Westinghouse Air Brake Technologies (NYSE: WAB) reported earnings on Oct. 23. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Westinghouse Air Brake Technologies met expectations on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share grew significantly.
Gross margins dropped, operating margins increased, net margins grew.
Revenue details
Westinghouse Air Brake Technologies notched revenue of $587.6 million. The eight analysts polled by S&P Capital IQ predicted sales of $595.9 million on the same basis. GAAP reported sales were 18% higher than the prior-year quarter's $498.8 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS details
EPS came in at $1.30. The nine earnings estimates compiled by S&P Capital IQ predicted $1.28 per share. GAAP EPS of $1.30 for Q3 were 35% higher than the prior-year quarter's $0.96 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
Margin details
For the quarter, gross margin was 29.1%, 40 basis points worse than the prior-year quarter. Operating margin was 16.5%, 140 basis points better than the prior-year quarter. Net margin was 10.7%, 140 basis points better than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $608.1 million. On the bottom line, the average EPS estimate is $1.30.
Next year's average estimate for revenue is $2.40 billion. The average EPS estimate is $5.13.
Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 439 members out of 452 rating the stock outperform, and 13 members rating it underperform. Among 103 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 101 give Westinghouse Air Brake Technologies a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Westinghouse Air Brake Technologies is outperform, with an average price target of $90.38.
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