UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly period ended June 30, 2023 or TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 000-51237 FREIGHTCAR AMERICA, INC. (Exact name of registrant as specified in its charter) Delaware 25-1837219 (State or other jurisdiction of incorporation or organization) (I.R.S. ...

FreightCar America, Inc. (NASDAQ:RAIL) Q1 2023 Results Conference Call May 10, 2023 11:00 AM ET Company Participants Stephen Poe - IR Jim Meyer - President and CEO Mike Riordan - CFO Matt Tonn - Chief Commercial Officer Conference Call Participants Justin Long - Stephens Inc. Matt Elkott - TD Cowen Operator Greetings, and welcome to FreightCar America First Quarter Earnings Conference Call. At this time all participants are in a listen-only mode. A brief question-and-answer session will follow the formal pr ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (800) 458-2235 For the Quarterly period ended March 31, 2023 or TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 000-51237 FREIGHTCAR AMERICA, INC. (Exact name of registrant as specified in its charter) Delaware 25-1837219 (State or other jurisdiction of incorporation or organi ...

Financial Data and Key Metrics Changes - The company reported revenues of $364.8 million for the full year 2022, an increase of 80% year-over-year, and above the previously provided outlook [8] - Adjusted EBITDA for the full year was $8.4 million, a significant improvement of $15.7 million from a loss of $7.2 million in 2021 [8][30] - The company generated $11.5 million in operating cash flow for the full year 2022, marking the first positive cash flow since 2017, compared to a cash use of $55.4 million in 2021 [9][31] - For Q4 2022, consolidated revenues totaled $129 million, a 71.9% increase year-over-year, with railcar deliveries of 1,150, up 90.4% year-over-year [23] - The gross profit for Q4 2022 was $4.6 million, with a gross margin of 3.6%, down from 8.8% in the same period last year [24] Business Line Data and Key Metrics Changes - The company took orders for 3,208 railcars in 2022, with 1,066 booked in Q4 [18] - The backlog at the end of 2022 was 2,445 railcars valued at $288 million, with significant orders booked in Q1 2023 [19] - The company plans to expand its manufacturing capacity, expecting to have four production lines operational by late summer 2023 [13] Market Data and Key Metrics Changes - The railcar industry is showing healthy fundamentals, with railcar storage numbers below the 5-year average and retirements outpacing new deliveries for the past three years [21] - The company is cautiously optimistic about the rail industry while being more confident in its own prospects [21] Company Strategy and Development Direction - The company is focused on executing its current business, building backlog for future years, and improving its capital structure [38] - A refinancing transaction is expected to extinguish all term debt and replace it with nonconvertible preferred stock, providing additional capital for growth initiatives [14][15] - The company aims to leverage its manufacturing capabilities and dedicated workforce in Mexico for future growth [38] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the rail industry and strong demand for its railcars [12][35] - For 2023, the company forecasts revenues between $400 million and $430 million, representing a year-over-year increase of approximately 14% [36] - Adjusted EBITDA guidance for 2023 is set between $15 million and $20 million, indicating a significant year-over-year increase [37] Other Important Information - The company plans to increase capital expenditures to approximately $11 million in 2023 to support expansion efforts [29] - The company has received AAR approval for three tank car designs, with plans to enter the nonhazardous cargo market in the future [62] Q&A Session Summary Question: Year-to-date orders and backlog implications - Management confirmed that the year-to-date orders received are significantly more than the implied 1,000 orders based on guidance [42] Question: Delivery guidance and production capacity - Management stated that the guidance is based on current production capacity and that any increase would depend on the decision to ramp up the fourth production line [44][45] Question: Adjusted EBITDA guidance and gross margin assumptions - Management emphasized a focus on EBITDA generation and operating cash flow, with expectations for margin improvement beginning in Q1 2023 [47][55] Question: Supply chain issues and their resolution - Management indicated that supply chain issues are primarily related to labor and material suppliers, with expectations for substantial improvement throughout the year [71][73] Question: Inventory reduction drivers - The inventory reduction was attributed to lower steel prices compared to the previous year, leading to a decrease in inventory costs [76]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 000-51237 FREIGHTCAR AMERICA, INC. (Exact name of registrant as specified in its charter) Delaware 25-1837219 (State or other jurisdiction of incorporation or organization) (I.R.S. ...

Financial Data and Key Metrics Changes - FreightCar America reported a 47% increase in consolidated revenues for Q3 2022, totaling $85.7 million compared to $58.3 million in Q3 2021 [29] - Deliveries increased by 55% year-over-year, with 783 railcars delivered in Q3 2022, up from 505 railcars in the same period last year [30] - Gross profit for Q3 2022 was $4.6 million, significantly up from $1.5 million in Q3 2021, resulting in a gross margin of 5.3% compared to 2.6% last year [30] - Adjusted EBITDA improved to $1.6 million in Q3 2022 from a loss of $3.5 million in Q3 2021, with a total of $7.2 million of adjusted EBITDA generated in the first nine months of 2022 [35] Business Line Data and Key Metrics Changes - Manufacturing operating income grew to $3.1 million in Q3 2022 from $163,000 in Q3 2021, indicating improved operational efficiency [30] - The company is on track to complete legacy lower-margin orders by year-end, which is expected to enhance the margin profile starting in Q4 2022 [11][28] Market Data and Key Metrics Changes - Inquiry activity and formal bids increased by double digits quarter-over-quarter, indicating strong demand for new railcars [22] - Total cars stored in long-term storage fell to just over 275,000, representing 17% of the North American fleet, a nearly 48% decrease since the peak in July 2020 [20] - Railcar scrapping has outpaced deliveries for nearly three years, supporting ongoing replacement demand [21] Company Strategy and Development Direction - The company is focused on scaling its manufacturing capabilities at its new facility in Castaños, Mexico, which is expected to yield significant efficiencies and production capacity increases [14][45] - FreightCar America aims to maintain a disciplined approach to pricing and order acceptance, aligning with profitability guidelines while navigating macroeconomic uncertainties [26] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the railcar market, citing positive industry fundamentals and sales inquiries, despite caution regarding macroeconomic uncertainties such as inflation and supply chain challenges [12][46] - The company anticipates revenue for the full year 2022 to be between $340 million and $360 million, representing a year-over-year increase of approximately 72% at the midpoint [16] Other Important Information - The company completed the construction of its new fabrication shop and expanded its wheel and axle shop, achieving AAR certification for in-house axle machining [14] - Capital expenditures for Q3 2022 were approximately $0.6 million, with expectations for total CapEx for the year to range between $7 million and $8 million [39] Q&A Session Summary Question: Inquiry and order activity for Q4 - Management indicated confidence in growing the backlog as inquiry and bid activity has increased, with a 33% year-over-year increase in backlog for the first nine months [55] Question: Cost structure and gross margins - Management expects sequential improvement in gross margins moving into Q4, aiming to return to the margin profile seen in the first two quarters of 2022 [62] Question: Lower-margin orders in Q4 - Management confirmed that lower-margin orders will represent a lower percentage of deliveries in Q4 compared to Q3 [67] Question: Freight costs and mitigation strategies - Management is focusing resources on cost reduction in freight, acknowledging that freight has become a significant component of the cost structure [72] Question: Industry demand and future deliveries - Management expects improved deliveries next year, with a long-term average replacement demand in the range of 40,000 to 45,000 railcars annually [76]

[PART I – FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20%E2%80%93%20FINANCIAL%20INFORMATION) This section presents the company's unaudited financial statements, management's analysis of financial condition, and internal control disclosures [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for FreightCar America, Inc. as of September 30, 2022, and for the three and nine-month periods then ended. It includes the balance sheets, statements of operations, comprehensive income, stockholders' deficit, and cash flows, along with detailed notes explaining the accounting policies and financial details [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) This section provides a snapshot of the company's financial position, detailing assets, liabilities, and stockholders' deficit as of September 30, 2022, and December 31, 2021 Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | Sep 30, 2022 | Dec 31, 2021 | | :--- | :--- | :--- | | **Total Assets** | **$193,051** | **$200,664** | | Total Current Assets | $131,921 | $136,726 | | Cash, cash equivalents and restricted cash | $18,371 | $26,240 | | Inventories, net | $84,218 | $56,012 | | **Total Liabilities** | **$211,899** | **$202,320** | | Total Current Liabilities | $64,289 | $69,320 | | Long-term debt, net | $91,597 | $79,484 | | Warrant liability | $35,772 | $32,514 | | **Total Stockholders' Deficit** | **($18,848)** | **($1,656)** | - Total assets decreased slightly to **$193.1 million** from **$200.7 million** at year-end 2021, primarily due to a decrease in cash and VAT receivables, offset by a significant increase in inventories[10](index=10&type=chunk) - Total liabilities increased to **$211.9 million**, driven by higher long-term debt and an increased warrant liability, leading to a larger total stockholders' deficit of **$18.8 million**[10](index=10&type=chunk) [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) This section details the company's revenues, gross profit, operating loss, and net income (loss) for the three and nine-month periods ended September 30, 2022 and 2021 Statement of Operations Summary (in thousands, except per share data) | Metric | Q3 2022 | Q3 2021 | 9 Months 2022 | 9 Months 2021 | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | **$85,743** | **$58,307** | **$235,765** | **$128,031** | | Gross Profit | $4,554 | $1,538 | $21,201 | $4,851 | | Operating Loss | ($10,663) | ($4,163) | ($8,782) | ($22,825) | | **Net Income (Loss)** | **($17,806)** | **$731** | **($29,114)** | **($42,612)** | | Net Income (Loss) per Share - basic | ($0.69) | $0.03 | ($1.19) | ($2.11) | - Revenues for Q3 2022 increased by **47% YoY** to **$85.7 million**, and for the nine months ended Sep 30, 2022, revenues increased by **84% YoY** to **$235.8 million**[13](index=13&type=chunk) - The company reported a significant net loss of **$17.8 million** in Q3 2022, a sharp contrast to the **$0.7 million** net income in Q3 2021, primarily driven by an **$8.1 million** loss on pension settlement and higher interest expenses[13](index=13&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section outlines the company's cash inflows and outflows from operating, investing, and financing activities for the nine months ended September 30, 2022 and 2021 Cash Flow Summary for Nine Months Ended Sep 30 (in thousands) | Cash Flow Activity | 2022 | 2021 | | :--- | :--- | :--- | | Net cash used in operating activities | ($13,585) | ($56,958) | | Net cash used in investing activities | ($3,380) | ($1,368) | | Net cash provided by financing activities | $9,096 | $31,765 | | **Net decrease in cash** | **($7,869)** | **($26,561)** | | Cash at end of period | $18,371 | $27,486 | - Cash used in operating activities significantly decreased to **$13.6 million** for the first nine months of 2022 from **$57.0 million** in the prior year period, mainly due to improved working capital management, including a large decrease in VAT receivable[25](index=25&type=chunk)[162](index=162&type=chunk) - Financing activities provided **$9.1 million** in cash, primarily from net borrowings on the revolving line of credit, a decrease from the **$31.8 million** provided in the same period of 2021 which included proceeds from long-term debt issuance[25](index=25&type=chunk)[164](index=164&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations of the accounting policies, significant transactions, and financial details supporting the condensed consolidated financial statements Revenue by Source (in thousands) | Revenue Source | Q3 2022 | Q3 2021 | 9 Months 2022 | 9 Months 2021 | | :--- | :--- | :--- | :--- | :--- | | Railcar sales | $82,017 | $55,043 | $224,089 | $118,343 | | Parts sales | $2,927 | $2,456 | $9,231 | $6,990 | | Leasing revenues | $799 | $808 | $2,445 | $2,698 | | **Total revenues** | **$85,743** | **$58,307** | **$235,765** | **$128,031** | - The company operates in one reportable segment, Manufacturing, which includes new railcar manufacturing, leasing, conversions, and rebuilds. The Parts segment is combined with corporate activities[35](index=35&type=chunk) - Total debt, net of discounts and deferred costs, increased to **$91.6 million** as of September 30, 2022, from **$79.5 million** at December 31, 2021[45](index=45&type=chunk) - In Q3 2022, the company recognized a non-cash pre-tax pension settlement loss of **$8.1 million** after transferring a portion of its pension benefit obligations to OneAmerica through the purchase of a group annuity contract[89](index=89&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=22&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's financial performance for the third quarter and first nine months of 2022 compared to the same periods in 2021. The analysis covers revenue growth driven by increased railcar deliveries, gross profit improvements, operating losses impacted by a pension settlement, and the company's liquidity position, including details on its various debt facilities and cash flow activities - The company received new orders for **2,240 railcars** in the first nine months of 2022, an increase from **1,633 units** in the same period of 2021, reflecting an improvement in the railcar equipment market[104](index=104&type=chunk) - Total backlog increased to **2,529 units** with an estimated sales value of **$276 million** as of September 30, 2022, up from **2,323 units** valued at **$240 million** at the end of 2021[104](index=104&type=chunk) [Results of Operations](index=22&type=section&id=Results%20of%20Operations) This section analyzes the company's revenue, gross profit, and net income (loss) performance for the third quarter and first nine months of 2022 compared to the prior year periods Q3 2022 vs Q3 2021 Performance (in millions) | Metric | Q3 2022 | Q3 2021 | Change | | :--- | :--- | :--- | :--- | | Revenues | $85.7 | $58.3 | +$27.4 | | Gross Profit | $4.6 | $1.5 | +$3.1 | | Operating Loss | ($10.7) | ($4.2) | +$6.5 (worse) | | Net Income (Loss) | ($17.8) | $0.7 | -$18.5 | - The increase in Q3 2022 revenue was driven by higher railcar deliveries, totaling **783 units** (**483 new, 300 rebuilt**) compared to **505 new units** in Q3 2021[105](index=105&type=chunk) - The increased operating loss in Q3 2022 was primarily due to an **$8.1 million** pension settlement loss, which offset the gains from higher gross profit[110](index=110&type=chunk) Nine Months 2022 vs Nine Months 2021 Performance (in millions) | Metric | 9M 2022 | 9M 2021 | Change | | :--- | :--- | :--- | :--- | | Revenues | $235.8 | $128.0 | +$107.8 | | Gross Profit | $21.2 | $4.9 | +$16.3 | | Operating Loss | ($8.8) | ($22.8) | +$14.0 (better) | | Net Loss | ($29.1) | ($42.6) | +$13.5 (better) | - For the first nine months of 2022, the operating loss improved significantly to **$8.8 million** from **$22.8 million** in the prior year, driven by higher gross profit and the absence of restructuring charges that were present in 2021[118](index=118&type=chunk) [Liquidity and Capital Resources](index=24&type=section&id=Liquidity%20and%20Capital%20Resources) This section details the company's cash position, credit facilities, debt obligations, and capital expenditure plans, assessing its ability to meet short-term and long-term financial obligations - The company's primary liquidity sources are cash on hand and its credit facilities, including a term loan Credit Agreement, the Siena Loan and Security Agreement (revolving credit), and the M&T Credit Agreement[121](index=121&type=chunk) - As of September 30, 2022, the company had **$33.9 million** in outstanding debt under the Siena revolving credit facility, with remaining borrowing availability of **$0.2 million**[72](index=72&type=chunk)[148](index=148&type=chunk) - The company believes its cash balances will be sufficient to meet expected liquidity needs for at least the next twelve months, based on current operations and backlog[158](index=158&type=chunk) - Capital expenditures for 2022 are anticipated to be between **$7 million** and **$8 million**, primarily for the expansion of the Castaños, Mexico facility[165](index=165&type=chunk) [Item 4. Controls and Procedures](index=30&type=section&id=Item%204.%20Controls%20and%20Procedures) Management evaluated the company's disclosure controls and procedures and concluded they were effective as of September 30, 2022. No material changes were made to the internal control over financial reporting during the quarter - Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective as of the end of the period, September 30, 2022[167](index=167&type=chunk) - There were no changes in internal control over financial reporting during the quarter that materially affected, or are reasonably likely to materially affect, these controls[168](index=168&type=chunk) [PART II – OTHER INFORMATION](index=31&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) This section includes disclosures on legal proceedings, sales of equity securities, defaults, mine safety, and a list of exhibits filed with the report [Item 1. Legal Proceedings](index=31&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various warranty claims and other legal proceedings in the normal course of business. Management does not expect potential losses beyond accrued provisions to be material - The company is involved in various warranty, repair claims, and other legal proceedings arising from the normal course of business[91](index=91&type=chunk)[171](index=171&type=chunk) - Management believes that any potential losses from these proceedings, beyond what is already accrued, are not expected to be material to the company's financial condition or results[91](index=91&type=chunk) [Other Items (2, 3, 4, 5, 6)](index=31&type=section&id=Other%20Items%20%282%2C%203%2C%204%2C%205%2C%206%29) This section covers other required disclosures. The company reports no unregistered sales of equity securities, no defaults upon senior securities, no mine safety disclosures, and no other material information to report for the period. A list of exhibits filed with the report is also provided - There were no unregistered sales of equity securities, defaults upon senior securities, or other material information to report under Items 2, 3, and 5[172](index=172&type=chunk)[173](index=173&type=chunk)[175](index=175&type=chunk) - Item 4, Mine Safety Disclosures, is not applicable to the company[174](index=174&type=chunk) - Item 6 lists the exhibits filed with the Form 10-Q, including Sarbanes-Oxley certifications and XBRL data files[176](index=176&type=chunk)[177](index=177&type=chunk)

Financial Data and Key Metrics Changes - Consolidated revenues for Q2 2022 totaled $56.8 million, a 52% increase year-over-year from $37.4 million in Q2 2021 [21] - Adjusted EBITDA was positive at $2.3 million, compared to an adjusted EBITDA loss of $3.1 million in the same period last year [27] - Gross margin increased by 630 basis points to 11.6% compared to 5.3% last year [22] - Cash used in operating activities decreased significantly from $44.1 million in Q2 2021 to $2.4 million in Q2 2022 [33] Business Line Data and Key Metrics Changes - The company produced and delivered 468 railcars in Q2 2022, a 50% increase from 313 railcars in Q2 2021 [21] - The company was awarded 1,045 new orders during the quarter, a 38% increase quarter-over-quarter [16] - SG&A expenses decreased to $4.1 million from $6.3 million in Q2 2021, primarily due to stock-based compensation adjustments [23] Market Data and Key Metrics Changes - Inquiry levels remained robust, with a slight increase in diversity among customer types, including more shipper inquiries [16] - The company noted that while there is cautious optimism among customers, some market participants are pausing due to rising interest rates [18] Company Strategy and Development Direction - The company is focused on scaling the business and driving profitable growth while maintaining a disciplined approach to order acceptance [10] - Expansion projects are progressing, with expectations to complete a new assembly building and additional production lines within the next six months [11] - The company raised its full-year revenue forecast to between $340 million and $360 million, up from a previous range of $320 million to $340 million [14] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing supply chain and inflationary headwinds but expressed confidence in the company's ability to navigate these challenges [12] - The company is optimistic about its production capabilities, expecting to deliver upwards of 2,000 railcars in the second half of the year [15] - Management emphasized that profitability is the new standard for the company and highlighted the importance of maintaining operational efficiency [36] Other Important Information - The company welcomed three new members to its Board of Directors, bringing extensive financial and strategic leadership experience [38] - Capital expenditures for Q2 2022 were approximately $1.8 million, with expectations for increased spending in the second half of the year [30] Q&A Session Summary Question: Can you provide color on the quarterly cadence of deliveries expected in Q3 and Q4? - Management indicated that Q3 and Q4 deliveries are expected to be comparable, with a gradual ramp-up of the third production line in Q4 [43][44] Question: What does the normalization of margins in the back half of the year mean? - Management expects a normalization of gross margins based on product mix but did not provide specific margin percentages [45][46] Question: Is there potential upside to the high end of the delivery guidance this year? - Management clarified that the guidance remains consistent and does not imply additional deliveries beyond the stated range [53] Question: What percentage of the current backlog is for deliveries in 2022 versus 2023? - Management confirmed that the production schedule is locked for the remainder of the year, with the backlog primarily for 2023 [54] Question: How does the company view the macroeconomic conditions affecting the industry? - Management acknowledged the cautious sentiment in the market but emphasized that demand for railcars remains healthy [60][62] Question: Why did the company turn down approximately 1,000 orders? - Management stated that the decision was based on a disciplined approach to order acceptance, focusing on profitable business opportunities [63] Question: Is the industry becoming more disciplined in pricing? - Management expressed a desire for more discipline in the industry but noted that pricing remains aggressive [65]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly period ended June 30, 2022 or TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 000-51237 FREIGHTCAR AMERICA, INC. (Exact name of registrant as specified in its charter) Delaware 25-1837219 125 South Wacker Drive, Suite 1500 Chicago, Illinois 60606 (Address of ...

FreightCar America, Inc. (NASDAQ:RAIL) Q1 2022 Earnings Conference Call May 10, 2022 11:00 AM ET Company Participants Lisa Fortuna - Investor James Meyer - President, CEO & Director Michael Riordan - VP, Finance, CFO & Treasurer Matthew Tonn - Chief Commercial Officer Conference Call Participants George Sellers - Stephens Inc. Matthew Elkott - Cowen and Company Operator Greetings, and welcome to FreightCar America's First Quarter Fiscal 2022 Conference Call. [Operator Instructions]. I would now like to turn ...