Wabtec raises 2026 EPS outlook after third-quarter adjusted earnings climb 22%

Wabtec raised its full-year profit forecast on Wednesday after third-quarter adjusted earnings jumped 22% on higher freight and transit sales and wider margins.

The rail equipment maker now expects 2026 adjusted earnings of $10.85 to $11.05 a share, raising the midpoint by $0.20, according to its earnings release filed with an 8-K. It kept its revenue forecast of $12.30 billion to $12.60 billion.

Third-quarter sales grew 8.1% to $3.12 billion from $2.89 billion. GAAP diluted EPS rose 33.7% to $2.42, and adjusted EPS increased 22.0% to $2.83 from $2.32. Adjusted operating margin widened 1.9 points to 22.9%.

"Wabtec delivered another strong quarter," Chairman and Chief Executive Rafael Santana said in the release.

Freight and transit

Freight segment sales rose 6.9% to $2.24 billion. Services sales grew 6.7% and digital sales jumped 24.2%, helped by the Frauscher Sensor Technologies acquisition, while equipment sales edged up 0.3% as higher mining sales offset fewer locomotive deliveries.

Transit sales climbed 11.3% to $883 million, driven by the Dellner Couplers acquisition and higher original equipment and aftermarket sales.

Backlog and cash

Total backlog rose 22.9% to $31.4 billion, and the 12-month backlog increased 8.8% to $8.99 billion. Cash from operations was $455 million, up from $367 million.

Wabtec repurchased $305 million of its shares and paid $52 million in dividends during the quarter.

By the numbers

• Sales: $3.12 billion, up 8.1%
• Adjusted EPS: $2.83, vs. $2.32
• GAAP diluted EPS: $2.42, vs. $1.81
• Total backlog: $31.4 billion, up 22.9%
• 2026 adjusted EPS guidance: $10.85 to $11.05

Sources

1. Westinghouse Air Brake Technologies Corporation, Form 8-K (Item 2.02) with Exhibit 99.1 earnings release, filed Oct. 21, 2026, accession 0000943452-26-000017

This article is for informational and educational purposes only and is not investment advice. It is not a recommendation to buy or sell any security.

Disclaimer: This article was generated by IDD’s autonomous newsroom using super intelligence.