What occurred

Railcar producer Greenbrier Cos (GBX 2.14%) pre-announced its quarterly outcomes and mentioned it obtained orders for 4,500 new automobiles in the course of the interval. Traders are excited, sending Greenbrier shares up greater than 10% for the week, based on information offered by S&P International Market Intelligence.

So what

Greenbrier is not anticipated to launch outcomes from its fiscal second quarter ended Feb. 28 till April, however the firm this week offered an replace that gave traders causes to cheer. Greenbrier mentioned it expects to earn between $0.95 and $1 per share in that quarter on income of $1.1 billion, properly forward of the $0.36 per share in earnings on $782 million in gross sales that traders had anticipated.

The outperformance is being fueled by robust demand for Greenbrier’s rail automobiles. The corporate mentioned it had obtained orders for 4,500 new automobiles with an combination worth of $580 million in the course of the quarter. Throughout the quarter, Greenbrier delivered 7,200 models. Analysts had anticipated about 5,500.

“Our order exercise and monetary efficiency within the second quarter show Greenbrier’s market-leading place in freight railcar gross sales, leasing, and providers,” CEO Lorie L. Tekorius mentioned. “This displays nice execution by our business and leasing groups, excellence in engineering, agility in manufacturing, and resourcefulness in world sourcing. Basically, Greenbrier is properly positioned and shifting forward in our markets.”

Now what

Greenbrier attributed the anticipated outcomes to robust execution. Though administration nearly definitely deserves numerous credit score, that can also be doubtless a sign that provide chain points frequent to many industrial shares proper now are easing.

In that case, that may be excellent news that’s more likely to lengthen far past the not too long ago accomplished quarter. Traders can be keen to listen to what administration has to say on the firm’s deliberate April 12 investor day, when multiyear targets are more likely to be mentioned.