We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Wabtec's (WAB) Q1 Earnings & Revenues Increase Year Over Year
Read MoreHide Full Article
Westinghouse Air Brake Technologies Corporation, which operates as Wabtec Corporation (WAB - Free Report) , reported first-quarter 2022 earnings (excluding 33 cents from non-recurring items) of $1.13 per share, falling short of the Zacks Consensus Estimate of $1.14. The bottom line improved 27% year over year, driven by a 1.4 percentage point margin expansion to 16.5% and 5.29% higher revenues to $1.927 million, despite supply-chain disruptions. The top line, however, fell short of the Zacks Consensus Estimate of $1,971.6 million.
Westinghouse Air Brake Technologies Corporation Price, Consensus and EPS Surprise
Total operating expenses in the reported quarter increased 4.1% year over year to $356 million, primarily due to an18% increase in engineering costs and a 1.7% uptick in selling, general and administrative expenses. The operating ratio (operating expenses as a percentage of revenues) deteriorated 30 basis points from the year-ago quarter’s figure to 18.4%. During the quarter, WAB bought back 3.1 million shares for $296 million.
Segmental Highlights
Freight net sales increased 11.7% to $1,322 million. Results were boosted by upbeat demand for Freight Services, components and equipment along with the acquisition of Nordco. Segmental operating margin (on an adjusted basis) increased to 19.6% from 18.1% in the year-ago quarter.
At the transit segment, net sales declined 6.5% to $605 million due to supply-chain issues, COVID-related disruptions and an unfavorable foreign currency exchange. Segmental adjusted operating margin improved to 12.3% from 12.2%.
Balance-Sheet Data
As of Mar 31, 2022, Wabtec, currently carrying a Zacks Rank #3 (Hold), had $488 million worth of cash and cash equivalents compared with $473 million at the end of 2021. WAB generated cash from operations of $161 million in the March quarter.
Wabtec reaffirms sales in the range of $8.3-8.6 billion. The mid-point of the guided range, $8.45 billion, lies above the Zacks Consensus Estimate of $8.42 billion. Adjusted earnings per share are still estimated in the band of $4.65-$5.05. The mid-point of this guided range, $4.85, is lower than the Zacks Consensus Estimate of $4.88. Wabtec continues to expect strong cash flow generation with operating cash flow conversion exceeding 90%.
J.B. Hunt reported better-than-expected first-quarter 2022 earnings numbers. Quarterly earnings of $2.29 per share surpassed the Zacks Consensus Estimate of $1.91. The bottom line surged 67.2% year over year on the back of higher revenues across all segments.
Total operating revenues of $3,488.6 million also outperformed the Zacks Consensus Estimate of $3,260.5 million. The top line jumped 33.3% year over year.
CSX Corp’s first-quarter 2022 earnings of 39 cents per share beat the Zacks Consensus Estimate by a penny despite the decrease in overall volumes as supply-chain issues continue to dent results. The bottom line improved 25.81% year over year owing to higher revenues, aided by increased shipping rates.
Total revenues of $3,413 million outperformed the Zacks Consensus Estimate of $3291.2 million. The top line increased 21.33% year over year.
United Airlines incurred a loss of $4.24 per share in the first quarter of 2022, wider than the Zacks Consensus Estimate of a loss of $4.19. This is the ninth consecutive quarterly loss suffered by UAL as coronavirus woes continue to dwindle air-travel demand.
Operating revenues of $7,566 million also fell short of the Zacks Consensus Estimate of $7,657.2 million.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Wabtec's (WAB) Q1 Earnings & Revenues Increase Year Over Year
Westinghouse Air Brake Technologies Corporation, which operates as Wabtec Corporation (WAB - Free Report) , reported first-quarter 2022 earnings (excluding 33 cents from non-recurring items) of $1.13 per share, falling short of the Zacks Consensus Estimate of $1.14. The bottom line improved 27% year over year, driven by a 1.4 percentage point margin expansion to 16.5% and 5.29% higher revenues to $1.927 million, despite supply-chain disruptions. The top line, however, fell short of the Zacks Consensus Estimate of $1,971.6 million.
Westinghouse Air Brake Technologies Corporation Price, Consensus and EPS Surprise
Westinghouse Air Brake Technologies Corporation price-consensus-eps-surprise-chart | Westinghouse Air Brake Technologies Corporation Quote
Total operating expenses in the reported quarter increased 4.1% year over year to $356 million, primarily due to an18% increase in engineering costs and a 1.7% uptick in selling, general and administrative expenses. The operating ratio (operating expenses as a percentage of revenues) deteriorated 30 basis points from the year-ago quarter’s figure to 18.4%. During the quarter, WAB bought back 3.1 million shares for $296 million.
Segmental Highlights
Freight net sales increased 11.7% to $1,322 million. Results were boosted by upbeat demand for Freight Services, components and equipment along with the acquisition of Nordco. Segmental operating margin (on an adjusted basis) increased to 19.6% from 18.1% in the year-ago quarter.
At the transit segment, net sales declined 6.5% to $605 million due to supply-chain issues, COVID-related disruptions and an unfavorable foreign currency exchange. Segmental adjusted operating margin improved to 12.3% from 12.2%.
Balance-Sheet Data
As of Mar 31, 2022, Wabtec, currently carrying a Zacks Rank #3 (Hold), had $488 million worth of cash and cash equivalents compared with $473 million at the end of 2021. WAB generated cash from operations of $161 million in the March quarter.
Long-term debt at the end of the quarter was $4,225 million compared with $4,056 million at 2021end. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
2022 Guidance Reiterated
Wabtec reaffirms sales in the range of $8.3-8.6 billion. The mid-point of the guided range, $8.45 billion, lies above the Zacks Consensus Estimate of $8.42 billion. Adjusted earnings per share are still estimated in the band of $4.65-$5.05. The mid-point of this guided range, $4.85, is lower than the Zacks Consensus Estimate of $4.88. Wabtec continues to expect strong cash flow generation with operating cash flow conversion exceeding 90%.
Earnings Snapshots
Within the broader Transportation sector, J.B. Hunt Transport Services (JBHT - Free Report) ,CSX Corporation (CSX - Free Report) and United Airlines (UAL - Free Report) recently reported first-quarter 2022 results.
J.B. Hunt reported better-than-expected first-quarter 2022 earnings numbers. Quarterly earnings of $2.29 per share surpassed the Zacks Consensus Estimate of $1.91. The bottom line surged 67.2% year over year on the back of higher revenues across all segments.
Total operating revenues of $3,488.6 million also outperformed the Zacks Consensus Estimate of $3,260.5 million. The top line jumped 33.3% year over year.
CSX Corp’s first-quarter 2022 earnings of 39 cents per share beat the Zacks Consensus Estimate by a penny despite the decrease in overall volumes as supply-chain issues continue to dent results. The bottom line improved 25.81% year over year owing to higher revenues, aided by increased shipping rates.
Total revenues of $3,413 million outperformed the Zacks Consensus Estimate of $3291.2 million. The top line increased 21.33% year over year.
United Airlines incurred a loss of $4.24 per share in the first quarter of 2022, wider than the Zacks Consensus Estimate of a loss of $4.19. This is the ninth consecutive quarterly loss suffered by UAL as coronavirus woes continue to dwindle air-travel demand.
Operating revenues of $7,566 million also fell short of the Zacks Consensus Estimate of $7,657.2 million.