Greenbrier Companies (GBX) has reported 64.05 percent plunge in profit for the quarter ended Nov. 30, 2016. The company has earned $24.96 million, or $0.79 a share in the quarter, compared with $69.43 million, or $2.15 a share for the same period last year. Revenue during the quarter plunged 31.17 percent to $552.31 million from $802.39 million in the previous year period. Gross margin for the quarter contracted 261 basis points over the previous year period to 20.41 percent. Total expenses were 86.84 percent of quarterly revenues, up from 81.49 percent for the same period last year. That has resulted in a contraction of 535 basis points in operating margin to 13.16 percent.
Operating income for the quarter was $72.66 million, compared with $148.48 million in the previous year period.
Adjusted EBITDA for the quarter stood at $85.67 million.
William A. Furman, chairman and chief executive officer, said, "Greenbriers fiscal 2017 is off to a strong start with solid financial performance delivered during a demanding first quarter. We had healthy manufacturing margins on lower deliveries, a testament to the strength of our manufacturing and leasing operations. We continue to execute on our strategy of focusing on our core North American operations while pursuing targeted investments in international markets."
Greenbrier Companies expects revenue to be in the range of $2,000 million to $2,400 million for financial year 2017.
Operating cash flow turns positiveGreenbrier Companies has generated cash of $29.01 million from operating activities during the quarter as against cash outgo of $63.49 million in the last year period. Cash flow from investing activities was $12.24 million for the quarter, down 48.04 percent or $11.32 million, when compared with the last year period.
The company has spent $21.55 million cash to carry out financing activities during the quarter as against cash inflow of $71.60 million in the last year period.
Cash and cash equivalents stood at $233.79 million as on Nov. 30, 2016, up 18.30 percent or $36.16 million from $197.63 million on Nov. 30, 2015.
Debt comes down significantly
Greenbrier Companies has recorded a decline in total debt over the last one year. It stood at $300.33 million as on Nov. 30, 2016, down 38.17 percent or $185.40 million from $485.73 million on Nov. 30, 2015. Total debt was 16.53 percent of total assets as on Nov. 30, 2016, compared with 25.65 percent on Nov. 30, 2015. Debt to equity ratio was at 0.29 as on Nov. 30, 2016, down from 0.53 as on Nov. 30, 2015. Interest coverage ratio improved to 42.15 for the quarter from 27.32 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
