The Greenbrier Companies (GBX) Q1 2026 earnings summary

Executive summary

• Q1 net earnings attributable to shareholders were $36 million, or $1.14 per diluted share, with operating cash flow of $76 million and EBITDA of nearly $98 million, representing 14% of revenue.

• Delivered strong Q1 performance with disciplined execution, resilient integrated manufacturing and leasing model, and 15% aggregate gross margin.

• New railcar orders totaled 3,700 units valued at $550 million, with 4,400 units delivered and a backlog of 16,300 units valued at $2.2 billion as of November 30, 2025.

• Maintained strong liquidity, meaningful earnings, and progress on long-term strategic priorities.

• Board approved a quarterly dividend of $0.32 per share, marking the 47th consecutive quarterly dividend.

Financial highlights

• Q1 FY26 revenue was $706.1 million, down from $759.5 million in the previous quarter, mainly due to fewer planned deliveries.

• Aggregate gross margin was 14.6%, reflecting lower production rates and deliveries than Q4.

• Operating income was $61 million (8.7% of revenue); EBITDA was $98 million (14% of revenue).

• Diluted EPS was $1.14.

• Q1 liquidity exceeded $895 million, with $300 million in cash and $535 million in borrowing capacity.

• Generated $76 million in operating cash flow, supported by earnings, fleet sales, and working capital.

Outlook and guidance

• FY26 guidance: deliveries of 17,500–20,500 units (including 1,500 in Brazil), revenue of $2.7–$3.2 billion, aggregate gross margin of 16.0–16.5%, operating margin of 9.0–9.5%, and EPS of $3.75–$4.75.

• Manufacturing capex projected at $80 million; leasing/fleet management investment at $205 million; net capital expenditures for FY26 are projected at $120 million after equipment sales proceeds.

• Proceeds from equipment sales expected to be $165 million.

• Back half of the year expected to be stronger in terms of margin and deliveries.

• Management expects existing funds, cash from operations, and available credit to be sufficient for debt repayments, working capital, capital expenditures, investments, and dividends over the next twelve months.