New railcar backlog valued at $3.6 billion is highest value in six
years
Lease fleet utilization of 98%
LAKE
OSWEGO, Ore., July 11,
2022 /PRNewswire/ -- 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, 2022.
Third Quarter Highlights
- New railcar orders for 5,000 units valued at $670 million and deliveries of 5,200 units
resulted in a book-to-bill of nearly 1.0x. Orders primarily
originated in North America as
Europe navigates the continued
impact of the war in Ukraine.
- Diversified new railcar backlog as of May 31, 2022 was 30,900 units with a value of
$3.6 billion and provides strong
earnings visibility.
- Railcar refurbishment backlog of 3,100 units valued over
$220 million is not included in new
railcar backlog.
- Maintained lease fleet utilization of 98%.
- Gross margin and gross margin % increased sequentially as
improvement in North American Manufacturing and Maintenance
Services offset headwinds from Europe and pass-through of input cost
escalations.
- Net earnings attributable to Greenbrier for the quarter were
$3.1 million, or $0.09 per diluted share, on revenue of
$794 million.
- Quarter end liquidity of $535
million, including $450
million in cash and $85
million of available borrowing capacity.
- Board declared a quarterly dividend of $0.27 per share, payable on August 18, 2022 to shareholders of record as of
July 28, 2022, representing
Greenbrier's 33rd consecutive quarterly dividend.
"Greenbrier delivered strong operating results in our third
quarter. Lease fleet utilization and manufacturing production
and delivery levels remain robust in North America. This
performance was partially offset by inflation and the impact of the
war in Ukraine. Pass-through of
input cost escalations protect Greenbrier when raw material prices
spike, but dilute margin percentages," said Lorie Tekorius, Chief Executive Officer &
President.
Tekorius concluded, "In Europe, the war triggered a pause in
order activity after securing orders for 2,300 railcars in the
first two quarters of our fiscal year. In recent weeks,
European buyers are returning to the market and our sales pipeline
is active. Lease syndications and Maintenance Services helped
to balance our quarterly results, underscoring the value of
Greenbrier's diverse business activities. Uncertainty in the
U.S. economy remains an ongoing challenge, but our operations
continue to build momentum. When confronted with difficult
externalities, Greenbrier has a proven ability to produce value
through our integrated platform."
Business Update & Outlook
Based on current business trends and production schedules for
fiscal 2022, Greenbrier expects:
- Deliveries of 18,500 – 19,500 units including approximately
1,500 units in Greenbrier-Maxion (Brazil).
- Selling & administrative expense to be $210 - $215
million.
- Capital expenditures will be approximately $310 million in Leasing & Management
Services, $50 million in
Manufacturing and $10 million in
Maintenance Services. Net of proceeds of equipment sales of
approximately $155 million, capital
expenditures in Leasing & Management Services will be
$155 million.
Financial Summary
|
Q3
FY22
|
Q2
FY22
|
Sequential
Comparison – Main Drivers
|
|
Revenue
|
$793.5M
|
$682.8M
|
16% increase reflects
higher deliveries and pass-through of input cost escalations in
Manufacturing and increased volumes in Maintenance
Services
|
|
Gross margin
|
$76.3M
|
$54.8M
|
39% increase reflects
higher deliveries and improved operating efficiencies in
Manufacturing and Maintenance Services
|
|
Gross margin
%
|
9.6 %
|
8.0 %
|
Improving operating
efficiencies in Manufacturing and Maintenance Services
|
|
Selling and
administrative
|
$57.4M
|
$54.7M
|
Increased employee
costs, consulting, and travel expense from higher business activity
levels
|
|
Net gain on disposition
of equipment
|
$0.7M
|
$25.1M
|
Timing of fleet
rebalancing and optimization
|
|
EBITDA
|
$48.6M
|
$51.7M
|
Higher gross margin
offset by minimal fleet sales in the quarter; See reconciliation on
page 9
|
|
Net (earnings) loss
attributable to noncontrolling interest
|
($4.5M)
|
$1.6M
|
Partners' share of
consolidated JV's operating results
|
|
Net earnings
attributable to Greenbrier
|
$3.1M
|
$12.8M
|
Primarily lower
operating earnings reflecting timing of fleet
sales
|
|
Diluted EPS
|
$0.09
|
$0.38
|
|
Segment Summary
|
Q3
FY22
|
Q2
FY22
|
Sequential
Comparison – Main Drivers
|
|
Manufacturing
|
|
Revenue
|
$650.9M
|
$555.7M
|
Increased deliveries
and pass-through of input cost escalations
|
|
Gross
margin
|
6.1 %
|
3.7 %
|
Improving operating
efficiency partially offset by European headwinds and pass-through
of input cost escalations (which increase revenue but are dilutive
to GM %)
|
|
Operating margin
(1)
|
3.1 %
|
0.3 %
|
|
|
Deliveries
(2)
|
4,900
|
4,400
|
|
|
Maintenance
Services
|
|
Revenue
|
$101.5M
|
$86.6M
|
Increased wheel and
repair volumes and scrapping activity
|
|
Gross
margin
|
10.2 %
|
5.7 %
|
Improved throughput and
scrapping activity
|
|
Operating margin
(1)
|
8.5 %
|
3.3 %
|
|
|
Leasing &
Management Services (including GBX Leasing)
|
|
Revenue
|
$41.1M
|
$40.5M
|
Continued strong
syndication activity and interim rent
|
|
Gross
margin
|
64.0 %
|
72.1 %
|
More normalized gross
margin activity
|
|
Operating margin
(1) (3)
|
46.7 %
|
117.5 %
|
Timing of fleet
rebalancing and optimization
|
|
Fleet
utilization
|
97.5 %
|
97.9 %
|
|
|
(1) See
supplemental segment information on page 8 for additional
information.
|
|
(2) Excludes
Brazil deliveries which are not consolidated into Manufacturing
revenue and margins.
|
|
(3) Includes Net loss (gain) on
disposition of equipment, which is excluded from gross
margin.
|
Conference Call
Greenbrier will host a teleconference to discuss its third
quarter of 2022 results. In conjunction with this news release,
Greenbrier has posted a supplemental earnings presentation to our
website.
Teleconference details are as follows:
- July 11, 2022
- 8:00 a.m. Pacific Daylight
Time
- Phone: 1-888-317-6003 (Toll Free) 1-412-317-6061
(International), Entry Number "8138307"
- Real-time Audio Access: ("Newsroom" at
http://www.gbrx.com)
Please access the site 10-15 minutes prior to the start
time.
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 and marine
barges in North America,
Europe and Brazil. We are a leading provider of freight
railcar wheel services, parts, maintenance and retrofitting
services in North America through
our rail services business unit. Greenbrier manages 421,000
railcars and offers railcar management, regulatory compliance
services and leasing services to railroads and other railcars
owners in North America. GBX
Leasing (GBXL) is a special purpose subsidiary that owns and
manages a portfolio of leased railcars that originate primarily
from Greenbrier's manufacturing operations. GBXL and Greenbrier own
a lease fleet of 11,800 railcars. Learn more about Greenbrier
at www.gbrx.com.
|
THE GREENBRIER
COMPANIES, INC.
|
|
CONSOLIDATED BALANCE
SHEETS
|
|
(In millions,
unaudited)
|
|
|
May
31,
2022
|
February
28,
2022
|
November
30,
2021
|
August
31,
2021
|
May
31,
2021
|
|
Assets
|
|
|
|
|
|
|
Cash and
cash equivalents
|
$
449.7
|
$
586.8
|
$
410.8
|
$
646.8
|
$
628.2
|
|
Restricted
cash
|
16.1
|
15.7
|
27.1
|
24.6
|
8.7
|
|
Accounts
receivable, net
|
464.8
|
399.0
|
393.3
|
306.4
|
274.8
|
|
Income tax
receivable
|
129.4
|
106.0
|
106.2
|
112.1
|
75.1
|
|
Inventories
|
781.7
|
728.5
|
631.4
|
573.6
|
553.2
|
|
Leased
railcars for syndication
|
142.9
|
80.0
|
99.1
|
51.6
|
154.0
|
|
Equipment
on operating leases, net
|
676.1
|
650.4
|
751.3
|
609.8
|
446.9
|
|
Property,
plant and equipment, net
|
642.7
|
646.5
|
654.4
|
670.2
|
676.0
|
|
Investment
in unconsolidated affiliates
|
96.2
|
90.2
|
83.1
|
79.9
|
79.4
|
|
Intangibles and other assets, net
|
177.8
|
179.6
|
183.0
|
183.6
|
180.8
|
|
Goodwill
|
128.7
|
130.0
|
130.3
|
132.1
|
133.1
|
|
$
3,706.1
|
$
3,612.7
|
$
3,470.0
|
$
3,390.7
|
$
3,210.2
|
|
|
|
|
|
|
|
Liabilities and Equity
|
|
|
|
|
|
|
Revolving
notes
|
$
303.3
|
$
292.2
|
$
516.3
|
$
372.2
|
$
325.2
|
|
Accounts
payable and accrued liabilities
|
639.0
|
581.2
|
540.4
|
569.8
|
480.4
|
|
Deferred
income taxes
|
72.9
|
51.9
|
51.3
|
73.3
|
44.9
|
|
Deferred
revenue
|
33.3
|
43.0
|
36.6
|
42.8
|
43.7
|
|
Notes
payable, net
|
1,202.6
|
1,209.2
|
895.7
|
826.5
|
835.0
|
|
|
|
|
|
|
|
Contingently
redeemable
noncontrolling
interest
|
27.8
|
28.5
|
29.7
|
29.7
|
30.3
|
|
|
|
|
|
|
|
Total
equity – Greenbrier
|
1,270.4
|
1,252.6
|
1,237.3
|
1,307.7
|
1,286.7
|
|
Noncontrolling interest
|
156.8
|
154.1
|
162.7
|
168.7
|
164.0
|
|
Total
equity
|
1,427.2
|
1,406.7
|
1,400.0
|
1,476.4
|
1,450.7
|
|
$
3,706.1
|
$
3,612.7
|
$
3,470.0
|
$
3,390.7
|
$
3,210.2
|
|
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
May
31,
|
Nine Months Ended
May
31,
|
|
2022
|
|
2021
|
|
2022
|
|
2021
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
Manufacturing
|
$
650.9
|
|
$
339.7
|
|
$
1,659.1
|
|
$
845.7
|
|
|
Maintenance Services
|
101.5
|
|
80.9
|
|
260.5
|
|
218.1
|
|
|
Leasing
& Management Services
|
41.1
|
|
29.6
|
|
107.4
|
|
85.0
|
|
|
793.5
|
|
450.2
|
|
2,027.0
|
|
1,148.8
|
|
|
Cost of revenue
|
|
|
|
|
|
|
|
|
|
Manufacturing
|
611.3
|
|
292.4
|
|
1,567.9
|
|
775.1
|
|
|
Maintenance Services
|
91.1
|
|
73.7
|
|
244.0
|
|
203.4
|
|
|
Leasing
& Management Services
|
14.8
|
|
8.9
|
|
36.4
|
|
36.8
|
|
|
717.2
|
|
375.0
|
|
1,848.3
|
|
1,015.3
|
|
|
|
|
|
|
|
|
|
|
|
Margin
|
76.3
|
|
75.2
|
|
178.7
|
|
133.5
|
|
|
|
|
|
|
|
|
|
|
|
Selling and
administrative expense
|
57.4
|
|
49.3
|
|
156.4
|
|
136.4
|
|
|
Net (gain) loss on
disposition of equipment
|
(0.7)
|
|
0.2
|
|
(34.3)
|
|
(0.8)
|
|
|
Earnings (loss) from operations
|
19.6
|
|
25.7
|
|
56.6
|
|
(2.1)
|
|
|
|
|
|
|
|
|
|
|
|
Other costs
|
|
|
|
|
|
|
|
|
|
Interest and foreign
exchange
|
14.9
|
|
10.2
|
|
39.3
|
|
30.9
|
|
|
Net loss on
extinguishment of debt
|
-
|
|
4.8
|
|
-
|
|
4.8
|
|
|
Earnings (loss) before
income taxes and earnings
from unconsolidated affiliates
|
4.7
|
|
10.7
|
|
17.3
|
|
(37.8)
|
|
|
Income tax (expense)
benefit
|
(1.1)
|
|
6.9
|
|
(2.9)
|
|
36.0
|
|
|
Earnings (loss) before
earnings from
unconsolidated affiliates
|
3.6
|
|
17.6
|
|
14.4
|
|
(1.8)
|
|
|
Earnings from
unconsolidated affiliates
|
4.0
|
|
2.4
|
|
10.0
|
|
1.3
|
|
|
Net earnings
(loss)
|
7.6
|
|
20.0
|
|
24.4
|
|
(0.5)
|
|
|
Net (earnings) loss
attributable to noncontrolling interest
|
(4.5)
|
|
(0.3)
|
|
2.3
|
|
1.2
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings attributable to
Greenbrier
|
$
3.1
|
|
$
19.7
|
|
$
26.7
|
|
$
0.7
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per
common share:
|
$
0.10
|
|
$
0.61
|
|
$
0.82
|
|
$
0.02
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
common share:
|
$
0.09
|
|
$
0.59
|
|
$
0.79
|
|
$
0.02
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares:
|
|
|
|
|
|
|
|
|
|
Basic
|
32,588
|
|
32,573
|
|
32,560
|
|
32,726
|
|
|
Diluted
|
33,661
|
|
33,605
|
|
33,626
|
|
33,747
|
|
|
|
|
|
|
|
|
|
|
|
Dividends declared per
common share
|
$
0.27
|
|
$
0.27
|
|
$
0.81
|
|
$
0.81
|
|
|
THE GREENBRIER COMPANIES, INC.
|
|
CONSOLIDATED STATEMENTS OF CASH
FLOWS
|
|
(In millions,
unaudited)
|
|
|
|
|
|
|
Nine Months
Ended
May 31,
|
|
|
2022
|
|
2021
|
|
|
Cash flows from
operating activities
|
|
|
|
|
|
Net
earnings (loss)
|
$
24.4
|
|
$
(0.5)
|
|
|
Adjustments to reconcile net earnings
(loss) to net cash used in
operating activities:
|
|
|
|
|
|
Deferred income taxes
|
16.9
|
|
20.2
|
|
|
Depreciation and amortization
|
75.9
|
|
75.6
|
|
|
Net gain on disposition of equipment
|
(34.3)
|
|
(0.8)
|
|
|
Accretion of debt discount
|
-
|
|
4.6
|
|
|
Stock based compensation expense
|
10.9
|
|
12.5
|
|
|
Net loss on extinguishment
of debt
|
-
|
|
4.8
|
|
|
Noncontrolling interest adjustments
|
0.7
|
|
0.3
|
|
|
Other
|
3.4
|
|
1.8
|
|
|
Decrease (increase) in assets:
|
|
|
|
|
|
Accounts receivable, net
|
(160.3)
|
|
(49.2)
|
|
|
Income tax receivable
|
(17.3)
|
|
(66.0)
|
|
|
Inventories
|
(224.2)
|
|
(92.3)
|
|
|
Leased railcars for syndication
|
(77.6)
|
|
(55.5)
|
|
|
Intangibles and other
|
(16.1)
|
|
0.9
|
|
|
Increase (decrease) in liabilities:
|
|
|
|
|
|
Accounts payable and accrued liabilities
|
77.2
|
|
18.6
|
|
|
Deferred revenue
|
(8.0)
|
|
1.2
|
|
|
Net
cash used in operating activities
|
(328.4)
|
|
(123.8)
|
|
|
Cash flows from
investing activities
|
|
|
|
|
|
Proceeds from sales of assets
|
155.1
|
|
12.2
|
|
|
Capital
expenditures
|
(248.8)
|
|
(62.9)
|
|
|
Investments in and advances
to / repayments from unconsolidated
affiliates
|
(4.2)
|
|
0.7
|
|
|
Cash distribution from
unconsolidated affiliates and other
|
1.8
|
|
0.7
|
|
|
Net
cash used in investing activities
|
(96.1)
|
|
(49.3)
|
|
|
Cash flows from
financing activities
|
|
|
|
|
|
Net change
in revolving notes with maturities of 90 days or less
|
(97.3)
|
|
147.6
|
|
|
Proceeds
from revolving notes with maturities longer than 90 days
|
35.0
|
|
112.0
|
|
|
Repayments
of revolving notes with maturities longer than 90 days
|
-
|
|
(286.0)
|
|
|
Proceeds
from issuance of notes payable
|
323.3
|
|
373.8
|
|
|
Repayments
of notes payable
|
(15.0)
|
|
(308.5)
|
|
|
Debt
issuance costs
|
(7.2)
|
|
(14.1)
|
|
|
Repurchase
of stock
|
-
|
|
(20.0)
|
|
|
Dividends
|
(26.9)
|
|
(26.9)
|
|
|
Investment
by joint venture partner
|
-
|
|
7.0
|
|
|
Cash
distribution to joint venture partner
|
(9.4)
|
|
(24.1)
|
|
|
Tax
payments for net share settlement of restricted stock
|
(3.5)
|
|
(2.8)
|
|
|
Net cash
provided by (used in) financing activities
|
199.0
|
|
(42.0)
|
|
|
Effect of
exchange rate changes
|
19.9
|
|
9.9
|
|
|
Decrease in cash,
cash equivalents and restricted cash
|
(205.6)
|
|
(205.2)
|
|
|
Cash and cash
equivalents and restricted cash
|
|
|
|
|
|
Beginning of
period
|
671.4
|
|
842.1
|
|
|
End of
period
|
$
465.8
|
|
$
636.9
|
|
|
Balance Sheet
Reconciliation:
|
|
|
|
|
|
Cash and
cash equivalents
|
$
449.7
|
|
$
628.2
|
|
|
Restricted
cash
|
16.1
|
|
8.7
|
|
|
Total cash
and cash equivalents and restricted cash
|
$
465.8
|
|
$
636.9
|
|
|
|
|
|
|
THE GREENBRIER COMPANIES, INC.
SUPPLEMENTAL LEASING INFORMATION
(In millions,
except owned and managed fleet, unaudited)
GBX Leasing (GBXL) was formed in April
2021 as a joint venture with The Longwood Group to own and
manage a portfolio of leased railcars primarily built by
Greenbrier. Greenbrier owns approximately 95% of GBXL and
consolidates it in Greenbrier's financial statements in the Leasing
& Management Services segment. GBXL 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.
GBXL delivers strong tax-advantaged cash flows. GBX
Leasing has over $400 million in
railcar assets with a five-year goal of $1
billion of assets.
Our leasing operations observe Greenbrier's established
portfolio standards including investing in strong credits with a
diverse equipment mix and staggered maturity ladders. To mitigate
the volatile interest rate environment, Greenbrier Leasing and GBX
Leasing have fixed all floating rate debt. Investing in
leasing assets reduces Greenbrier's Manufacturing revenue and
margin in the short-term but provides meaningful tax benefits,
longer-term earnings and cash flow stability.
Key information for the consolidated Leasing & Management
Services segment
|
(In
Units)
|
May 31,
2022
|
|
February 28,
2022
|
|
Owned
fleet(1)
|
11,800
|
|
11,000
|
|
Managed
fleet
|
421,000
|
|
431,000
|
|
Owned fleet
utilization(1)
|
98 %
|
|
98 %
|
|
|
|
|
|
May 31,
2022
|
|
February 28,
2022
|
|
Beginning
balance
|
11,000
|
|
12,900
|
|
Cars
added
|
1,700
|
|
1,000
|
|
Cars sold
/ scrapped
|
(900)
|
|
(2,900)
|
|
Ending
balance
|
11,800
|
|
11,000
|
|
|
May 31,
2022
|
|
February 28,
2022
|
|
Equipment on operating
lease(2)
|
$
676.1
|
|
$
650.4
|
|
|
|
|
|
GBX Leasing
non-recourse warehouse
|
$
-
|
|
$
-
|
|
GBX Leasing ABS
non-recourse notes
|
321.5
|
|
323.3
|
|
Leasing non-recourse
term loan
|
194.8
|
|
196.5
|
|
Total Leasing
non-recourse debt
|
$
516.3
|
|
$
519.8
|
|
|
|
|
|
Fleet leverage
%(3)
|
76 %
|
|
80 %
|
|
(1)
|
Owned fleet includes
Leased railcars for syndication
|
|
(2)
|
Equipment on operating
lease assets not securing Leasing non-recourse term loan support
the $600 million U.S. revolver
|
|
(3)
|
Total Leasing
non-recourse debt / Equipment on operating lease
|
|
THE GREENBRIER COMPANIES, INC.
|
|
SUPPLEMENTAL
INFORMATION
|
|
(In millions,
unaudited)
|
|
|
Segment
Information
|
|
|
Three months ended May
31, 2022:
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
Earnings (loss) from
operations
|
|
|
|
External
|
|
Intersegment
|
|
Total
|
|
External
|
|
Intersegment
|
|
Total
|
|
|
|
Manufacturing
|
$
650.9
|
|
$
38.3
|
|
$
689.2
|
|
$
20.5
|
|
$
1.8
|
|
$
22.3
|
|
|
|
Maintenance
Services
|
101.5
|
|
8.6
|
|
110.1
|
|
8.6
|
|
-
|
|
8.6
|
|
|
|
Leasing
& Management Services
|
41.1
|
|
0.6
|
|
41.7
|
|
19.2
|
|
0.1
|
|
19.3
|
|
|
|
Eliminations
|
-
|
|
(47.5)
|
|
(47.5)
|
|
-
|
|
(1.9)
|
|
(1.9)
|
|
|
|
Corporate
|
-
|
|
-
|
|
-
|
|
(28.7)
|
|
-
|
|
(28.7)
|
|
|
|
$
793.5
|
|
$
-
|
|
$
793.5
|
|
$
19.6
|
|
$
-
|
|
$
19.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
February 28, 2022:
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
Earnings (loss) from
operations
|
|
|
External
|
|
Intersegment
|
|
Total
|
|
External
|
|
Intersegment
|
|
Total
|
|
|
Manufacturing
|
$
555.7
|
|
$
1.8
|
|
$
557.5
|
|
$
1.8
|
|
$
-
|
|
$
1.8
|
|
|
Maintenance
Services
|
86.6
|
|
6.1
|
|
92.7
|
|
2.9
|
|
-
|
|
2.9
|
|
|
Leasing
& Management Services
|
40.5
|
|
0.4
|
|
40.9
|
|
47.6
|
|
-
|
|
47.6
|
|
|
Eliminations
|
-
|
|
(8.3)
|
|
(8.3)
|
|
-
|
|
-
|
|
-
|
|
|
Corporate
|
-
|
|
-
|
|
-
|
|
(27.1)
|
|
-
|
|
(27.1)
|
|
|
$
682.8
|
|
$
-
|
|
$
682.8
|
|
$
25.2
|
|
$
-
|
|
$
25.2
|
|
|
|
|
Total assets
|
|
|
|
|
May 31,
2022
|
|
February 28,
2022
|
|
|
|
Manufacturing
|
$
1,814.1
|
|
$
1,698.5
|
|
|
|
Maintenance
Services
|
266.8
|
|
272.0
|
|
|
|
Leasing &
Management Services
|
1,158.3
|
|
1,038.8
|
|
|
|
Unallocated, including
cash
|
466.9
|
|
603.4
|
|
|
|
$
3,706.1
|
|
$
3,612.7
|
|
|
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL BACKLOG
AND DELIVERY INFORMATION
|
|
(Unaudited)
|
|
|
|
|
Three Months
Ended
|
|
|
May 31, 2022
|
|
Backlog Activity
(units) (1)
|
|
|
|
|
|
Beginning
backlog
|
32,100
|
|
|
Orders
received
|
5,000
|
|
|
Production held on the
Balance Sheet
|
(1,800)
|
|
|
Production sold
directly to third parties
|
(4,400)
|
|
|
Ending
backlog
|
30,900
|
|
|
|
|
|
Delivery Information
(units) (1)
|
|
|
|
Production sold
directly to third parties
|
4,400
|
|
|
Sales of Leased
railcars for syndication
|
800
|
|
|
Total
deliveries
|
5,200
|
|
|
|
(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,
2022
|
|
February 28,
2022
|
|
|
|
Net earnings
|
$
7.6
|
|
$
11.2
|
|
|
|
Interest and foreign
exchange
|
14.9
|
|
11.8
|
|
|
|
Income tax
expense
|
1.1
|
|
3.2
|
|
|
|
Depreciation and
amortization
|
25.0
|
|
25.5
|
|
|
|
EBITDA
|
$
48.6
|
|
$
51.7
|
|
|
|
|
|
|
|
|
|
|
THE GREENBRIER
COMPANIES, INC.
|
|
SUPPLEMENTAL
INFORMATION
|
|
(In millions,
except per share amounts, unaudited)
|
|
|
Operating Results by
Quarter for 2022 are as follows:
|
|
|
First
|
|
Second
|
|
Third
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
Manufacturing
|
$
452.5
|
|
$
555.7
|
|
$
650.9
|
|
$ 1,659.1
|
|
|
Maintenance Services
|
72.4
|
|
86.6
|
|
101.5
|
|
260.5
|
|
|
Leasing
& Management Services
|
25.8
|
|
40.5
|
|
41.1
|
|
107.4
|
|
|
550.7
|
|
682.8
|
|
793.5
|
|
2,027.0
|
|
|
Cost of revenue
|
|
|
|
|
|
|
|
|
|
Manufacturing
|
421.6
|
|
535.0
|
|
611.3
|
|
1,567.9
|
|
|
Maintenance Services
|
71.2
|
|
81.7
|
|
91.1
|
|
244.0
|
|
|
Leasing
& Management Services
|
10.3
|
|
11.3
|
|
14.8
|
|
36.4
|
|
|
503.1
|
|
628.0
|
|
717.2
|
|
1,848.3
|
|
|
|
|
|
|
|
|
|
|
|
Margin
|
47.6
|
|
54.8
|
|
76.3
|
|
178.7
|
|
|
|
|
|
|
|
|
|
|
|
Selling and
administrative expense
|
44.3
|
|
54.7
|
|
57.4
|
|
156.4
|
|
|
Net gain on disposition
of equipment
|
(8.5)
|
|
(25.1)
|
|
(0.7)
|
|
(34.3)
|
|
|
Earnings from
operations
|
11.8
|
|
25.2
|
|
19.6
|
|
56.6
|
|
|
|
|
|
|
|
|
|
|
|
Other costs
|
|
|
|
|
|
|
|
|
|
Interest and foreign
exchange
|
12.6
|
|
11.8
|
|
14.9
|
|
39.3
|
|
|
Earnings (loss) before
income tax and earnings
from unconsolidated affiliates
|
(0.8)
|
|
13.4
|
|
4.7
|
|
17.3
|
|
|
Income tax (expense)
benefit
|
1.4
|
|
(3.2)
|
|
(1.1)
|
|
(2.9)
|
|
|
Earnings before
earnings from unconsolidated
affiliates
|
0.6
|
|
10.2
|
|
3.6
|
|
14.4
|
|
|
Earnings from
unconsolidated affiliates
|
5.0
|
|
1.0
|
|
4.0
|
|
10.0
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
5.6
|
|
11.2
|
|
7.6
|
|
24.4
|
|
|
Net (earnings) loss
attributable to
noncontrolling
interest
|
5.2
|
|
1.6
|
|
(4.5)
|
|
2.3
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings attributable to
Greenbrier
|
$
10.8
|
|
$
12.8
|
|
$
3.1
|
|
$
26.7
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per
common share (1)
|
$
0.33
|
|
$
0.39
|
|
$
0.10
|
|
$
0.82
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per common share
(1)
|
$
0.32
|
|
$
0.38
|
|
$
0.09
|
|
$
0.79
|
|
|
|
|
|
|
|
|
|
|
|
Dividends declared per
common share
|
$
0.27
|
|
$
0.27
|
|
$
0.27
|
|
$
0.81
|
|
|
|
|
|
|
|
|
|
|
|
|
(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
per share amounts, unaudited)
|
|
|
Operating Results by
Quarter for 2021 are as follows:
|
|
|
First
|
|
Second
|
|
Third
|
|
Fourth
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
|
|
|
|
|
|
|
|
|
|
Manufacturing
|
$
304.5
|
|
$
201.5
|
|
$
339.7
|
|
$
465.4
|
|
$ 1,311.1
|
|
|
Maintenance Services
|
65.6
|
|
71.6
|
|
80.9
|
|
80.2
|
|
298.3
|
|
|
Leasing
& Management Services
|
32.9
|
|
22.5
|
|
29.6
|
|
53.5
|
|
138.5
|
|
|
403.0
|
|
295.6
|
|
450.2
|
|
599.1
|
|
1,747.9
|
|
|
Cost of revenue
|
|
|
|
|
|
|
|
|
|
|
|
Manufacturing
|
280.9
|
|
201.8
|
|
292.4
|
|
414.1
|
|
1,189.2
|
|
|
Maintenance Services
|
63.0
|
|
66.7
|
|
73.7
|
|
77.0
|
|
280.4
|
|
|
Leasing
& Management Services
|
18.4
|
|
9.5
|
|
8.9
|
|
9.9
|
|
46.7
|
|
|
362.3
|
|
278.0
|
|
375.0
|
|
501.0
|
|
1,516.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Margin
|
40.7
|
|
17.6
|
|
75.2
|
|
98.1
|
|
231.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling and
administrative expense
|
43.7
|
|
43.4
|
|
49.3
|
|
55.4
|
|
191.8
|
|
|
Net (gain) loss on
disposition of equipment
|
(0.9)
|
|
(0.1)
|
|
0.2
|
|
(0.4)
|
|
(1.2)
|
|
|
Earnings (loss) from
operations
|
(2.1)
|
|
(25.7)
|
|
25.7
|
|
43.1
|
|
41.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other costs
|
|
|
|
|
|
|
|
|
|
|
|
Interest and foreign
exchange
|
11.1
|
|
9.6
|
|
10.2
|
|
12.4
|
|
43.3
|
|
|
Net loss on
extinguishment of debt
|
-
|
|
-
|
|
4.8
|
|
1.5
|
|
6.3
|
|
|
Earnings (loss) before
income tax and earnings
(loss) from unconsolidated
affiliates
|
(13.2)
|
|
(35.3)
|
|
10.7
|
|
29.2
|
|
(8.6)
|
|
|
Income tax
benefit
|
7.3
|
|
21.8
|
|
6.9
|
|
4.2
|
|
40.2
|
|
|
Earnings (loss) before
earnings (loss) from
unconsolidated affiliates
|
(5.9)
|
|
(13.5)
|
|
17.6
|
|
33.4
|
|
31.6
|
|
|
Earnings (loss) from
unconsolidated affiliates
|
(0.8)
|
|
(0.4)
|
|
2.4
|
|
2.3
|
|
3.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings
(loss)
|
(6.7)
|
|
(13.9)
|
|
20.0
|
|
35.7
|
|
35.1
|
|
|
Net (earnings) loss
attributable to
noncontrolling interest
|
(3.3)
|
|
4.8
|
|
(0.3)
|
|
(3.9)
|
|
(2.7)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings (loss) attributable to
Greenbrier
|
$
(10.0)
|
|
$
(9.1)
|
|
$
19.7
|
|
$
31.8
|
|
$
32.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings (loss) per common share
(1)
|
$
(0.30)
|
|
$
(0.28)
|
|
$
0.61
|
|
$
0.98
|
|
$
0.99
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss) per common share
(1)
|
$
(0.30)
|
|
$
(0.28)
|
|
$
0.59
|
|
$
0.95
|
|
$
0.96
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends declared per
common share
|
$
0.27
|
|
$
0.27
|
|
$
0.27
|
|
$
0.27
|
|
$
1.08
|
|
|
|
(1) Quarterly amounts may not
total to the year-to-date amount as each period is calculated
discretely.
|
"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION
REFORM ACT OF 1995: This press release may contain
forward-looking statements, including any statements that are not
purely statements of historical fact. Greenbrier uses words, and
variations of words, such as "believe",
"continue," "enhance," "evolve," "expect,"
"goal," "likely," "momentum," "opportunities," "outlook,"
"provides," "position," "will," and similar expressions to
identify forward-looking statements. These forward-looking
statements include, without limitation, statements about backlog
and other orders, leasing performance, financing, future liquidity,
cash flow, tax treatment, and other information regarding future
performance and strategies and appear throughout this press release
including in the headlines and the sections titled "Third Quarter
Highlights," a "Business Update & Outlook," and "Supplemental
Leasing Information." 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: the COVID-19 pandemic, variants
thereof, governmental reaction thereto, and related economic
disruptions (including, among other factors, operations and supply
disruptions and labor shortages) inflation (including rising energy
prices, interest rates, wages and other escalators) and policy
reactions thereto (including actions by central banks); and armed
conflict in Ukraine and related
events. Our backlog of railcar units and marine vessels 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 reports on 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.
Adjusted 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 (loss) before Interest and
foreign exchange, Income tax (expense) benefit, 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.
View original
content:https://www.prnewswire.com/news-releases/greenbrier-reports-third-quarter-results-301583418.html
SOURCE The Greenbrier Companies, Inc.