The Greenbrier Companies, Inc. (NYSE: GBX) ("Greenbrier"), a leading international supplier of equipment and services to global freight transportation markets, today reported financial results for its third fiscal quarter ended May 31, 2026.
Third Quarter Highlights
- Aggregate gross margin percentage increased 230 basis points sequentially to 14.1%, driven by improved manufacturing margin.
- Owned lease fleet grew to 20,600, up 23% sequentially.
- Lease fleet utilization remained exceptionally strong at 99%.
- Entered into a new, $425 million non-recourse term loan, with improved pricing and terms, to support continued lease fleet growth.
- Net earnings attributable to Greenbrier were $19 million, or $0.60 per diluted share.
- EBITDA was $69 million, or 12% of revenue.
- New railcar orders for 2,200 units valued at $340 million and deliveries of 3,600 units, resulting in a new railcar backlog of 13,800 units with an estimated value of $2.0 billion as of May 31, 2026.
- Board approved quarterly dividend of $0.34 per share, payable on August 6, 2026 to shareholders of record as of July 16, 2026, representing Greenbrier's 49th consecutive quarterly dividend.
"Greenbrier executed well in Q3, delivering solid results across both Leasing & Fleet Management and Manufacturing," said Lorie L. Tekorius, CEO and President. "The current freight railcar environment enhances the value of our growing lease fleet, supporting strong performance as reflected in the 99% utilization. Aggregate gross margin of 14.1% reflects the strength and stability of our operating platform."
Tekorius added, "We remain committed to disciplined operational execution, prudent cost management, and continuous improvement across the business. We are working closely with customers to assess deferred demand for railcars in North America. During the quarter, we continued our lease fleet investments, maintaining our commitment to thoughtful growth, recurring revenue and long-term shareholder value. These actions strengthen Greenbrier's earnings power and support the durability of our business."
Financial Summary
Q3 FY26 | Q2 FY26 | Sequential Comparison – Main Drivers | |||
Revenue | $576.5M | $587.5M | Primarily fewer deliveries | ||
Aggregate gross margin | $81.1M | $69.5M | Improved manufacturing efficiency | ||
Aggregate gross margin % | 14.1 % | 11.8 % | |||
Selling and administrative expense | $55.2M | $57.4M | Primarily lower employee-related expense | ||
Net gain on disposition of equipment | $6.0M | $13.0M | Timing of fleet optimization activities | ||
Earnings from operations | $31.9M | $25.1M | Higher aggregate gross margin and favorable S&A expense, partially offset by timing of fleet optimization | ||
Operating margin % | 5.5 % | 4.3 % | |||
EBITDA (1) | $69.1M | $60.8M | |||
Effective tax rate | 19.5 % | 14.9 % | Mix of income in foreign jurisdictions | ||
Diluted EPS | $0.60 | $0.47 |
(1) See reconciliation at conclusion of Supplemental Information. |
Segment Summary
Q3 FY26 | Q2 FY26 | Sequential Comparison – Main Drivers | |||
Manufacturing (1) | |||||
Revenue | $529.1M | $541.5M | Fewer new railcar deliveries, partially offset by higher maintenance program work | ||
Gross margin % | 9.9 % | 7.6 % | Improved operating performance and positive product mix | ||
Earnings from operations | $30.4M | $20.7M | |||
Operating margin % (2) | 5.7 % | 3.8 % | |||
Deliveries (3) | 3,200 | 3,400 | |||
Leasing & Fleet Management | |||||
Revenue | $47.4M | $46.0M | Timing of fleet additions | ||
Gross margin % | 60.3 % | 61.7 % | Timing of maintenance expense | ||
Earnings from operations | $29.2M | $35.5M | Timing of fleet optimization | ||
Operating margin % (2) | 61.6 % | 77.2 % | |||
Owned fleet (units) | 20,600 | 16,800 | Strategic growth of lease fleet primarily through secondary market purchases | ||
Fleet utilization | 99.0 % | 98.5 % | Continued strong fleet utilization | ||
(1) | Effective September 1, 2025, the Company changed its methodology for allocating revenue and expenses associated with syndication activity between the two reportable segments. Syndication activity is now being reflected in the Manufacturing segment. This change had no impact on the Company's consolidated results of operations or financial position and prior period segment results have been recast to conform to the current period presentation. |
(2) | See supplemental segment information in Supplemental Information. |
(3) | Excludes Brazil deliveries which are not consolidated into Manufacturing revenue and margins. |
Fiscal 2026 Guidance
Greenbrier is updating its fiscal 2026 guidance as follows:
Prior | Updated | |
FY26 Guidance | FY26 Guidance | |
Operating Metrics | ||
Deliveries (1) | 15,350 - 16,350 units | 15,650 - 15,850 units |
Revenue | $2.4B - $2.5B | $2.4B - $2.5B |
Aggregate Gross Margin % | 14.8% - 15.2% | 13.8% - 14.2% |
Operating Margin % (2) | 7.0% - 7.8% | 6.5% - 6.8% |
EPS | $3.00 - $3.50 | $3.00 - $3.15 |
Capital Expenditures | ||
Manufacturing | $80M | $95M |
Leasing & Fleet Management | 300M | 285M |
Gross Capital Expenditures | $380M | $380M |
Equipment Sales Proceeds | 175M | 175M |
Net Capital Expenditures | $205M | $205M |
(1) | Includes approximately 1,500 units of deliveries associated with Brazil. |
(2) | Earnings from operations divided by revenue. |
Conference Call
Greenbrier will host a live conference call to discuss the third quarter results today at 2:00 p.m. PT. The audio webcast and supplemental materials can be accessed via Greenbrier's investor relations website (https://investors.gbrx.com/). To participate in the call please dial 1-888-317-6003, domestically, or 1-412-317-6061 internationally, and use passcode #0443346.
About Greenbrier
Greenbrier, headquartered in Lake Oswego, Oregon, is a leading international supplier of equipment and services to global freight transportation markets. Through its wholly-owned subsidiaries and joint ventures, Greenbrier designs, builds and markets freight railcars in North America, Europe and Brazil. We are a leading provider of freight railcar wheel services, parts, maintenance and retrofitting services in North America. Greenbrier owns a lease fleet of approximately 20,600 railcars that originate primarily from Greenbrier's manufacturing operations. Greenbrier offers railcar management, regulatory compliance services and leasing services to railroads and other railcar owners in North America. Learn more about Greenbrier at www.gbrx.com.
THE GREENBRIER COMPANIES, INC. | ||||||||||||||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||||||||||||||
(In millions, unaudited) | ||||||||||||||||||||
May 31, | February 28, | November 30, | August 31, | May 31, | ||||||||||||||||
Assets | ||||||||||||||||||||
Cash and cash equivalents | $ | 273.7 | $ | 521.8 | $ | 361.8 | $ | 306.1 | $ | 296.8 | ||||||||||
Restricted cash | 49.1 | 41.2 | 13.6 | 20.3 | 45.2 | |||||||||||||||
Accounts receivable, net | 463.4 | 463.5 | 509.2 | 526.4 | 507.7 | |||||||||||||||
Income tax receivable | 18.0 | 12.3 | 18.5 | 44.9 | 33.7 | |||||||||||||||
Inventories | 619.3 | 621.1 | 680.3 | 688.3 | 707.6 | |||||||||||||||
Leased railcars for syndication | 426.7 | 194.7 | 178.8 | 225.9 | 248.6 | |||||||||||||||
Equipment on operating leases, net | 1,298.4 | 1,295.4 | 1,330.9 | 1,328.5 | 1,300.4 | |||||||||||||||
Property, plant and equipment, net | 708.5 | 719.3 | 719.1 | 726.7 | 711.7 | |||||||||||||||
Investment in unconsolidated affiliates | 96.5 | 90.8 | 98.9 | 99.3 | 95.0 | |||||||||||||||
Intangibles and other assets, net | 264.7 | 249.3 | 254.7 | 264.2 | 277.3 | |||||||||||||||
Goodwill | 129.9 | 130.3 | 129.8 | 130.0 | 129.2 | |||||||||||||||
$ | 4,348.2 | $ | 4,339.7 | $ | 4,295.6 | $ | 4,360.6 | $ | 4,353.2 | |||||||||||
Liabilities and Equity | ||||||||||||||||||||
Accounts payable and accrued liabilities | $ | 574.2 | $ | 580.5 | $ | 577.5 | $ | 651.7 | $ | 696.2 | ||||||||||
Debt, net | ||||||||||||||||||||
Recourse | 733.3 | 720.5 | 794.8 | 771.2 | 767.3 | |||||||||||||||
Non-recourse | 1,072.3 | 1,042.2 | 971.4 | 979.7 | 995.4 | |||||||||||||||
1,805.6 | 1,762.7 | 1,766.2 | 1,750.9 | 1,762.7 | ||||||||||||||||
Deferred income taxes | 179.1 | 174.8 | 186.7 | 180.2 | 151.9 | |||||||||||||||
Deferred revenue | 61.1 | 68.6 | 29.7 | 44.3 | 32.5 | |||||||||||||||
Contingently redeemable noncontrolling interest | 31.9 | 33.0 | 34.5 | 35.8 | 40.1 | |||||||||||||||
Total equity – Greenbrier | 1,573.2 | 1,564.6 | 1,542.2 | 1,532.5 | 1,504.0 | |||||||||||||||
Noncontrolling interest | 123.1 | 155.5 | 158.8 | 165.2 | 165.8 | |||||||||||||||
Total equity | 1,696.3 | 1,720.1 | 1,701.0 | 1,697.7 | 1,669.8 | |||||||||||||||
$ | 4,348.2 | $ | 4,339.7 | $ | 4,295.6 | $ | 4,360.6 | $ | 4,353.2 | |||||||||||
THE GREENBRIER COMPANIES, INC. | ||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||
(In millions, except number of shares which are reflected in thousands and per share amounts, unaudited) | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
2026 | 2025 | 2026 | 2025 | |||||||||||||
Revenue | ||||||||||||||||
Manufacturing | $ | 529.1 | $ | 793.4 | $ | 1,727.6 | $ | 2,337.2 | ||||||||
Leasing & Fleet Management | 47.4 | 49.3 | 142.5 | 143.5 | ||||||||||||
576.5 | 842.7 | 1,870.1 | 2,480.7 | |||||||||||||
Cost of revenue | ||||||||||||||||
Manufacturing | 476.6 | 672.6 | 1,561.9 | 1,964.2 | ||||||||||||
Leasing & Fleet Management | 18.8 | 18.6 | 54.3 | 52.8 | ||||||||||||
495.4 | 691.2 | 1,616.2 | 2,017.0 | |||||||||||||
Margin | 81.1 | 151.5 | 253.9 | 463.7 | ||||||||||||
Selling and administrative expense | 55.2 | 65.9 | 172.5 | 192.5 | ||||||||||||
Net gain on disposition of equipment | (6.0) | (7.0) | (36.7) | (16.8) | ||||||||||||
Earnings from operations | 31.9 | 92.6 | 118.1 | 288.0 | ||||||||||||
Interest and foreign exchange | 16.5 | 13.2 | 45.7 | 58.3 | ||||||||||||
Earnings before income tax and earnings from | 15.4 | 79.4 | 72.4 | 229.7 | ||||||||||||
Income tax expense | (3.0) | (18.1) | (17.0) | (71.5) | ||||||||||||
Earnings before earnings from unconsolidated affiliates | 12.4 | 61.3 | 55.4 | 158.2 | ||||||||||||
Earnings from unconsolidated affiliates | 5.1 | 6.2 | 13.3 | 14.6 | ||||||||||||
Net earnings | 17.5 | 67.5 | 68.7 | 172.8 | ||||||||||||
Net (earnings) loss attributable to noncontrolling interest | 1.4 | (7.4) | 1.6 | (5.5) | ||||||||||||
Net earnings attributable to Greenbrier | $ | 18.9 | $ | 60.1 | $ | 70.3 | $ | 167.3 | ||||||||
Basic earnings per common share | $ | 0.61 | $ | 1.92 | $ | 2.27 | $ | 5.35 | ||||||||
Diluted earnings per common share | $ | 0.60 | $ | 1.86 | $ | 2.21 | $ | 5.18 | ||||||||
Weighted average common shares: | ||||||||||||||||
Basic | 30,938 | 31,186 | 30,936 | 31,269 | ||||||||||||
Diluted | 31,745 | 32,184 | 31,781 | 32,272 | ||||||||||||
Dividends per common share | $ | 0.34 | $ | 0.32 | $ | 0.98 | $ | 0.92 | ||||||||
THE GREENBRIER COMPANIES, INC. | ||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
(In millions, unaudited) | ||||||||
Nine months ended | ||||||||
2026 | 2025 | |||||||
Cash flows from operating activities | ||||||||
Net earnings | $ | 68.7 | $ | 172.8 | ||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||
Deferred income taxes | (2.0) | 8.7 | ||||||
Depreciation and amortization | 96.1 | 89.3 | ||||||
Net gain on disposition of equipment | (36.7) | (16.8) | ||||||
Stock based compensation expense | 12.8 | 13.4 | ||||||
Earnings from unconsolidated affiliates | (13.3) | (14.6) | ||||||
Noncontrolling interest adjustments | (5.6) | 9.1 | ||||||
Other | (2.5) | 2.6 | ||||||
Decrease (increase) in assets: | ||||||||
Accounts receivable, net | 53.8 | 15.2 | ||||||
Income tax receivable | 26.9 | 11.4 | ||||||
Inventories | 37.0 | 39.3 | ||||||
Leased railcars for syndication | (189.9) | (133.5) | ||||||
Other assets | 15.6 | 15.4 | ||||||
Increase (decrease) in liabilities: | ||||||||
Accounts payable and accrued liabilities | (70.5) | (17.8) | ||||||
Deferred revenue | 17.7 | (26.8) | ||||||
Net cash provided by operating activities | 8.1 | 167.7 | ||||||
Cash flows from investing activities | ||||||||
Proceeds from sales of assets | 170.3 | 75.4 | ||||||
Capital expenditures | (147.2) | (209.1) | ||||||
Other | (6.6) | 6.2 | ||||||
Net cash provided by (used in) investing activities | 16.5 | (127.5) | ||||||
Cash flows from financing activities | ||||||||
Net change in debt with maturities of 90 days or less | 10.0 | 12.3 | ||||||
Proceeds from debt with maturities longer than 90 days | 620.2 | 97.0 | ||||||
Repayments of debt with maturities longer than 90 days | (570.0) | (105.7) | ||||||
Debt issuance costs | (9.2) | (5.0) | ||||||
Repurchase of stock | (13.3) | (21.8) | ||||||
Dividends | (32.0) | (29.7) | ||||||
Cash distribution to joint venture partner | (38.8) | (10.9) | ||||||
Tax payments for net share settlement of restricted stock | (8.6) | (5.6) | ||||||
Net cash used in financing activities | (41.7) | (69.4) | ||||||
Effect of exchange rate changes | 13.5 | 2.6 | ||||||
Decrease in Cash and cash equivalents and Restricted cash | (3.6) | (26.6) | ||||||
Cash and cash equivalents and restricted cash | ||||||||
Beginning of period | 326.4 | 368.6 | ||||||
End of period | $ | 322.8 | $ | 342.0 | ||||
Balance sheet reconciliation | ||||||||
Cash and cash equivalents | $ | 273.7 | $ | 296.8 | ||||
Restricted cash | 49.1 | 45.2 | ||||||
Total cash and cash equivalents and restricted cash as presented above | $ | 322.8 | $ | 342.0 | ||||
THE GREENBRIER COMPANIES, INC.
SUPPLEMENTAL LEASING INFORMATION
(In millions, except owned fleet, unaudited)
Greenbrier's leasing strategy provides an additional "go-to-market" element to Greenbrier's Commercial strategy of direct sales, partnerships with operating leasing companies, and origination of leases for syndication partners as well as providing a platform for further growth at scale. Investing in leasing assets also provides a recurring stream of revenue and tax-advantaged cash flows, however in the short-term it reduces Greenbrier's Manufacturing revenue and margin as a result of deferring revenue recognition.
During the April 2023 Investor Day, Greenbrier provided a long-term target to more than double recurring revenue from leasing and management fees by investing up to $300 million net annually for the next five years. Recurring revenue is defined as Leasing & Fleet Management revenue excluding the impact of syndication transactions.
Key information for the consolidated Leasing & Fleet Management segment:
Three Months Ended | ||||||||
Greenbrier Lease Fleet (Units) (1) | May 31, | February 28, | ||||||
Beginning balance | 16,800 | 17,000 | ||||||
Railcars added | 5,300 | 1,400 | ||||||
Railcars sold / scrapped | (1,500) | (1,600) | ||||||
Ending balance | 20,600 | 16,800 | ||||||
May 31, | February 28, | |||||||
Equipment on operating lease (2) | $ | 1,229.6 | $ | 1,261.7 | ||||
Non-recourse warehouse | $ | — | $ | — | ||||
ABS non-recourse notes | 743.5 | 748.5 | ||||||
Non-recourse term loan | 300.0 | 302.1 | ||||||
Total Lease fleet non-recourse debt | $ | 1,043.5 | $ | 1,050.6 | ||||
Fleet leverage %(3)(4) | 85 | % | 83 | % | ||||
(1) | Owned fleet includes Leased railcars for syndication |
(2) | The $600 million U.S. corporate revolver borrowing base includes Equipment on operating lease assets that do not currently secure the Leasing non-recourse term loan |
(3) | Total Leasing non-recourse debt / Equipment on operating lease |
(4) | Fleet assets are leveraged at Fair Market Value based on independent appraisals while they are shown at net book value on Greenbrier's Consolidated Balance Sheet |
THE GREENBRIER COMPANIES, INC. | ||||||||||||||||
SUPPLEMENTAL INFORMATION | ||||||||||||||||
(In millions, except number of shares which are reflected in thousands and per share amounts, unaudited) | ||||||||||||||||
Operating Results by Quarter for 2026 are as follows: | ||||||||||||||||
First | Second | Third | Total | |||||||||||||
Revenue | ||||||||||||||||
Manufacturing | $ | 657.0 | $ | 541.5 | $ | 529.1 | $ | 1,727.6 | ||||||||
Leasing & Fleet Management | 49.1 | 46.0 | 47.4 | 142.5 | ||||||||||||
706.1 | 587.5 | 576.5 | 1,870.1 | |||||||||||||
Cost of revenue | ||||||||||||||||
Manufacturing | 584.9 | 500.4 | 476.6 | 1,561.9 | ||||||||||||
Leasing & Fleet Management | 17.9 | 17.6 | 18.8 | 54.3 | ||||||||||||
602.8 | 518.0 | 495.4 | 1,616.2 | |||||||||||||
Margin | 103.3 | 69.5 | 81.1 | 253.9 | ||||||||||||
Selling and administrative expense | 59.9 | 57.4 | 55.2 | 172.5 | ||||||||||||
Net gain on disposition of equipment | (17.7) | (13.0) | (6.0) | (36.7) | ||||||||||||
Earnings from operations | 61.1 | 25.1 | 31.9 | 118.1 | ||||||||||||
Interest and foreign exchange | 15.5 | 13.7 | 16.5 | 45.7 | ||||||||||||
Earnings before income tax and earnings from unconsolidated affiliates | 45.6 | 11.4 | 15.4 | 72.4 | ||||||||||||
Income tax expense | (12.3) | (1.7) | (3.0) | (17.0) | ||||||||||||
Earnings before earnings from unconsolidated affiliates | 33.3 | 9.7 | 12.4 | 55.4 | ||||||||||||
Earnings from unconsolidated affiliates | 4.0 | 4.2 | 5.1 | 13.3 | ||||||||||||
Net earnings | 37.3 | 13.9 | 17.5 | 68.7 | ||||||||||||
Net (earnings) loss attributable to noncontrolling interest | (0.9) | 1.1 | 1.4 | 1.6 | ||||||||||||
Net earnings attributable to Greenbrier | $ | 36.4 | $ | 15.0 | $ | 18.9 | $ | 70.3 | ||||||||
Basic earnings per common share (1) | $ | 1.18 | $ | 0.48 | $ | 0.61 | $ | 2.27 | ||||||||
Diluted earnings per common share (1) | $ | 1.14 | $ | 0.47 | $ | 0.60 | $ | 2.21 | ||||||||
Dividends per common share | $ | 0.32 | $ | 0.32 | $ | 0.34 | $ | 0.98 | ||||||||
(1) Quarterly amounts may not total to the year-to-date amount as each period is calculated discretely. |
THE GREENBRIER COMPANIES, INC. | ||||||||||||||||||||
SUPPLEMENTAL INFORMATION | ||||||||||||||||||||
(In millions, except number of shares which are reflected in thousands and per share amounts, unaudited) | ||||||||||||||||||||
Operating Results by Quarter for 2025 are as follows: | ||||||||||||||||||||
First | Second | Third | Fourth | Total | ||||||||||||||||
Revenue | ||||||||||||||||||||
Manufacturing | $ | 830.9 | $ | 712.9 | $ | 793.4 | $ | 709.7 | $ | 3,046.9 | ||||||||||
Leasing & Fleet Management | 45.0 | 49.2 | 49.3 | 49.8 | 193.3 | |||||||||||||||
875.9 | 762.1 | 842.7 | 759.5 | 3,240.2 | ||||||||||||||||
Cost of revenue | ||||||||||||||||||||
Manufacturing | 685.4 | 606.2 | 672.6 | 598.2 | 2,562.4 | |||||||||||||||
Leasing & Fleet Management | 16.9 | 17.3 | 18.6 | 17.5 | 70.3 | |||||||||||||||
702.3 | 623.5 | 691.2 | 615.7 | 2,632.7 | ||||||||||||||||
Margin | 173.6 | 138.6 | 151.5 | 143.8 | 607.5 | |||||||||||||||
Selling and administrative expense | 62.0 | 64.6 | 65.9 | 70.8 | 263.3 | |||||||||||||||
Net (gain) loss on disposition of equipment | (0.2) | (9.6) | (7.0) | 0.9 | (15.9) | |||||||||||||||
Earnings from operations | 111.8 | 83.6 | 92.6 | 72.1 | 360.1 | |||||||||||||||
Interest and foreign exchange | 23.4 | 21.7 | 13.2 | 17.4 | 75.7 | |||||||||||||||
Earnings before income tax and earnings from unconsolidated affiliates | 88.4 | 61.9 | 79.4 | 54.7 | 284.4 | |||||||||||||||
Income tax expense | (33.4) | (20.0) | (18.1) | (19.9) | (91.4) | |||||||||||||||
Earnings before earnings from unconsolidated affiliates | 55.0 | 41.9 | 61.3 | 34.8 | 193.0 | |||||||||||||||
Earnings from unconsolidated affiliates | 4.1 | 4.3 | 6.2 | 5.5 | 20.1 | |||||||||||||||
Net earnings | 59.1 | 46.2 | 67.5 | 40.3 | 213.1 | |||||||||||||||
Net (earnings) loss attributable to noncontrolling interest | (3.8) | 5.7 | (7.4) | (3.5) | (9.0) | |||||||||||||||
Net earnings attributable to Greenbrier | $ | 55.3 | $ | 51.9 | $ | 60.1 | $ | 36.8 | $ | 204.1 | ||||||||||
Basic earnings per common share (1) | $ | 1.77 | $ | 1.66 | $ | 1.92 | $ | 1.19 | $ | 6.55 | ||||||||||
Diluted earnings per common share (1) | $ | 1.72 | $ | 1.56 | $ | 1.86 | $ | 1.16 | $ | 6.35 | ||||||||||
Dividends per common share | $ | 0.30 | $ | 0.30 | $ | 0.32 | $ | 0.32 | $ | 1.24 | ||||||||||
(1) Quarterly amounts may not total to the year-to-date amount as each period is calculated discretely. |
THE GREENBRIER COMPANIES, INC. | ||||||||||||
SUPPLEMENTAL INFORMATION | ||||||||||||
(In millions, unaudited) | ||||||||||||
Segment Information | ||||||||||||
Three months ended May 31, 2026: | ||||||||||||
(in millions) | Manufacturing | Leasing & Fleet | Total | |||||||||
Revenue | $ | 529.1 | $ | 47.4 | $ | 576.5 | ||||||
Cost of revenue | 476.6 | 18.8 | 495.4 | |||||||||
Margin | 52.5 | 28.6 | 81.1 | |||||||||
Selling and administrative | 22.4 | 5.1 | ||||||||||
Net gain on disposition of equipment | (0.3) | (5.7) | ||||||||||
Segment earnings from operations | $ | 30.4 | $ | 29.2 | $ | 59.6 | ||||||
Corporate | (27.7) | |||||||||||
Earnings from operations | $ | 31.9 | ||||||||||
Three months ended February 28, 2026: | ||||||||||||
(in millions) | Manufacturing | Leasing & Fleet | Total | |||||||||
Revenue | $ | 541.5 | $ | 46.0 | $ | 587.5 | ||||||
Cost of revenue | 500.4 | 17.6 | 518.0 | |||||||||
Margin | 41.1 | 28.4 | 69.5 | |||||||||
Selling and administrative | 20.6 | 5.7 | ||||||||||
Net gain on disposition of equipment | (0.2) | (12.8) | ||||||||||
Segment earnings from operations | $ | 20.7 | $ | 35.5 | $ | 56.2 | ||||||
Corporate | (31.1) | |||||||||||
Earnings from operations | $ | 25.1 | ||||||||||
SUPPLEMENTAL BACKLOG AND DELIVERY INFORMATION | ||||
(Unaudited) | ||||
Three Months Ended | ||||
May 31, | ||||
Backlog Activity (units) (1) | ||||
Beginning backlog | 15,200 | |||
Orders received | 2,200 | |||
Production held on the Balance Sheet | (1,000) | |||
Production sold directly to third parties | (2,600) | |||
Ending backlog | 13,800 | |||
Delivery Information (units) (1) | ||||
Production sold directly to third parties | 2,600 | |||
Sales of Leased railcars for syndication | 1,000 | |||
Total deliveries | 3,600 | |||
(1) | Includes Greenbrier-Maxion, our Brazilian railcar manufacturer, which is accounted for under the equity method |
THE GREENBRIER COMPANIES, INC. | ||||||||
SUPPLEMENTAL INFORMATION | ||||||||
(In millions, unaudited) | ||||||||
Reconciliation of Net earnings to EBITDA | ||||||||
Three Months Ended | ||||||||
May 31, | February 28, | |||||||
Net earnings | $ | 17.5 | $ | 13.9 | ||||
Interest and foreign exchange | 16.5 | 13.7 | ||||||
Income tax expense | 3.0 | 1.7 | ||||||
Depreciation and amortization | 32.1 | 31.5 | ||||||
EBITDA | $ | 69.1 | $ | 60.8 | ||||
Debt Summary | ||||||||
May 31, | February 28, | |||||||
Total Lease fleet and other non-recourse debt | $ | 1,086.2 | $ | 1,054.1 | ||||
Total Corporate and other recourse debt | 738.3 | 726.0 | ||||||
1,824.5 | 1,780.1 | |||||||
Debt discount and issuance costs | (18.9) | (17.4) | ||||||
Total consolidated debt | $ | 1,805.6 | $ | 1,762.7 | ||||
Forward-Looking Statements
This press release may contain forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. Greenbrier uses words, and variations of words, such as "approximately," "are," "backlog," "believe," "contingent," "continue," "drive," "durability," "emerging," "estimate," "grow," "long-term," "may," "recurring," "result," "stability," "strategy," "strong," "target," and similar expressions to identify forward-looking statements. These forward-looking statements include, without limitation, statements about our guidance and outlook, backlog and other orders, leasing performance, leasing strategy, financing, cash flow, tax treatment, and other information regarding future performance and strategies and appear throughout this press release. These forward-looking statements are not guarantees of future performance and are subject to certain risks and uncertainties that could cause actual results to differ materially from the results contemplated by the forward-looking statements. Factors that might cause such a difference include, but are not limited to, the following: an economic downturn and economic uncertainty; changes to tariffs or import duties, including retaliatory tariffs; changes in macroeconomic policies; inflation (including rising energy prices, interest rates, wages and other escalators) and policy reactions thereto (including actions by central banks); disruptions in the supply of materials and components used in the production of our products; labor disputes; loss of market share to other modes of freight shipment; geopolitical unrest including the war in Ukraine and conflict in the Middle East. Our backlog of railcar units and other orders not included in backlog are not necessarily indicative of future results of operations. Certain orders in backlog are subject to customary documentation which may not occur. More information on potential factors that could cause our results to differ from our forward-looking statements is included in the Company's filings with the SEC, including in the "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of the Company's most recently filed periodic report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. Except as otherwise required by law, the Company assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's opinions only as of the date hereof.
Financial Metric Definitions
EBITDA is not a financial measure under generally accepted accounting principles (GAAP). This metric is a performance measurement tool used by rail supply companies and Greenbrier. You should not consider this metric in isolation or as a substitute for other financial statement data determined in accordance with GAAP. In addition, because this metric is not a measure of financial performance under GAAP and is susceptible to varying calculations, the measure presented may differ from and may not be comparable to similarly titled measures used by other companies.
We define EBITDA as Net earnings before Interest and foreign exchange, Income tax expense, Depreciation and amortization. We believe the presentation of EBITDA provides useful information as it excludes the impact of financing, foreign exchange, income taxes and the accounting effects of capital spending. These items may vary for different companies for reasons unrelated to the overall operating performance of a company's core business. We believe this assists in comparing our performance across reporting periods.
Contact: | Travis Williams, Investor Relations | |
Jack Isselmann, Media Relations | ||
Ph: 503-684-7000 |