Westinghouse Air Brake Technologies Corporation (NYSE:WAB) Q3 2024 Earnings Call October 23, 2024 8:30 AM ET

Company Participants

Kyra Yates - Vice President, Investor Relations
Rafael Santana - President and Chief Executive Officer
John Olin - Chief Financial Officer
John Mastelers - Senior Vice President, Finance

Conference Call Participants

Angel Castillo - Morgan Stanley
Saree Boroditsky - Jefferies
Ken Hoexter - Bank of America
Daniel Imbro - Stephens Inc
Bascome Majors - Susquehanna
Jerry Revich - Goldman Sachs
Robert Wertheimer - Melius Research
Scott Group - Wolfe Research
Steve Barger - KeyBanc Capital Markets

Operator

Good day and welcome to the Wabtec Third Quarter 2024 Earnings Conference Call. [Operator Instructions] Please note this event is being recorded. I now would like to turn the conference over to Kyra Yates, Vice President, Investor Relations. Please go ahead.

Kyra Yates

Thank you, operator. Good morning, everyone and welcome to Wabtec’s third quarter 2024 earnings call. With us today are President and CEO, Rafael Santana; CFO, John Olin; and Senior Vice President of Finance, John Mastelers.

Today’s slide presentation, along with our earnings release and financial disclosures were posted to our website earlier today and can be accessed on the Investor Relations tab. Some statements we are making are forward-looking and based on our best view of the world and our business today. For more detailed risks, uncertainties and assumptions relating to our forward-looking statements please see the disclosures in our earnings release and presentation. We will also discuss non-GAAP financial metrics and encourage you to read our disclosures and reconciliation tables carefully as you consider these metrics.

I will now turn the call over to Rafael.

Rafael Santana

Thanks, Kyra and good morning, everyone. Let’s move to Slide 4. I will start with an update on our business, my perspectives on the quarter and progress against our long-term value creation framework and then John will cover the financials.

We delivered another solid quarter, evidenced by sales growth, margin expansion, increased earnings and strong cash flow. Sales were $2.7 billion, which was up nearly 4.5% versus the prior year. Revenue growth was driven by both the Freight and Transit segments. Adjusted EPS was up nearly 18% from the year ago quarter driven by increased sales and margin expansion. Total cash flow from operations for the quarter was $542 million.

We continue to execute against our capital allocation framework to maximize shareholder value by investing for future growth and returning cash to our shareholders. The 12-month backlog was $7.6 billion, up 7.5%, signifying continued momentum and visibility across the business. And the total multiyear backlog was $22 billion. Overall, the Wabtec team delivered a solid third quarter behind an intense focus on execution. Looking ahead, I am encouraged by the underlying strength and momentum across the business and believe Wabtec is positioned for continued profitable growth ahead.