Wabtec Raises Full-Year Profit Forecast Amid Strong Demand

(Reuters) – Heavy industrial parts maker Wabtec raised its full-year profit forecast on Wednesday, driven by strong demand for its freight and transit products.

Based in Pittsburgh, Pennsylvania, Wabtec provides equipment, systems, and aftermarket services for the freight and transit rail industries.

Wabtec now projects its full-year adjusted profit to be between $7.45 and $7.65 per share, up from the previous forecast of $7.20 to $7.50 per share.

CEO Rafael Santana stated, "Demand for products and services has remained strong, and our pipeline of opportunities is robust, especially in our international markets."

Sales in the company’s Freight segment, their largest, increased by 2.6% to $1.93 billion in the third quarter.

This segment manufactures new locomotives and offers aftermarket services to various sectors, including railroads, mining, and industrial markets.

Meanwhile, sales in the Transit segment grew by 9.6% to $733 million.

Wabtec reported an adjusted profit of $2.00 per share for the quarter ending September 30, surpassing analysts’ estimates of $1.90 per share.

The company's revenue rose 4.4% to $2.66 billion, although it fell short of Wall Street's expectations of $2.69 billion, according to data from LSEG.