• Live Feeds
    • Press Releases
    • Insider Trading
    • FDA Approvals
    • Analyst Ratings
    • Insider Trading
    • SEC filings
    • Market insights
  • Analyst Ratings
  • Alerts
  • Subscriptions
  • Settings
  • RSS Feeds
Quantisnow Logo
  • Live Feeds
    • Press Releases
    • Insider Trading
    • FDA Approvals
    • Analyst Ratings
    • Insider Trading
    • SEC filings
    • Market insights
  • Analyst Ratings
  • Alerts
  • Subscriptions
  • Settings
  • RSS Feeds
PublishDashboard
    Quantisnow Logo

    © 2025 quantisnow.com
    Democratizing insights since 2022

    Services
    Live news feedsRSS FeedsAlertsPublish with Us
    Company
    AboutQuantisnow PlusContactJobsAI employees
    Legal
    Terms of usePrivacy policyCookie policy

    Wabtec Reports Third Quarter 2024 Results; Raised and Tightened Adjusted EPS Guidance

    10/23/24 6:30:00 AM ET
    $WAB
    Railroads
    Industrials
    Get the next $WAB alert in real time by email
    • GAAP Diluted Earnings Per Share of $1.63, Up 22.6%; Adjusted Diluted Earnings Per Share of $2.00, Up 17.6%
    • GAAP Operating Margin at 16.3%; Adjusted Operating Margin Up 1.8 pts to 19.7%
    • Sales Growth of 4.4% to $2.66 billion
    • Returned $634 million to Shareholders via Share Repurchases and Dividends
    • Raised and tightened 2024 Adjusted Diluted EPS guidance to be in the range of $7.45 to $7.65; up 27.5% from 2023 at the midpoint

    Wabtec Corporation (NYSE:WAB) today reported third quarter 2024 GAAP earnings per diluted share of $1.63, up 22.6% versus the third quarter of 2023. Adjusted earnings per diluted share were $2.00, up 17.6% versus the same quarter a year ago. Third quarter sales were $2.66 billion and cash from operations was $542 million.

    "The Wabtec team delivered another strong quarter, evidenced by continued growth in sales, margin, earnings and operating cash flow," said Rafael Santana, Wabtec's President and CEO.

    "Demand for products and services has remained strong, and our pipeline of opportunities is robust, especially in our international markets. Our team's continued focus on product innovation, cost management, and relentless execution for our customers, along with our continued strong results, gives us confidence to raise our full year guidance again this quarter.

    "Our continued progress on expanding our backlog reinforces our ability to drive profitable growth ahead, consistent with our long term guidance."

    2024 Third Quarter Consolidated Results

    Wabtec Corporation Consolidated Financial Results

    $ in millions except earnings per share

    and percentages; margin change in percentage

    points (pts)

    Third Quarter

    2024

    2023

    Change

    Net Sales

    $2,663

    $2,550

    4.4 %

     

     

     

     

    GAAP Gross Margin

    33.0 %

    31.0 %

    2.0 pts

    Adjusted Gross Margin

    33.3 %

    31.5 %

    1.8 pts

    GAAP Operating Margin

    16.3 %

    14.5 %

    1.8 pts

    Adjusted Operating Margin

    19.7 %

    17.9 %

    1.8 pts

     

     

     

     

    GAAP Diluted EPS

    $1.63

    $1.33

    22.6 %

    Adjusted Diluted EPS

    $2.00

    $1.70

    17.6 %

     

     

     

     

    Cash Flow from Operations

    $542

    $425

    $117

    Operating Cash Flow Conversion

    129 %

    116 %

     

    • Sales increased 4.4% compared to the year-ago quarter driven by higher sales in both the Freight and Transit segments.
    • GAAP operating margin was higher than the prior year at 16.3%, and adjusted operating margin was higher than the prior year at 19.7%. Both GAAP and adjusted operating margins benefited from higher sales and improved gross margins.
    • GAAP EPS and adjusted EPS increased from the year-ago quarter primarily due to higher sales and operating margin expansion.

    2024 Third Quarter Freight Segment Results

    Wabtec Corporation Freight Segment Financial Results

    Net sales $ in millions; margin change in

    percentage points (pts)

    Third Quarter

    2024

    2023

    Change

    Net Sales

    $1,930

    $1,881

    2.6 %

    GAAP Gross Margin

    35.0 %

    32.4 %

    2.6 pts

    Adjusted Gross Margin

    35.1 %

    32.5 %

    2.6 pts

    GAAP Operating Margin

    20.2 %

    17.3 %

    2.9 pts

    Adjusted Operating Margin

    24.1 %

    21.2 %

    2.9 pts

    • Freight segment sales for the third quarter were up driven primarily by Services and Digital which were up 16.5% and 12.7%, respectively.
    • GAAP operating margin and adjusted operating margin benefited from higher sales, improved gross margin and operating expenses which grew at a slower rate than revenue.

    2024 Third Quarter Transit Segment Results

    Wabtec Corporation Transit Segment Financial Results

    Net sales $ in millions; margin change in

    percentage points (pts)

    Third Quarter

    2024

    2023

    Change

    Net Sales

    $733

    $669

    9.6 %

    GAAP Gross Margin

    28.2 %

    27.2 %

    1.0 pts

    Adjusted Gross Margin

    28.8 %

    28.9 %

    (0.1) pts

    GAAP Operating Margin

    10.8 %

    10.3 %

    0.5 pts

    Adjusted Operating Margin

    12.8 %

    12.5 %

    0.3 pts

    • Transit segment sales for the third quarter were up 9.6% driven by higher OE sales.
    • GAAP operating margins were up 0.5 percentage points behind lower restructuring and transaction costs.
    • Adjusted operating margins were up behind improved operating expenses as a percent of revenue; partially offset by lower gross margins.

    Backlog

    Wabtec Corporation Consolidated Backlog Comparison

    Backlog $ in millions

    September 30,

     

    2024

    2023

    Change

    12-Month Backlog

    $7,624

    $7,091

    7.5 %

    Total Backlog

    $22,234

    $21,483

    3.5 %

    The Company's multi-year backlog continues to provide strong visibility. At September 30, 2024, the 12-month backlog was $533 million higher than the prior year period. At September 30, 2024, the multi-year backlog was $751 million higher than the prior year period, and excluding foreign currency exchange, the multi-year backlog was $692 million higher, up 3.2%.

    Cash Flow and Liquidity Summary

    • During the third quarter, cash provided by operations was $542 million versus $425 million in the year ago period due primarily to higher net income and increased accounts receivable securitization funding.
    • At the end of the quarter, the Company had cash, cash equivalents and restricted cash of $410 million and total debt of $4.02 billion. At September 30, 2024, the Company's total available liquidity was $1.90 billion, which includes cash and cash equivalents plus $1.50 billion available under current credit facilities.
    • During the quarter, the Company repurchased $599 million of Wabtec shares and paid $35 million in dividends.

    2024 Financial Guidance

    • Wabtec raised and tightened its 2024 adjusted EPS guidance to be in the range of $7.45 to $7.65. Wabtec's revenue guidance range remains unchanged at $10.25 billion to $10.55 billion.
    • For full year 2024, Wabtec expects operating cash flow conversion of greater than 90 percent.

    Forecasted GAAP Earnings Reconciliation

    Wabtec is not presenting a quantitative reconciliation of our forecasted GAAP earnings per diluted share to forecasted adjusted earnings per diluted share in reliance on the unreasonable efforts exemption provided under Item 10(e)(1)(i)(B) of Regulation S-K. Wabtec is unable to predict with reasonable certainty and without unreasonable effort the impact and timing of restructuring-related and other charges, including acquisition-related expenses and the outcome of certain regulatory, legal and tax matters. The financial impact of these items is uncertain and is dependent on various factors, including timing, and could be material to our Consolidated Statements of Earnings.

    Conference Call Information

    Wabtec will host a call with analysts and investors at 8:30 a.m. ET, today. To listen via webcast, go to Wabtec's website at www.WabtecCorp.com and click on "Events & Presentations" in the "Investor Relations" section. Also, an audio replay of the call will be available by calling 1-877-344-7529 or 1-412-317-0088 (access code: 7519289).

    About Wabtec

    Wabtec Corporation (NYSE:WAB) is revolutionizing the way the world moves for future generations. The company is a leading global provider of equipment, systems, digital solutions and value-added services for the freight and transit rail industries, as well as the mining, marine and industrial markets. Wabtec has been a leader in the rail industry for over 150 years and has a vision to achieve a zero-emission rail system in the U.S. and worldwide. Visit Wabtec's website at www.wabteccorp.com.

    Information about non-GAAP Financial Information and Forward-Looking Statements

    Wabtec's earnings release and 2024 financial guidance mentions certain non-GAAP financial performance measures, including adjusted gross profit, adjusted operating expenses, adjusted operating margin, adjusted gross margin, EBITDA, adjusted EBITDA, adjusted income tax expense, adjusted income from operations, adjusted interest and other expense, adjusted net income, adjusted earnings per diluted share and operating cash flow conversion. Wabtec defines EBITDA as earnings before interest, taxes, depreciation and amortization. Adjusted EBITDA is further adjusted by restructuring costs. Wabtec defines operating cash flow conversion as net cash provided by operating activities divided by net income plus depreciation and amortization including deferred debt cost amortization. While Wabtec believes these are useful supplemental measures for investors, they are not presented in accordance with GAAP. Investors should not consider non-GAAP measures in isolation or as a substitute for net income, cash flows from operations, or any other items calculated in accordance with GAAP. In addition, the non-GAAP financial measures included in this release have inherent material limitations as performance measures because they add back certain expenses incurred by the Company to GAAP financial measures, resulting in those expenses not being taken into account in the applicable non-GAAP financial measure. Because not all companies use identical calculations, Wabtec's presentation of non-GAAP financial measures may not be comparable to other similarly titled measures of other companies. Included in this release are reconciliation tables that provide details about how adjusted results relate to GAAP results.

    This communication contains "forward-looking" statements as that term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. All statements, other than historical facts, including statements regarding Wabtec's plans, objectives, expectations and intentions; Wabtec's expectations about future sales, earnings and cash conversion and statements regarding macro-economic conditions and evolving production and demand conditions; and any assumptions underlying any of the foregoing, are forward-looking statements. Forward-looking statements concern future circumstances and results and other statements that are not historical facts and are sometimes identified by the words "may," "will," "should," "potential," "intend," "expect," "endeavor," "seek," "anticipate," "estimate," "overestimate," "underestimate," "believe," "could," "project," "predict," "continue," "target" or other similar words or expressions. Forward-looking statements are based upon current plans, estimates and expectations that are subject to risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. The inclusion of such statements should not be regarded as a representation that such plans, estimates or expectations will be achieved. Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, (1) changes in general economic and/or industry specific conditions, including the impacts of tax and tariff programs, inflation, supply chain disruptions, foreign currency exchange, and industry consolidation; (2) changes in the financial condition or operating strategies of Wabtec's customers; (3) unexpected costs, charges or expenses resulting from acquisitions and potential failure to realize synergies and other anticipated benefits of acquisitions, including as a result of integrating acquired targets into Wabtec; (4) inability to retain and hire key personnel; (5) evolving legal, regulatory and tax regimes; (6) changes in the expected timing of projects; (7) a decrease in freight or passenger rail traffic; (8) an increase in manufacturing costs; (9) actions by third parties, including government agencies; (10) the impacts of epidemics, pandemics, or similar public health crises on the global economy and, in particular, our customers, suppliers and end-markets, (11) potential disruptions, instability, and volatility in global markets as a result of global military action, acts of terrorism or armed conflict, including from the imposition of economic sanctions on Russia resulting from the invasion of Ukraine; (12) cybersecurity and data protection risks and (13) other risk factors as detailed from time to time in Wabtec's reports filed with the SEC, including Wabtec's annual report on Form 10-K, periodic quarterly reports on Form 10-Q, current reports on Form 8-K and other documents filed with the SEC. The foregoing list of important factors is not exclusive. Any forward-looking statements speak only as of the date of this communication. Wabtec does not undertake any obligation to update any forward-looking statements, whether as a result of new information or development, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.

    WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORPORATION
    CONDENSED CONSOLIDATED STATEMENTS OF INCOME
    FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2024 AND 2023
    (AMOUNTS IN MILLIONS EXCEPT PER SHARE DATA)
    (UNAUDITED)
     
     
    Three Months Ended Nine Months Ended
    September 30, September 30,

    2024

    2023

    2024

    2023

     
    Net sales

    $

    2,663

     

    $

    2,550

     

    $

    7,804

     

    $

    7,151

     

    Cost of sales

     

    (1,783

    )

     

    (1,758

    )

     

    (5,235

    )

     

    (4,971

    )

    Gross profit

     

    880

     

     

    792

     

     

    2,569

     

     

    2,180

     

    Gross profit as a % of Net Sales

     

    33.0

    %

     

    31.0

    %

     

    32.9

    %

     

    30.5

    %

     
    Selling, general and administrative expenses

     

    (318

    )

     

    (295

    )

     

    (915

    )

     

    (843

    )

    Engineering expenses

     

    (50

    )

     

    (53

    )

     

    (155

    )

     

    (157

    )

    Amortization expense

     

    (79

    )

     

    (74

    )

     

    (224

    )

     

    (222

    )

    Total operating expenses

     

    (447

    )

     

    (422

    )

     

    (1,294

    )

     

    (1,222

    )

    Operating expenses as a % of Net Sales

     

    16.8

    %

     

    16.5

    %

     

    16.6

    %

     

    17.1

    %

     
    Income from operations

     

    433

     

     

    370

     

     

    1,275

     

     

    958

     

    Income from operations as a % of Net Sales

     

    16.3

    %

     

    14.5

    %

     

    16.3

    %

     

    13.4

    %

     
    Interest expense, net

     

    (52

    )

     

    (60

    )

     

    (148

    )

     

    (163

    )

    Other (expense) income, net

     

    (3

    )

     

    10

     

     

    (1

    )

     

    17

     

    Income before income taxes

     

    378

     

     

    320

     

     

    1,126

     

     

    812

     

     
    Income tax expense

     

    (92

    )

     

    (78

    )

     

    (272

    )

     

    (204

    )

    Effective tax rate

     

    24.2

    %

     

    24.5

    %

     

    24.1

    %

     

    25.1

    %

     
    Net income

     

    286

     

     

    242

     

     

    854

     

     

    608

     

     
    Less: Net income attributable to noncontrolling interest

     

    (3

    )

     

    (2

    )

     

    (10

    )

     

    (8

    )

     
    Net income attributable to Wabtec shareholders

    $

    283

     

    $

    240

     

    $

    844

     

    $

    600

     

     
    Earnings Per Common Share
    Basic
    Net income attributable to Wabtec shareholders

    $

    1.63

     

    $

    1.34

     

    $

    4.81

     

    $

    3.34

     

     
    Diluted
    Net income attributable to Wabtec shareholders

    $

    1.63

     

    $

    1.33

     

    $

    4.80

     

    $

    3.33

     

     
     
    Basic

     

    173.4

     

     

    178.6

     

     

    175.1

     

     

    179.1

     

    Diluted

     

    174.1

     

     

    179.2

     

     

    175.7

     

     

    179.7

     

     
    Segment Information
    Freight Net Sales

    $

    1,930

     

    $

    1,881

     

    $

    5,674

     

    $

    5,134

     

    Freight Income from Operations

    $

    390

     

    $

    325

     

    $

    1,149

     

    $

    820

     

    Freight Operating Margin

     

    20.2

    %

     

    17.3

    %

     

    20.2

    %

     

    16.0

    %

     
    Transit Net Sales

    $

    733

     

    $

    669

     

    $

    2,130

     

    $

    2,017

     

    Transit Income from Operations

    $

    79

     

    $

    70

     

    $

    235

     

    $

    208

     

    Transit Operating Margin

     

    10.8

    %

     

    10.3

    %

     

    11.0

    %

     

    10.3

    %

     
    Backlog Information (Note: 12-month is a sub-set of total) September 30, 2024 June 30, 2024 September 30, 2023
    Freight Total

    $

    17,756

     

    $

    17,929

     

    $

    17,570

     

    Transit Total

     

    4,478

     

     

    4,146

     

     

    3,913

     

    Wabtec Total

    $

    22,234

     

    $

    22,075

     

    $

    21,483

     

     
    Freight 12-Month

    $

    5,589

     

    $

    5,504

     

    $

    5,254

     

    Transit 12-Month

     

    2,035

     

     

    1,830

     

     

    1,837

     

    Wabtec 12-Month

    $

    7,624

     

    $

    7,334

     

    $

    7,091

     

    WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORPORATION
    CONDENSED CONSOLIDATED BALANCE SHEETS
    (UNAUDITED)
     
     
    September 30, 2024 December 31, 2023
    In millions
    Cash, cash equivalents and restricted cash

    $

    410

    $

    620

    Receivables, net

     

    1,782

     

    1,684

    Inventories, net

     

    2,380

     

    2,284

    Other current assets

     

    202

     

    267

    Total current assets

     

    4,774

     

    4,855

    Property, plant and equipment, net

     

    1,439

     

    1,485

    Goodwill

     

    8,786

     

    8,780

    Other intangible assets, net

     

    2,996

     

    3,205

    Other noncurrent assets

     

    649

     

    663

    Total assets

    $

    18,644

    $

    18,988

    Current liabilities

    $

    3,681

    $

    4,056

    Long-term debt

     

    3,517

     

    3,288

    Long-term liabilities - other

     

    1,155

     

    1,120

    Total liabilities

     

    8,353

     

    8,464

    Shareholders' equity

     

    10,250

     

    10,487

    Noncontrolling interest

     

    41

     

    37

    Total shareholders' equity

     

    10,291

     

    10,524

    Total Liabilities and Shareholders' Equity

    $

    18,644

    $

    18,988

     
    WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORPORATION
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    (UNAUDITED)
     
    Nine Months Ended September 30,

    2024

    2023

    In millions
    Operating activities
    Net income

    $

    854

     

    $

    608

     

    Non-cash expense

     

    387

     

     

    372

     

    Receivables

     

    (92

    )

     

    (214

    )

    Inventories

     

    (115

    )

     

    (201

    )

    Accounts Payable

     

    87

     

     

    (50

    )

    Other assets and liabilities

     

    (10

    )

     

    -

     

    Net cash provided by operating activities

     

    1,111

     

     

    515

     

     
    Net cash used for investing activities

     

    (106

    )

     

    (336

    )

     
    Net cash used for financing activities

     

    (1,209

    )

     

    (323

    )

     
    Effect of changes in currency exchange rates

     

    (6

    )

     

    (5

    )

     
    Decrease in cash

     

    (210

    )

     

    (149

    )

     
    Cash, cash equivalents and restricted cash, beginning of period

     

    620

     

     

    541

     

    Cash, cash equivalents and restricted cash, end of period

    $

    410

     

    $

    392

     

    Set forth below is the calculation of the non-GAAP performance measures included in this press release. We believe that these measures provide useful supplemental information to assess our operating performance and to evaluate period-to-period comparisons. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, Wabtec's reported results prepared in accordance with GAAP.
     
    Wabtec Corporation
    Reconciliation of Reporte Results to Adjusted Results
    (in millions) Third Quarter 2024 Actual Results
    Gross Operating Income from Interest & Noncontrolling Wabtec
    Net Sales Profit Expenses Operations Other Exp Tax Net Income Interest Net Income EPS
     
    Reported Results

    $

    2,663

    $

    880

    $

    (447

    )

    $

    433

    $

    (55

    )

    $

    (92

    )

    $

    286

    $

    (3

    )

    $

    283

    $

    1.63

     
    Restructuring and Portfolio Optimization costs

     

    -

     

    7

     

    11

     

     

    18

     

    -

     

     

    (4

    )

     

    14

     

    -

     

     

    14

    $

    0.07

     
    Non-cash Amortization expense

     

    -

     

    -

     

    73

     

     

    73

     

    -

     

     

    (19

    )

     

    54

     

    -

     

     

    54

    $

    0.30

     
    Adjusted Results

    $

    2,663

    $

    887

    $

    (363

    )

    $

    524

    $

    (55

    )

    $

    (115

    )

    $

    354

    $

    (3

    )

    $

    351

    $

    2.00

     
    Fully Diluted Shares Outstanding

     

    174.1

     
     
     
    Wabtec Corporation
    Reconciliation of Reported Results to Adjusted Results
    (in millions) Third Quarter Year-to-Date 2024 Actual Results
    Gross Operating Income from Interest & Noncontrolling Wabtec
    Net Sales Profit Expenses Operations Other Exp Tax Net Income Interest Net Income EPS
     
    Reported Results

    $

    7,804

    $

    2,569

    $

    (1,294

    )

    $

    1,275

    $

    (149

    )

    $

    (272

    )

    $

    854

    $

    (10

    )

    $

    844

    $

    4.80

     
    Restructuring and Portfolio Optimization costs

     

    -

     

    19

     

    19

     

     

    38

     

    (4

    )

     

    (8

    )

     

    26

     

    -

     

     

    26

    $

    0.14

     
    Non-cash Amortization expense

     

    -

     

    -

     

    216

     

     

    216

     

    -

     

     

    (53

    )

     

    163

     

    -

     

     

    163

    $

    0.92

     
    Adjusted Results

    $

    7,804

    $

    2,588

    $

    (1,059

    )

    $

    1,529

    $

    (153

    )

    $

    (333

    )

    $

    1,043

    $

    (10

    )

    $

    1,033

    $

    5.86

     
    Fully Diluted Shares Outstanding

     

    175.7

     
    Set forth below is the calculation of the non-GAAP performance measures included in this press release. We believe that these measures provide useful supplemental information to assess our operating performance and to evaluate period-to-period comparisons. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, Wabtec's reported results prepared in accordance with GAAP.
    Wabtec Corporation
    Reconciliation of Reported Results to Adjusted Results
    (in millions) Third Quarter 2023 Actual Results
    Gross Operating Income from Interest & Noncontrolling Wabtec
    Net Sales Profit Expenses Operations Other Exp Tax Net Income Interest Net Income EPS
     
    Reported Results

    $

    2,550

    $

    792

    $

    (422

    )

    $

    370

    $

    (50

    )

    $

    (78

    )

    $

    242

    $

    (2

    )

    $

    240

    $

    1.33

     
    Restructuring costs

     

    -

     

    13

     

    -

     

     

    13

     

    -

     

     

    (3

    )

     

    10

     

    -

     

     

    10

    $

    0.06

     
    Non-cash Amortization expense

     

    -

     

    -

     

    74

     

     

    74

     

    -

     

     

    (19

    )

     

    55

     

    -

     

     

    55

    $

    0.31

     
    Adjusted Results

    $

    2,550

    $

    805

    $

    (348

    )

    $

    457

    $

    (50

    )

    $

    (100

    )

    $

    307

    $

    (2

    )

    $

    305

    $

    1.70

     
    Fully Diluted Shares Outstanding

     

    179.2

     
     
     
    Wabtec Corporation
    Reconciliation of Reported Results to Adjusted Results
    (in millions) Third Quarter Year-to-Date 2023 Actual Results
    Gross Operating Income from Interest & Noncontrolling Wabtec
    Net Sales Profit Expenses Operations Other Exp Tax Net Income Interest Net Income EPS
     
    Reported Results

    $

    7,151

    $

    2,180

    $

    (1,222

    )

    $

    958

    $

    (146

    )

    $

    (204

    )

    $

    608

    $

    (8

    )

    $

    600

    $

    3.33

     
    Restructuring costs

     

    -

     

    25

     

    7

     

     

    32

     

    -

     

     

    (8

    )

     

    24

     

    -

     

     

    24

    $

    0.13

     
    Non-cash Amortization expense

     

    -

     

    -

     

    222

     

     

    222

     

    -

     

     

    (56

    )

     

    166

     

    -

     

     

    166

    $

    0.92

     
    Adjusted Results

    $

    7,151

    $

    2,205

    $

    (993

    )

    $

    1,212

    $

    (146

    )

    $

    (268

    )

    $

    798

    $

    (8

    )

    $

    790

    $

    4.38

     
    Fully Diluted Shares Outstanding

     

    179.7

     
    Set forth below is the calculation of the non-GAAP performance measures included in this press release. We believe that these measures provide useful supplemental information to assess our operating performance and to evaluate period-to-period comparisons. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, Wabtec's reported results prepared in accordance with GAAP.

     

    Wabtec Corporation
    Reconciliation of Reported Results to Adjusted Results
    (in millions) Fourth Quarter Year-to-Date 2023 Actual Results
    Gross Operating Income from Interest & Noncontrolling Wabtec
    Net Sales Profit Expenses Operations Other Exp Tax Net Income Interest Net Income EPS
     
    Reported Results

    $

    9,677

    $

    2,944

    $

    (1,678

    )

    $

    1,266

    $

    (174

    )

    $

    (267

    )

    $

    825

     

    $

    (10

    )

    $

    815

     

    $

    4.53

     

     
    Restructuring and Portfolio Optimization costs

     

    -

     

    38

     

    41

     

     

    79

     

    -

     

     

    (17

    )

     

    62

     

     

    -

     

     

    62

     

    $

    0.34

     

     
    Gain on LKZ Investment

     

    -

     

    -

     

    -

     

     

    -

     

    (35

    )

     

    -

     

     

    (35

    )

     

    -

     

     

    (35

    )

    $

    (0.19

    )

     
    Non-cash Amortization expense

     

    -

     

    -

     

    298

     

     

    298

     

    -

     

     

    (74

    )

     

    224

     

     

    -

     

     

    224

     

    $

    1.24

     

     
    Adjusted Results

    $

    9,677

    $

    2,982

    $

    (1,339

    )

    $

    1,643

    $

    (209

    )

    $

    (358

    )

    $

    1,076

     

    $

    (10

    )

    $

    1,066

     

    $

    5.92

     

     
    Fully Diluted Shares Outstanding

     

    179.5

     

     
     
     
    Wabtec Corporation
    Reconciliation of Reported Results to Adjusted Results
    (in millions) Fourth Quarter Year-to-Date 2022 Actual Results
    Gross Operating Income from Interest & Noncontrolling Wabtec
    Net Sales Profit Expenses Operations Other Exp Tax Net Income Interest Net Income EPS
     
    Reported Results

    $

    8,362

    $

    2,540

    $

    (1,529

    )

    $

    1,011

    $

    (157

    )

    $

    (213

    )

    $

    641

     

    $

    (8

    )

    $

    633

     

    $

    3.46

     

     
    Restructuring costs

     

    -

     

    43

     

    9

     

     

    52

     

    -

     

     

    (13

    )

     

    39

     

     

    -

     

     

    39

     

    $

    0.21

     

     
    Non-cash Amortization expense

     

    -

     

    -

     

    291

     

     

    291

     

    -

     

     

    (73

    )

     

    218

     

     

    -

     

     

    218

     

    $

    1.19

     

     
    Adjusted Results

    $

    8,362

    $

    2,583

    $

    (1,229

    )

    $

    1,354

    $

    (157

    )

    $

    (299

    )

    $

    898

     

    $

    (8

    )

    $

    890

     

    $

    4.86

     

     
    Fully Diluted Shares Outstanding

     

    182.8

     

     
    Set forth below is the calculation of the non-GAAP performance measures included in this press release. We believe that these measures provide useful supplemental information to assess our operating performance and to evaluate period-to-period comparisons. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, Wabtec's reported results prepared in accordance with GAAP.
     
    Wabtec Corporation
    2024 Q3 EBITDA Reconciliation
    (in millions)
    Reported Income + Other Income + Depreciation & = EBITDA + Restructuring = Adjusted
    from Operations (Expense) Amortization Costs EBITDA
     
    Consolidated Results

    $433

    ($3)

    $133

    $563

    $4

    $567

     
     
    Wabtec Corporation
    2024 Q3 YTD EBITDA Reconciliation
    (in millions)
    Reported Income + Other Income + Depreciation & = EBITDA + Restructuring = Adjusted
    from Operations (Expense) Amortization Costs EBITDA
     
    Consolidated Results

    $1,275

    ($1)

    $371

    $1,645

    $17

    $1,662

     
     
     
    Wabtec Corporation
    2023 Q3 EBITDA Reconciliation
    (in millions)
    Reported Income + Other Income + Depreciation & = EBITDA + Restructuring = Adjusted
    from Operations (Expense) Amortization Costs EBITDA
     
    Consolidated Results

    $370

    $10

    $124

    $504

    $10

    $514

     
     
    Wabtec Corporation
    2023 Q3 YTD EBITDA Reconciliation
    (in millions)
    Reported Income + Other Income + Depreciation & = EBITDA + Restructuring = Adjusted
    from Operations (Expense) Amortization Costs EBITDA
     
    Consolidated Results

    $958

    $17

    $367

    $1,342

    $24

    $1,366

     
    WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORPORATION
    SALES BY PRODUCT LINE
    (UNAUDITED)
     
    Three Months Ended September 30,
    In millions

    2024

    2023

    Freight Segment
    Equipment

    $

    513

    $

    620

    Components

     

    296

     

    293

    Digital Intelligence

     

    204

     

    181

    Services

     

    917

     

    787

    Total Freight Segment

    $

    1,930

    $

    1,881

     
    Transit Segment
    Original Equipment Manufacturer

    $

    349

    $

    308

    Aftermarket

     

    384

     

    361

    Total Transit Segment

    $

    733

    $

    669

     
     
    Nine Months Ended September 30,
    In millions

    2024

    2023

    Freight Segment
    Equipment

    $

    1,609

    $

    1,442

    Components

     

    911

     

    825

    Digital Intelligence

     

    579

     

    563

    Services

     

    2,575

     

    2,304

    Total Freight Segment

    $

    5,674

    $

    5,134

     
    Transit Segment
    Original Equipment Manufacturer

    $

    969

    $

    931

    Aftermarket

     

    1,161

     

    1,086

    Total Transit Segment

    $

    2,130

    $

    2,017

    WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORPORATION
    RECONCILIATION OF REPORTED RESULTS TO ADJUSTED RESULTS - BY SEGMENT
    (UNAUDITED)
     
    Three Months Ended September 30, Nine Months Ended September 30,

    2024

    2023

    2024

    2023

    In millions Gross Profit Income from

    Operations
    Gross Profit Income from

    Operations
    Gross Profit Income from

    Operations
    Gross Profit Income from

    Operations
     
    Freight Segment Reported Results

    $

    673

    $

    390

    $

    609

    $

    325

    $

    1,967

    $

    1,149

    $

    1,625

    $

    820

    Freight Segment Reported Margin

     

    35.0%

     

    20.2%

     

    32.4%

     

    17.3%

     

    34.7%

     

    20.2%

     

    31.7%

     

    16.0%

     
    Restructuring and Portfolio Optimization costs

     

    2

     

    10

     

    2

     

    3

     

    10

     

    18

     

    8

     

    11

    Non-cash Amortization expense

     

    -

     

    67

     

    -

     

    69

     

    -

     

    201

     

    -

     

    206

     
    Freight Segment Adjusted Results

    $

    675

    $

    467

    $

    611

    $

    397

    $

    1,977

    $

    1,368

    $

    1,633

    $

    1,037

    Freight Segment Adjusted Margin

     

    35.1%

     

    24.1%

     

    32.5%

     

    21.2%

     

    34.8%

     

    24.1%

     

    31.8%

     

    20.2%

     
     
    Transit Segment Reported Results

    $

    207

    $

    79

    $

    183

    $

    70

    $

    602

    $

    235

    $

    555

    $

    208

    Transit Segment Reported Margin

     

    28.2%

     

    10.8%

     

    27.2%

     

    10.3%

     

    28.2%

     

    11.0%

     

    27.5%

     

    10.3%

     
    Restructuring costs

     

    5

     

    8

     

    11

     

    10

     

    9

     

    20

     

    17

     

    21

    Non-cash Amortization expense

     

    -

     

    6

     

    -

     

    5

     

    -

     

    15

     

    -

     

    16

     
    Transit Segment Adjusted Results

    $

    212

    $

    93

    $

    194

    $

    85

    $

    611

    $

    270

    $

    572

    $

    245

    Transit Segment Adjusted Margin

     

    28.8%

     

    12.8%

     

    28.9%

     

    12.5%

     

    28.7%

     

    12.7%

     

    28.3%

     

    12.1%

     
    WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORPORATION
    RECONCILIATION OF CHANGES IN NET SALES - BY SEGMENT
    (UNAUDITED)
     
    Three Months Ended September 30,
    In millions Freight Transit Consolidated
     
    2023 Net Sales

    $

    1,881

     

    $

    669

     

    $

    2,550

     

     
    Acquisitions

     

    2

     

     

    -

     

     

    2

     

    Foreign Exchange

     

    (11

    )

     

    8

     

     

    (3

    )

    Organic

     

    58

     

     

    56

     

     

    114

     

     
    2024 Net Sales

    $

    1,930

     

    $

    733

     

    $

    2,663

     

     
    Change ($)

     

    49

     

     

    64

     

     

    113

     

    Change (%)

     

    2.6%

     

    9.6%

     

    4.4%

     
     
    Nine Months Ended September 30,
    Freight Transit Consolidated
     
    2023 Net Sales

    $

    5,134

     

    $

    2,017

     

    $

    7,151

     

     
    Acquisitions

     

    72

     

     

    -

     

     

    72

     

    Foreign Exchange

     

    (18

    )

     

    2

     

     

    (16

    )

    Organic

     

    486

     

     

    111

     

     

    597

     

     
    2024 Net Sales

    $

    5,674

     

    $

    2,130

     

    $

    7,804

     

     
    Change ($)

     

    540

     

     

    113

     

     

    653

     

    Change (%)

     

    10.5%

     

    5.6%

     

    9.1%

     
    Set forth below is the calculation of the non-GAAP performance measures included in this press release. We believe that these measures provide useful supplemental information to assess our operating performance and to evaluate period-to-period comparisons. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, Wabtec's reported results prepared in accordance with GAAP.
     
    Wabtec Corporation
    2024 Q3 Cash Conversion Calculation
    (in millions)
    Reported Cash ÷ (Net Income + Depreciation &

    Amortization)
    = Cash Conversion
    from Operations
     
    Consolidated Results

    $542

    $286

    $134

    129%

     
     
    Wabtec Corporation
    2024 Q3 YTD Cash Conversion Calculation
    (in millions)
    Reported Cash ÷ (Net Income + Depreciation &

    Amortization)
    = Cash Conversion
    from Operations
     
    Consolidated Results

    $1,111

    $854

    $375

    90%

     
     
     
    Wabtec Corporation
    2023 Q3 Cash Conversion Calculation
    (in millions)
    Reported Cash ÷ (Net Income + Depreciation &

    Amortization)
    = Cash Conversion
    from Operations
     
    Consolidated Results

    $425

    $242

    $125

    116%

     
     
    Wabtec Corporation
    2023 Q3 YTD Cash Conversion Calculation
    (in millions)
    Reported Cash ÷ (Net Income + Depreciation &

    Amortization)
    = Cash Conversion
    from Operations

     

    Consolidated Results

    $515

    $608

    $371

    53%

     

     

    View source version on businesswire.com: https://www.businesswire.com/news/home/20241023088584/en/

    Get the next $WAB alert in real time by email

    Chat with this insight

    Save time and jump to the most important pieces.

    Recent Analyst Ratings for
    $WAB

    DatePrice TargetRatingAnalyst
    4/10/2025$175.00Neutral
    Analyst
    4/25/2024$130.00 → $147.00Hold
    TD Cowen
    2/15/2024$125.00 → $130.00Market Perform
    TD Cowen
    2/15/2024$135.00Buy → Neutral
    Redburn Atlantic
    1/16/2024$128.00 → $150.00Neutral → Buy
    BofA Securities
    1/11/2024Hold → Buy
    Jefferies
    1/8/2024$137.00Overweight
    Morgan Stanley
    12/1/2023$150.00Positive
    Susquehanna
    More analyst ratings