WESTINGHOUSE AIR BRAKE TECHNOLOGIES CORP. recently released its 10-Q report, providing a detailed insight into its financial performance and business activities. The company, headquartered in Pittsburgh, Pennsylvania, offers technology-based locomotives, equipment, systems, and services for the freight rail and passenger transit industries worldwide. Its products and services are essential for the safe and efficient operation of freight rail and passenger transit vehicles, and the company operates in over 50 countries, with products found in more than 100 countries worldwide.
In the second quarter of 2025, Wabtec's net sales increased by $62 million, or 2.3%, reaching $2.71 billion compared to the same period in 2024. The company's income from operations for the same period was $472 million, a 10% increase from the previous year. Wabtec's Freight Segment saw a slight decrease in net sales by $1 million, but its Transit Segment experienced a significant increase in net sales by $63 million, marking an 8.7% growth. The company's gross profit for the period was $938 million, a 7% increase from the previous year.
Wabtec has been actively pursuing acquisitions to strengthen its position in the market. Notably, it completed the acquisition of Evident’s Inspection Technologies division for approximately $1.78 billion and announced a definitive agreement to acquire Frauscher Sensor Technology Group, GmbH for approximately €675 million. These strategic moves are aimed at accelerating profitable growth and expanding the company’s capabilities.
The company's financial report also highlighted its focus on driving operational efficiency and improving profitability while reducing manufacturing complexity. Wabtec incurred $15 million of restructuring costs during the first six months of 2025, primarily for employee-related costs. Additionally, the company is taking various mitigating actions to lessen the impact of macroeconomic volatility, including implementing price escalations and surcharges, driving operational efficiencies, and strategically sourcing materials.
Wabtec's effective income tax rate for the second quarter of 2025 was 24.8%, slightly higher than the previous year, primarily driven by the jurisdictional mix of earnings. The company's Freight Segment saw a slight decrease in net sales, primarily driven by lower North America rail car build and the exit of low margin business offerings. Conversely, the Transit Segment experienced increased demand for Original Equipment Manufacturing and Aftermarket products and services, leading to higher net sales.
As a result of these announcements, the company's shares have moved -5.63% on the market, and are now trading at a price of $202.315. Check out the company's full 10-Q submission here.
