Wednesday, October 04, 2017

Greenbrier FY4Q orders reach 3,900

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Greenbrier FY4Q orders reach 3,900 The Greenbrier Companies

Two railcar orders, one for 2,500 railcars valued at $200 million, the other for 1,400 valued at $120 million, have brought the Greenbrier Companies, Inc. to a total of 3,900 units ordered in the company’s fiscal fourth quarter ended Aug. 31, 2017. Greenbrier also expects to exceed previously announced diluted EPS guidance of $3.45 to $3.65 for its 2017 fiscal year, “excluding expected moderate non-cash impairment charges related to interest in GBW Railcar Services.”

“This signals a strong start to Greenbrier’s fiscal 2018,” the company said. “[These] orders a broad range of railcar types including doublestack intermodal units, covered hoppers for carrying a variety of products, automotive-carrying railcars, and tank cars.”

“Order activity in the fourth quarter and early fiscal 2018 demonstrates the benefit of focusing on our core North American business while we continue to gain traction internationally,” said William A. Furman, Chairman and CEO. “More than 25% of orders announced [on Oct. 4, 2017] originated from markets outside North America. Greenbrier’s strategy remains to sustain our foundational North American business while we simultaneously expand our international presence. This strategy is helping to significantly grow Greenbrier’s global market opportunity, bringing greater balance through the peaks and valleys of the economic cycle.”

Furman noted that in its FY 2017, Greenbrier received orders for more than 16,500 railcars in North America, Europe and Brazil valued at $1.5 billion, more than double FY 2016. “This strong order activity contributed to our already diverse and high-quality backlog, providing visibility for fiscal 2018 and beyond,” he said. “Our backlog, combined with the order activity in the first month of the fiscal year, gives us continued confidence in current operating expectations.”

“While markets remain competitive, we expect EPS growth in fiscal 2018 to be driven by higher revenue and deliveries from domestic and foreign markets, broadening product lines, access to new global customers, and creative transactions like our recent multi-year agreement with Mitsubishi UFJ Lease & Finance,” Furman said.

Greenbrier expects to announce FY 2017 earnings and provide additional fiscal 2018 guidance on Friday, Oct.27.





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