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WAB · Westinghouse Air Brake Technologies

50 filings

10-Q

WAB 10-Q Quarterly Reports

Westinghouse Air Brake Technologies - 50 quarterly reports

Filing record · 2016–202610-K1110-Q338-K132

WAB filed 11 annual reports (10-K), 33 quarterly reports (10-Q) and 132 current reports (8-K) between 2016 and 2026.

  1. Deal closed8-K · Mar ’17Mar ’17
  2. Leadership change8-K · Jul ’19Jul ’19
  3. Leadership change8-K · Aug ’21Aug ’21
  4. Material agreement8-K · May ’25May ’25
  1. 2026-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2026

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2026 net sales of $3.12 billion, up from $2.89 billion in the prior-year quarter, and net income attributable to Wabtec shareholders of $409 million, compared with $310 million a year earlier. Diluted EPS was $2.42 versus $1.81. Income from operations rose to $625 million from $491 million. For the first nine months of 2026, net sales were $9.25 billion and net income attributable to shareholders was $1.17 billion. Operating cash flow for the nine months was $1.095 billion, compared with $767 million a year earlier, while the company spent $1.06 billion on acquisitions, primarily Dellner Couplers, and $762 million on stock repurchases. Total debt rose to $6.38 billion at September 30, 2026, from $5.54 billion at year-end 2025, and cash, cash equivalents and restricted cash declined to $489 million. Current debt of $1.71 billion, including a $500 million term loan due November 2026 and a 3.45% senior note due 2026, is a near-term refinancing item. Total available liquidity was $2.09 billion. Backlog reached a record $31.4 billion, and the company established a commercial paper program of up to $2.0 billion after quarter end. Management notes that tariffs and commodity costs were headwinds to margins and cash flow, and that the company continues to pursue tariff refund claims. The company stated that it is unable to reasonably predict the full impact of macroeconomic factors, supply chain disruptions and trade policy. Purchase price allocations for Dellner Couplers and Frauscher remain preliminary.

    Oct 21, 2026
  2. 2026-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2026

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported second-quarter 2026 net sales of $3.18 billion, up from $2.71 billion in the prior-year quarter, and net income attributable to Wabtec shareholders of $395 million, or $2.33 per diluted share, versus $336 million and $1.96 in the second quarter of 2025. Net sales were $6.13 billion for the six months ended June 30, 2026, with net income attributable to Wabtec shareholders of $757 million. The filing attributes the sales growth to acquisitions, including Dellner Couplers (acquired February 10, 2026 for approximately $1.053 billion) and the 2025 acquisitions of Inspection Technologies and Frauscher, as well as organic growth in both segments. Total multi-year backlog rose $3.5 billion in the first six months to a record $30.9 billion. Cash flow from operations was $640 million for the first six months of 2026, up from $400 million a year earlier, while investing outflows of $1.16 billion reflected the Dellner acquisition. Total debt increased to $6.57 billion face value at June 30, 2026, from $5.54 billion at December 31, 2025, with current portion of long-term debt at $1.66 billion, including a $750 million 3.45% Senior Notes due 2026 and a $500 million term loan maturing November 27, 2026. Total available liquidity was $2.02 billion, compared with $3.21 billion at year-end 2025, and the company repurchased $457 million of stock in the first six months, with approximately $760 million remaining under its repurchase authorization. The company reports that it is monitoring tariffs, trade policy, supply chain disruptions, and inflation, and states it does not expect a material impact on 2026 results from tariffs because of mitigation efforts, though it cannot reasonably predict future impacts. The company also reported an overall effective tax rate of 23.1% for the six months and a settlement of the Progress Rail antitrust and related litigation in February 2026 with no impact on operating results or cash flows.

    Jul 22, 2026
  3. 2026-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2026

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2026 net sales of $2.95 billion, up from $2.61 billion in the prior-year period, with net income attributable to Wabtec shareholders of $362 million, or $2.12 per diluted share, versus $322 million, or $1.88 per diluted share, a year earlier. Income from operations rose to $517 million from $474 million. Growth was driven by acquisitions contributing $225 million of sales, favorable foreign exchange adding $68 million, and organic sales growth of $60 million. Operating expenses rose 27.7% to $544 million, reflecting acquisition-related expense, higher compensation, and transaction costs of $13 million. Gross margin improved, with cost of sales at 64.0% of net sales versus 65.5% a year earlier. The balance sheet changed materially during the quarter. Wabtec completed the acquisition of Dellner Couplers on February 10, 2026, for approximately $1.053 billion, funded with cash on hand and borrowings. Total debt rose to $6.54 billion at March 31, 2026, from $5.54 billion at December 31, 2025, and cash, cash equivalents and restricted cash fell to $531 million from $789 million. Total available liquidity was $2.09 billion, down from $3.21 billion at year-end. Operating cash flow was $199 million, compared with $191 million a year earlier, as higher receivables absorbed cash. Remaining performance obligations were approximately $30.8 billion, and the company reported that it expects to recognize about 30% of that amount over the next 12 months. The company also reported that it repurchased $242 million of stock in the quarter and paid $53 million in dividends. As of March 31, 2026, approximately $975 million remained under its stock repurchase authorization. Management stated that it is unable to reasonably predict the full impact of tariffs, trade policy, supply chain disruptions, and macroeconomic volatility, though it does not expect a material impact on 2026 results because of mitigation efforts. Its credit ratings were BBB (Fitch), Baa2 (Moody's), and BBB (S&P), each with a stable outlook.

    Apr 22, 2026
  4. 2025-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2025

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2025 net sales of $2,886 million, up 8.4% from $2,663 million in the prior-year quarter, and net income attributable to Wabtec shareholders of $310 million, or $1.81 diluted EPS, versus $283 million and $1.63 a year earlier. For the first nine months, net sales were $8,202 million (up 5.1%) and diluted EPS was $5.64, compared with $4.80. Organic sales grew $79 million in the quarter, with Freight Equipment and Transit Aftermarket and OEM sales leading, while Freight Services declined on lower locomotive modernization and engine overhaul deliveries. Operating expenses rose 14.3% in the quarter, mainly from SG&A tied to acquisitions and $9 million of transaction costs. The balance sheet expanded materially in 2025. The company closed the Inspection Technologies acquisition from Evident (Olympus Scientific Solutions) on July 1, 2025 for approximately $1.788 billion, funded with cash, 2035 Notes and other borrowings. Long-term debt rose to $5,034 million from $3,480 million, and total debt at face value was $5,285 million at September 30, 2025. Cash, cash equivalents and restricted cash fell to $528 million from $715 million. Nine-month operating cash flow was $767 million, down from $1,111 million, reflecting higher receivables and inventory. Remaining performance obligations were approximately $25.6 billion, with about 32% expected to be recognized over the next 12 months. Subsequent to quarter end, the filing discusses a multi-national order from National Company Kazakhstan Temir Zholy valued at approximately $4.2 billion, and pending acquisitions of Dellner Couplers (approximately €890 million) and Frauscher (approximately €675 million). The filing lists several open legal matters, including a Progress Rail lawsuit in which the antitrust claims were dismissed on June 12, 2025, while breach of contract, unfair competition, defamation and false advertising claims remain. Denver Transit Constructors is seeking $58 million from subsidiary Xorail, which the company denies. Management reports $852 million remaining under its stock repurchase authorization, and no shares were repurchased in the third quarter.

    Oct 22, 2025
  5. 2025-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2025

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported second-quarter 2025 net sales of $2.71 billion, up from $2.64 billion a year earlier, with net income attributable to Wabtec shareholders of $336 million versus $289 million. For the first six months of 2025, net sales were $5.32 billion and net income attributable to shareholders was $658 million, compared with $5.14 billion and $561 million in the prior-year period. Diluted EPS was $1.96 for the quarter and $3.84 for the six months. Gross profit rose to $938 million in the quarter, and income from operations increased to $472 million from $430 million. Organic sales growth was driven by the Transit Segment, partially offset by the Freight Segment, and the filing attributes improved gross margin largely to favorable Freight mix, productivity, restructuring savings and the exit of low-margin offerings. Balance sheet and financing activity were significant during the period. Cash, cash equivalents and restricted cash rose to $1.50 billion from $715 million at December 31, 2024, while long-term debt increased to $4.78 billion from $3.48 billion. In May 2025 the company issued $500 million of 4.90% Senior Notes due 2030 and $750 million of 5.50% Senior Notes due 2035, and it entered into a 2025 Credit Agreement with a $2.0 billion revolving facility and a $725 million term loan facility. Total available liquidity was $4.09 billion at June 30, 2025. Operating cash flow for the six months declined to $400 million from $569 million, and share repurchases totaled $148 million, with $852 million remaining under the repurchase authorization. Subsequent events are material to the outlook. Wabtec completed the approximately $1.78 billion acquisition of Evident's Inspection Technologies division on July 1, 2025, and announced agreements to acquire Frauscher for approximately €675 million and Dellner Couplers for approximately €890 million, both subject to customary closing conditions and regulatory approvals. The filing also reports remaining performance obligations of approximately $21.8 billion, with about 38% expected to be recognized over the next 12 months, and it notes the company's ongoing Progress Rail litigation, where antitrust claims were dismissed on June 12, 2025, while other claims remain.

    Jul 24, 2025
  6. 2025-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2025

    Westinghouse Air Brake Technologies Corporation reported first-quarter 2025 net sales of $2.61 billion, up $113 million, or 4.5%, from $2.50 billion in the first quarter of 2024. Organic sales rose $133 million, with Services and Transit growth offsetting lower Freight Equipment deliveries. Gross profit increased to $900 million from $815 million, and income from operations rose to $474 million from $412 million. Net income attributable to Wabtec shareholders was $322 million, or $1.88 per diluted share, compared with $272 million, or $1.53 per diluted share, a year earlier. Cost of sales as a percentage of net sales improved to 65.5% from 67.3%. Cash provided by operating activities fell to $191 million from $334 million, mainly because of changes in receivables tied to the Revolving Receivables Program and the timing of customer deposits. The company ended the quarter with $698 million of cash, cash equivalents and restricted cash and total debt of $4.01 billion at book value. It repurchased $98 million of stock and had approximately $902 million remaining under its repurchase authorization. Wabtec also signed definitive agreements to acquire Evident's Inspection Technologies division for approximately $1.78 billion and Dellner Couplers for approximately $960 million, both subject to customary closing conditions and regulatory approvals. On April 23, 2025, the company amended its credit agreements, increasing the revolving credit facility to $2 billion.

    Apr 23, 2025
  7. 2024-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2024

    Westinghouse Air Brake Technologies Corporation reported third-quarter 2024 net sales of $2.66 billion, up from $2.55 billion a year earlier, with net income attributable to Wabtec shareholders of $283 million, or $1.63 per diluted share, compared with $240 million, or $1.33 per diluted share, in the prior-year quarter. Income from operations rose to $433 million from $370 million, and gross profit increased to $880 million from $792 million. For the first nine months of 2024, net sales were $7.80 billion and net income attributable to Wabtec shareholders was $844 million, or $4.80 per diluted share. Organic sales growth was attributed to higher Freight Services and Digital Intelligence sales and to Transit Original Equipment Manufacturing and Aftermarket demand, partly offset by lower Freight Equipment locomotive deliveries. Cash flow and capital allocation were central this period. Net cash provided by operating activities was $1.11 billion for the nine months, compared with $515 million a year earlier, while repurchases of stock totaled $974 million. Cash, cash equivalents and restricted cash ended at $410 million, and total debt (including current portion) was $4.02 billion at September 30, 2024. The company issued $500 million of 5.611% Senior Notes due 2034 and entered into a $225 million term loan under a new 2024 Credit Agreement, using the proceeds together with cash on hand to repay 2024 Notes at maturity. Remaining authorization under the stock repurchase program was approximately $123 million at quarter end. The filing also details ongoing items: Integration 2.0 restructuring charges are expected to total $135 million to $165 million, with approximately $140 million incurred to date, and Portfolio Optimization net exit charges are expected to be about $85 million. The company reports remaining performance obligations of approximately $22.2 billion, with about 34% expected to be recognized over the next 12 months. Progress Rail, a Caterpillar company, has filed an antitrust lawsuit against the company, which management believes is at an early stage and intends to defend vigorously.

    Oct 23, 2024
  8. 2024-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2024

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported second-quarter 2024 net sales of $2.64 billion, up from $2.41 billion in the prior-year quarter, and net income attributable to Wabtec shareholders of $289 million, or $1.64 per diluted share, versus $191 million, or $1.06 per diluted share, a year earlier. For the first six months of 2024, net sales were $5.14 billion and net income attributable to shareholders was $561 million, or $3.17 per diluted share. Management attributed the sales increase primarily to higher North American and international locomotive equipment sales, increased mining sales, higher locomotive modernization and overhaul services, and stronger Transit aftermarket demand. Gross margin improved, with cost of sales at 67.0% of net sales in the quarter versus 69.9% a year earlier. Cash flow from operations improved to $569 million for the first six months of 2024 from $90 million in the prior-year period, driven by higher net income, lower inventory build, and timing of accounts payable. The company repurchased $375 million of stock and paid $71 million in dividends during the six months. Total debt was $3.997 billion at June 30, 2024, with the company issuing $500 million of 5.611% Senior Notes due 2034 and entering a $225 million term loan due 2029 to repay the 4.15% Senior Notes due 2024. Cash, cash equivalents and restricted cash stood at $595 million, and the company reported $1.5 billion of current availability under its revolving credit facility. The filing also notes that Wabtec faces an antitrust lawsuit filed by competitor Progress Rail, a Caterpillar Inc. company, which seeks, among other remedies, an order requiring divestiture of GE Transportation; the company states it intends to vigorously defend the case. Management also disclosed ongoing Integration 2.0 restructuring, with total charges to date of approximately $130 million against an expected range of $135 million to $165 million, and an additional approximately $85 million in expected net exit charges under Portfolio Optimization.

    Jul 24, 2024
  9. 2024-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2024

    Westinghouse Air Brake Technologies Corporation's first-quarter 2024 Form 10-Q reports net sales of $2.50 billion, up from $2.19 billion in the first quarter of 2023, with net sales increasing by $303 million, or 13.8%. Income from operations rose to $412 million from $276 million, and net income attributable to Wabtec shareholders was $272 million, or $1.53 per diluted share, compared with $169 million, or $0.93 per diluted share, a year earlier. Organic sales grew $262 million across both the Freight and Transit segments, with Freight Segment income from operations reaching $368 million. Cost of sales as a percentage of net sales improved to 67.3% from 69.7%, which the company attributed to improved pricing, favorable segment mix, and slightly favorable input costs. Cash provided by operating activities was $334 million, compared with cash used of $25 million in the prior-year quarter, driven by higher net income, receivables collections, and inventory changes. Cash and cash equivalents and restricted cash ended the quarter at $639 million. Total debt was $4.00 billion at March 31, 2024, and the company issued $500 million of 5.611% Senior Notes due 2034 and entered a $225 million term loan under a 2024 Credit Agreement, proceeds of which, along with cash on hand, were used to redeem the 4.15% Senior Notes due 2024. The company repurchased $175 million of stock during the quarter and had approximately $923 million remaining under its stock repurchase plan. The company reported remaining performance obligations of approximately $22.1 billion as of March 31, 2024, with about 35% expected to be recognized over the next 12 months. Management noted continuing macroeconomic uncertainty from supply chain disruptions, labor availability, inflation, and regional conflicts. A competitor, Progress Rail, filed an antitrust lawsuit against the company in 2023 that remains at an early stage, and the company says it intends to vigorously defend the case.

    Apr 24, 2024
  10. 2023-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2023

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2023 results with net sales of $2.55 billion, up from $2.08 billion in the same period of 2022, and net income attributable to Wabtec shareholders of $240 million, or $1.33 per diluted share, versus $160 million, or $0.88 per diluted share, a year earlier. For the nine months ended September 30, 2023, net sales were $7.15 billion and net income attributable to Wabtec shareholders was $600 million, or $3.33 per diluted share. Income from operations rose to $370 million for the quarter from $261 million, and to $958 million for the nine months from $764 million. Management attributed the sales growth to higher locomotive equipment, services and transit aftermarket volumes, with acquisitions and favorable foreign exchange adding to the increase, while cost of sales rose to 69.0% of net sales in the quarter from 68.9% due to manufacturing inefficiencies tied to the strike at the Erie facility and higher restructuring costs. Balance sheet and cash flow data show total assets of $18.80 billion and total debt of $4.05 billion at September 30, 2023, with cash, cash equivalents and restricted cash of $392 million. Net cash provided by operating activities was $515 million for the nine months, down from $628 million, primarily due to working capital changes. The company repurchased $252 million of stock during the nine months and paid $92 million in dividends, and it had $588 million remaining under its stock repurchase plan at quarter end. The remaining performance obligations were approximately $21.4 billion, with about 30% expected to be recognized over the next 12 months. Legal matters include a lawsuit filed in the third quarter of 2023 by Progress Rail, a Caterpillar Inc. company, alleging antitrust and other claims; the company said it intends to vigorously defend itself, and the case is at an early stage.

    Oct 25, 2023
  11. 2023-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2023

    Westinghouse Air Brake Technologies Corporation's second-quarter 2023 results show continued top-line growth. Net sales for the three months ended June 30, 2023 rose to $2,407 million from $2,048 million, and net income attributable to Wabtec shareholders increased to $191 million from $166 million. For the six months, net sales were $4,601 million versus $3,975 million, and net income attributable to shareholders was $360 million versus $315 million. Organic sales growth was driven by both the Freight and Transit segments, with the filing citing higher locomotive modernizations, parts sales, and Transit aftermarket and original equipment demand. Cash generation was weaker in the first half. Operating cash flow was $90 million compared with $424 million a year earlier, reflecting working capital outflows including receivables and accounts payable timing. Cash used for investing activities of $293 million included the $239 million purchase price for L&M Radiator, Inc. Total debt stood at $4,390 million at June 30, 2023, with $989 million classified as current, largely the $250 million 4.375% Senior Notes due August 2023, which management is evaluating refinancing. The company repurchased $252 million of stock in the first six months, with approximately $588 million remaining under its authorization. The filing also flags ongoing risks: macroeconomic and supply chain volatility, inflation, and the Russia-Ukraine conflict, which led to a roughly $3 million charge on Russian assets. A collective bargaining agreement covering about 1,400 locomotive workers in Erie, Pennsylvania expired on June 9, 2023, and the union voted against the proposed agreement and authorized a strike, with negotiations continuing under a federal mediator.

    Jul 27, 2023
  12. 2023-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2023

    Westinghouse Air Brake Technologies Corporation reported first-quarter 2023 net sales of $2.19 billion, up from $1.93 billion in the prior-year quarter, with the filing stating that net sales increased 13.9%. Income from operations rose to $276 million from $239 million, and net income attributable to Wabtec shareholders was $169 million, or $0.93 per diluted share, compared with $149 million, or $0.80 per diluted share, a year earlier. Organic sales growth of $302 million was driven mainly by the Freight Segment, particularly Equipment and Components, while foreign exchange reduced sales by $56 million. Cash flow was weaker in the quarter. Net cash used for operating activities was $25 million, compared with $161 million provided in the prior-year quarter, mainly due to working capital changes, including $144 million tied to receivables and a $51 million inventory build. The company repurchased $178 million of stock and paid $31 million in dividends. Total debt rose to a book value of $4.16 billion at March 31, 2023, with $975 million classified as current, and the company stated it was in compliance with its financial covenants. The filing also describes ongoing Integration 2.0 restructuring, with approximately $78 million of an expected $135 million to $165 million in one-time charges incurred to date, and a remaining performance obligation backlog of approximately $22.1 billion. Management noted continued exposure to supply chain disruptions, inflation, and the Russia-Ukraine conflict, and a labor agreement covering about 1,400 Erie, Pennsylvania workers expires on June 9, 2023.

    Apr 26, 2023
  13. 2022-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2022

    Westinghouse Air Brake Technologies Corporation's third-quarter 2022 Form 10-Q reports net sales of $2.08 billion for the three months ended September 30, 2022, up from $1.91 billion a year earlier, and net income attributable to Wabtec shareholders of $160 million, or $0.88 per diluted share, versus $131 million, or $0.69, in the prior-year quarter. For the nine months, net sales were $6.06 billion and net income attributable to shareholders was $475 million, or $2.59 per diluted share. Income from operations rose to $261 million for the quarter and $764 million for the nine months, and management attributes the sales growth primarily to Freight Segment organic growth in equipment and services, partly offset by unfavorable foreign exchange, which reduced Transit Segment sales by $78 million in the quarter. Cash flow and balance sheet activity show operating cash flow of $628 million for the nine months, down from $759 million, mainly due to a $369 million unfavorable inventory change tied to proactive inventory build-ups. The company repurchased $400 million of stock and paid $83 million in dividends during the nine months. Cash and cash equivalents were $514 million at September 30, 2022, and total long-term debt was $4.08 billion face value, with the company amending its credit agreement on August 15, 2022 to a $1.5 billion revolving facility plus a $250 million delayed draw term loan. The filing highlights ongoing headwinds from COVID-19, supply chain disruptions, inflation, and the Russian invasion of Ukraine, and discloses a cyber security incident detected on June 26, 2022 that management does not expect to have a material impact. The company also outlined its Integration 2.0 review, targeting $75 million to $90 million of incremental run-rate synergies by 2025 with estimated restructuring charges of $135 million to $165 million.

    Nov 1, 2022
  14. 2022-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2022

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported second-quarter 2022 net sales of $2.05 billion, up from $2.01 billion in the prior-year quarter, and net income attributable to Wabtec shareholders of $166 million, or $0.91 per diluted share, compared with $125 million, or $0.66 per share, a year earlier. For the first six months of 2022, net sales were $3.98 billion and net income attributable to shareholders was $315 million, or $1.71 per diluted share. Income from operations rose to $264 million in the quarter from $203 million, with the Freight Segment's operating income increasing to $233 million and the Transit Segment's to $50 million. Management attributed the Freight growth primarily to higher services sales from locomotive modernizations, while Transit organic sales declined on COVID-19-related supply chain issues and the exit of low-margin businesses in the United Kingdom. Foreign exchange reduced quarterly sales by $76 million, mainly in Transit. Cash flow and balance sheet activity showed operating cash flow of $424 million for the first six months, down from $515 million, reflecting a $264 million inventory build. The company repurchased $399 million of stock during the period and paid $55 million in dividends, while total debt stood at $4.21 billion. Cash and equivalents were $501 million at June 30, 2022. The company's shareholder equity fell to $9.9 billion from $10.2 billion, largely due to a $1.7 billion treasury stock balance and a $641 million accumulated other comprehensive loss, driven mainly by currency translation. The filing also flags ongoing risks. Management describes continued pressure from supply chain disruptions, inflation, labor availability, and the Russia-Ukraine conflict. A cyber incident discovered on June 26, 2022 disrupted a late-quarter Transit manufacturing operation, and the company reports that it has not had a significant financial impact to date. Management is also pursuing a three-year Integration 2.0 review targeting $75 million to $90 million in run-rate synergies by 2025, with estimated restructuring charges of $135 million to $165 million. The company's Senior Credit Facility revolver matures June 8, 2023, and management says it expects to extend it at market rates.

    Aug 5, 2022
  15. 2022-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2022

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2022 net sales of $1.93 billion, up from $1.83 billion a year earlier, with net income attributable to Wabtec shareholders of $149 million, or $0.80 per diluted share, compared with $112 million, or $0.59 per diluted share, in the prior-year quarter. Income from operations rose to $239 million from $192 million. Freight Segment sales increased to $1.32 billion, while Transit Segment sales declined to $605 million, with foreign exchange a primary driver of the Transit decrease. The company cited ongoing COVID-19, supply chain disruptions, inflation, and the Russian invasion of Ukraine as continuing adverse factors, and noted approximately $16 million of assets related to Russian operations as of March 31, 2022. Cash flow from operations was $161 million, down from $292 million, mainly reflecting inventory build-ups and higher employee benefit payments. Total debt rose to $4.24 billion at March 31, 2022, from $4.06 billion at December 31, 2021, with $2.01 billion of debt proceeds and $1.82 billion of repayments in the quarter. The company repurchased $296 million of stock during the quarter, and the Board increased its repurchase authorization to $750 million on February 10, 2022. Management also announced a three-year strategic review, "Integration 2.0," targeting incremental run-rate synergies of $75 million to $90 million by 2025, with estimated one-time restructuring charges of $135 million to $165 million. The company stated it was in compliance with all covenants under its Senior Credit Facility as of March 31, 2022. Remaining performance obligations were approximately $22.2 billion, with about 25% expected to be recognized over the next 12 months.

    Apr 27, 2022
  16. 2021-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2021

    Wabtec reported third-quarter 2021 net sales of $1.91 billion, up $42 million, or 2.2%, from $1.87 billion a year earlier. Net income attributable to Wabtec shareholders was $130.6 million, or $0.69 per diluted share, compared with $128.1 million, or $0.67, in the prior-year quarter. For the first nine months, net sales rose 3.9% to $5.75 billion and diluted EPS was $1.95, versus $1.71. Growth was supported by the Nordco acquisition, which closed March 31, 2021 for a purchase price of about $410 million, and by favorable foreign exchange. Organic sales were weaker: Transit segment sales fell 2.5% in the quarter due to global supply chain and COVID-19 disruptions, and the filing notes that Freight Equipment sales declined on lower locomotive deliveries. Cash generation improved meaningfully. Operating cash flow for the nine months was $759.3 million, compared with $458.1 million in the prior-year period, driven largely by working capital and higher net income. The company spent $405.1 million on acquisitions, $78.5 million on capital expenditures, and $200.3 million on share repurchases during the nine months. Cash, cash equivalents and restricted cash ended the period at $456.4 million, down from $598.7 million at year-end 2020. Total debt was $4,071.0 million at book value. During the second quarter, the company issued €500.0 million of 1.25% Senior Notes due 2027 and repaid all outstanding term loans under its senior credit facility and 364 Day Facility. The filing also flags ongoing risks. COVID-19 continues to affect supply chains, labor and customer demand, and the company expects elevated metals, transportation and labor costs to persist for the next few quarters. A vendor's operating system vulnerability affected certain digital onboard locomotive products; the company reports no known exploitation to date. Remaining performance obligations totaled $21.1 billion, with approximately 25% expected to be recognized over the next 12 months. Management concluded that disclosure controls were effective as of September 30, 2021.

    Oct 27, 2021
  17. 2021-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2021

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported second-quarter 2021 net sales of $2.01 billion, up from $1.74 billion in the prior-year quarter, and net income attributable to Wabtec shareholders of $124.8 million, or $0.66 per diluted share, compared with $86.8 million, or $0.46 per diluted share, a year earlier. For the first six months of 2021, net sales were $3.84 billion and net income attributable to shareholders was $237.2 million, or $1.25 per diluted share. The filing attributes the quarterly sales increase to organic growth of $153.4 million, acquisitions of $37.9 million and favorable foreign exchange of $83.6 million, with Transit Segment sales up 27.0% and Freight Segment sales up 10.9%. Cash flow from operations improved to $515.4 million for the first six months of 2021 from $228.6 million a year earlier, driven partly by working capital changes and the absence of roughly $130 million in 2020 GE Transportation acquisition and litigation payments. The company spent $405.1 million on the acquisition of Nordco, which closed on March 31, 2021. Total debt rose to $4.08 billion at June 30, 2021, reflecting the issuance of €500.0 million of 1.25% Senior Notes due 2027 on June 3, 2021, which was used to repay the term loans under the Senior Credit Facility and the 364 Day Facility. Cash and cash equivalents were $453.5 million, and the company had $1,196.4 million of current availability under its revolving credit facility. The filing reports remaining performance obligations of $20.8 billion, with about 25% expected to be recognized over the next 12 months. It also notes ongoing COVID-19 uncertainty affecting sales channels, supply chain and operations, and discloses a pending contract dispute involving subsidiary Xorail and the Denver Eagle P3 project, where a decision is expected by the end of 2021.

    Jul 29, 2021
  18. 2021-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2021

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2021 net sales of $1.83 billion, down $100 million, or 5.2%, from $1.93 billion a year earlier. The decline was driven mainly by an organic decrease of $115 million in the Freight Segment, due to lower locomotive Equipment sales, particularly in North America, partly offset by higher Services sales. Transit organic sales fell $31 million on COVID-19-related production delays, while favorable foreign exchange added $46 million to total net sales. Income from operations was $191.6 million versus $217.3 million, and net income attributable to Wabtec shareholders was $112.4 million, or $0.59 per diluted share, compared with $111.6 million, or $0.58 per diluted share. The company stated that the COVID-19 pandemic had a materially adverse impact on its operations and business results for the quarter. Cash flow improved substantially. Net cash provided by operating activities was $292.2 million, compared with $81.9 million of cash used in the prior-year period, helped by a $107 million improvement from accounts payable timing and $93 million from securitization of receivables. Investing activities used $422.0 million, mainly for the March 31, 2021 acquisition of Nordco, for which the purchase price was approximately $407 million. Cash and cash equivalents were $483.5 million at quarter-end, and total debt carried a book value of $4,277.2 million. The company was in compliance with all covenants under its Senior Credit Facility and 364 Day Facility as of March 31, 2021. The company reported remaining performance obligations of $21.0 billion as of March 31, 2021, with approximately 25% expected to be recognized over the next 12 months. The Board increased the share repurchase authorization to $500 million on February 11, 2021, and the company repurchased 15,864 shares during the quarter. Management described the outlook as uncertain, citing the duration and severity of the pandemic and its effects on sales channels, supply chains and customers.

    Apr 29, 2021
  19. 2020-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2020

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2020 net sales of $1,865.1 million, down from $2,001.7 million in the third quarter of 2019, and net income attributable to Wabtec shareholders of $128.1 million, compared with $91.1 million a year earlier. Diluted earnings per share were $0.67 versus $0.48. For the nine months ended September 30, 2020, net sales were $5,532.4 million versus $5,831.6 million, and net income attributable to shareholders was $326.5 million versus $191.0 million. Management states that COVID-19 had a materially adverse impact on operations and business results in the first nine months of 2020 and expects that impact to continue through the remainder of 2020. The filing attributes the sales decline mainly to lower freight rail volumes, increased parking of locomotives, reduced freight carbuilds and COVID-19-related production delays and reduced passenger traffic in the Transit Segment. Balance sheet and cash flow data show cash and cash equivalents of $559.3 million at September 30, 2020, total long-term debt of $3,799.9 million (non-current portion), and net cash provided by operating activities of $458.1 million for the nine months, compared with $567.7 million a year earlier. The company repurchased $105.3 million of stock in the first quarter of 2020, leaving $394.7 million available under its repurchase authorization, and made no repurchases in the third quarter. During 2020 the company issued $500.0 million of 3.20% Senior Notes due 2025 and used the proceeds to redeem its Floating Rate Senior Notes due 2021, and it entered into a $600.0 million 364 Day Facility and a revolving receivables program of up to $150.0 million. The filing also discloses a pending legal matter involving Xorail, Inc., a wholly owned subsidiary, related to a Denver transit project. Denver Transit Constructors alleged damages of $36.8 million through July 31, 2017, and a related jury trial began September 21, 2020 and was ongoing. Separately, a class action tied to a 2018 Department of Justice consent decree was settled under preliminary court approval in March 2020.

    Oct 29, 2020
  20. 2020-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2020

    Westinghouse Air Brake Technologies Corporation (now Wabtec) reported a sharp second-quarter decline as COVID-19 disrupted operations. Net sales for the three months ended June 30, 2020 were $1.74 billion, down from $2.24 billion a year earlier, and net income attributable to Wabtec shareholders fell to $86.8 million from $104.1 million. The filing states that the pandemic had a materially adverse impact on results for the quarter and that the company expects a continued materially adverse impact for the remainder of 2020. Income from operations was $159.4 million versus $200.6 million, and the Freight Segment and Transit Segment both reported lower sales, with Transit net sales down 25.0% in the quarter. For the six months, net income attributable to Wabtec shareholders was $198.4 million, compared with $99.7 million a year earlier, and total net sales were $3.67 billion versus $3.83 billion. The filing attributes the prior-year comparison partly to the GE Transportation acquisition, which added $528 million of sales in the first half. Net cash provided by operating activities was $228.6 million, down from $443.8 million, and cash and cash equivalents were $587.9 million at June 30, 2020. Total long-term debt, including the current portion, was $4.47 billion on a book-value basis. Liquidity actions included a new $600 million 364 Day Facility, a $150.0 million receivables revolving program, and the temporary suspension of share repurchases. The company also issued $500.0 million of 3.20% Senior Notes due 2025 after quarter-end and used the proceeds to prepay the Floating Senior Notes due 2021. The company reported remaining performance obligations of $20.5 billion, with approximately 25% expected to be recognized over the next 12 months.

    Jul 29, 2020
  21. 2020-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2020

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2020 net sales of $1.93 billion, up from $1.59 billion a year earlier, with net income attributable to Wabtec shareholders of $111.6 million compared with a net loss of $4.5 million in the prior-year quarter. Diluted earnings per share were $0.58 versus a $(0.04) loss. Growth was driven mainly by acquisitions, primarily GE Transportation, which contributed $509.4 million of the sales increase, while organic sales declined $141.7 million, reflecting lower Freight Segment carbuild and locomotive delivery timing and COVID-19 production delays in Transit. Operating income rose to $217.3 million from $67.3 million, though amortization expense increased to $69.0 million from $27.4 million following the acquisition. Cash flow was weaker: operating activities used $81.9 million, compared with $31.3 million provided in the prior-year period, and management expects COVID-19 to negatively affect cash from operations for the remainder of 2020. Total debt rose to $4.75 billion book value at March 31, 2020, from $4.43 billion, and long-term debt was $4.66 billion. Subsequent to quarter end, the company entered into a new $600 million 364-day credit facility, and it temporarily suspended share repurchases after completing $105 million of buybacks in the quarter. The company stated that COVID-19 is expected to have a materially adverse impact on its operations and business results in 2020, with the company estimating the pandemic reduced first-quarter sales by about $40 million and operating income by about $15 million. Goodwill of $8.27 billion and other intangibles of $4.01 billion together represent a large share of total assets of $18.77 billion, and management noted that continued pandemic-related deterioration could lead to future impairments.

    May 6, 2020
  22. 2019-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2019

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2019 net sales of $2.00 billion, up from $1.08 billion a year earlier, and nine-month net sales of $5.83 billion versus $3.25 billion. The increase is driven primarily by the February 25, 2019 merger with GE Transportation, which contributed $1.0 billion of net sales in the quarter and $2.57 billion for the nine months. Net income attributable to Wabtec shareholders was $91.1 million for the quarter ($0.48 diluted EPS) compared with $87.7 million ($0.91 diluted) a year earlier, and $191.0 million for the nine months ($1.11 diluted) compared with $260.6 million ($2.70 diluted). The filing attributes the lower nine-month earnings largely to $185 million of non-recurring purchase accounting costs for the GE Transportation inventory step-up, along with transaction, restructuring and litigation costs. Balance sheet and cash flow changed substantially. Total assets rose to $18.90 billion from $8.65 billion at December 31, 2018, with goodwill of $8.10 billion and other intangibles of $4.21 billion. Long-term debt increased to $4.63 billion, and the company's revolving credit facility balance was $1.22 billion. Cash and cash equivalents were $587.4 million, and restricted cash fell to zero from $1.76 billion at year-end 2018. Net cash provided by operating activities was $567.7 million for the nine months, versus $38.0 million a year earlier, while investing outflows reached $3.11 billion, including $3.00 billion of net cash paid for acquisitions. Remaining performance obligations were $20.6 billion, with about 26% expected to be recognized over the next 12 months. The filing also reports that GE sold its remaining Wabtec shares in September 2019, with the company receiving no proceeds from those sales. The Siemens patent litigation was settled globally on September 27, 2019, and the Xorail wireless crossing dispute with Denver Transit Constructors remains open, with DTC alleging total damages of $36.8 million through July 31, 2017.

    Nov 1, 2019
  23. 2019-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2019

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported a transformed second quarter of 2019 following its February 25, 2019 combination with GE Transportation. Net sales for the three months ended June 30, 2019 were $2.24 billion, up from $1.11 billion a year earlier, and the filing attributes the increase primarily to $1.12 billion of sales from acquisitions, mainly GE Transportation. Net income attributable to Wabtec shareholders was $104.2 million versus $84.4 million in the prior-year quarter, while diluted EPS was $0.54 compared with $0.87. Results were weighed down by $89 million of non-recurring purchase accounting costs for the step-up of GE Transportation inventory, along with transaction and restructuring costs and higher amortization and interest expense. The balance sheet expanded considerably. Total assets rose to $18.94 billion from $8.65 billion at December 31, 2018, with goodwill of $8.15 billion and other intangibles of $4.36 billion. Long-term debt increased to $4.53 billion, and total debt, including current portion, was $4.63 billion. Shareholders' equity grew to $9.80 billion, reflecting share issuances in connection with the merger. Operating cash flow for the six months was $443.9 million, against $3.04 billion of investing outflows, primarily $2.98 billion in net cash paid for acquisitions. The filing also notes that remaining performance obligations totaled $21.3 billion as of June 30, 2019, with roughly 26% expected to be recognized over the next 12 months. Management disclosed a material change in internal controls over financial reporting due to the GE Transportation combination and stated that it is still designing and integrating controls for the combined company. Ongoing litigation includes Siemens patent and antitrust matters and a Xorail contract dispute with Denver Transit Constructors.

    Aug 1, 2019
  24. 2019-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2019

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported a first-quarter 2019 net loss attributable to Wabtec shareholders of $4.5 million, or $(0.04) per share, compared with net income of $88.4 million, or $0.92 per share, in the first quarter of 2018. Net sales rose 50.9% to $1.59 billion from $1.06 billion, driven mainly by the acquisition of GE Transportation, which closed on February 25, 2019 and contributed $495.0 million of revenue in the 34-day period. Income from operations fell to $67.3 million from $131.3 million, reflecting $59 million of acquisition-related transaction and restructuring costs in SG&A and an $80 million non-recurring inventory step-up charge in cost of sales. The balance sheet changed substantially. Total assets increased to $19.08 billion from $8.65 billion, goodwill rose to $8.14 billion, and other intangibles reached $4.36 billion. Total long-term debt was $4.64 billion at March 31, 2019 versus $3.79 billion at year-end 2018, and the company reported $4.96 billion of total debt. Operating cash flow was $31.3 million, while investing outflows of $2.74 billion, mainly $2.71 billion of net cash paid for acquisitions, were funded by $883 million of net financing inflows. Remaining performance obligations were $22.0 billion, with approximately 27% expected to be recognized over the next 12 months. The filing also discloses that GE's ownership of Wabtec fell from approximately 24.9% to approximately 11.7% on a fully-diluted basis after a May 6, 2019 secondary sale, and that the company's Moody's rating was lowered to Ba1 in February 2019, increasing interest on the 2018 senior notes by 0.25%. Management reported a material change in internal controls over financial reporting due to the GE Transportation combination and is designing and integrating new controls.

    May 9, 2019
  25. 2018-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2018

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2018 net sales of $1,077.8 million, up from $957.9 million a year earlier, with net income attributable to Wabtec shareholders of $87.7 million, or $0.91 per diluted share, versus $67.4 million and $0.70 in the prior-year quarter. For the nine months ended September 30, 2018, net sales were $3,245.7 million and net income attributable to shareholders was $260.5 million, or $2.70 per diluted share. Operating cash flow for the nine months was only $38.0 million, reflecting unfavorable working capital changes, including a $72.2 million inventory build. The filing's dominant story is the proposed merger with GE Transportation, a modified Reverse Morris Trust transaction in which Wabtec will pay a $2.9 billion cash Direct Sale and issue Wabtec common stock to GE and its stockholders. The filing values the total consideration at approximately $12.8 billion based on an October 12, 2018 closing price of $95.43, and expects closing by early 2019. To fund the cash portion, Wabtec issued $2.5 billion of senior notes on September 14, 2018, and total long-term debt rose to $3,865.1 million at September 30, 2018 from $1,870.5 million at December 31, 2017. The notes must be redeemed at 101% of principal if the transaction does not close by August 20, 2019. Balance sheet growth was driven largely by $1,724.0 million of restricted cash held for the Direct Sale, which lifted total assets to $8,553.2 million. Shareholders' equity was $2,895.2 million, and the company continues to face an ongoing Siemens patent dispute, a Denver Transit claim involving subsidiary Xorail, and a Department of Justice consent decree with related putative class actions.

    Oct 30, 2018
  26. 2018-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2018

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported second-quarter 2018 net sales of $1,111.7 million, up from $932.3 million a year earlier, and net income attributable to Wabtec shareholders of $84.4 million, compared with $72.0 million. Diluted earnings per share were $0.87, versus $0.75. For the six months ended June 30, 2018, net sales were $2,167.9 million and net income attributable to shareholders was $172.8 million. Results were supported by higher organic demand for freight and transit original equipment products and train control and signaling products, as well as acquisitions and favorable foreign exchange. Selling, general and administrative expenses rose 33.8% in the quarter, driven in part by $9.2 million of costs tied to the proposed GE Transportation transaction. The effective tax rate fell to 11.2% for the quarter, reflecting Tax Act benefits. The central event is the proposed Reverse Morris Trust combination with GE's Transportation business, agreed May 20, 2018. Wabtec would pay a $2.9 billion cash amount for certain GE Transportation assets, and GE's shareholders would hold a stake in the combined company, with GE holding approximately 9.9% of Wabtec's shares. The filing estimates total consideration of about $13.5 billion at the July 18, 2018 closing price of $103.85, and expects the transaction to close by early 2019, subject to shareholder and regulatory approvals. To finance the deal, the company entered into a June 8, 2018 credit agreement that includes a $2.5 billion bridge loan facility. At June 30, 2018, total long-term debt was $1,884.9 million, and total assets were $6,677.6 million. Other items include the Siemens patent litigation over Positive Train Control technology, the Xorail wireless crossing dispute with Denver Transit Constructors that alleges $36.8 million in damages through July 31, 2017, and a Department of Justice proposed consent decree on employee non-compete agreements, followed by putative class actions.

    Jul 31, 2018
  27. 2018-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2018

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2018 net sales of $1,056.2 million, up 15.3% from $916.0 million a year earlier. The increase was driven mainly by favorable foreign exchange of $70.3 million and acquisitions contributing $35.0 million, with organic gains in Specialty Products & Electronics ($29.8 million) and Brake Products ($12.7 million). Transit Segment sales rose 19.1% to $676.6 million, while Freight Segment sales rose 9.1% to $379.6 million. Income from operations grew 14.6% to $131.3 million, and net income attributable to Wabtec shareholders increased 22.7% to $88.4 million, or $0.92 per diluted share versus $0.77 a year earlier. Cash flow from operations turned positive at $24.2 million, compared with cash used of $26.1 million in the prior-year quarter, reflecting favorable working capital and higher net income. The company spent $34.3 million on net acquisitions and $17.5 million on capital expenditures during the quarter. Total debt rose to $1,920.6 million at March 31, 2018, from $1,870.5 million at December 31, 2017, and the company had approximately $622.5 million of available bank borrowing capacity under its revolving credit agreement. Total assets grew to $6.88 billion, with goodwill of $2.53 billion. Legal matters disclosed include a Siemens patent infringement suit over Positive Train Control technology, a Denver Transit contract dispute in which damages of $36.8 million through July 31, 2017 were alleged, and a proposed Department of Justice consent decree on employee non-solicitation allegations with several putative class actions following. The filing states no monetary fines or penalties were imposed on the company in the consent decree matter.

    May 4, 2018
  28. 2017-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2017

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported net sales of $957.9 million for the third quarter of 2017, up from $675.6 million a year earlier, with the increase driven mainly by acquisitions of $330.6 million, most of them related to the Faiveley Transport acquisition. Income from operations fell to $102.0 million from $120.1 million, and net income attributable to Wabtec shareholders declined to $67.4 million from $82.4 million, or $0.70 per diluted share versus $0.91. Cost of sales rose to 73.6% of sales from 68.6%, reflecting acquisition-related product mix, lower freight original equipment demand, and $20.4 million of higher project adjustments on certain existing contracts. Management attributed the lower effective tax rate of 15.7% in the quarter partly to $9.5 million of favorable deferred tax benefits. For the first nine months of 2017, net sales were $2.81 billion, up 29.2%, while net income attributable to Wabtec shareholders fell to $213.3 million from $267.1 million. Operating cash flow dropped sharply to $26.5 million from $246.9 million, driven by unfavorable working capital changes, including a $77.6 million unfavorable change in accounts payable and a $55.7 million unfavorable change in inventory. Total debt was $1.87 billion at September 30, 2017, and the company did not repurchase any shares during the first nine months of 2017. The Faiveley Transport acquisition, completed in stages from November 2016 to March 2017, is the dominant factor in the balance sheet and results. Goodwill rose to $2.38 billion from $2.08 billion, and the company now owns 100% of Faiveley Transport. The filing also discloses an ongoing contract dispute at Xorail, a subsidiary, in which Denver Transit alleged total damages of $36.8 million through July 31, 2017, which the company disputes.

    Nov 1, 2017
  29. 2017-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Jul 1, 2017

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported second-quarter 2017 net sales of $932.3 million, up 28.8% from $723.6 million a year earlier, driven primarily by acquisitions of $326.7 million, most notably Faiveley Transport, which Wabtec took to 100% ownership by March 21, 2017. Income from operations fell to $113.7 million from $133.3 million, and net income attributable to Wabtec shareholders declined to $72.0 million, or $0.75 per diluted share, from $90.5 million, or $1.00. Management attributed the decline to lower demand for freight original equipment products and train control and signaling products, the absence of a large 2016 locomotive rebuild contract, higher operating expenses from acquisitions, and a shift in product mix toward lower-margin transit products. Cost of sales rose to 70.6% of sales from 67.2%, and operating expenses to 17.2% from 14.4%. For the six months, net sales were $1.85 billion, up 23.6%, while cash used for operating activities was $13.7 million compared with $214.0 million provided a year earlier, reflecting unfavorable working capital changes and lower net income. Total debt was $1.99 billion at June 30, 2017, versus $1.89 billion at December 31, 2016, largely reflecting borrowings under the revolving credit facility used for the Faiveley acquisition. Goodwill rose to $2.34 billion and total equity fell to $2.58 billion from $2.98 billion, mainly because noncontrolling interest dropped from $770.8 million to $17.5 million after the Faiveley squeeze-out. The filing also discloses a Denver Transit Constructors claim against subsidiary Xorail alleging total damages of $29.9 million as of March 31, 2017, which the company disputes as to the wireless crossings, and notes that no claims have yet been filed on the TMDS delivery issue. The company reported no share repurchases during the first six months of 2017.

    Aug 3, 2017
  30. 2017-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2017

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2017 net sales of $916.0 million, up 18.7% from $772.0 million a year earlier, driven mainly by $307.2 million of sales from acquisitions, led by Faiveley Transport. Income from operations fell 19.2% to $114.9 million and net income fell 23.5% to $72.0 million, reflecting an unfavorable product mix, higher transit-segment sales with lower margins, and higher operating expenses. Net income attributable to Wabtec shareholders was $73.9 million, or $0.77 per diluted share, compared with $1.02 a year earlier. Cost of sales rose to 70.6% of sales from 66.9%, and total operating expenses rose to 17.0% of sales from 14.6%. Cash flow weakened sharply: operating activities used $26.1 million, compared with $75.6 million provided in the first quarter of 2016, due to unfavorable working capital and lower net income. Investing outflows of $63.1 million included $67.6 million for acquisitions, and the company completed the Faiveley Transport acquisition, reaching 100% ownership on March 21, 2017. Total debt was $1.87 billion at March 31, 2017, compared with $1.89 billion at December 31, 2016, and cash fell to $280.2 million from $398.5 million. The company repurchased no shares during the quarter. The filing also discloses a pending patent lawsuit filed by Siemens Industry over Positive Train Control technology, which the company says is without merit, and notes that the company expects no material impact from new accounting standards on net sales and operating income.

    May 4, 2017
  31. 2016-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2016

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2016 net sales of $675.6 million, down from $809.5 million a year earlier, and net income attributable to Wabtec shareholders of $82.4 million, or $0.91 per diluted share, versus $99.2 million, or $1.02, in the prior-year quarter. For the first nine months of 2016, net sales were $2.17 billion (down from $2.48 billion) and net income was $267.1 million, or $2.92 per diluted share. The decline was driven mainly by lower Specialty Products and Electronics sales in the Freight Segment, partly offset by acquisitions and higher Transit Segment sales. Income from operations fell to $120.1 million in the quarter, and total operating expenses rose to 13.7% of sales from 13.0%. The balance sheet grew in leverage. Long-term debt rose to $819.8 million at September 30, 2016 from $691.8 million at December 31, 2015, reflecting borrowings used to fund treasury stock purchases and acquisitions. The company repurchased 3,046,408 shares in the first nine months for $212.2 million, leaving $137.8 million under its authorization. Cash and cash equivalents were $250.4 million. Shareholders' equity was $1.73 billion. A pending acquisition of Faiveley Transport S.A. for about $1.7 billion, including assumed debt and net of cash acquired, is a major item. After the period end, on November 3, 2016, the company issued $750.0 million of 3.45% Senior Notes due 2026 to fund the cash portion of that transaction. The filing states that closing is subject to regulatory conditions and that timing is unknown.

    Nov 7, 2016
  32. 2016-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2016

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported net sales of $723.6 million for the second quarter of 2016, down 14.6% from $847.0 million a year earlier, and net income attributable to Wabtec shareholders of $90.5 million, or $1.00 per diluted share, compared with $101.5 million, or $1.04 per diluted share, in the prior-year quarter. The decline was driven mainly by the Freight Segment, where sales fell 25.7% on lower demand for original equipment rail products and train control and signaling products, while the Transit Segment grew 4.5%. For the first six months of 2016, net sales were $1.50 billion and net income was $184.6 million, or $2.02 per diluted share. Gross margin improved to 32.8% in the quarter from 31.6%, which management attributed to cost reduction initiatives. Cash flow from operations for the first six months rose to $214.0 million from $110.9 million, largely on working capital changes. The company repurchased 1,950,000 shares for $133.7 million in the first half and had $216.0 million left under its repurchase authorization. Cash and equivalents increased to $302.9 million, and long-term debt rose to $744.1 million, driven by revolving credit borrowings, after the company entered a $1.2 billion revolving credit agreement and a $400.0 million delayed draw term loan in June 2016. The filing also details the pending acquisition of Faiveley Transport S.A., with a total purchase price of about $1.8 billion including assumed debt. Closing depends on regulatory requirements, and the timing is unknown. Wabtec also faces a patent infringement lawsuit filed by Siemens Industry, Inc. concerning Positive Train Control technology, which the company says is without merit and is at a very preliminary stage.

    Jul 28, 2016
  33. 2016-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2016

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2016 net sales of $772.0 million, down from $818.6 million a year earlier, a decrease of 5.7%. Net income attributable to Wabtec shareholders was $94.2 million, or $1.02 per diluted share, compared with $96.2 million, or $0.99 per diluted share, in the prior-year quarter. The Freight Segment declined 13.5% on lower demand for freight original equipment products, while the Transit Segment grew 7.4%. Gross margin improved to 33.1% from 31.2%, reflecting cost reduction initiatives and favorable project performance, though operating expenses rose to 14.6% of sales from 13.1%, including $3.6 million of transaction costs tied to the Faiveley Transport acquisition. Cash flow from operations rose to $75.6 million from $43.7 million, aided by working capital improvements. Total assets were $3.38 billion at March 31, 2016, and long-term debt increased to $801.9 million from $691.8 million, primarily through revolving credit borrowings. The company repurchased 1,950,000 shares for $133.7 million, leaving $216.0 million under its authorization. Management also disclosed a pending acquisition of Faiveley Transport S.A. with a total purchase price of about $1.8 billion including assumed debt, with closing subject to regulatory conditions and timing that is unknown. The filing also discloses a lawsuit filed April 21, 2016 by Siemens Industry, Inc. alleging infringement of seven patents related to Positive Train Control technology, which the company believes is without merit.

    Apr 28, 2016
  34. 2015-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2015

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2015 net sales of $809.5 million, up from $797.3 million a year earlier, with net income attributable to Wabtec shareholders of $99.2 million, or $1.02 per diluted share, compared with $90.2 million, or $0.93 per diluted share, in the prior-year quarter. For the first nine months of 2015, net sales were $2.48 billion versus $2.22 billion, and net income was $296.8 million, or $3.05 per diluted share, versus $259.0 million, or $2.67 per diluted share. Income from operations for the nine months was $456.4 million, and operating cash flow was $255.3 million. Acquisitions contributed $217.5 million of sales in the nine-month period, while unfavorable foreign exchange reduced sales by $121.9 million. The most significant development is the proposed acquisition of Faiveley Transport S.A. The filing states the total purchase price offered is about $1.8 billion, including assumed debt, and that the combined company would have revenues of about $4.5 billion. Wabtec set aside a $209.1 million escrow deposit for the transaction before September 30, 2015. Consideration is 25% cash and 75% Wabtec preferred stock for the 51% majority holders, with a subsequent tender offer for the remaining public shares. On October 6, 2015, a definitive share purchase agreement was signed, but closing is subject to regulatory requirements and its timing is unknown. Balance sheet cash fell to $208.2 million from $425.8 million at December 31, 2014, largely reflecting the escrow deposit, acquisitions and debt repayments. Long-term debt was $450.6 million, and total shareholders' equity was $1.99 billion. The company repurchased 237,027 shares during the nine months, leaving $151.0 million under its repurchase authorization.

    Oct 29, 2015
  35. 2015-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2015

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported net sales of $847.0 million for the three months ended June 30, 2015, up from $731.1 million a year earlier, with net income attributable to Wabtec shareholders of $101.5 million, or $1.04 per diluted share, versus $88.7 million, or $0.91 per diluted share. For the six months ended June 30, 2015, net sales were $1,665.6 million and net income was $197.7 million, or $2.03 per diluted share. The Freight Segment drove growth, with segment sales up 29.9% in the quarter, while the Transit Segment sales declined 2.3%. Acquisitions contributed $82.5 million of quarterly sales growth, and unfavorable foreign exchange reduced sales by $45.3 million. Cash and cash equivalents fell to $264.8 million at June 30, 2015 from $425.8 million at December 31, 2014, and long-term debt decreased to $400.3 million from $520.4 million. For the first six months, operating cash flow was $110.9 million, compared with $137.7 million a year earlier, and the company paid $100.1 million net for acquisitions. The company did not repurchase shares during the first six months of 2015, leaving $173.2 million under its repurchase authorization. A significant subsequent event is the July 27, 2015 announcement of plans to acquire Faiveley Transport S.A., with a total purchase price of about $1.8 billion including assumed debt. The transaction is structured in steps, with an irrevocable offer for about 51% of Faiveley's shares at €100 per share, payable 25% in cash and 75% in Wabtec preferred stock, followed by a tender offer for the remaining public shares. The filing states that the combined company would have revenues of about $4.5 billion. The cash portion is to be funded with cash on hand, existing credit facilities and potentially other debt financing.

    Jul 30, 2015
  36. 2015-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2015

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2015 net sales of $818.6 million, up from $695.2 million a year earlier, and net income attributable to Wabtec shareholders of $96.2 million, or $0.99 per diluted share, compared with $80.1 million, or $0.83 per diluted share, in the prior-year quarter. Income from operations rose to $148.4 million from $121.8 million. The Freight Segment drove the growth, with sales of $511.9 million versus $385.5 million, while the Transit Segment's sales were $306.7 million versus $309.7 million. Acquisitions contributed $78.0 million of the sales increase, including the February 2015 purchase of Railroad Controls L.P. for approximately $75.7 million net of cash acquired. Foreign exchange reduced sales by $38.7 million. Cash and cash equivalents fell to $249.1 million at March 31, 2015 from $425.8 million at December 31, 2014, largely because of acquisition spending and net debt repayment. Long-term debt decreased to $420.4 million from $520.4 million, reflecting $211.8 million of debt payments against $111.7 million of proceeds, and the company said it had $602.8 million of available bank borrowing capacity. Net cash provided by operating activities was $43.7 million, compared with $26.2 million a year earlier. Other comprehensive loss widened to $86.1 million for the quarter, mainly from a $87.9 million foreign currency translation loss, which reduced comprehensive income attributable to Wabtec shareholders to $10.1 million. The company did not repurchase shares during the quarter, leaving $173.2 million under its stock repurchase authorization. Management stated that there were no material changes to the risk factors or legal proceedings described in its 2014 Form 10-K, and that the asbestos-related claims remained as previously described.

    Apr 30, 2015
  37. 2014-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2014

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2014 net sales of $797.3 million, up from $631.4 million in the prior-year quarter, with net income attributable to Wabtec shareholders of $90.2 million, or $0.93 per diluted share, compared with $73.9 million, or $0.76 per diluted share. For the first nine months of 2014, net sales were $2.22 billion and net income was $259.0 million, or $2.67 per diluted share. Income from operations rose to $136.0 million in the quarter and $390.1 million for the nine months, and gross profit margin improved to 31.0% in the quarter and 30.7% for the nine months. Growth was driven by acquisitions, including Fandstan Electric Group and Dia-Frag in 2014, and by higher demand for freight original equipment and aftermarket products. Acquisitions contributed $86.6 million of third-quarter sales and $147.0 million for the nine months. Operating cash flow for the nine months increased to $230.2 million from $85.0 million, while the company spent $299.7 million on acquisitions and repurchased 346,800 shares for $26.8 million. Total debt rose to $522.0 million at September 30, 2014, from $450.7 million at December 31, 2013, and the company reported $212.5 million of cash. The filing states that the company's disclosure controls are effective, that there were no material changes to its asbestos and litigation disclosures or risk factors from its 2013 Form 10-K, and that roughly 48% of nine-month revenues came from customers outside the U.S. The company also flagged that railroads and commuter authorities have said they cannot complete Positive Train Control implementation by the December 31, 2015 deadline, which could affect industry spending on that technology.

    Oct 30, 2014
  38. 2014-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2014

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported strong second-quarter 2014 results, with net sales of $731.1 million for the three months ended June 30, 2014, up from $638.0 million a year earlier, and net income attributable to Wabtec shareholders of $88.7 million, or $0.91 per diluted share, compared with $74.6 million, or $0.77 per diluted share, in the prior-year quarter. For the six months ended June 30, 2014, net sales were $1.43 billion and net income was $168.8 million, or $1.74 per diluted share. The filing attributes the sales growth primarily to higher demand for freight original equipment and aftermarket electronics and brakes, along with acquisitions, which added $60.3 million to first-half sales, and favorable foreign exchange. Cash flow from operations improved to $137.7 million for the first six months of 2014 from $45.1 million a year earlier, largely due to reduced working capital outflows. The company spent $199.4 million on acquisitions in the period, most notably Fandstan Electric Group Ltd., acquired on June 6, 2014 for a net purchase price of approximately $199.4 million. Total debt rose to $500.9 million at June 30, 2014, including a $250.0 million revolving credit facility balance, and the company repurchased 222,200 shares for $16.6 million, leaving $183.4 million under its repurchase authorization. Management reported that the company remains subject to asbestos-related claims and general litigation, with no material changes from its 2013 Form 10-K, and that disclosure controls were effective as of June 30, 2014. The filing also notes that the U.S. positive train control (PTC) deadline of December 31, 2015 may be affected by industry implementation delays, and that PTC revenue was about $145 million for the six months ended June 30, 2014.

    Jul 31, 2014
  39. 2014-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2014

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2014 net sales of $695.2 million, up from $615.5 million in the first quarter of 2013, a 13.0% increase. Income from operations rose to $121.8 million (17.5% of sales) from $103.7 million, and net income attributable to Wabtec shareholders was $80.1 million, or $0.83 per diluted share, versus $69.6 million, or $0.72 per diluted share, a year earlier. The Freight Segment drove much of the growth, with sales up 22.9% to $385.5 million, while the Transit Segment grew 2.6% to $309.7 million. Acquisitions contributed $20.7 million of sales and favorable foreign exchange added $1.4 million. Cash flow from operations was $26.2 million, down from $32.0 million, as higher working capital outflows offset stronger operating results; accounts receivable rose as the number of days to collect cash increased. Total assets grew to $2.92 billion and shareholders' equity to $1.68 billion from December 31, 2013. Long-term debt was essentially flat at $450.2 million, and the company had about $553.0 million of available bank borrowing capacity at quarter end. The company signed a definitive agreement on February 12, 2014 to acquire Fandstan Electric Group Ltd. for approximately $215.0 million, expected to close in the second quarter of 2014 in the Transit Segment. Management also noted that PTC revenue was about $70 million in the quarter and that the U.S. PTC implementation deadline of December 31, 2015 may be affected by any extension Congress grants.

    May 1, 2014
  40. 2013-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2013

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2013 net sales of $631.4 million, up from $587.6 million a year earlier, and net income attributable to Wabtec shareholders of $73.9 million, or $0.76 per diluted share, versus $63.0 million, or $0.65 per diluted share, in the prior-year quarter. For the first nine months of 2013, net sales were $1.88 billion and net income was $218.2 million, or $2.25 per diluted share. Growth was driven by acquisitions, which contributed $34.8 million of third-quarter sales, and by higher transit segment sales, which rose to $290.9 million, partly offset by a decline in the freight segment to $340.5 million. Balance sheet and liquidity changed meaningfully during the period. Cash rose to $281.0 million from $215.8 million at year-end 2012, while long-term debt increased to $539.6 million. The company issued $250.0 million of 4.375% Senior Notes due 2023 in August 2013 and repaid its $150.0 million 6.875% Senior Notes that matured on July 31, 2013. Nine-month acquisitions consumed $222.1 million in cash, including Napier Turbochargers and Longwood Industries. Operating cash flow was $85.0 million for the nine months, compared with $113.5 million a year earlier, mainly because of higher accounts receivable. The filing also notes a two-for-one stock split effective June 11, 2013, which increased the authorized common shares to 200.0 million, and a $10.9 million liability for uncertain tax positions. The Faiveley Transport USA asbestos-related claim was closed after Wabtec paid approximately $15.8 million. Management expects 2013 deliveries of new locomotives and freight cars to be slightly lower than in 2012.

    Oct 31, 2013
  41. 2013-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2013

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported net sales of $638.0 million for the three months ended June 30, 2013, up from $609.8 million a year earlier, and net income attributable to Wabtec shareholders of $74.6 million, or $0.77 per diluted share, compared with $64.7 million, or $0.67 per diluted share, in the prior-year quarter. For the six months ended June 30, 2013, net sales were $1,253.5 million and net income was $144.3 million, or $1.49 per diluted share. Growth was driven largely by the Transit Segment, whose sales rose to $283.1 million for the quarter from $202.1 million, including $34.0 million from acquisitions, while Freight Segment sales fell to $354.9 million from $407.7 million as lower demand for freight original equipment rail products reduced sales. Total assets were $2.52 billion at June 30, 2013, up from $2.35 billion at December 31, 2012, largely reflecting goodwill growth from acquisitions such as Napier Turbochargers Ltd. Long-term debt rose to $396.9 million from $317.9 million, driven by a $246.4 million balance on the revolving credit facility, and the $150.0 million 6.875% Senior Notes due July 31, 2013 are classified within long-term debt because the company states it intends and is able to refinance them under its 2011 Refinancing Credit Agreement. Cash flow from operations was $45.1 million for the six months, compared with $30.5 million a year earlier, while acquisitions used $115.1 million. The filing also reports a two-for-one stock split effective June 11, 2013, which increased authorized common shares to 200.0 million, and a $15.8 million payment to the Faiveley plaintiffs that closed that asbestos-related case. Management states that sales growth and a lower effective tax rate of 32.0% for the quarter drove the increase in net income.

    Jul 26, 2013
  42. 2013-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2013

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2013 net sales of $615.5 million, up from $583.3 million a year earlier, and net income attributable to Wabtec shareholders of $69.6 million, or $1.44 per diluted share, compared with $59.3 million, or $1.22 per diluted share, in the first quarter of 2012. Income from operations rose to $103.7 million from $94.1 million, and the effective income tax rate fell to 30.0% from 34.4%, which the company attributed mainly to a retroactive extension of the R&D tax credit and higher foreign income. Growth was driven by the Transit Segment, whose sales rose to $309.6 million from $186.0 million, including $39.3 million from acquisitions, while Freight Segment sales fell 23.0% to $305.9 million, mainly from lower demand for Specialty Products and Electronics. Cash flow and balance sheet activity were shaped by acquisitions. Net cash provided by operating activities was $32.0 million, versus $1.0 million a year earlier, while investing activities used $120.8 million, including $115.1 million for acquisitions, principally Napier Turbochargers Ltd. Total debt rose to $417.6 million at March 31, 2013 from $317.9 million at December 31, 2012, mainly from a $100.0 million increase in revolving credit facility borrowings. The 6.875% Senior Notes due August 2013 ($150.0 million) are classified as long-term because the company states it has the intent and ability to refinance them under its $600 million 2011 Refinancing Credit Agreement, which had approximately $271.1 million of available bank borrowing capacity. The filing reports no material changes to asbestos-related or other litigation disclosures or to risk factors from the 2012 Form 10-K. Management stated that the Company's disclosure controls and procedures were effective as of March 31, 2013, and that there was no change in internal control over financial reporting during the quarter.

    May 2, 2013
  43. 2012-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2012

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2012 net sales of $587.6 million, up from $498.8 million a year earlier, and net income attributable to Wabtec shareholders of $63.0 million, or $1.30 per diluted share, compared with $46.6 million, or $0.96 per diluted share. For the first nine months of 2012, net sales were $1.78 billion and net income was $187.0 million, or $3.85 per diluted share. The Freight Segment and Transit Segment both grew, with Transit sales rising 27.3% in the quarter, and the company cited $38.4 million of quarterly sales from acquisitions. Income from operations was $96.8 million, or 16.5% of sales, for the quarter. Cash flow from operations was $113.5 million for the first nine months of 2012, up from $100.0 million, but was absorbed by working-capital increases, with accounts receivable up $71.4 million. Net cash used for acquisitions was $102.3 million in the period, including the Mors Smitt and Tec Tran deals, and the company announced the acquisition of LH Group on October 1, 2012 for a net purchase price of about $47.8 million. Total debt was $432.9 million at September 30, 2012, including $150.0 million of 6.875% Senior Notes due August 2013, which the company says it intends to refinance under its 2011 Refinancing Credit Agreement. Cash was $282.1 million at quarter end. The company expects PTC revenue to exceed $200 million in 2012, compared with about $125 million in 2011, and it repurchased 376,300 shares for $28.0 million in the first nine months. The filing notes that about 50% of revenue in the first nine months came from customers outside the U.S., and that there were no material changes to asbestos, litigation, or environmental matters described in its 2011 Form 10-K.

    Nov 2, 2012
  44. 2012-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2012

    Westinghouse Air Brake Technologies Corporation reported second-quarter 2012 net sales of $609.8 million, up from $478.9 million a year earlier, with the Freight Segment up 45.6% to $407.7 million and the Transit Segment up 1.6% to $202.1 million. Income from operations rose to $100.9 million from $56.4 million, and net income attributable to Wabtec shareholders was $64.7 million, or $1.33 per diluted share, compared with $36.3 million, or $0.75 per diluted share, a year earlier. The filing attributes the improvement to higher sales volume and lower operating expenses, the latter helped by an $18.1 million court-ruling charge recorded in the second quarter of 2011. For the first six months of 2012, net sales were $1,193.1 million and net income was $124.0 million, or $2.56 per diluted share. Operating cash flow was $30.5 million, down from $66.0 million, as accounts receivable rose $87.1 million. Cash used in investing activities was $104.7 million, including $88.4 million for acquisitions, most notably Mors Smitt Holding. Long-term debt rose to $443.1 million at June 30, 2012 from $395.9 million at December 31, 2011, driven by a $292.0 million revolving credit balance. The company repurchased 298,800 shares for $21.9 million in the first half and had $102.1 million remaining under its repurchase authorization at June 30, 2012. Management expects positive train control revenue to exceed $200 million in 2012, compared with about $125 million in 2011.

    Aug 2, 2012
  45. 2012-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2012

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2012 net sales of $583.3 million, up from $455.3 million a year earlier, with the Freight Segment rising 50.0% to $397.3 million and the Transit Segment declining 2.3% to $186.0 million. Income from operations was $94.1 million, or 16.1% of sales, compared with $66.4 million, and net income attributable to Wabtec shareholders was $59.3 million, or $1.22 per diluted share, versus $41.0 million, or $0.85 per diluted share, a year earlier. The filing attributes the growth mainly to higher specialty products and electronics sales, $33.1 million from acquisitions, and higher remanufacturing, overhaul and build sales. Cash generation was weak in the quarter. Operating cash flow was only $1.0 million, compared with $16.5 million in the prior-year period, as accounts receivable rose $47.4 million and inventory rose $20.5 million. Cash fell to $269.3 million at March 31, 2012 from $285.6 million at year-end 2011, and total debt was $385.9 million. The company did not repurchase any shares in the quarter, and $124.0 million remained under its repurchase authorization. The filing also discloses an asbestos-related claims exposure through subsidiary Railroad Friction Products Corporation, which management believes will not be material, and a pending appeal of an $18.1 million jury verdict in the Faiveley Transport litigation. Management expects positive train control revenue to exceed $200 million in 2012, compared with about $125 million in 2011.

    May 3, 2012
  46. 2011-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2011

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2011 net sales of $498.8 million, up from $375.7 million a year earlier, with the Freight Group up 51.4% to $315.8 million and the Transit Group up 9.5% to $183.0 million. Net income attributable to Wabtec shareholders rose to $46.6 million, or $0.96 per diluted share, compared with $30.5 million, or $0.63 per diluted share, in the prior-year quarter. For the first nine months of 2011, net sales were $1.43 billion and net income was $123.9 million, or $2.56 per diluted share. Results were supported by higher freight rail demand, acquisitions, and favorable foreign exchange effects, though the company also recorded an $18.1 million charge related to a court ruling in the Faiveley litigation in the second quarter. Balance sheet and cash flow: Cash and equivalents were $221.1 million at September 30, 2011, against total debt of $406.2 million. Operating cash flow for the nine months was $100.0 million, while capital expenditures were $22.2 million and net acquisition spending was $51.8 million. Accounts receivable and inventories both increased during the period, consistent with higher sales volume. Total shareholders' equity was $1.01 billion. Subsequent events and financing: The company disclosed a November 7, 2011 refinancing that provides a $600 million, five-year revolving credit facility expiring November 7, 2016. The board increased the share repurchase authorization to $150 million in May 2011, with $126.2 million remaining at the end of the quarter. The filing also notes the Bearward Engineering acquisition, completed November 3, 2011, for a net purchase price of approximately $47.9 million.

    Nov 9, 2011
  47. 2011-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2011

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported strong second-quarter 2011 results, with net sales of $478.9 million, up from $374.1 million in the second quarter of 2010, and net income attributable to Wabtec shareholders of $36.3 million, or $0.75 per diluted share, compared with $31.2 million, or $0.65 per diluted share, a year earlier. The Freight Group drove the growth, with sales up 47.4% to $280.0 million, led by electronics and specialty products and acquisitions. The Transit Group grew 8.0% to $198.9 million, though lower locomotive build volumes and transit product sales partially offset gains. Income from operations rose to $56.4 million from $49.6 million, although gross margin slipped to 29.8% from 30.3%, and results absorbed an $18.1 million charge tied to a court verdict in the Faiveley litigation. For the first six months of 2011, net sales were $934.2 million and net income attributable to Wabtec shareholders was $77.3 million, or $1.60 per diluted share. Operating cash flow was $66.0 million, versus $24.4 million a year earlier, while cash used for acquisitions was $51.8 million. Acquisitions during the period included Brush Traction and an aftermarket transit parts business from GE Transportation. Total debt was $396.3 million at June 30, 2011, down from $422.1 million at December 31, 2010, and cash was $221.5 million. The company also increased its share repurchase authorization to $150 million, with $143.8 million remaining after $6.2 million of purchases through June 30, 2011. Management cites improving North American freight rail demand and stable transit market conditions as supportive of the outlook, while noting that government budget pressures could weigh on transit demand. The company intends to appeal the $18.1 million Faiveley verdict, which it has already recorded as a charge.

    Aug 4, 2011
  48. 2011-Q1

    Westinghouse Air Brake Technologies Quarterly Report for Q1 Ended Mar 31, 2011

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported first-quarter 2011 net sales of $455.3 million, up from $363.9 million a year earlier, with the filing stating that the Freight Group grew 60.4% while the Transit Group declined 4.2%. Income from operations rose to $66.4 million (14.6% of sales) from $51.2 million, and net income attributable to Wabtec shareholders was $41.0 million, or $0.85 per diluted share, compared with $30.4 million, or $0.63 per diluted share, in the prior-year quarter. Gross profit margin was 29.3% versus 29.8% a year earlier, and the company attributed the change to sales volume and product mix. Cash flow from operations was $16.5 million, compared with $12.4 million in the first quarter of 2010, as higher net income and non-cash items were partly offset by working capital growth, including a $35.9 million increase in accounts receivable. Cash fell to $200.7 million from $236.9 million at December 31, 2010, after $31.0 million of acquisition spending (including Brush Traction) and $7.4 million of capital expenditures. Total debt declined to $400.1 million from $422.1 million, and the company did not repurchase shares during the quarter. The filing also details an ongoing lawsuit brought by Faiveley Transport entities alleging trade secret misappropriation and other claims, in which the court granted the plaintiffs partial summary judgment on three of four claims on April 13, 2011; the company says it will continue to contest liability and that it does not believe the outcome would result in material legal liability, with trial scheduled for June 2011. Management expects freight rail conditions to improve in 2011 and transit conditions to be slightly weaker.

    May 9, 2011
  49. 2010-Q3

    Westinghouse Air Brake Technologies Quarterly Report for Q3 Ended Sep 30, 2010

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported third-quarter 2010 net sales of $375.7 million, up from $330.5 million a year earlier, and net income attributable to Wabtec shareholders of $30.5 million, or $0.63 per diluted share, versus $27.3 million, or $0.57, in the prior-year quarter. The increase was attributed mainly to higher Freight Group sales, which rose $84.1 million or 67.6%, including $25.4 million from acquisitions, partly offset by a $38.8 million or 18.9% decline in Transit Group sales. Income from operations was $50.6 million compared with $45.7 million. For the first nine months of 2010, net sales were $1,113.8 million, up 6.8%, and net income attributable to Wabtec shareholders was $92.1 million, or $1.92 per diluted share, compared with $90.8 million, or $1.89, a year earlier. Operating cash flow was $75.2 million versus $92.8 million in the prior-year period, which the company attributed to higher working capital needs, particularly receivables and inventory. Cash fell to $176.8 million at September 30, 2010, while total debt rose to $409.8 million, and the company spent $103.2 million on investing activities, including several acquisitions. The filing also describes ongoing legal matters, including asbestos-related claims against a subsidiary, which management believes will not be material, and a trade secret and unfair competition complaint filed by Faiveley entities in May 2010 that the company is contesting. Subsequent to quarter end, Wabtec acquired Swiger Coil Systems on November 5, 2010, funded from available cash reserves.

    Nov 8, 2010
  50. 2010-Q2

    Westinghouse Air Brake Technologies Quarterly Report for Q2 Ended Jun 30, 2010

    Westinghouse Air Brake Technologies Corporation (Wabtec) reported second-quarter 2010 net sales of $374.1 million, up from $334.0 million a year earlier, and net income attributable to Wabtec shareholders of $31.2 million, or $0.65 per diluted share, compared with $30.8 million, or $0.64 per diluted share, in the prior-year quarter. Income from operations rose to $49.6 million from $36.7 million, with the filing attributing the increase primarily to higher sales volume and operating margins, partly offset by higher selling, general and administrative expenses and income tax expense. The Freight Group drove the sales growth, with sales up $53.9 million, or 39.6%, while Transit Group sales fell $13.8 million, or 7.0%. For the first six months of 2010, net sales were $738.1 million and net income was $61.6 million, or $1.28 per diluted share, versus $63.5 million, or $1.32 per diluted share, a year earlier. The filing notes the decline in net income was mainly due to higher SG&A and income tax expense. Operating cash flow was $29.5 million for the six months, down from $38.0 million, as working capital increased, particularly accounts receivable. The company acquired Xorail for $39.9 million net of cash received, and agreed after quarter-end to acquire G&B Specialties for about $35.0 million. Total debt was $407.9 million at June 30, 2010, against cash of $166.5 million. The filing reports compliance with the covenants of the 2008 Refinancing Credit Agreement. It also describes an ongoing lawsuit by Faiveley Transport entities, which the company is vigorously contesting, and asbestos-related claims against its subsidiary RFPC, which management believes will not be material.

    Aug 5, 2010