Wabtec raised its 2026 outlook as freight and transit sales rose 17.5 percent

Wabtec raised its full-year outlook. The freight and transit rail supplier now expects 2026 revenue of $12.30bn to $12.60bn and adjusted earnings per share of $10.60 to $10.90, both lifted at the midpoint, after second-quarter sales rose 17.5 percent to $3.18bn in results dated July 22. GAAP earnings per share were $2.33, up 18.9 percent, and adjusted earnings per share were $2.76, up 21.6 percent. Cash from operations was $441m.

Locomotives carried the freight segment. Equipment sales there rose 35 percent, while service sales fell 4.2 percent on lower modernization work, and digital sales jumped 88.5 percent, mostly from acquired businesses. The transit segment grew 18.9 percent, helped by the Dellner Couplers acquisition and currency. Total backlog reached $30.93bn, up 41.7 percent, though the nearer-term twelve-month backlog rose a steadier 11.3 percent.

The company repurchased $215m of stock and paid $53m in dividends during the quarter. Both operating margins widened from a year earlier, to 18.9 percent on a GAAP basis and 21.9 percent adjusted.