A looming U.S. economic recession—just look at freight rail traffic figures from the past six months—and “cyclical industrial fears” have significantly impacted rail equipment equities, creating opportunities for long-term investors with what Cowen and Company analysts Matt Elkott, Jason Seidl (Railway Age Wall Street Contributing Editor) and Adam Kramer describe as “quality companies with self-forged narratives” like Wabtec, Trinity and Greenbrier.
The Greenbrier Companies, Inc. (GBRX) recently completed its acquisition of the manufacturing business of American Railcar Industries (ARI) from ITE Management LP (ITE).
The Greenbrier Companies (GBX) on July 2 reported 3Q2019 earnings of $15.2 million, or $.46 per diluted share, on a record quarterly revenue of $856.2 million.
The Greenbrier Companies, Inc. announced that its Senior Vice President and acting Chief Financial Officer Adrian Downes has been appointed Chief Financial Officer.
In a transaction valued at $400 million, the Greenbrier Companies, Inc. (GBRX) has entered into an agreement to acquire the manufacturing business of American Railcar Industries (ARI) from ITE Management LP (ITE), the hedge fund that bought ARI from investor Carl Icahn in December 2018. GBX said the result will be “a larger U.S. railcar manufacturing footprint, adding ARI’s two manufacturing facilities in Arkansas. It will employ more U.S. workers at cost-competitive and flexible facilities, with a more-efficient delivery model throughout North America, due to lower transportation costs.”
The Greenbrier Companies, in reporting financial results for its second fiscal quarter ended Feb. 28, said earnings it characterized as “underwhelming” due to certain one-time charges were expected and should be confined to the quarter.
The Greenbrier Companies announced March 22 that it had received orders for 3,800 new railcars with an aggregate value of nearly $450 million during its fiscal second quarter ended Feb. 28. At the same time, the company announced preliminary financial results for its fiscal second quarter.
The Greenbrier Cos. saw earnings decline on weaker revenue after lower deliveries of new railcars in the first quarter of fiscal 2019.
U.S.-based railcar builder The Greenbrier Cos. further extended its global footprint with an agreement for rail projects and freight cars in Saudi Arabia.
An estimated 64,000 DOT117J (new) and DOT117R (retrofit) tank cars will be produced over the 2019-2022 time frame as confidence grows in a tank car demand resurgence, according to Cowen and Company analyst Matt Elkott.