Welcome to our dedicated page for Wabtec news (Ticker: WAB), a resource for investors and traders seeking the latest updates and insights on Wabtec stock.
Wabtec Corporation, headquartered at 1001 Airbrake Ave, Wilmerding, PA 15148, is a leading provider of value-added, technology-based products and services primarily for the freight rail and passenger transit industries. With a diversified portfolio, Wabtec also operates in the mining, marine, and industrial markets.
The company operates through two main segments: Freight and Transit. The Freight segment is the primary revenue driver, focusing on manufacturing, modernizing, and providing aftermarket parts and services for locomotives. Additional activities include supplying components for both new and existing freight cars, building new commuter locomotives, and offering rail control and infrastructure products such as electronics, positive train control equipment, and signal design and engineering services.
Wabtec's Transit segment complements its freight operations by delivering a broad range of products and services for passenger transit systems. This includes providing components and systems for passenger rail vehicles and offering comprehensive services and solutions to keep these systems running smoothly and safely.
Geographically, the majority of Wabtec's revenue is generated from the United States, although the company's products and services have a significant global footprint. Recent achievements include advancements in locomotive technology, strategic partnerships with major rail operators, and expansion into emerging markets.
Financially, Wabtec continues to exhibit robust performance with consistent revenue growth driven by strong demand in both the Freight and Transit segments. The company is well-positioned for future growth with ongoing investments in innovation and sustainability initiatives, ensuring that it remains at the forefront of the transportation industry.
Wabtec (NYSE: WAB) reported strong Q4 2024 results with sales of $2.58 billion and record full-year performance. Fourth quarter adjusted EPS reached $1.68, up 9.1% year-over-year, while GAAP EPS was $1.23, up 2.5%. Full-year 2024 sales totaled $10.39 billion with record operating cash flow of $1.83 billion.
The company saw 20% order growth compared to the prior year, including Q4 orders exceeding $1 billion for new locomotives and modifications. Cash from operations increased 52.7% with 117% cash conversion. The Board approved a 25% increase in quarterly dividend and authorized an additional $1.0 billion for share buybacks.
Looking ahead, Wabtec provided 2025 guidance with expected sales between $10.725-11.025 billion and adjusted EPS of $8.35-8.75, representing a 13.1% increase at the mid-point. The company also updated its 5-year guidance, projecting mid-single digit revenue growth CAGR and 350+ bps of adjusted operating margin expansion through 2029.
Wabtec (NYSE: WAB) has announced the appointment of Juan Perez to its Board of Directors, effective January 29, 2025. Perez, currently serving as Executive Vice President and Chief Information Officer at Salesforce, brings extensive experience in information technology and corporate digital strategy. Prior to Salesforce, he was CIO and Engineering Officer at UPS, where he led the implementation of advanced technologies including AI, virtual assistants, and virtual reality solutions.
Perez will be nominated for election at Wabtec's annual meeting in May 2025. He currently serves on the board of the Hershey Company and holds advisory positions at the University of Southern California's School of Industrial and Systems Engineering and Georgia Tech's School of Business. He is also a senior member of the Institute of Industrial Engineers and a program evaluator for the Accreditation Board of Engineering and Technology.
Wabtec (NYSE: WAB) has announced its Board of Directors' declaration of a regular quarterly dividend. Shareholders will receive $0.25 per share as dividend payment. The dividend will be paid on March 7, 2025, to stockholders who are recorded as holders as of February 21, 2025.
Wabtec (NYSE: WAB) has secured an agreement to provide KinetiX Inspection Technologies to SNCF Voyageurs, France's national railway company. The deal expands KinetiX Systems' presence across 13 SNCF Technicentres in France, adding TreadView, WheelView, and BrakeView inspection systems to existing axle maintenance and acoustic bearing monitoring capabilities.
The KinetiX system provides real-time, automated contactless inspection monitoring of rail assets, capable of operating at speeds up to 120 km/h. The technology integrates machine vision, laser scanning, remote sensing with acoustic and thermal technology, load monitoring, and AI-driven analytics to evaluate key railcar components including wheels, brakes, bearings, air hoses, pantographs, and cross keys.
Wabtec will provide dedicated implementation support, guiding SNCF Voyageurs from installation through ongoing maintenance of the technology suite.
Wabtec (NYSE: WAB) has secured a $248 million order for Evolution Series ES43ACmi locomotives and services from Winning Consortium Simandou (WCS) for their iron ore operations in Guinea. This follows a previous order from SimFer, bringing the combined value to over half a billion dollars, marking one of Wabtec's largest international locomotive deals in five years.
The ES43ACmi locomotives feature a 4,500HP Evolution Series engine, dual-cab design, and meet UIC 3a and EPA Tier 3 emission standards. Deliveries will begin in 2025. The locomotives will operate on the 600-km TransGuinéen Railway, connecting the Simandou mine to the Port of Morebaya. The project involves WCS developing blocks #1 and #2 of the Simandou deposit, containing over 1.8 billion tonnes of estimated iron ore reserves.
Wabtec (NYSE: WAB) has announced a definitive agreement to acquire Evident's Inspection Technologies division for $1.78 billion (~$1.68 billion after tax benefits). The acquisition target, formerly part of Olympus , is expected to generate approximately $433 million in revenue for 2024, with EBITDA of $112 million (25.9% margin).
The deal represents a 12.0x multiple of projected 2025 EBITDA, with anticipated run-rate cost synergies of $25 million. Inspection Technologies brings a stable revenue base with approximately 68% recurring revenue and will double Wabtec's total addressable market from $8 billion to $16 billion.
The transaction is expected to close by the end of first half 2025, subject to regulatory approvals. The acquisition aligns with Wabtec's growth strategy, enhancing its Digital Intelligence business with advanced automated inspection capabilities and expanding its presence in rail, mining, and industrial sectors.
Wabtec (NYSE: WAB) has scheduled its fourth quarter 2024 earnings release for February 12, 2025, before U.S. markets open. The company will host a conference call with analysts and investors at 8:30 a.m. ET on the same day to discuss the results. Interested parties can access the webcast through Wabtec's website in the Investor Relations section under 'Events & Presentations'. An audio replay will be available via phone at 1-877-344-7529 or 1-412-317-0088 using access code 3404117.
Wabtec (NYSE: WAB) has acquired Bloom Engineering for $69 million in cash during Q4, strengthening its heat transfer and energy solutions portfolio. Bloom Engineering, a leader in industrial heating applications, will join Wabtec's Freight & Industrial Components Group, bringing expertise in burners, combustion systems, and services for industrial heating.
The acquisition, financed through cash on hand and a revolving credit facility, is expected to be immediately accretive to EPS excluding transaction costs, with synergies anticipated over the next three years. The combination aims to accelerate global growth in this profitable segment while providing enhanced value to customers through improved efficiency and sustainability solutions.
Wabtec (NYSE: WAB) announced strategic acquisitions of Fanox and Kompozitum for its Transit Business in a combined $110-million cash transaction. The Fanox acquisition enhances Wabtec's specialized relay production capabilities for train operations, while Kompozitum strengthens its pantograph portfolio manufacturing efficiency and opens new markets for carbon and graphite solutions. The acquisitions, financed through cash on hand and a revolving credit facility, are expected to be immediately accretive to EPS excluding transaction costs and drive strong synergies.
Wabtec (NYSE: WAB) reported strong Q3 2024 results with sales growth of 4.4% to $2.66 billion. The company achieved GAAP earnings per diluted share of $1.63, up 22.6%, and adjusted earnings per diluted share of $2.00, up 17.6% year-over-year. Operating performance improved with GAAP operating margin at 16.3% and adjusted operating margin up 1.8 points to 19.7%. The company generated $542 million in operating cash flow and returned $634 million to shareholders through share repurchases and dividends. Based on strong performance, Wabtec raised its 2024 adjusted EPS guidance to $7.45-$7.65, representing a 27.5% increase from 2023 at the midpoint.
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