Westinghouse Air Brake Technologies Corporation · NYSE:WAB
Westinghouse Air Brake Technologies — Q1 2026 Earnings Presentation
25 slides from Westinghouse Air Brake Technologies's earnings presentation, Apr 22, 2026
Slide 1: First Quarter 2026 Wabtec Financial Results & Company Highlights
FIRST QUARTER 2026 Wabtec Financial Results & Company Highlights Exhibit 99.2
Slide 2: Forward Looking Statements & Non-GAAP Financial Information
Forward Looking Statements & Non-GAAP Financial Information This communication contains “forward-looking” statements as that term is defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act
Slide 3: Today's Participants
3 RAFAEL SANTANA President & Chief Executive Officer JOHN OLIN Executive Vice President & Chief Financial Officer KYRA YATES Vice President, Investor Relations Today’s Participants
Slide 4: 1Q 2026 Overview
4 1Q 2026 Overview WAB T E C ’ S S T R O N G U N D E R LY I N G M O M E N T U M C O N T I N U E S Sales Increased sales driven by both Freight and Transit segments (including acquisitions) Adj. operating margin up despite tariff headwinds Adjusted EPS improvement driven by strong revenue growth and
Slide 5: 2026 Key Metrics
2.5% 1.4% 0.0% 1.8% 5 2026 Key Metrics 2Q25 3Q25 4Q25 1Q26 Industry Active Locomotives 1Q23 1Q24 1Q25 1Q26 Source: Association of American Railroads Source: Wabtec Industry Freight Traffic Source: UIC & Operator Reports (U.S., Europe & India) 2022 2023 2024 2025 Wabtec Installed Base 2022 2023 2024
Slide 6: Executing On Our Value Creation Framework
6 RECENT WINS Accelerate innovation of scalable technologies Grow and refresh expansive global installed base Drive efficiencies through emerging technologies Expand high-margin recurring revenue streams Drive continuous operational improvement Executing On Our Value Creation Framework P I P E L I N
Slide 7: ~$4.6B of Capital Deployed Since 2020
~$4.6B of Capital Deployed Since 2020 W A B T E C C O M P O U N D I N G VA L U E T H R O U G H TA R G E T E D , H I G H R O I C M & A … S U P P O R T E D B Y A R E P E ATA B L E I N T E G R AT I O N M O D E L Disciplined, Very High Return M&A Driving Portfolio Strength 7 PORTFOLIO ENHANCING BOLT-ONS
Slide 8: 1Q 2026 Financial Summary
$1.88 $2.12 $2.28 $2.71 8 1Q 2026 Financial Summary I N C R E AS E D S AL E S , AD J . O P E R AT I N G M AR G I N AN D E P S G R O W T H (1) Adjusted numbers represent non-GAAP financial measures. See Appendix for additional details and reconciliations 2 0 2 5 GAAP 2 0 2 6 GAAP 2 0 2 5 ADJ(1) 2 0 2
Slide 9: 1Q 2026 Sales
1Q 2026 Sales 9 P RO D U CT L I N E 1 Q 2 6 YOY 1Q K E Y DR IV E RS (in millions) Equipment $ 726 52.5% Services $ 714 (17.3)% Components $ 357 (6.3)% Digital Intelligence $ 318 75.7% Freight segment $ 2,115 11.3% Transit segment $ 835 17.8% TOTAL SALES $ 2,950 13.0% Sales growth in core services of
Slide 10: 1Q 2026 Consolidated Operating Income
10 1Q 2026 Consolidated Operating Income ($ in millions) $ 9 0 3$ 9 0 02 0 2 5 G R O S S P R O F I T 34.6%34.5%% Gross Profit Volume Mix/Pricing Raw Materials/Tariffs Currency Manufacturing/Other $ 1 , 0 8 7$ 1 , 0 6 12 0 2 6 G R O S S P R O F I T 36.9%36.0%% Gross Profit $ 5 6 5$ 4 7 42 0 2 5 O P I
Slide 11: 1Q 2026 Freight Segment Performance
11 1Q 2026 Freight Segment Performance 2 0 2 5 GAAP 2 0 2 6 GAAP 2 0 2 5 ADJ(1) 2 0 2 6 ADJ(1) $420M 21.3% 22.1% $488M 25.7% $550M 26.0%$450M 2 0 2 5 2 0 2 6 $2.12B $1.90B 11.3% YOY 2 0 2 5 2 0 2 6 $6.68B $6.07B 10.1% YOY Note: Adjusted numbers represent non-GAAP financial measures. See Appendix for
Slide 12: 1Q 2026 Transit Segment Performance
12 1Q 2026 Transit Segment Performance 2 0 2 5 GAAP 2 0 2 6 GAAP 2 0 2 5 ADJ 2 0 2 6 ADJ 2 0 2 5 2 0 2 6 2 0 2 5 2 0 2 6 12-Month Backlog increased 17.7% year-over-year, ex-currency M u l t i - Y e a r B a c k l o g +26.4% YoY (+23.9%, ex-currency) 11.0% Ex-Currency OP. INCOME / OP. MARGIN 12-MONTH
Slide 13: Resilient Business Allows For Execution On Financial Priorities
13 Resilient Business Allows For Execution On Financial Priorities S T R O N G F I N A N C I A L P E R F O R M A N C E ; I N V E S T I N G F O R P R O F I TA B L E G R O W T H A N D M A X I M I Z I N G S H A R E H O L D E R R E T U R N S 1st quarter cash from operations of $199M was up versus prior
Slide 14: 2026 Updated Financial Guidance
2026 Updated Financial Guidance PRIOR GUIDANCE REVENUES $12.19B to $12.49B ADJUSTED DIL UTED EPS $10.05 to $10.45 9.2% 11.8% 12.0% 16.5%- - 14 Includes Dellner Couplers acquisition (closed February 10, 2026) Assumes tariffs in effect as of April 22, 2026 UPDATED GUIDANCE REVENUES $12.19B to $12.
Slide 15: 2026 Key Expectations
15 2026 Key Expectations Continued momentum across the portfolio driven by strong orders, backlog, and pipeline Positive productivity driven by continuous cost improvement combined with realization of Integration 3.0 and Portfolio Optimization Wabtec is well-positioned to drive higher returns and cr
Slide 16: Income Statement Appendix A (1 of 2)
Income Statement Appendix A (1 of 2) 16 2026 2025 Net sales 2,950$ 2,610$ Cost of sales (1,889) (1,710) Gross profit 1,061 900 Gross profit as a % of Net Sales 36.0% 34.5% Selling, general and administrative expenses (401) (307) Engineering expenses (56) (46) Amortization expense (87) (73) Total ope
Slide 17: Income Statement Appendix A (2 of 2)
Income Statement Appendix A (2 of 2) 17 2026 2025 Segment Information Freight Net Sales 2,115$ 1,901$ Freight Income from Operations 450$ 420$ Freight Operating Margin 21.3% 22.1% Transit Net Sales 835$ 709$ Transit Income from Operations 121$ 90$ Transit Operating Margin 14.5% 12.7% Backlog Informa
Slide 18: Balance Sheet Appendix B
Balance Sheet Appendix B 18 March 31, 2026 December 31, 2025 In millions Cash, cash equivalents and restricted cash 531$ 789$ Receivables, net 2,252 1,897 Inventories, net 2,850 2,745 Other current assets 340 263 Total current assets 5,973 5,694 Property, plant and equipment, net 1,653 1,616 Goodwil
Slide 19: Cash Flow Appendix C
Cash Flow Appendix C 19 2026 2025 In millions Operating activities Net income 363$ 327$ Non-cash expense 151 127 Receivables (305) (226) Inventories (28) (29) Accounts Payable 20 13 Other operating activities (2) (21) Net cash provided by operating activities 199 191 Net cash used for investing acti
Slide 20: EPS and Non-GAAP Reconciliation Appendix D
EPS and Non-GAAP Reconciliation Appendix D 20 Wabtec Corporation Reconciliation of Reported Results to Adjusted Results (in millions) Gross Operating Income from Interest & Noncontrolling Wabtec Net Sales Profit Expenses Operations Other Exp Tax Net Income Interest Net Income EPS Reported Results 2,
Slide 21: EBITDA Reconciliation Appendix E
EBITDA Reconciliation Appendix E 21 Wabtec Corporation 2026 Q1 YTD EBITDA Reconciliation (in millions) Reported Income Other Income Depreciation & Restructuring & Adjusted from Operations (Expense) Amortization Transaction Costs EBITDA Consolidated Results $517 $23 $137 $677 $39 $716 Wabtec Corporat
Slide 22: Sales by Product Line Appendix F
Sales by Product Line Appendix F 22 In millions 2026 2025 Freight Segment Equipment 726$ 476$ Components 357 381 Digital Intelligence 318 181 Services 714 863 Total Freight Segment 2,115$ 1,901$ Transit Segment Original Equipment Manufacturer 381$ 322$ Aftermarket 454 387 Total Transit Segment 835$
Slide 23: Segment Gross Margin & Operating Margin Reconciliation Appendix G
Segment Gross Margin & Operating Margin Reconciliation Appendix G 23 In millions Gross Profit Income from Operations Gross Profit Income from Operations Freight Segment Reported Results 788$ 450$ 685$ 420$ Freight Segment Reported Margin 37.3% 21.3% 36.0% 22.1% Restructuring and Portfolio Optimizati
Slide 24: Segment Sales Reconciliation Appendix H
Segment Sales Reconciliation Appendix H 24 Freight Transit Consolidated 2025 Net Sales 1,901$ 709$ 2,610$ Acquisitions 184 41 225 Portfolio Optimization (Divestitures/Exits) (10) (3) (13) Foreign Exchange 20 48 68 Organic 20 40 60 2026 Net Sales 2,115$ 835$ 2,950$ Change ($) 214 126 340 Change (%) 1
Slide 25: Cash Conversion Reconciliation Appendix I
Cash Conversion Reconciliation Appendix I 25 Wabtec Corporation 2026 Q1 YTD Cash Conversion Calculation (in millions) Reported Cash from Operations Consolidated Results $199 $363 $139 40% Wabtec Corporation 2025 Q1 YTD Cash Conversion Calculation (in millions) Reported Cash from Operations Consolida
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