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The Greenbrier panies(GBX) - 2025 Q2 - Quarterly Results
GBXThe Greenbrier panies(GBX)2025-04-07 20:15

Financial Performance - GAAP diluted EPS for Q2 FY25 was 1.56,including1.56, including 0.13 per share of European facility rationalization costs, while core diluted EPS was 1.69[3]−NetearningsattributabletoGreenbrierreached1.69[3] - Net earnings attributable to Greenbrier reached 52 million on revenue of 762million,withagrossmarginof18762 million, with a gross margin of 18%[3] - Revenue for the three months ended February 28, 2025, was 762.1 million, a decrease of 11.6% compared to 862.7millionforthesameperiodin2024[14]−NetearningsattributabletoGreenbrierforthesixmonthsendedFebruary28,2025,were862.7 million for the same period in 2024[14] - Net earnings attributable to Greenbrier for the six months ended February 28, 2025, were 107.2 million, up 66.0% from 64.6millioninthesameperiodof2024[14]−Basicearningspercommonshareincreasedto64.6 million in the same period of 2024[14] - Basic earnings per common share increased to 1.66 for the three months ended February 28, 2025, compared to 1.08forthesameperiodin2024,representinga53.71.08 for the same period in 2024, representing a 53.7% increase[14] - The diluted earnings per share for the three months ended February 28, 2025, was 1.56, compared to 1.72forthethreemonthsendedNovember30,2024[30]−Theearningsfromoperationsforfiscal2024totaled1.72 for the three months ended November 30, 2024[30] - The earnings from operations for fiscal 2024 totaled 324.5 million, with a margin of 558.5million[22]−ThenetearningsattributabletoGreenbrierforfiscal2024were558.5 million[22] - The net earnings attributable to Greenbrier for fiscal 2024 were 160.1 million, translating to a basic earnings per share of 5.15[22]RevenueandOrders−Newrailcarorderstotaled3,100unitsvaluedatnearly5.15[22] Revenue and Orders - New railcar orders totaled 3,100 units valued at nearly 400 million, with deliveries of 5,500 units, resulting in a backlog of 20,400 units worth an estimated 2.6billion[3]−DeliveriesforFY25arenowprojectedtobebetween21,500and23,500units,revisedfromtheinitialguidanceof22,500to25,000units[6]−Thecompanydeliveredatotalof5,500unitsinthethreemonthsendedFebruary28,2025,including4,700directsalesand800leasedrailcarsforsyndication[26]−Totalrevenueforfiscal2024reached2.6 billion[3] - Deliveries for FY25 are now projected to be between 21,500 and 23,500 units, revised from the initial guidance of 22,500 to 25,000 units[6] - The company delivered a total of 5,500 units in the three months ended February 28, 2025, including 4,700 direct sales and 800 leased railcars for syndication[26] - Total revenue for fiscal 2024 reached 3,544.7 million, with manufacturing contributing 3,312.4 million and leasing & fleet management contributing 232.3 million[22] Guidance and Projections - The updated guidance for FY25 includes revenue expectations of 3.15billionto3.15 billion to 3.35 billion, down from the initial guidance of 3.35billionto3.35 billion to 3.65 billion[6] - Aggregate gross margin percentage for FY25 is updated to a range of 17.0% to 17.5%, up from the initial guidance of 16.0% to 16.5%[6] - The company anticipates continued growth in leasing performance and backlog management, despite potential economic uncertainties[32] Dividends and Shareholder Returns - Greenbrier's board increased the quarterly dividend by 7% to 0.32pershare,markingthe44thconsecutivequarterlydividend[3]−Dividendspercommonshareremainedstableat0.32 per share, marking the 44th consecutive quarterly dividend[3] - Dividends per common share remained stable at 0.30 for both the three months ended February 28, 2025, and February 29, 2024[14] Operational Metrics - The company reported a strong lease fleet utilization rate of 98% and a core EBITDA of nearly 124million,representing16124 million, representing 16% of revenue[3] - Core EBITDA for the three months ended February 28, 2025, was 123.9 million, compared to 145.1 million for the three months ended November 30, 2024[27] - The Leasing & Fleet Management segment reported revenue of 61.8 million for the three months ended February 28, 2025, up 19.6% from 51.7millioninthesameperiodof2024[14]DebtandCashPosition−Totalconsolidateddebtwas51.7 million in the same period of 2024[14] Debt and Cash Position - Total consolidated debt was 1,756.9 million as of February 28, 2025, down from 1,839.4milliononNovember30,2024[31]−TotalLeasingnon−recoursedebtwas1,839.4 million on November 30, 2024[31] - Total Leasing non-recourse debt was 1,011.1 million as of February 28, 2025, compared to 978.7millioninthepreviousquarter,indicatinganincreaseinleverage[19]−Greenbrier′stotalcashandcashequivalentsandrestrictedcashattheendoftheperiodwas978.7 million in the previous quarter, indicating an increase in leverage[19] - Greenbrier's total cash and cash equivalents and restricted cash at the end of the period was 301.9 million, compared to 272.0millionattheendofthesameperiodin2024[16]−NetcashprovidedbyoperatingactivitiesforthesixmonthsendedFebruary28,2025,was272.0 million at the end of the same period in 2024[16] - Net cash provided by operating activities for the six months ended February 28, 2025, was 28.5 million, down from 54.4millioninthesameperiodof2024[16]FacilityandCostManagement−ThecompanyplanstocloseamanufacturingfacilityinRomania,incurring54.4 million in the same period of 2024[16] Facility and Cost Management - The company plans to close a manufacturing facility in Romania, incurring 6 million in rationalization costs, which includes $2 million in gross margin impact[3] - The effective tax rate for Q2 FY25 decreased to 32.3% from 37.8% in Q1 FY25, attributed to a decrease in discrete items in foreign jurisdictions[8] - The ending backlog as of February 28, 2025, was 20,400 units, down from a beginning backlog of 23,400 units[26] - The Greenbrier Lease Fleet had an ending balance of 16,600 units as of February 28, 2025, a decrease from 16,700 units at the end of the previous quarter[19]