Freightcar America, Inc. (RAIL)

[StockLogistics]

“8:15a ET 11/15/2021 - Globe Newswire
FreightCar America, Inc. Reports Third Quarter 2021 Results

Fourth consecutive quarter of positive gross margin, second consecutive quarter of positive manufacturing operating income

Company reiterates delivery outlook for fiscal year 2021

FreightCar America, Inc. (NASDAQ: RAIL) today reported results for the third quarter ended September 30, 2021.

Business Highlights

"Overall, we are pleased with FreightCar America's continuing momentum, including our fourth consecutive quarter of positive gross margin," said Jim Meyer, President and Chief Executive Officer of FreightCar America. "However, our results for the quarter were impacted by the difficult launch of a new railcar model. That event aside, which is now well behind us, we wholeheartedly believe in the business transformation we've completed and remain focused on returning to long-term growth and profitability."

Meyer continued, "While industry demand fundamentals remain strong, the pace of recovery is being gated by certain external factors starting with raw material cost inflation. Sales inquiries, however, continue to be very healthy and support our footprint expansion announced earlier this year."

Meyer concluded, "We are also pleased to announce that subsequent to quarter-end, we received a portion of the outstanding VAT receivable in Mexico. As of today, we have received $10.2 million of the outstanding VAT receivable, which was $30.1 million on September 30, 2021."

Third Quarter Results

-- Non-cash charge of $0.3 million related to the change in the fair market value of warrant liability in the third quarter of 2021 reflecting the Company's share price appreciation during the period. In the second quarter of 2021, there was a non-cash gain of $3.5 million, reflecting the Company's share price depreciation during the period.

-- The Company recognized a gain on extinguishment of debt of $10.1 million related to PPP Loan forgiveness during the third quarter of 2021.

Third Quarter 2021 Conference Call & Webcast Information

The Company will host a conference call and live webcast on Monday, November 15, 2021, at 11:00 a.m. (Eastern Time) to discuss the Company's third quarter 2021 financial results. The Company's earnings release for the third quarter of 2021 will be available on the Investor Relations page of the Company's website at www.freightcaramerica.com.

Investors, analysts and members of the media interested in listening to the live presentation are encouraged to join a webcast of the call which can be accessed at:

Event URL: https://viavid.webcasts.com/starthere.jsp?ei=1509866&tp_key=d16a6ee26a

Please note that the webcast is listen-only and webcast participants will not be able to participate in the question and answer portion of the conference call. Interested parties may also participate in the call by dialing [phone] or [phone] and entering the passcode 13724786. Interested parties are asked to dial in approximately 10 to 15 minutes prior to the start time of the call.

An audio replay of the conference call will be available beginning at 2:00 p.m. (Eastern Time) on November 15, 2021, until 12:00 a.m. (Eastern Time) on Monday November 29, 2021. To access the replay, please dial [phone] or [phone]. The replay passcode is 13724786. An audio replay of the call will be available on the Company's website within two days following the earnings call.
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