The Greenbrier Companies, Inc. has reported financial results for its first fiscal quarter, which ended November 30, 2018, with net earnings of $18 million, or $0.54 per diluted share, on revenue of $604.5 million. Adjusted EBITDA for the quarter was $57.6 million, or 9.5 percent of revenue.
"Greenbrier's performance in the first quarter of fiscal 2019 exceeded expectations and demonstrates the ability of our people to execute the Company's business plan,” said William A. Furman, Greenbrier chairman and CEO. “Order activity was strong in the first quarter and comprised of a broad range of railcar types including double-stack intermodal units, tank cars and heavy-duty flat cars.”
“Importantly, 20 percent of all new railcar orders were received from markets outside North America,” added Furman. “We are confident in achieving our guidance for the year with approximately 90 percent of Greenbrier's fiscal 2019 production plan now booked with firm orders."
During the first fiscal quarter, Greenbrier received diversified orders for 5,400 new railcars, which are valued at $560 million. Deliveries of new railcars totaled 4,500 units for the quarter. As of November 30, 2018, Greenbrier’s railcar backlog was 27,500 units with an estimated value of $2.7 billion.
Furman continued, "Greenbrier continues to see opportunities internationally, and expects international growth to continue from Europe and Brazil as the year progresses, with activity in the nations of the Gulf Cooperation Council and Eurasia growing over time. A thoughtful approach to capital deployment emphasizes growth at scale designed to both reinforce the Company's position in core North American markets and expand in international railcar markets.”
“Developing a pipeline of talent to strengthen Greenbrier's workforce is another key strategic objective in fiscal 2019. Greenbrier will continue to invest in its business and people, a strategic approach that serves the Company, our shareholders and our employees well,” Furman concluded.
Based on current business trends and with 90 percent of fiscal 2019 production in backlog, Greenbrier believes that revenue will exceed $3 billion and deliveries will be approximately 24,000 to 26,000 units, including Greenbrier-Maxion (Brazil), which will account for approximately 2,000 units. Guidance for annual diluted EPS is expected to be $4.20 to $4.40.