Hillenbrand Third Quarter Revenue Increased 7% to $396 Million

Posted by: Hillenbrand  | Aug 2, 2017

BATESVILLE, Ind.</span>, Aug. 2, 2017 /PRNewswire/ -- Hillenbrand, Inc. (NYSE: HI) reported results today for the third quarter of fiscal 2017, which ended <span class="xn-chron">June 30, 2017</span>.</p>

<p><b><span style="text-decoration: underline;">Third Quarter Results<br /></span></b>Revenue of <span class="xn-money">$396 million</span> grew 7% organically compared to the prior year, driven by continued demand in the Process Equipment Group for plastics projects, as well as screening and separating equipment, including machines used to process proppants for hydraulic fracturing. That growth was partially offset by lower demand for burial caskets in the <span class="xn-location">Batesville</span> segment.</p>

<p>"We continue to be encouraged by positive demand in the industrial end markets we serve, which has been the trend for the past three quarters.Â&nbsp;&Acirc;&nbsp; The steps we took during the prior two years to strengthen our business have positioned us well to capitalize on areas of growth and resulted in strong operating leverage this quarter.&Acirc;&nbsp;&Acirc;&nbsp; We delivered the highest adjusted EBITDA margin in the Process Equipment Group since the acquisition of Coperion in the first quarter of fiscal 2013," said <span class="xn-person">Joe A. Raver</span>, president and chief executive officer of Hillenbrand.</p>

<p>Net income increased <span class="xn-money">$2 million</span> to <span class="xn-money">$33 million</span>, or <span class="xn-money">$0.52</span> per share, and adjusted net income was flat at <span class="xn-money">$34 million</span>, or <span class="xn-money">$0.53</span> per share. Earnings growth was offset by a higher effective tax rate compared to last year, primarily due to the mix of income being weighted more to higher tax jurisdictions. Adjusted EBITDA grew 8% from the prior year to <span class="xn-money">$72 million</span>. Adjusted EBITDA margin increased 20 basis points to 18.3%, driven by pricing and productivity improvements, which were partially offset by unfavorable mix and inflation.</p>

<p>Hillenbrand generated robust cash flow from operations of <span class="xn-money">$84 million</span> in the third quarter due to strong net income and improved working capital management. Year-to-date operating cash flow of <span class="xn-money">$104 million</span> was lower than last year by <span class="xn-money">$86 million</span>, primarily due to the previously disclosed <span class="xn-money">$80 million</span> contribution to the company's U.S. defined benefit pension plan in October of 2016. Free cash flow was 228% of net income in the quarter, keeping the business on track to achieve its goal of free cash flow greater than net income for the year, excluding the impact of the pension contribution.&Acirc;&nbsp; The company paid down <span class="xn-money">$35 million</span> of debt and repurchased approximately 310,000 shares for <span class="xn-money">$11 million</span> in the third quarter.</p>

<p>"In addition to double-digit organic revenue growth in the Process Equipment Group, we have solid momentum with our highest level of backlog in three years," Raver added. "The Hillenbrand Operating Model is the foundation of our culture and we are using it to advance our goal of becoming a world-class industrial company."</p>

<p><b><span style="text-decoration: underline;">Process Equipment Group<br /></span></b>Process Equipment Group revenue was <span class="xn-money">$259 million</span>, an increase of 12% year-over-year, or 14% excluding the impact of foreign currency. The growth was driven by continued strength in the demand for plastics projects, as well as screening and separating equipment, including machines used to process proppants for hydraulic fracturing. Adjusted EBITDA margin of 19.4% increased 130 basis points, due to pricing and productivity improvements, partially offset by unfavorable product mix. Order backlog has grown in each of the last three quarters, building to <span class="xn-money">$606 million</span> at the end of the third quarter, 16% higher than the prior year. Backlog increased 9% sequentially driven by screening and separating equipment, and plastics and flow control projects.</p>

<p><b><span style="text-decoration: underline;"><span class="xn-location">Batesville</span><br /></span></b><span class="xn-location">Batesville</span> revenue of <span class="xn-money">$137 million</span> was 2% lower than the prior year as burial demand declined primarily due to what is estimated to be an increased rate at which families opted for cremation. Adjusted EBITDA margin of 24.5% was lower by 20 basis points compared to the prior year as a result of higher commodity and fuel costs, partially offset by productivity improvements.</p>

<p><b><span style="text-decoration: underline;">Fiscal 2017 Guidance<br /></span></b>Hillenbrand is reaffirming 2017 guidance:</p>

<ul type="disc">

<li>Revenue growth of 1% to 3%</li>

<ul type="circle">

<li>Process Equipment Group revenue up 3% to 5%</li>

<li><span class="xn-location">Batesville</span> revenue down 1% to 3%</li>

</ul>

<li>GAAP EPS of <span class="xn-money">$1.85 to $1.95</span></li>

<li>Adjusted EPS of <span class="xn-money">$2.00 to $2.10</span></li>

</ul>

<p><b>Conference Call Information<br /></b>Date/Time: <span class="xn-chron">8:00 a.m. ET</span>, <span class="xn-chron">Thursday, August 3, 2017</span><br />Dial-In for U.S. and <span class="xn-location">Canada</span>: 1-877-201-0168<br />Dial-In for International: +1-647-788-4901<br />Conference call ID number: 48842079<br />Webcast link: <a href="http://ir.hillenbrand.com/" target="_blank" rel="nofollow">http://ir.hillenbrand.com</a> (archived through <span class="xn-chron">Saturday, September 2, 2017</span>)</p>

<p><b>Replay - Conference Call<br /></b>Date/Time: Available until <span class="xn-chron">midnight ET</span>, <span class="xn-chron">Thursday, August 17, 2017</span><br />Replay ID number: 48842079<br />Dial-In for U.S. and <span class="xn-location">Canada</span>: 1-800-585-8367<br />Dial-In for International: +1-416-621-4642</p>

<p>Hillenbrand's financial statements on Form 10-Q are expected to be filed jointly with this release and will be available on the company's website (<a href="http://ir.hillenbrand.com/" target="_blank" rel="nofollow">http://ir.hillenbrand.com</a>).</p>

<p>In addition to the financial measures prepared in accordance with accounting principles generally accepted in the U.S. (GAAP), this earnings release also contains non-GAAP operating performance measures. These non-GAAP measures are often referred to as "adjusted" and exclude expenses associated with backlog amortization, inventory step-up, business acquisition and integration, restructuring and restructuring related charges, and trade name impairment. The related income tax for all of these items is also excluded. This non-GAAP information is provided as a supplement, not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP.</p>

<p>Hillenbrand uses this non-GAAP information internally to make operating decisions and believes it is helpful to investors because it allows more meaningful period-to-period comparisons of ongoing operating results. The information can also be used to perform trend analysis and to better identify operating trends that may otherwise be masked or distorted by these types of items. Hillenbrand believes this information provides a higher degree of transparency.</p>

<p>An important non-GAAP measure Hillenbrand uses is adjusted earnings before interest, income tax, depreciation, and amortization ("adjusted EBITDA"). A part of Hillenbrand's strategy is to selectively acquire companies that we believe can benefit from the Hillenbrand Operating Model to spur faster and more profitable growth. Given that strategy, it is a natural consequence to incur related expenses, such as amortization from acquired intangible assets and additional interest expense from debt-funded acquisitions. Accordingly, we use adjusted EBITDA, among other measures, to monitor business performance.</p>

<p>Free cash flow (FCF) is defined as cash flow from operations less capital expenditures. We use the related term, free cash flow to net income conversion rate to refer to free cash flow divided by GAAP net income. Hillenbrand considers FCF and free cash flow to net income conversion rate important indicators of the Company's liquidity, as well as its ability to fund future growth and to provide a return to shareholders. FCF does not include deductions for debt service (repayments of principal), other borrowing activity, dividends on the Company's common stock, repurchases of the company's common stock, business acquisitions, and other items.</p>

<p>Another important non-GAAP operational measure used is backlog. &Acirc;&nbsp;Backlog is not a term recognized under GAAP; however, it is a common measurement used in industries with extended lead times for order fulfillment (long-term contracts), like those in which our Process Equipment Group competes. &Acirc;&nbsp;Order backlog represents the amount of consolidated revenue that we expect to realize on contracts awarded related to the Process Equipment Group. &Acirc;&nbsp;For purposes of calculating backlog, 100% of estimated revenue attributable to consolidated subsidiaries is included.&Acirc;&nbsp; Backlog includes expected revenue from large systems and equipment, as well as replacement parts, components, and service. &Acirc;&nbsp;The length of time that projects remain in backlog can span from days for replacement parts or service to approximately 18 months for larger system sales.&Acirc;&nbsp; Backlog includes expected revenue from the remaining portion of firm orders not yet completed, as well as revenue from change orders to the extent that they are reasonably expected to be realized.&Acirc;&nbsp; We include in backlog the full contract award, including awards subject to further customer approvals, which we expect to result in revenue in future periods. &Acirc;&nbsp;In accordance with industry practice, our contracts may include provisions for cancellation, termination or suspension at the discretion of the customer.</p>

<p>Hillenbrand expects that future revenue associated with the Process Equipment Group will be influenced by backlog because of the lead time involved in fulfilling engineered-to-order equipment for customers. Although backlog can be an indicator of future revenue, it does not include projects and parts orders that are booked and shipped within the same quarter. The timing of order placement, size, extent of customization, and customer delivery dates can create fluctuations in backlog and revenue. Revenue attributable to backlog may also be affected by foreign exchange fluctuations for orders denominated in currencies other than U.S. dollars.</p>

<p>Hillenbrand calculates the foreign currency impact on net revenue in order to better measure the comparability of results between periods. We calculate the foreign currency impact by translating current year results at prior year foreign exchange rates. This information is provided because exchange rates can distort the underlying change in sales, either positively or negatively.</p>

<p>See below for a reconciliation from GAAP operating performance measures to the most directly comparable non-GAAP (adjusted) performance measures.&Acirc;&nbsp; Given that there is no GAAP financial measure comparable to backlog, a quantitative reconciliation is not provided.</p>

<p>Hillenbrand (<a href="http://www.hillenbrand.com/" target="_blank" rel="nofollow">www.Hillenbrand.com</a>) is a global diversified industrial company with multiple market-leading brands that serve a wide variety of industries across the globe. We strive to provide superior return for our shareholders, exceptional value for our customers, and great professional opportunities for our employees through deployment of the Hillenbrand Operating Model.</p>

<div>

<table class="prntblns" border="0" cellspacing="0" cellpadding="0">

<tbody>

<tr>

<td class="prngen2" colspan="15">

<p class="prnews_p"><span class="prnews_span"><b>Hillenbrand,&Acirc;&nbsp;Inc.</b></span></p>

<p class="prnews_p"><span class="prnews_span"><b>Consolidated Statements of Income (Unaudited)</b></span></p>

<p class="prnews_p"><span class="prnews_span">(<i>in millions, except per share data</i>)</span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen4" colspan="7">

<p class="prnews_p"><span class="prnews_span"><b>Three Months Ended<br />June 30,</b></span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen4" colspan="6">

<p class="prnews_p"><span class="prnews_span"><b>Nine Months Ended<br />June 30,</b></span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2017</b></span></p>

</td>

<td class="prngen6">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2016</b></span></p>

</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2017</b></span></p>

</td>

<td class="prngen6">&nbsp;</td>

<td class="prngen5" colspan="2">

<p class="prnews_p"><span class="prnews_span"><b>2016</b></span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Net revenue</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9" colspan="2">

<p class="prnews_p"><span class="prnews_span">395.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9" colspan="2">

<p class="prnews_p"><span class="prnews_span">371.0</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9" colspan="2">

<p class="prnews_p"><span class="prnews_span">1,147.3</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9">

<p class="prnews_p"><span class="prnews_span">1,109.7</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Cost of goods sold</span></p>

</td>

<td class="prngen10" colspan="3">

<p class="prnews_p"><span class="prnews_span">243.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen10" colspan="3">

<p class="prnews_p"><span class="prnews_span">227.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen10" colspan="3">

<p class="prnews_p"><span class="prnews_span">720.3</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen10" colspan="2">

<p class="prnews_p"><span class="prnews_span">695.3</span></p>

</td>

</tr>

<tr>

<td class="prngen11">

<p class="prnews_p"><span class="prnews_span">Gross profit</span></p>

</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">152.4</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">143.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">427.0</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">414.4</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Operating expenses</span></p>

</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">86.3</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">87.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">254.7</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">256.6</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Amortization expense</span></p>

</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">7.3</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">7.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">21.7</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">25.6</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Interest expense</span></p>

</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">6.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">6.6</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">18.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">18.9</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Other (expense) income, net</span></p>

</td>

<td class="prngen12" colspan="3">

<p class="prnews_p"><span class="prnews_span">(1.1)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen12" colspan="3">

<p class="prnews_p"><span class="prnews_span">(0.3)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen12" colspan="3">

<p class="prnews_p"><span class="prnews_span">(3.0)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen12" colspan="2">

<p class="prnews_p"><span class="prnews_span">(1.9)</span></p>

</td>

</tr>

<tr>

<td class="prngen11">

<p class="prnews_p"><span class="prnews_span">Income before income taxes</span></p>

</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">51.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">42.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">128.7</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">111.4</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Income tax expense</span></p>

</td>

<td class="prngen10" colspan="3">

<p class="prnews_p"><span class="prnews_span">16.6</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen10" colspan="3">

<p class="prnews_p"><span class="prnews_span">10.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen10" colspan="3">

<p class="prnews_p"><span class="prnews_span">38.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen10" colspan="2">

<p class="prnews_p"><span class="prnews_span">31.9</span></p>

</td>

</tr>

<tr>

<td class="prngen11">

<p class="prnews_p"><span class="prnews_span">Consolidated net income</span></p>

</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">34.6</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">31.3</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">90.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">79.5</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Less: Net income attributable to noncontrolling interests</span></p>

</td>

<td class="prngen10" colspan="3">

<p class="prnews_p"><span class="prnews_span">1.7</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen10" colspan="3">

<p class="prnews_p"><span class="prnews_span">0.6</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">2.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">2.7</span></p>

</td>

</tr>

<tr>

<td class="prngen11">

<p class="prnews_p"><span class="prnews_span">Net income(1)</span></p>

</td>

<td class="prngen13">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14" colspan="2">

<p class="prnews_p"><span class="prnews_span">32.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen13">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14" colspan="2">

<p class="prnews_p"><span class="prnews_span">30.7</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14" colspan="2">

<p class="prnews_p"><span class="prnews_span">88.0</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">76.8</span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Net income(1)&Acirc;&nbsp; &acirc;&euro;&rdquo; per share of common stock:</span></p>

</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Basic earnings per share</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.52</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.49</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">1.38</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">1.21</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Diluted earnings per share</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.52</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.48</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">1.37</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">1.21</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Weighted average shares outstanding (basic)</span></p>

</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">63.4</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">63.4</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">63.6</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">63.3</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Weighted average shares outstanding (diluted)</span></p>

</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">63.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">63.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">

<p class="prnews_p"><span class="prnews_span">64.1</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">63.8</span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Cash dividends declared per share</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.2050</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.2025</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.6150</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">0.6075</span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

</tr>

<tr>

<td class="prngen8" colspan="4">

<p class="prnews_p"><span class="prnews_span">(1)&Acirc;&nbsp;Net income attributable to Hillenbrand</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

</tr>

<tr>

<td class="prngen8" colspan="8">

<p class="prnews_p"><span class="prnews_span"><i>See Condensed Notes to Consolidated Financial Statements</i></span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

</tr>

</tbody>

</table>

</div>

<p>&Acirc;&nbsp;</p>

<p>&Acirc;&nbsp;</p>

<div>

<table class="prntblns" border="0" cellspacing="0" cellpadding="0">

<tbody>

<tr>

<td class="prngen8" colspan="7">

<p class="prnews_p"><span class="prnews_span"><b>Condensed Consolidated Statements of Cash Flow</b></span></p>

<p class="prnews_p"><span class="prnews_span">(in millions)</span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="6">&nbsp;</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen4" colspan="6">

<p class="prnews_p"><span class="prnews_span"><b>Nine Months Ended<br />June 30,</b></span></p>

</td>

</tr>

<tr>

<td class="prngen7">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2017</b></span></p>

</td>

<td class="prngen6">&nbsp;</td>

<td class="prngen5" colspan="2">

<p class="prnews_p"><span class="prnews_span"><b>2016</b></span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Net cash provided by operating activities</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9">

<p class="prnews_p"><span class="prnews_span">103.7</span></p>

</td>

<td class="prngen9">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9">

<p class="prnews_p"><span class="prnews_span">189.7</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Net cash used in investing activities</span></p>

</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(12.3)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(251.5)</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Net cash (used in) provided by financing activities</span></p>

</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(72.5)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">63.8</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Effect of exchange rates on cash and cash equivalents</span></p>

</td>

<td class="prngen10" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.6</span></p>

</td>

<td class="prngen10">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen12" colspan="2">

<p class="prnews_p"><span class="prnews_span">(2.7)</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span"><b>Net cash flows</b></span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">19.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.7)</span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span"><b>Cash and cash equivalents:</b></span></p>

</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">At beginning of period</span></p>

</td>

<td class="prngen10" colspan="2">

<p class="prnews_p"><span class="prnews_span">52.0</span></p>

</td>

<td class="prngen10">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen10" colspan="2">

<p class="prnews_p"><span class="prnews_span">48.3</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">At end of period</span></p>

</td>

<td class="prngen13">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">71.5</span></p>

</td>

<td class="prngen13">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen13">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">47.6</span></p>

</td>

</tr>

</tbody>

</table>

</div>

<p>&Acirc;&nbsp;</p>

<p>&Acirc;&nbsp;</p>

<div>

<table class="prntblns" border="0" cellspacing="0" cellpadding="0">

<tbody>

<tr>

<td class="prngen8" colspan="4">

<p class="prnews_p"><span class="prnews_span"><b>Free Cash Flow and Free Cash Flow to Net Income Conversion Rate Computations</b></span></p>

<p class="prnews_p"><span class="prnews_span">(in millions)</span></p>

</td>

</tr>

<tr>

<td class="prngen16">&nbsp;</td>

<td class="prnsbtb0 prnrbrb0 prnvab prnsbtb0 prntar prnpl6 prnsblb0 prnpr10" colspan="3">&nbsp;</td>

</tr>

<tr>

<td class="prngen16">&nbsp;</td>

<td class="prnsbt1 prnsbr1 prnvab prnsbbs prntac prnpl6 prnsbl1 prnpr6" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>Three Months Ended<br />June 30,</b></span></p>

</td>

</tr>

<tr>

<td class="prngen16">&nbsp;</td>

<td class="prnsbt1 prnsbr1 prnvab prnsbbs prntac prnpl6 prnsbl1 prnpr10" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2017</b></span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Net cash provided by operating activities</span></p>

</td>

<td class="prngen20">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prnsbts prnsbr1 prnvab prnsbb1 prntar prnpl6 prnsbl1 prnpr10" colspan="2">

<p class="prnews_p"><span class="prnews_span">83.9</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Less:</span></p>

</td>

<td class="prngen16" colspan="2">&nbsp;</td>

<td class="prngen16">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp; Capital expenditures</span></p>

</td>

<td class="prngen16" colspan="2">&nbsp;</td>

<td class="prngen16">

<p class="prnews_p"><span class="prnews_span">5.1</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Free cash flow</span></p>

</td>

<td class="prnsbts prnsbr1 prnvab prnsbbd prntal prnpl6 prnsbl1 prnpr10">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prnsbts prnsbr1 prnvab prnsbbd prntar prnpl6 prnsbl1 prnpr10" colspan="2">

<p class="prnews_p"><span class="prnews_span">78.8</span></p>

</td>

</tr>

<tr>

<td class="prngen16">&nbsp;</td>

<td class="prngen16" colspan="2">&nbsp;</td>

<td class="prngen16">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Consolidated net income</span></p>

</td>

<td class="prngen20">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen16" colspan="2">

<p class="prnews_p"><span class="prnews_span">34.6</span></p>

</td>

</tr>

<tr>

<td class="prngen16">&nbsp;</td>

<td class="prngen16" colspan="2">&nbsp;</td>

<td class="prngen16">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Free cash flow to net income conversion rate</span></p>

</td>

<td class="prngen16" colspan="2">&nbsp;</td>

<td class="prngen15">

<p class="prnews_p"><span class="prnews_span">228%</span></p>

</td>

</tr>

</tbody>

</table>

</div>

<p>&Acirc;&nbsp;</p>

<p>&Acirc;&nbsp;</p>

<div>

<table class="prntblns" border="0" cellspacing="0" cellpadding="0">

<tbody>

<tr>

<td class="prngen2" colspan="8">

<p class="prnews_p"><span class="prnews_span"><b>Reconciliation of Non-GAAP Measures</b></span></p>

<p class="prnews_p"><span class="prnews_span">(in millions, except per share data)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="6">&nbsp;</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="7">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="6">&nbsp;</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen4" colspan="7">

<p class="prnews_p"><span class="prnews_span"><b>Three Months Ended<br />June 30,</b></span></p>

</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen4" colspan="6">

<p class="prnews_p"><span class="prnews_span"><b>Nine Months Ended<br />June 30,</b></span></p>

</td>

</tr>

<tr>

<td class="prngen7">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2017</b></span></p>

</td>

<td class="prngen6">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2016</b></span></p>

</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2017</b></span></p>

</td>

<td class="prngen6">&nbsp;</td>

<td class="prngen5" colspan="2">

<p class="prnews_p"><span class="prnews_span"><b>2016</b></span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Net Income(1)</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9">

<p class="prnews_p"><span class="prnews_span">32.9</span></p>

</td>

<td class="prngen9">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9">

<p class="prnews_p"><span class="prnews_span">30.7</span></p>

</td>

<td class="prngen9">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9">

<p class="prnews_p"><span class="prnews_span">88.0</span></p>

</td>

<td class="prngen9">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen9">

<p class="prnews_p"><span class="prnews_span">76.8</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Restructuring and restructuring related</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.8</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">1.7</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">10.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">9.1</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Business acquisition and integration</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.4</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.7</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">1.0</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">3.5</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Inventory step-up</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.1)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">2.4</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Backlog amortization</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.1)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">4.5</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnml10"><span class="prnews_span">Trade name impairment</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">2.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">2.2</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Tax effect of adjustments</span></p>

</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.4)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(1.5)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(4.1)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(7.5)</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;Adjusted Net Income(1)</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">33.7</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">33.6</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">95.1</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">91.0</span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Diluted EPS</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">0.52</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">0.48</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">1.37</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">1.21</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Restructuring and restructuring related</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.01</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.03</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.16</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.14</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Business acquisition and integration</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.01</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.01</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.01</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.06</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Inventory step-up</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.04</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Backlog amortization</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.07</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Trade name impairment</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.03</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.03</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">&Acirc;&nbsp;&Acirc;&nbsp;&Acirc;&nbsp; Tax effect of adjustments</span></p>

</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.01)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.02)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.06)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.12)</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Adjusted Diluted EPS</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">0.53</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">0.53</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">1.48</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">1.43</span></p>

</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

</tr>

<tr>

<td class="prngen2" colspan="5">

<p class="prnews_p"><span class="prnews_span">(1) Net income attributable to Hillenbrand </span></p>

</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

<td class="prngen24">&nbsp;</td>

</tr>

<tr>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen7">&nbsp;</td>

</tr>

<tr>

<td class="prngen7">&nbsp;</td>

<td class="prngen4" colspan="7">

<p class="prnews_p"><span class="prnews_span"><b>Three Months Ended<br />June 30,</b></span></p>

</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen4" colspan="6">

<p class="prnews_p"><span class="prnews_span"><b>Nine Months Ended<br />June 30,</b></span></p>

</td>

</tr>

<tr>

<td class="prngen7">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2017</b></span></p>

</td>

<td class="prngen6">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2016</b></span></p>

</td>

<td class="prngen7">&nbsp;</td>

<td class="prngen5" colspan="3">

<p class="prnews_p"><span class="prnews_span"><b>2017</b></span></p>

</td>

<td class="prngen6">&nbsp;</td>

<td class="prngen5" colspan="2">

<p class="prnews_p"><span class="prnews_span"><b>2016</b></span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">Adjusted EBITDA:</span></p>

</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

</tr>

<tr>

<td class="prngen11">

<p class="prnews_p"><span class="prnews_span">Process Equipment Group</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">50.3</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">41.8</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">120.3</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen3">

<p class="prnews_p"><span class="prnews_span">109.8</span></p>

</td>

</tr>

<tr>

<td class="prngen11">

<p class="prnews_p"><span class="prnews_span">Batesville</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">33.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">34.6</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">107.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">109.5</span></p>

</td>

</tr>

<tr>

<td class="prngen11">

<p class="prnews_p"><span class="prnews_span">Corporate</span></p>

</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(11.5)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(9.3)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(28.5)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(26.6)</span></p>

</td>

</tr>

<tr>

<td class="prngen11">

<p class="prnews_p"><span class="prnews_span">Less:</span></p>

</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">&nbsp;</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Interest income</span></p>

</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.2)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.3)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.5)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.8)</span></p>

</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Interest expense</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">6.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">6.6</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">18.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">18.9</span></p>

</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Income tax expense</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">16.6</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">10.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">38.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">31.9</span></p>

</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Depreciation and amortization</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">13.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">14.3</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">42.1</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">46.2</span></p>

</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Business acquisition and integration</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.4</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.7</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">1.0</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">3.5</span></p>

</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Inventory step-up</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen15" colspan="2">

<p class="prnews_p"><span class="prnews_span">(0.1)</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">2.4</span></p>

</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Restructuring and restructuring related</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">0.9</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">1.5</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">8.8</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">8.9</span></p>

</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Trade name impairment</span></p>

</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">2.2</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">&acirc;&euro;&rdquo;</span></p>

</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen3" colspan="2">

<p class="prnews_p"><span class="prnews_span">2.2</span></p>

</td>

</tr>

<tr>

<td class="prngen25">

<p class="prnews_p"><span class="prnews_span">Consolidated net income</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">34.6</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">31.3</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">90.5</span></p>

</td>

<td class="prngen14">&nbsp;</td>

<td class="prngen3">&nbsp;</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">$</span></p>

</td>

<td class="prngen14">

<p class="prnews_p"><span class="prnews_span">79.5</span></p>

</td>

</tr>

</tbody>

</table>

</div>

<p>&Acirc;&nbsp;</p>

<p>Throughout this release, we make a number of forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. As the words imply, forward-looking statements are statements about the future, as contrasted with historical information. Our forward-looking statements are based on assumptions and current expectations of future events that we believe are reasonable, but by their very nature they are subject to a wide range of risks. If our assumptions prove inaccurate or unknown risks and uncertainties materialize, actual results could vary materially from Hillenbrand's expectations and projections.</p>

<p>Words that could indicate that we are making forward-looking statements include the following:</p>

<div>

<table class="prntblns" border="0" cellspacing="0" cellpadding="0">

<tbody>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">intend</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">believe</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">plan</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">expect</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">may</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">goal</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">would</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">become</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">pursue</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">estimate</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">will</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">forecast</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">continue</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">could</span></p>

</td>

</tr>

<tr>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">targeted</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">encourage</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">promise</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">improve</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">progress</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">potential</span></p>

</td>

<td class="prngen8">

<p class="prnews_p"><span class="prnews_span">should</span></p>

</td>

</tr>

</tbody>

</table>

</div>

<p>This is not an exhaustive list. Our intent is to provide examples of how readers might identify forward-looking statements. The absence of any of these words, however, does not mean that the statement is not forward-looking.</p>

<p><b>Here is the key point</b>: <i>Forward-looking statements are not guarantees of future performance, and our actual results could differ materially from those set forth in any forward-looking statements</i>. Any number of factors, many of which are beyond our control, could cause our performance to differ significantly from what is described in the forward-looking statements. These factors include, but are not limited to: the outcome of any legal proceedings that may be instituted against Hillenbrand, or any companies we may acquire; risks that an acquisition disrupts current operations or poses potential difficulties in employee retention or otherwise affects financial or operating results; the ability to recognize the benefits of an acquisition, including potential synergies and cost savings or the failure of an acquired company to achieve its plans and objectives generally; global market and economic conditions, including those related to the credit markets; volatility of our investment portfolio; adverse foreign currency fluctuations; involvement in claims, lawsuits and governmental proceedings related to operations; labor disruptions; the dependence of our business units on relationships with several large providers; increased costs or unavailability of raw materials; continued fluctuations in mortality rates and increased cremations; competition from nontraditional sources in the death care industry; cyclical demand for industrial capital goods; certain tax-related matters; and changes to legislation, regulation, treaties or government policy resulting from the current political environment. For a more in-depth discussion of these and other factors that could cause actual results to differ from those contained in forward-looking statements, see the discussions under the heading "Risk Factors" in Part I, Item 1A of Hillenbrand's Form 10-K for the year ended September&Acirc;&nbsp;30, 2016, filed with the Securities and Exchange Commission on November&Acirc;&nbsp;16, 2016, and in Part II, Item 1A of Hillenbrand's Form 10-Q for the quarter ended <span class="xn-chron">June 30, 2017</span>, filed with the Securities and Exchange commission on <span class="xn-chron">August 2, 2017</span>. The company assumes no obligation to update or revise any forward-looking information.</p>

<div id="DivAssetPlaceHolder3390" class="PRN_ImbeddedAssetReference">

<p><img title="Hillenbrand - a global diversified industrial company. (PRNewsFoto/Hillenbrand, Inc.)" src="https://mma.prnewswire.com/media/129050/hillenbrand_logo.jpg" alt="Hillenbrand - a global diversified industrial company. (PRNewsFoto/Hillenbrand, Inc.)" /></p>

</div>

<p>&Acirc;&nbsp;</p>

<div id="DivAssetPlaceHolder0" class="PRN_ImbeddedAssetReference">&nbsp;</div>

<p>SOURCE Hillenbrand, Inc.</p>"