Pricing initiatives fortify Greenbrier results

Railway Age, August, 2004

A strong economy and rising rail traffic have helped Greenbrier Companies strengthen revenues and earnings, but other initiatives also have been paying off. Early this year, a team was out in place to "aggressively manage steel and scrap surcharge issues," according to President and CEO William Furman.

"The increase in manufacturing margins and pricing on recent orders reflects the successes realized in this area." Greenbrier reported net earnings of $6.4 million for its third fiscal quarter (ended May 31), more than double the $3 million earned in the same period a year ago. Revenues rose 63% to $225 million. The company delivered 3,600 cars in its third quarter (including 600 produced in a prior period) and ended the quarter with a backlog of 9,700.