Overview

* FreightCar America ( RAIL ) Q2 revenue of $118.6 mln beats analyst expectations

* Adjusted EPS of $0.11 surpasses estimates, reflecting operational flexibility

* Adjusted EBITDA of $10 mln exceeds analyst expectations, per LSEG data

Outlook

* FreightCar America ( RAIL ) reaffirms fiscal 2025 revenue guidance of $530-$595 mln

* Company expects railcar deliveries of 4,500-4,900 units in fiscal 2025

* FreightCar America ( RAIL ) projects fiscal 2025 adjusted EBITDA of $43-$49 mln

Result Drivers

* ORDER INTAKE - Strong order intake driven by operational flexibility, with 1,226 new railcar orders valued at $106.9 mln

* GROSS MARGIN IMPROVEMENT - Gross margin expanded by 250 basis points to 15%, attributed to improved productivity and a richer product mix

* MARKET AGILITY - Company's agility in rebuilds and conversions enabled capturing opportunities in a dynamic market

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $118.62 $114.90

Revenue mln mln (3

Analysts

)

Q2 Beat $0.11 $0.06 (2

Adjusted Analysts

EPS )

Q2 EPS $0.34

Q2 Net $11.68

Income mln

Q2 Beat $10 mln $9 mln

Adjusted (3

EBITDA Analysts

)

Q2 Gross 15.0%

Margin

Q2 Gross $17.82

Profit mln

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the heavy machinery & vehicles peer group is "buy."

* Wall Street's median 12-month price target for FreightCar America Inc ( RAIL ) is $10.00, about 2% above its August 1 closing price of $9.80

* The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)