Greenbrier Companies, Inc. (the) · NYSE:GBX
Greenbrier Companies, Inc. (the) — The Greenbrier Companies — Q2 FY2017 Earnings Presentation
21 slides from Greenbrier Companies, Inc. (the)'s earnings presentation, April 2017
Slide 1: 2Q17 Earnings Slides & Supplemental Information
NYSE: GBX 2Q17 Earnings Slides & Supplemental Information Investor Contact: [email protected] Website: www.gbrx.com
Slide 2: Safe Harbor Statement
Safe Harbor Statement UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: This presentation may contain forward-looking statements, including any statements that are not purely statements of historical fact. Greenbrier uses words such as “anticipates,” “believes,” “forecast,” “potential,” “g
Slide 3: Integrated Business Model
Integrated Business Model Greenbrier’s integrated business model delivers superior value to customers by creating customized freight car solutions over the entire life of a railcar. Our diversified portfolio of quality products and services enhances our financial performance Manufacturing across the
Slide 4: Resulting in Revenue and Share Growth
Resulting in Revenue and Share Growth Revenue North American Industry Backlog $3,000 100% FY 2017 $2,680 Others, 11% Guidance of Others, 16% $2.0 - $2.4 (12%) $2,500 billion $261 (10%) 80% $ in millions (% of Total Revenue) $322 $2,000 TRN, 36% TRN, 44% 60% $1,500 (78%) 40% RAIL, 14% RAIL, 6% $943 $
Slide 5: Consolidated Financial Trends
Consolidated Financial Trends ($ in millions) $3,000 Revenue $2,680 Deliveries (000’s of units) 24.0 21.0 20.3 $2,500 18.0 $2,000 15.0 $1,500 12.0 FY 2017 $1,000 9.0 Guidance FY 2017 Guidance of $2.0 - $2.4 billion 6.0 ~14,000 - 16,000 $500 3.0 units $- 0.0 2010 2011 2012 2013 2014 2015 2016 2010 20
Slide 6: Flexibility Key in Changing Demand Environment
Flexibility Key in Changing Demand Environment 90,000 80,000 Long-term average: ~50,000 units 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 2011A 2012A 2013A 2014A 2015A 2016A 2017F 2018F 2019F 2020F 2021F Covered hopper Boxcar Tanks Intermodal Flat cars (auto) Coal Other hoppers / gondolas Sou
Slide 7: Greenbrier's Railcar Backlog Provides Earnings Visibility
Greenbrier’s Railcar Backlog ($ in millions except per unit values) Provides Earnings Visibility $5,000 $140 $4,500 $116 $115 $120 $112 $114 $4,000 $106 $108 $106 $3,500 $100 $89 Average Sales Price/Unit $87 Backlog Value $79 $80 ($ in millions) ($ in thousands) $3,000 $80 $69 $2,500 $4,710 $60 $2,0
Slide 8: 2Q FY 2017 Key Metric Highlights
2Q FY 2017 Key Metric Highlights Backlog 22,600 units valued at $2.44 Backlog 34,100 billion 31,200 27,500 25,800 22,600 Diverse backlog reflects a broad range of cartypes including various-sized covered hoppers, non-energy tank cars, boxcars, gondola cars, automotive carrying railcars and inter
Slide 9: 2Q FY 2017 Income Statement Highlights
2Q FY 2017 Income Statement Highlights Revenue ($ millions) Revenue to $566.3 million $669.1 $612.9 $595.2 $552.3 $566.3 Gross margin of 21.0% 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 Robust margin performance on lower deliveries Adjusted EBITDA ($ millions) $108.2 $99.5 $104.4 $85.7 $94.5 Adjusted EBI
Slide 10: 2Q FY 2017 Balance Sheet & Cash Flow Highlights
2Q FY 2017 Balance Sheet & Cash Flow Highlights Operating Cash Flow ($ millions) Positive Operating Cash Flow $212.8 $137.0 $45.4 $52.9 $29.0 5% increase in the quarterly dividend to $0.22 per share 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 Net Capital Expenditure & Invest. In Unconsol. Affiliates(1) ($ mil
Slide 11: Strategic Initiatives
Strategic Initiatives Europe: Greenbrier-Astra Rail proceeding as planned Anti-trust approval received from two out of three jurisdictions Expected closure in Fiscal Q3 Brazil: Greenbrier-Maxion & Cruzeiro ownership increase expected to close in Fiscal Q3 Leasing: Entered a Memorandum of U
Slide 12: Manufacturing
Manufacturing Quarterly Trends 2Q Business Conditions ($ in millions) 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 Reflects lower deliveries offset by beneficial Revenues $ 454.5 $ 458.5 $ 484.6 $ 454.0 $ 445.5 international mix Gross Margin $92.7 $105.7 $101.7 $97.5 $98.9 Margin % increase due to product mix
Slide 13: Wheels & Parts
Wheels & Parts Quarterly Trends 2Q Business Conditions ($ in millions) 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 Revenue increase primarily attributable to Revenues $90.5 $78.4 $74.8 $69.6 $82.7 higher wheel volumes Margin % increase due to efficiencies of Gross Margin $9.1 $8.6 $5.2 $4.7 $7.2 higher volume
Slide 14: Leasing & Services
Leasing & Services Quarterly Trends 2Q Business Conditions ($ in millions) 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 Revenue reflects increased externally Revenues $124.1 $75.9 $35.8 $28.6 $38.1 sourced railcar syndications Gross Margin $18.1 $12.8 $12.7 $10.6 $12.9 Margin % decrease due to higher volume of
Slide 15: GBW Railcar Services
GBW Railcar Services (1) Quarterly Trends 2Q Business Conditions Revenue and operating results reflect ($ in millions) 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 challenging operating environment, Revenues $97.7 $95.7 $84.1 $70.3 $64.2 especially in general repair operations Earnings (loss) $3.6 $3.0 ($0.5) ($
Slide 16: Appendix
Appendix
Slide 17: Quarterly Adjusted EBITDA Reconciliation
Quarterly Adjusted EBITDA Reconciliation Supplemental Disclosure Reconciliation of Net Earnings to Adjusted EBITDA (In millions, unaudited) Quarter Ending Feb. 29, May 31, Aug. 31, Nov. 30, Feb. 28, 2016 2016 2016 2016 2017 Net earnings $66.2 $59.5 $60.4 $48.0 $49.0 Interest and foreign exchange 1.4
Slide 18: Annual Adjusted EBITDA Reconciliation
Annual Adjusted EBITDA Reconciliation Supplemental Disclosure Reconciliation of Net Earnings (loss) to Adjusted EBITDA (In millions, unaudited) Year Ending August 31, 2010 2011 2012 2013 2014 2015 2016 Net earnings (loss) $8.3 $8.4 $61.2 ($5.4) $149.8 $265.3 $284.8 Interest and foreign exchange 45.2
Slide 19: Annual Adjusted EPS Reconciliation
Annual Adjusted EPS Reconciliation Supplemental Disclosure Reconciliation of Net Earnings (loss) Attributable to Greenbrier to Adjusted Net Earnings (loss) (In millions, except per share amounts, unaudited) Year Ending August 31, 2010 2011 2012 2013 2014 2015 2016 Net earnings (loss) attributable to
Slide 20: Adjusted Financial Metric Definition
Adjusted Financial Metric Definition Adjusted Net Earnings (loss), Adjusted EBITDA, and Adjusted EPS are not financial measures under generally accepted accounting principles (GAAP). We define Adjusted Net Earnings (loss) as Net Earnings (loss) attributable to Greenbrier before goodwill impairment (
Slide 21: NYSE: GBX Investor Contact
NYSE: GBX 2Q17 Earnings Slides & Supplemental Information Investor Contact: [email protected] Website: www.gbrx.com
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