How did Wabtec perform in the fourth quarter of 2025?

Sales rose 14.8% to $2.97 billion, driven by Freight, including the Inspection Technologies and Frauscher Sensor Technology acquisitions, and by Transit. Adjusted diluted EPS rose 25.0% to $2.10, while GAAP diluted EPS fell 4.1% to $1.18 due to restructuring costs, Portfolio Optimization charges and transaction costs tied to recent acquisitions.

What is Wabtec's 2026 financial guidance?

The company expects 2026 sales between $12.19 billion and $12.49 billion and adjusted diluted EPS between $10.05 and $10.45. The guidance includes the Dellner Couplers acquisition, which closed on February 10, 2026, and assumes tariffs in effect as of that date. The company did not provide a reconciliation of forecasted GAAP EPS to adjusted EPS.

How strong is the company's order backlog?

Total backlog reached a record $27.41 billion at December 31, 2025, up 23.1% from a year earlier. The 12-month backlog was $8.23 billion, up 7.2%. Management cited this backlog as providing strong visibility into 2026 and beyond.

What capital return actions did the board announce?

The board increased the quarterly common dividend by 24% to $0.31 per share, payable March 2, 2026 to holders of record on February 17, 2026. It also increased the share repurchase authorization to $1.2 billion. The company repurchased $223 million of shares in 2025.

How did cash generation and liquidity look at year-end 2025?

Full year cash from operations was $1.76 billion, with cash conversion of 104%. Total available liquidity was $3.21 billion, including $0.76 billion of cash and cash equivalents, and total debt was $5.54 billion at quarter end.

WAB 8-K: Earnings & Results & Regulation FD

01—Abstract

Summary

Summary of the 8-K filed February 11, 2026. Cited figures are marked; the original filing is the authoritative source.

Westinghouse Air Brake Technologies Corporation (Wabtec, NYSE: WAB) reported fourth quarter 2025 results on February 11, 2026, furnishing a press release (Exhibit 99.1) and an earnings presentation (Exhibit 99.2).

Fourth quarter sales were $2.97 billion^a, up 14.8% year over year, and GAAP diluted EPS was $1.18, down 4.1%. Adjusted diluted EPS was $2.10, up 25.0%. GAAP operating margin was 12.0% versus 12.9% a year earlier, while adjusted operating margin rose to 17.7% from 16.9%.

Fourth quarter cash from operations was $992 million^b, and the company stated a cash conversion of 292%. For full year 2025, sales were $11.17 billion, GAAP diluted EPS was $6.83 (up 13.1%), and adjusted diluted EPS was $8.97 (up 18.7%). Cash from operations was $1.76 billion, with cash conversion of 104%.

Total backlog reached a record $27.41 billion^c, up 23.1%, and the 12-month backlog was $8.23 billion, up 7.2%. The company guided 2026 sales to a range of $12.19 billion to $12.49 billion and adjusted diluted EPS to a range of $10.05 to $10.45. The guidance includes the Dellner Couplers acquisition, which closed February 10, 2026.

The board raised the quarterly dividend by 24% to $0.31^d per share and increased the share repurchase authorization to $1.2 billion. The company did not provide a quantitative reconciliation of forward GAAP EPS to adjusted EPS, citing the unreasonable efforts exemption.

02—Key points

Key Highlights

Q4 2025 sales of $2.97 billion, up 14.8% year over year, with Freight sales up 18.3% and Transit sales up 6.7%.
Q4 adjusted diluted EPS of $2.10, up 25.0%, while GAAP diluted EPS of $1.18 declined 4.1%.
FY 2025 sales of $11.17 billion, GAAP diluted EPS of $6.83 (up 13.1%) and adjusted diluted EPS of $8.97 (up 18.7%).
Total backlog of $27.41 billion at December 31, 2025, up 23.1%; 12-month backlog of $8.23 billion, up 7.2%.
2026 guidance: sales of $12.19 billion to $12.49 billion and adjusted diluted EPS of $10.05 to $10.45, including the Dellner Couplers acquisition closed February 10, 2026.
Quarterly dividend increased 24% to $0.31 per share; share repurchase authorization increased to $1.2 billion.
Liquidity of $3.21 billion at December 31, 2025, and total debt of $5.54 billion.

03—Questions

Frequently Asked Questions

How did Wabtec perform in the fourth quarter of 2025?
Sales rose 14.8% to $2.97 billion, driven by Freight, including the Inspection Technologies and Frauscher Sensor Technology acquisitions, and by Transit. Adjusted diluted EPS rose 25.0% to $2.10, while GAAP diluted EPS fell 4.1% to $1.18 due to restructuring costs, Portfolio Optimization charges and transaction costs tied to recent acquisitions.
What is Wabtec's 2026 financial guidance?
The company expects 2026 sales between $12.19 billion and $12.49 billion and adjusted diluted EPS between $10.05 and $10.45. The guidance includes the Dellner Couplers acquisition, which closed on February 10, 2026, and assumes tariffs in effect as of that date. The company did not provide a reconciliation of forecasted GAAP EPS to adjusted EPS.
How strong is the company's order backlog?
Total backlog reached a record $27.41 billion at December 31, 2025, up 23.1% from a year earlier. The 12-month backlog was $8.23 billion, up 7.2%. Management cited this backlog as providing strong visibility into 2026 and beyond.
What capital return actions did the board announce?
The board increased the quarterly common dividend by 24% to $0.31 per share, payable March 2, 2026 to holders of record on February 17, 2026. It also increased the share repurchase authorization to $1.2 billion. The company repurchased $223 million of shares in 2025.
How did cash generation and liquidity look at year-end 2025?
Full year cash from operations was $1.76 billion, with cash conversion of 104%. Total available liquidity was $3.21 billion, including $0.76 billion of cash and cash equivalents, and total debt was $5.54 billion at quarter end.

04—Continue

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