Greenbrier Companies, Inc. (the) · NYSE:GBX
Greenbrier Companies, Inc. (the) — The Greenbrier Companies — Q3 2021 Earnings Presentation
19 slides from Greenbrier Companies, Inc. (the)'s earnings presentation, Jul 9, 2021
Slide 1: 3Q21 Earnings Slides & Supplemental Information
NYSE: GBX 3Q21 Earnings Slides & Supplemental Information InvestorRelations@gbrx.com www.gbrx.com
Slide 2: Safe Harbor Statement
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, and variations of words, such as “co
Slide 3: Q3 FY 2021 Highlights
Q3 FY 2021 Highlights • New railcar orders for 3,800 units valued at $400 million and deliveries of 3,300 units, resulted in a 1.2x book-to-bill. Second consecutive quarter that book-to-bill exceeded 1.0x. Orders included intermodal units, tank cars, boxcars and covered hoppers. • Diversified new ra
Slide 4: Key Operational Metrics
Key Operational Metrics Backlog(1) Deliveries(1) Syndicated Deliveries 26,700 1,600 5,900 5,100 24,900 24,800 24,600 900 3,300 3,100 23,900 2,100 200 200 100 3Q20 4Q20 1Q21 2Q21 3Q 21 3Q20 4Q20 1Q21 2Q21 3Q 21 3Q20 4Q20 1Q21 2Q21 3Q 21 Orders for 3,800 railcars valued at $400 million received during
Slide 5: Balance Sheet & Cash Flow Trends
Balance Sheet & Cash Flow Trends Operating Cash Flow Net Capex & Invest. in Net Funded Debt(2) Unconsolidated Affiliates(1) $222.2 $24.9 $183.2 $621.9 $15.3 $520.1 $501.4 $9.1 $5.5 $376.7 $351.8 $8.7 ($29.1) $(22.2) $(103.4) 3Q20 4Q20 1Q21 2Q21 3Q 21 3Q20 4Q20 1Q21 2Q21 3Q 21 3Q20 4Q20 1Q21 2Q21 3Q
Slide 6: Strong Balance Sheet and Liquidity Provide Flexibility
Strong Balance Sheet and Liquidity Provide Flexibility (1) (2) Net Funded Debt / Adjusted EBITDA Liquidity Summary ($ in millions) 6.0x Increase reflects reduced $1,200 EBITDA; Expected to decrease in Q4 $981 5.0x 4.8x $1,000 $950 4.6x $920 $849 4.0x $800 $531 $641 $573 $611 3.0x 2.7x $600 $506 $628
Slide 7: Railcar Backlog Provides Earnings Visibility
Railcar Backlog Provides Earnings Visibility $5.00 $140 $4.50 $114 $116 $120 $112 Average Sales Price/Unit ($ in thousands) $4.00 $106 $106 $108 $104 $98 $100 $98 Balcklog Value ($ in billions) $3.50 $100 $3.00 $80 $80 $2.50 $4.71 $60 $2.00 $3.33 $3.19 $3.28 $1.50 $40 $2.80 $2.74 $2.42 $2.58 $1.00 $
Slide 8: Manufacturing Segment Update
Manufacturing Segment Update Revenue and Gross Margin % Third Quarter Developments $3,000 25% • Higher deliveries reflecting improving demand levels $2,500 20% • $ in Millions Higher production and delivery and favorable resolution of $2,000 15% warranty and other contingencies; Excluding these item
Slide 9: Wheels, Repair and Parts
Wheels, Repair and Parts Revenue and Gross Margin %(1) Third Quarter Developments $600 12% • Increased demand levels across the network $500 10% $ in Millions • Higher volumes driving improved performance $400 8% $300 6% $200 4% $100 2% $- 0% Revenue Gross Margin Long Term Market Drivers • Ton-miles
Slide 10: Leasing & Services
Leasing & Services Revenue and Gross Margin % Third Quarter Developments $300 70% • Revenue and margin include enhanced syndication $250 60% 50% $ in Millions financing activity $200 40% • Formation of GBX Leasing creates stable, tax-advantaged $150 30% cash flows. GBX Leasing is consolidated in Gre
Slide 11: Syndication Model Provides Flexibility
Syndication Model Provides Flexibility DIRECT MANUFACTURING LEASING & SERVICES Cars temporarily reside on Greenbrier’s balance sheet Railcars ordered by (“Leased railcars for Syndication”), generating income HOLD for Leasing & Services Unit or capitalized into lease fleet customers or for syndicatio
Slide 12: GBX Leasing Enhances Potential Returns
GBX Leasing Enhances Potential Returns (In thousands, except owned and managed fleet, unaudited) Complements Greenbrier’s integrated business model of May 31, February 28, railcar manufacturing and services 2021 2021 (In Units) Strengthens distribution and funding strategies allowing us to Owned
Slide 13: Appendix
Appendix
Slide 14: Quarterly Segment Trends
Quarterly Segment Trends Manufacturing ($ in millions, except backlog and deliveries) 3Q 20 4Q 20 1Q 21 2Q 21 3Q 21 Footnotes Revenues $653.0 $549.7 $308.7 $202.1 $341.9 Gross Margin $90.2 $51.5 $27.8 $0.32 $49.5 (1) Excludes Brazil deliveries since they do not impact Manufacturing Revenue Gross Mar
Slide 15: Quarterly Adjusted EBITDA Reconciliation
Quarterly Adjusted EBITDA Reconciliation Supplemental Disclosure Reconciliation of Net Earnings (Loss) to Adjusted EBITDA (In millions, unaudited) Quarter Ending May 31, Aug. 31, Nov. 30, Feb. 28, May 31, 2020 2020 2020 2021 2021 Net earnings (loss) $35.9 $7.7 ($6.6) ($13.9) $20.0 ARI acquisition an
Slide 16: Annual Adjusted EBITDA Reconciliation
Annual Adjusted EBITDA Reconciliation Supplemental Disclosure Reconciliation of Net Earnings (loss) to Adjusted EBITDA (In millions) Year Ending August 31, 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Net earnings (loss) $8.4 $61.2 ($5.4) $149.8 $265.3 $284.8 $160.5 $172.1 $105.8 $87.6 Interest
Slide 17: Annual Adjusted Diluted EPS Reconciliation
Annual Adjusted Diluted EPS Reconciliation Supplemental Disclosure Reconciliation of Net Earnings (loss) Attributable to Greenbrier to Adjusted Net Earnings (loss) (In millions, except per share amounts) Year Ending August 31, 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Net earnings (loss) att
Slide 18: Adjusted Financial Metric Definition
Adjusted Financial Metric Definition Adjusted EBITDA, Adjusted net earnings (loss) attributable to Greenbrier and Adjusted diluted EPS are not financial measures under generally accepted accounting principles (GAAP). These metrics are performance measurement tools used by rail supply companies and G
Slide 19: 3Q21 Earnings Slides & Supplemental Information
NYSE: GBX 3Q21 Earnings Slides & Supplemental Information InvestorRelations@gbrx.com www.gbrx.com
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