Tuesday, May 08, 2012

FreightCar America deliveries and earnings soar

Written by  Luther S. Miller, Senior Consulting Editor

FreightCar America delivered 2,613 freight cars in the first quarter of  2012, compared with 875 in the first quarter of 2011 and 2,489 in the fourth quarter of 2011. New orders totaled 1,244 in the first quarter of 2012, compared with 4,027 in the first quarter of 2011 and 4,481 in the fourth quarter of 2011.

Total manufacturing backlog was 6,934 units on March 31, 2012 compared to 5,206 units at March 31, 2011 and 8,303 units on Dec. 31, 2011.

The company reported revenue of $219.1 million and net income of $9.7 million, or $0.81 per diluted share in fourth-quarter 2012 vs. revenue of $72.2 million and a net loss of $1.3 million, or 11 cents per diluted share, in the same quarter of 2011. Revenue was $187.1 million and net income was $8.5 million, or 71 cents per diluted share, in the fourth quarter of 2011.

"I am pleased with the first quarter's strong results," said Ed Whalen, president and chief executive officer. "We were able to produce railcars at an efficient rate, meeting customers' delivery requirements while lowering manufacturing costs. We received orders for coal and other types of railcars despite the weak demand for coal. Coal demand was negatively impacted by the mild winter, lower electrical power consumption and low natural gas prices. We expect coal demand to remain under pressure in the near term."