Wabtec Delivers Strong Fourth Quarter 2025 Results; Announces 2026 Full-Year Guidance
PITTSBURGH--( BUSINESS WIRE)--Wabtec Corporation (NYSE: WAB) today reported fourth quarter 2025 GAAP earnings per diluted share of $1.18, down 4.1% versus the fourth quarter of 2024. Fourth quarter adjusted earnings per diluted share were $2.10, up 25.0% versus the same quarter a year ago. Fourth quarter sales were $2.97 billion and cash from operations was $992 million. Full year 2025 GAAP earnings per diluted share were $6.83, up 13.1% versus full year 2024. Full year adjusted earnings per diluted share were $8.97, up 18.7% versus full year 2024. Total 2025 sales were $11.17 billion and cash from operations was $1.76 billion.
“The Wabtec team delivered a strong fourth quarter and full year results, reflecting the strength of our business and our ability to execute in dynamic markets,” said Rafael Santana, Wabtec’s President and CEO.
“In the fourth quarter, we achieved double digit sales growth, expanded adjusted operating margins, and grew adjusted EPS 25% … all while building a very strong backlog and generating robust operating cash flow.
“As we exit 2025, I am very encouraged by the underlying momentum of our business and our recent acquisitions, both of which we expect to drive significant value going forward.
“Looking ahead, our record $27 billion multi-year backlog provides strong visibility and positions Wabtec for sustained growth. At the same time, our team remains committed to advancing innovation, driving operational excellence, and maintaining disciplined capital allocation to deliver long-term value for our shareholders.”
2025 Fourth Quarter Consolidated Results
Wabtec Corporation Consolidated Financial Results
$ in millions except earnings per share and percentages; margin change in percentage points (pts)
Fourth Quarter
2025
2024
Change
Net Sales
$2,965
$2,583
14.8 %
GAAP Gross Margin
32.6 %
30.9 %
1.7 pts
Adjusted Gross Margin
33.7 %
31.6 %
2.1 pts
GAAP Operating Margin
12.0 %
12.9 %
(0.9) pts
Adjusted Operating Margin
17.7 %
16.9 %
0.8 pts
GAAP Diluted EPS
$1.18
$1.23
(4.1) %
Adjusted Diluted EPS
$2.10
$1.68
25.0 %
Cash Flow from Operations
$992
$723
$269
Operating Cash Flow Conversion
292 %
212 %
2025 Fourth Quarter Freight Segment Results
Wabtec Corporation Freight Segment Financial Results
Net sales $ in millions; margin change in percentage points (pts)
Fourth Quarter
2025
2024
Change
Net Sales
$2,123
$1,794
18.3 %
GAAP Gross Margin
33.1 %
31.0 %
2.1 pts
Adjusted Gross Margin
34.5 %
31.4 %
3.1 pts
GAAP Operating Margin
15.0 %
15.2 %
(0.2) pts
Adjusted Operating Margin
22.1 %
19.4 %
2.7 pts
2025 Fourth Quarter Transit Segment Results
Wabtec Corporation Transit Segment Financial Results
Net sales $ in millions; margin change in percentage points (pts)
Fourth Quarter
2025
2024
Change
Net Sales
$842
$789
6.7 %
GAAP Gross Margin
31.2 %
30.6 %
0.6 pts
Adjusted Gross Margin
31.6 %
31.8 %
(0.2) pts
GAAP Operating Margin
12.8 %
13.0 %
(0.2) pts
Adjusted Operating Margin
14.0 %
16.4 %
(2.4) pts
Backlog
Wabtec Corporation Consolidated Backlog Comparison
Backlog $ in millions
December 31,
2025
2024
Change
12-Month Backlog
$8,234
$7,681
7.2 %
Total Backlog
$27,407
$22,272
23.1 %
The Company’s 12-month and multi-year backlogs continue to provide strong visibility. At the end of the fourth quarter, the 12-month backlog was $553 million higher than the prior year. And at December 31, 2025, the multi-year backlog was $5,135 million higher than the same time a year ago. Excluding the impacts of foreign currency exchange, the 12-month backlog was up 4.7% and the multi-year backlog was up 20.5%.
Cash Flow and Liquidity Summary
2026 Financial Guidance
Forecasted GAAP Earnings Reconciliation
Wabtec is not presenting a quantitative reconciliation of our forecasted GAAP earnings per diluted share to forecasted adjusted earnings per diluted share in reliance on the unreasonable efforts exemption provided under Item 10(e)(1)(i)(B) of Regulation S-K. Wabtec is unable to predict with reasonable certainty and without unreasonable effort the impact and timing of restructuring-related and other charges, including acquisition-related expenses and the outcome of regulatory, legal and tax matters. The financial impact of these items is uncertain and is dependent on various factors, including timing, and could be material to our Consolidated Statements of Earnings.
Conference Call Information
Wabtec will host a call with analysts and investors at 8:30 a.m. ET today. To listen via webcast, go to Wabtec’s website at www.WabtecCorp.com and click on “Events & Presentations” in the “Investor Relations” section. Also, an audio replay of the call will be available by calling 1-855-669-9658 or 1-412-317-0088 (access code: 8243971).
About Wabtec
Wabtec Corporation (NYSE: WAB) is revolutionizing the way the world moves for future generations. The Company is a leading global provider of equipment, systems, digital solutions and value-added services for the freight and transit rail industries, as well as the mining, marine and industrial markets. Wabtec has been a leader in the rail industry for over 155 years and has a vision to achieve a zero-emission rail system in the U.S. and worldwide. Visit Wabtec’s website at www.wabteccorp.com.
Information about non-GAAP Financial Information and Forward-Looking Statements
Wabtec’s earnings release and financial guidance mentions certain non-GAAP financial performance measures, including adjusted gross profit, adjusted operating expenses, adjusted operating margin, adjusted gross margin, EBITDA, adjusted EBITDA, adjusted income tax expense, adjusted income from operations, adjusted interest and other expense, adjusted net income, adjusted earnings per diluted share and operating cash flow conversion. Wabtec defines EBITDA as earnings before interest, taxes, depreciation and amortization. Adjusted EBITDA is further adjusted for restructuring costs. Wabtec defines operating cash flow conversion as net cash provided by operating activities divided by net income plus depreciation and amortization including deferred debt cost amortization. While Wabtec believes these are useful supplemental measures for investors, they are not presented in accordance with GAAP. Investors should not consider non-GAAP measures in isolation or as a substitute for net income, cash flows from operations or any other items calculated in accordance with GAAP. In addition, the non-GAAP financial measures included in this release have inherent material limitations as performance measures because they add back certain expenses incurred by the Company to GAAP financial measures, resulting in those expenses not being taken into account in the applicable non-GAAP financial measure. Because not all companies use identical calculations, Wabtec’s presentation of non-GAAP financial measures may not be comparable to other similarly titled measures of other companies. Included in this release are reconciliation tables that provide details about how adjusted results relate to GAAP results.
This communication contains “forward-looking” statements as that term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. All statements, other than historical facts, including statements regarding Wabtec’s plans, objectives, expectations and intentions; Wabtec’s expectations about future sales, earnings and cash conversion; and any assumptions underlying any of the foregoing, are forward-looking statements. Forward-looking statements concern future circumstances and results and other statements that are not historical facts and are sometimes identified by the words “may,” “will,” “should,” “potential,” “intend,” “expect,” “endeavor,” “seek,” “anticipate,” “estimate,” “overestimate,” “underestimate,” “believe,” “could,” “project,” “predict,” “continue,” “target” or other similar words or expressions. Forward-looking statements are based upon current plans, estimates and expectations that are subject to risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. The inclusion of such statements should not be regarded as a representation that such plans, estimates or expectations will be achieved. Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, (1) changes in general economic and/or industry specific conditions, including the impacts of significant recent shifts in trade policies (including the actual or threatened imposition of tariffs and retaliatory tariff measures) as well as tax programs, inflation, supply chain disruptions, foreign currency exchange and industry consolidation and market reactions to these factors; (2) changes in the financial condition or operating strategies of Wabtec’s customers; (3) unexpected costs, charges or expenses resulting from acquisitions and potential failure to realize synergies and other anticipated benefits of acquisitions, including as a result of integrating acquired targets into Wabtec; (4) inability to retain and hire key personnel; (5) evolving legal, regulatory and tax regimes; (6) changes in the expected timing of projects; (7) a decrease in freight or passenger rail traffic; (8) an increase in manufacturing costs; (9) actions by third parties, including government agencies; (10) the impacts of epidemics, pandemics, or similar public health crises on the global economy and, in particular, our customers, suppliers and end-markets, (11) potential disruptions, instability, and volatility in global markets as a result of global military action, acts of terrorism or armed conflict, including Russia’s invasion of Ukraine; (12) cybersecurity and data protection risks and (13) other risk factors as detailed from time to time in Wabtec’s reports filed with the SEC, including Wabtec’s annual report on Form 10-K, periodic quarterly reports on Form 10-Q, current reports on Form 8-K and other documents filed with the SEC. The foregoing list of important factors is not exclusive. Any forward-looking statements speak only as of the date of this communication. Wabtec does not undertake any obligation to update any forward-looking statements, whether as a result of new information or development, future events or otherwise, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.
2025
2024
2025
2024
$
2,965
$
2,583
$
11,167
$
10,387
(1,999
)
(1,786
)
(7,361
)
(7,021
)
966
797
3,806
3,366
32.6
%
30.9
%
34.1
%
32.4
%
(461
)
(333
)
(1,490
)
(1,248
)
(68
)
(51
)
(223
)
(206
)
(81
)
(79
)
(300
)
(303
)
(610
)
(463
)
(2,013
)
(1,757
)
20.6
%
17.9
%
18.0
%
16.9
%
356
334
1,793
1,609
12.0
%
12.9
%
16.1
%
15.5
%
(68
)
(53
)
(225
)
(201
)
3
3
24
2
291
284
1,592
1,410
(87
)
(71
)
(409
)
(343
)
29.7
%
25.1
%
25.7
%
24.3
%
204
213
1,183
1,067
(2
)
(1
)
(13
)
(11
)
$
202
$
212
$
1,170
$
1,056
$
1.19
$
1.23
$
6.84
$
6.05
$
1.18
$
1.23
$
6.83
$
6.04
170.3
171.2
170.5
174.1
Diluted
171.0
172.0
171.1
174.8
$
2,123
$
1,794
$
8,036
$
7,468
$
318
$
273
$
1,567
$
1,422
15.0
%
15.2
%
19.5
%
19.0
%
$
842
$
789
$
3,131
$
2,919
$
108
$
103
$
422
$
338
12.8
%
13.0
%
13.5
%
11.6
%
$
22,493
$
20,907
$
17,986
4,914
4,670
4,286
$
27,407
$
25,577
$
22,272
$
6,022
$
6,085
$
5,577
2,212
2,182
2,104
$
8,234
$
8,267
$
7,681
$
789
$
715
1,897
1,702
2,745
2,314
263
212
5,694
4,943
1,616
1,447
10,216
8,710
3,838
2,934
705
668
$
22,069
$
18,702
$
5,150
$
3,792
4,291
3,480
1,438
1,297
10,879
8,569
11,142
10,091
48
42
11,190
10,133
$
22,069
$
18,702
2025
2024
$
1,183
$
1,067
569
580
(36
)
(34
)
(182
)
(117
)
34
70
191
268
1,759
1,834
(2,747
)
(343
)
1,031
(1,371
)
31
(25
)
74
95
715
620
$
789
$
715
$
2,965
$
966
$
(610
)
$
356
$
(65
)
$
(87
)
$
204
$
(2
)
$
202
$
1.18
-
4
51
55
-
6
61
-
61
$
0.36
-
29
-
29
-
(7
)
22
-
22
$
0.13
-
-
5
5
11
(3
)
13
-
13
$
0.08
-
-
78
78
-
(18
)
60
-
60
$
0.35
$
2,965
$
999
$
(476
)
$
523
$
(54
)
$
(109
)
$
360
$
(2
)
$
358
$
2.10
171.0
$
11,167
$
3,806
$
(2,013
)
$
1,793
$
(201
)
$
(409
)
$
1,183
$
(13
)
$
1,170
$
6.83
-
12
64
76
-
1
77
-
77
$
0.45
-
53
-
53
-
(13
)
40
-
40
$
0.23
-
-
49
49
(19
)
(4
)
26
-
26
$
0.15
-
-
296
296
-
(72
)
224
-
224
$
1.31
$
11,167
$
3,871
$
(1,604
)
$
2,267
$
(220
)
$
(497
)
$
1,550
$
(13
)
$
1,537
$
8.97
171.1
$
2,583
$
797
$
(463
)
$
334
$
(50
)
$
(71
)
$
213
$
(1
)
$
212
$
1.23
-
18
14
32
-
(8
)
24
-
24
$
0.14
-
-
72
72
-
(17
)
55
-
55
$
0.31
$
2,583
$
815
$
(377
)
$
438
$
(50
)
$
(96
)
$
292
$
(1
)
$
291
$
1.68
172.0
$
10,387
$
3,366
$
(1,757
)
$
1,609
$
(199
)
$
(343
)
$
1,067
$
(11
)
$
1,056
$
6.04
-
37
33
70
(4
)
(16
)
50
-
50
$
0.28
-
-
288
288
-
(70
)
218
-
218
$
1.24
$
10,387
$
3,403
$
(1,436
)
$
1,967
$
(203
)
$
(429
)
$
1,335
$
(11
)
$
1,324
$
7.56
174.8
$356
$3
$133
$492
$98
$590
$1,793
$24
$494
$2,311
$153
$2,464
$334
$3
$127
$464
$22
$486
$1,609
$2
$498
$2,109
$39
$2,148
2025
2024
$
666
$
499
429
386
361
207
667
702
$
2,123
$
1,794
$
351
$
339
491
450
$
842
$
789
2025
2024
$
2,365
$
2,108
1,586
1,555
1,030
786
3,055
3,019
$
8,036
$
7,468
$
1,393
$
1,308
1,738
1,611
$
3,131
$
2,919
2025
2024
2025
2024
$
703
$
318
$
556
$
273
$
2,835
$
1,567
$
2,523
$
1,422
33.1
%
15.0
%
31.0
%
15.2
%
35.3
%
19.5
%
33.8
%
19.0
%
1
50
8
9
6
56
18
27
-
1
-
-
-
3
-
-
29
29
-
-
53
53
-
-
-
72
-
66
-
272
-
267
$
733
$
470
$
564
$
348
$
2,894
$
1,951
$
2,541
$
1,716
34.5
%
22.1
%
31.4
%
19.4
%
36.0
%
24.3
%
34.0
%
23.0
%
$
263
$
108
$
241
$
103
$
971
$
422
$
843
$
338
31.2
%
12.8
%
30.6
%
13.0
%
31.0
%
13.5
%
28.9
%
11.6
%
3
4
10
21
6
18
19
41
-
6
-
6
-
24
-
21
$
266
$
118
$
251
$
130
$
977
$
464
$
862
$
400
31.6
%
14.0
%
31.8
%
16.4
%
31.2
%
14.8
%
29.5
%
13.7
%
$
1,794
$
789
$
2,583
167
4
171
(2
)
(19
)
(21
)
5
37
42
159
31
190
$
2,123
$
842
$
2,965
329
53
382
18.3
%
6.7
%
14.8
%
$
7,468
$
2,919
$
10,387
328
27
355
(36
)
(36
)
(72
)
(31
)
64
33
307
157
464
$
8,036
$
3,131
$
11,167
568
212
780
7.6
%
7.3
%
7.5
%
$992
$204
$136
292%
$1,759
$1,183
$501
104%
$723
$213
$128
212%
$1,834
$1,067
$503
117%