Tue, Apr 8, 8:06 PM (21 days ago)
**The Greenbrier Companies, Inc. (GBX) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $762.1 million (Q1 2025) vs. $862.7 million (Q1 2024), a decrease of 11.7%. - **Profit Margins:** Improved to 18.2% (Q1 2025) from 14.2% (Q1 2024). - **Net Earnings:** $51.9 million (Q1 2025) vs. $33.4 million (Q1 2024), a 55.4% increase. - **Cash Flow:** Net cash provided by operating activities was $28.5 million (Q1 2025) vs. $54.4 million (Q1 2024). **Segment Performance:** - **Manufacturing:** Revenue decreased by 13.6% due to a 5.7% decrease in railcar deliveries and a change in product mix. However, margin percentage increased by 3.0% due to operating efficiencies. - **Leasing & Fleet Management:** Revenue increased by 19.5% due to higher rents and syndication activity. **Earnings Changes & Trends:** - **Earnings per Share (EPS):** Diluted EPS was $1.56 (Q1 2025) vs. $1.03 (Q1 2024). - **Backlog:** 20,400 units valued at $2.6 billion as of February 28, 2025. - **Capital Expenditures:** Expected to be approximately $300 million for Leasing & Fleet Management and $120 million for Manufacturing in 2025. **Uncertainties & Future Operations:** - **Geopolitical Risks:** Potential impacts from international conflicts and trade policies. - **Economic Uncertainty:** Inflation, wage increases, and changes in demand for railcar equipment. - **Environmental Liabilities:** Potential costs associated with the Portland Harbor Superfund Site. **Impact on Future Operations:** - **Strategic Focus:** Continued emphasis on increasing recurring revenue, expanding gross margin, and raising return on invested capital. - **Operational Changes:** Consolidation of European operations and closure of a Romanian manufacturing facility. - **Financial Strategy:** Utilization of cash generated from operations and borrowings to fund debt repayments, working capital needs, and planned capital expenditures.