of indebtedness, and our ability to execute on our long-term strategic plan. Readers should review and consider the various disclosures made by the Company in this press release and in the Company's reports to its stockholders and periodic reports on Forms 10-K and 10-Q.

WABASH NATIONAL CORPORATION

CONSOLIDATED BALANCE SHEETS

(Unaudited - dollars in thousands)

	December 31, 2022			December 31, 2021
Assets
Current assets:
Cash and cash equivalents	$	58,245		$	71,778
Accounts receivable, net		255,577			176,511
Inventories		243,870			237,621
Prepaid expenses and other		34,927			43,795
Total current assets		592,619			529,705
Property, plant, and equipment, net		271,116			232,425
Goodwill		188,434			188,443
Intangible assets, net		99,231			114,441
Other assets		52,123			42,057
Total assets	$	1,203,523		$	1,107,071
Liabilities and Stockholders' Equity
Current liabilities:
Current portion of long-term debt	$	—		$	—
Current portion of finance lease obligations		—			59
Accounts payable		189,141			173,950
Other accrued liabilities		158,327			115,316
Total current liabilities		347,468			289,325
Long-term debt		395,818			428,315
Deferred income taxes		27,758			36,019
Other non-current liabilities		34,354			27,873
Total liabilities		805,398			781,532
Commitments and contingencies
Noncontrolling interest		512			—
Wabash National Corporation Stockholders' equity:
Common stock, $0.01 par value: 200,000,000 shares authorized; 47,675,796 and 48,954,482 shares outstanding, respectively		766			759
Additional paid-in capital		665,941			653,978
Retained earnings		188,241			92,111
Accumulated other comprehensive (loss) income		(882	)		859
Treasury stock, at cost: 28,972,928 and 27,013,275 common shares, respectively		(456,453	)		(422,168	)
Total Wabash National Corporation stockholders' equity		397,613			325,539
Total liabilities, noncontrolling interest, and equity	$	1,203,523		$	1,107,071

WABASH NATIONAL CORPORATION

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited - dollars in thousands, except per share amounts)

	Three Months Ended December 31,						Twelve Months Ended December 31,
		2022			2021			2022			2021
Net sales	$	657,449		$	479,277		$	2,502,129		$	1,803,268
Cost of sales		562,852			436,629			2,179,438			1,606,801
Gross profit		94,597			42,648			322,691			196,467
General and administrative expenses		27,962			22,067			113,083			88,807
Selling expenses		5,733			5,371			27,070			23,691
Amortization of intangible assets		3,185			5,630			15,211			22,858
Impairment and other, net		(7	)		28,200			685			27,569
Income (loss) from operations		57,724			(18,620	)		166,642			33,542
Other income (expense):
Interest expense		(5,184	)		(5,097	)		(20,525	)		(23,128	)
Other, net		895			(8,929	)		318			(9,124	)
Other expense, net		(4,289	)		(14,026	)		(20,207	)		(32,252	)
Income (loss) before income tax		53,435			(32,646	)		146,435			1,290
Income tax expense (benefit)		11,834			(7,333	)		33,665			126
Net income (loss)		41,601			(25,313	)		112,770			1,164
Net income attributable to noncontrolling interest		139			—			512			—
Net income (loss) attributable to common stockholders	$	41,462		$	(25,313	)	$	112,258		$	1,164

Net income (loss) attributable to common stockholders per share:
Basic	$	0.86		$	(0.51	)	$	2.31		$	0.02
Diluted	$	0.84		$	(0.51	)	$	2.25		$	0.02
Weighted average common shares outstanding (in thousands):
Basic		47,964			49,400			48,626			50,684
Diluted		49,550			49,400			49,881			51,608

Dividends declared per share	$	0.08		$	0.08		$	0.32		$	0.32

WABASH NATIONAL CORPORATION

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited - dollars in thousands)

	Year Ended December 31,
		2022			2021
Cash flows from operating activities:
Net income	$	112,770		$	1,164
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation		31,758			25,984
Amortization of intangibles		15,211			22,858
Net gain on sale of property, plant and equipment and business divestiture		(635	)		(1,594	)
Loss on debt extinguishment		—			9,504
Deferred income taxes		(7,614	)		(8,147	)
Stock-based compensation		9,746			7,059
Non-cash interest expense		868			1,082
Impairment		1,339			29,163
Accounts receivable		(79,066	)		(80,879	)
Inventories		(6,249	)		(74,804	)
Prepaid expenses and other		1,069			8,570
Accounts payable and accrued liabilities		46,085			54,862
Other, net		(1,198	)		(2,292	)
Net cash provided by (used in) operating activities		124,084			(7,470	)
Cash flows from investing activities:
Cash payments for capital expenditures		(57,086	)		(49,105	)
Proceeds from sale of assets and business divestiture		1,781			22,029
Net cash used in investing activities		(55,305	)		(27,076	)
Cash flows from financing activities:
Proceeds from exercise of stock options		2,224			2,228
Borrowings under new senior notes		—			400,000
Dividends paid		(16,020	)		(16,435	)
Borrowings under revolving credit facilities		72,549			50,823
Payments under revolving credit facilities		(105,584	)		(17,788	)
Principal payments under finance lease obligations		(59	)		(319	)
Principal payments against old senior notes		—			(315,000	)
Principal payments under term loan credit facility		—			(138,835	)
Debt issuance costs paid		(1,137	)		(9,296	)
Stock repurchases		(34,285	)		(66,731	)
Net cash used in financing activities		(82,312	)		(111,353	)
Cash, cash equivalents, and restricted cash:
Net decrease in cash, cash equivalents, and restricted cash		(13,533	)		(145,899	)
Cash, cash equivalents, and restricted cash at beginning of period		71,778			217,677
Cash, cash equivalents, and restricted cash at end of period	$	58,245		$	71,778
Supplemental disclosures of cash flow information:
Cash paid for interest	$	20,131		$	22,040
Net cash paid (refunds received) for income taxes	$	18,333		$	(467	)
Period end balance of payables for property, plant, and equipment	$	18,809		$	3,785

WABASH NATIONAL CORPORATION

SEGMENTS AND RELATED INFORMATION

(Unaudited - dollars in thousands)

	Wabash National Corporation
Three Months Ended December 31,		2022			2021
Units Shipped
New trailers		13,310			11,655
New truck bodies		3,250			3,230
Used trailers		15			25

Three Months Ended December 31,	Transportation Solutions			Parts & Services		Corporate and Eliminations			Consolidated
2022
New trailers	$	536,376		$	330	$	(313	)	$	536,393
Used trailers		—			523		—			523
Components, parts and service		—			34,554		—			34,554
Equipment and other		74,712			14,238		(2,971	)		85,979
Total net external sales	$	611,088		$	49,645	$	(3,284	)	$	657,449
Gross profit	$	83,326		$	11,271	$	—		$	94,597
Income (loss) from operations	$	66,998		$	7,899	$	(17,173	)	$	57,724
Adjusted income (loss) from operations¹	$	66,998		$	7,899	$	(17,173	)	$	57,724

2021
New trailers	$	388,182		$	179	$	(181	)	$	388,180
Used trailers		—			659		—			659
Components, parts and service		—			30,182		—			30,182
Equipment and other		54,964			7,123		(1,831	)		60,256
Total net external sales	$	443,146		$	38,143	$	(2,012	)	$	479,277
Gross profit	$	36,854		$	7,958	$	(2,164	)	$	42,648
(Loss) income from operations	$	(7,623	)	$	1,692	$	(12,689	)	$	(18,620	)
Adjusted income (loss) from operations¹	$	17,996		$	4,419	$	(12,689	)	$	9,726

¹Adjusted operating income (loss), a non-GAAP financial measure, excludes certain costs, expenses, other charges, gains or income that are included in the determination of operating income (loss) under U.S. GAAP, but that management would not consider important in evaluating the quality of the Company's operating results as they are not indicative of the Company's core operating results or may obscure trends useful in evaluating the Company's continuing activities. Accordingly, the Company presents adjusted operating income (loss) excluding these special items to help investors evaluate our operating performance and trends in our business consistent with how management evaluates such performance and trends. Further, the Company presents adjusted operating income (loss) to provide investors with a better understanding of the Company's view of our results as compared to prior periods.

WABASH NATIONAL CORPORATION

SEGMENTS AND RELATED INFORMATION

(Unaudited - dollars in thousands)

	Wabash National Corporation
Twelve Months Ended December 31,		2022		2021
Units Shipped
New trailers		52,035		45,365
New truck bodies		14,800		16,560
Used trailers		95		95

Twelve Months Ended December 31,	Transportation Solutions		Parts & Services		Corporate and Eliminations			Consolidated
2022
New trailers	$	2,012,428	$	1,722	$	(1,286	)	$	2,012,864
Used trailers		—		2,905		—			2,905
Components, parts and service		—		139,762		—			139,762
Equipment and other		308,486		49,087		(10,975	)		346,598
Total net external sales	$	2,320,914	$	193,476	$	(12,261	)	$	2,502,129
Gross profit	$	277,842	$	44,849	$	—		$	322,691
Income (loss) from operations	$	209,942	$	30,558	$	(73,858	)	$	166,642
Adjusted income (loss) from operations¹	$	209,942	$	30,558	$	(73,858	)	$	166,642

2021
New trailers	$	1,354,375	$	179	$	(181	)	$	1,354,373
Used trailers		165		2,349		—			2,514
Components, parts and service		—		131,929		—			131,929
Equipment and other		278,779		42,709		(7,036	)		314,452
Total net external sales	$	1,633,319	$	177,166	$	(7,217	)	$	1,803,268
Gross profit	$	166,630	$	36,870	$	(7,033	)	$	196,467
Income (loss) from operations	$	61,869	$	20,201	$	(48,528	)	$	33,542
Adjusted income (loss) from operations¹	$	87,488	$	21,054	$	(48,528	)	$	60,014

WABASH NATIONAL CORPORATION

SEGMENT and COMPANY FINANCIAL INFORMATION

(Unaudited - dollars in thousands)

	Three Months Ended December 31,						Twelve Months Ended December 31,
		2022			2021			2022			2021
Transportation Solutions
Income (loss) from operations	$	66,998		$	(7,623	)	$	209,942		$	61,869
Adjustments:
Trade names & trademarks impairment		—			25,619			—			25,619
Adjusted operating income		66,998			17,996			209,942			87,488
Adjusted operating income margin		11.0	%		4.1	%		9.0	%		5.4	%

Parts & Services
Income from operations		7,899			1,692			30,558			20,201
Adjustments:
Trade names & trademarks impairment		—			2,727			—			2,727
Gain on divestiture of Extract Technology		—			—			—			(1,874	)
Adjusted operating income		7,899			4,419			30,558			21,054
Adjusted operating income margin		15.9	%		11.6	%		15.8	%		11.9	%

Corporate
Loss from operations		(17,173	)		(12,689	)		(73,858	)		(48,528	)
Adjustments:
N/A		—			—			—			—
Adjusted operating loss		(17,173	)		(12,689	)		(73,858	)		(48,528	)

Consolidated
Income (loss) from operations		57,724			(18,620	)		166,642			33,542
Adjustments:
Trade names & trademarks impairment		—			28,346			—			28,346
Gain on divestiture of Extract Technology		—			—			—			(1,874	)
Adjusted operating income	$	57,724		$	9,726		$	166,642		$	60,014
Adjusted operating income margin		8.8	%		2.0	%		6.7	%		3.3	%

WABASH NATIONAL CORPORATION

RECONCILIATION OF GAAP FINANCIAL MEASURES TO

NON-GAAP FINANCIAL MEASURES

(Unaudited - dollars in thousands, except per share amounts)

Operating EBITDA¹:	Three Months Ended December 31,						Twelve Months Ended December 31,
		2022			2021			2022			2021
Net income (loss)	$	41,601		$	(25,313	)	$	112,770		$	1,164
Income tax expense (benefit)		11,834			(7,333	)		33,665			126
Interest expense		5,184			5,097			20,525			23,128
Depreciation and amortization		9,704			12,021			46,969			48,842
Stock-based compensation		2,379			1,170			9,746			7,059
Debt transactions³		—			9,052			—			9,504
Impairment and other, net		(7	)		28,200			685			27,569
Other, net		(895	)		(123	)		(318	)		(380	)
Operating EBITDA	$	69,800		$	22,771		$	224,042		$	117,012

Adjusted Net Income Attributable to Common Stockholders²:	Three Months Ended December 31,					Twelve Months Ended December 31,
		2022		2021			2022		2021
Net income (loss) attributable to common stockholders	$	41,462	$	(25,313	)	$	112,258	$	1,164
Adjustments:
Trade names & trademarks impairment		—		28,346			—		28,346
Gain on divestiture of Extract Technology		—		—			—		(1,874	)
Debt transactions³		—		9,052			—		9,504
Tax effect of aforementioned items		—		(8,415	)		—		(8,087	)
Adjusted net income attributable to common stockholders	$	41,462	$	3,670		$	112,258	$	29,053

Adjusted Diluted Earnings Per Share²:	Three Months Ended December 31,					Twelve Months Ended December 31,
		2022		2021			2022		2021
Diluted earnings per share	$	0.84	$	(0.51	)	$	2.25	$	0.02
Adjustments:
Trade names & trademarks impairment		—		0.57			—		0.56
Gain on divestiture of Extract Technology		—		—			—		(0.04	)
Debt transactions³		—		0.18			—		0.18
Tax effect of aforementioned items		—		(0.17	)		—		(0.16	)
Adjusted diluted earnings per share	$	0.84	$	0.07		$	2.25	$	0.56

Weighted average diluted shares outstanding (in thousands)		49,550		50,436			49,881		51,608

¹Operating EBITDA includes noncontrolling interest and is defined as earnings before interest, taxes, depreciation, amortization, stock-based compensation, impairment and other, net, and other non-operating income and expense (including any loss on debt extinguishment charges). Management believes providing operating EBITDA is useful for investors to understand the Company's performance and results of operations period to period with the exclusion of the items identified above. Management believes the presentation of operating EBITDA, when combined with the GAAP presentations of operating income and net income, is beneficial to an investor's understanding of the Company's operating performance.

²Adjusted net income attributable to common stockholders and adjusted diluted earnings per share reflect adjustments for non-cash impairment, debt transactions, and the impact of sales and divestitures, and the related tax effects of these adjustments.

³Debt transactions include losses on debt extinguishment.

WABASH NATIONAL CORPORATION

RECONCILIATION OF FREE CASH FLOW¹

(Unaudited - dollars in thousands)

	Twelve Months Ended December 31,
		2022			2021
Net cash provided by (used in) operating activities	$	124,084		$	(7,470	)
Cash payments for capital expenditures		(57,086	)		(49,105	)
Free cash flow¹	$	66,998		$	(56,575	)

¹Free cash flow is defined as net cash provided by (used in) operating activities minus cash payments for capital expenditures. Management believes providing free cash flow is useful for investors to understand the Company's performance and results of cash generation period to period with the exclusion of the item identified above. Management believes the presentation of free cash flow, when combined with the GAAP presentations of cash used in operating activities, is beneficial to an investor's understanding of the Company's operating performance.

WABASH NATIONAL CORPORATION

RECONCILIATION OF ADJUSTED SEGMENT EBITDA¹

AND ADJUSTED SEGMENT EBITDA MARGIN¹

(Unaudited - dollars in thousands)

	Transportation Solutions						Parts & Services
Three Months Ended December 31		2022			2021			2022			2021
Income (loss) from operations	$	66,998		$	(7,623	)	$	7,899		$	1,692
Depreciation and amortization		8,458			10,364			480			1,107
Impairment and other, net		(1	)		25,619			(5	)		2,585
Adjusted segment EBITDA	$	75,455		$	28,360		$	8,374		$	5,384

Adjusted segment EBITDA margin		12.3	%		6.4	%		16.9	%		14.1	%

	Transportation Solutions						Parts & Services
Twelve Months Ended December 31		2022			2021			2022			2021
Income from operations	$	209,942		$	61,869		$	30,558		$	20,201
Depreciation and amortization		41,187			41,819			2,717			4,781
Impairment and other, net		(361	)		26,554			—			1,025
Adjusted segment EBITDA	$	250,768		$	130,242		$	33,275		$	26,007

Adjusted segment EBITDA Margin		10.8	%		8.0	%		17.2	%		14.7	%

¹Adjusted segment EBITDA, a non-GAAP financial measure, includes noncontrolling interest and is calculated by adding back segment depreciation and amortization expense to segment operating income, and excludes certain costs, expenses, other charges, gains or income that are included in the determination of operating income under GAAP, but that management would not consider important in evaluating the quality of the Company's segment operating results as they are not indicative of each segment's core operating results or may obscure trends useful in evaluating the segment's continuing activities. Adjusted segment EBITDA margin is calculated by dividing Adjusted segment EBITDA by segment total net sales.

Media Contact:

Dana Stelsel

Director, Corporate Communications

(765) 771-5766

dana.stelsel@onewabash.com

Investor Relations:

Ryan Reed

Sr Director, Corporate Development & Investor Relations

(765) 490-5664

ryan.reed@onewabash.com

Wabash Announces Fourth Quarter and Full Year 2022 Results