Greenbrier (GBX) Reports Mixed Q3 Results

Greenbrier Companies Inc (NYSE:GBX) was founded as a holding company in 1981 by Alan James and William Furman. Greenbrier specializes in transportation services, particularly the manufacturing of barge, railroad freight cars, and related equipment. It also provides railroad car leasing and management services. It primarily operates in North America, South America, and Europe.

The Oregon-based company recently announced mixed financial results for the third quarter. Greenbrier reported earnings of 59 cents per share for the three months ended May 31, versus 83 cents per share in the comparable period of 2020. The rail firm earned 69 cents per share on an adjusted basis, ahead of the consensus forecast of 13 cents per share.

Revenue for the quarter came in at $450.14 million, down from $762.56 million in the year-ago quarter. Analysts, on average, were expecting Greenbrier to report revenue of $489.44 million. The company received orders for manufacturing 3,800 new units valued at $400 million. Meanwhile, total deliveries in the quarter reached 3,300 units.

Commenting on the results, CEO William Furman said, “Greenbrier’s financial results for the third fiscal quarter reflect the steady recovery in our markets that we forecasted would occur in the second half of our fiscal year. Our COVID strategy launched in March 2020 has been very successful. We are executing well on plans to maintain a liquidity base and strong balance sheet as well as safely operate each of our facilities. All of this has been necessary to prepare for the now emerging recovery.  As positive momentum continues, we are seizing opportunities to resume the pursuit of scale we began during the two years prior to the pandemic. In the third fiscal quarter this included the formation of GBX Leasing and completion of a strategic debt refinancing that extended maturities on convertible notes by four years.”

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