FreightCar America, Inc. Updates Full-Year 2026 Outlook and Reports Preliminary Third Quarter 2026 Results

The backlog removal covers deliveries scheduled for both 2026 and 2027, while no other orders are affected.

Rhea-AI Summary

FreightCar America (NASDAQ: RAIL) lowered its full-year 2026 outlook after removing a tank car retrofit order from its backlog. The removal covers 1,285 railcars scheduled for delivery in 2026 and 2027; no other orders are affected. Backlog at September 30, 2026 was 2,660 units valued at $284.5 million.

Updated guidance calls for 3,100–3,300 deliveries, $370–$410 million in revenue and $15–$19 million in adjusted EBITDA, a non-GAAP earnings measure. Prior ranges were 3,500–3,900 deliveries, $410–$460 million and $36–$44 million, respectively. Preliminary third-quarter deliveries fell to 662 from 1,304 a year earlier. Revenue was $75–$77 million versus $160.5 million, and adjusted EBITDA was negative $0.3 million to positive $0.3 million versus $17.0 million. Preliminary loss before income taxes was $1.9–$1.3 million. These unaudited figures remain subject to quarter-end closing and review procedures.

3 points · 0 major

NegativeiHow this balance works

How this balance works

Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

2 major · 9 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Minor pointRemaining backlog has firm customer commitments; no other orders are affected by the removal.
• Minor point. Forward-looking: it has not happened yet and may not happen.Lower cost base is in place, supporting the company's expectation of stronger results in 2027.
• Minor point. Forward-looking: it has not happened yet and may not happen.Aftermarket business growth remains part of the company's plans.

Negative

• Major point1,285 railcars removed from backlog covered tank car retrofit deliveries scheduled for 2026 and 2027.
• Major point. Forward-looking: it has not happened yet and may not happen.Full-year adjusted EBITDA guidance cut to $15–$19 million from $36–$44 million.
• Moderate pointPreliminary third-quarter adjusted EBITDA fell to negative $0.3 million–positive $0.3 million from $17.0 million a year earlier.
• Minor point. Forward-looking: it has not happened yet and may not happen.Full-year revenue guidance lowered to $370–$410 million from $410–$460 million.
• Minor point. Forward-looking: it has not happened yet and may not happen.Full-year delivery guidance reduced to 3,100–3,300 railcars from 3,500–3,900 railcars.

4 minor points

• Minor pointPreliminary third-quarter revenue fell to $75–$77 million from $160.5 million a year earlier.
• Minor pointThird-quarter deliveries fell to 662 railcars from 1,304 in the third quarter of 2025.
• Minor pointPreliminary third-quarter loss before income taxes was $1.9–$1.3 million.
• Minor pointPreliminary third-quarter figures are unaudited and subject to completion of quarter-end closing and review procedures.

News Explained

The preliminary third-quarter figures remain subject to closing review; FreightCar America expects to report full results after market close on November 9, 2026, and hold its conference call on November 10, 2026 at 11:00 a.m. ET.

Key Figures

Tank car retrofit order removed: 1,285 railcars Backlog: 2,660 units; $284.5 million Railcar deliveries: 662 units vs. 1,304 units +5 more

Tank car retrofit order removed

1,285 railcars

Removed from backlog

Backlog

2,660 units; $284.5 million

As of September 30, 2026, after order removal

Railcar deliveries

662 units vs. 1,304 units

Preliminary Q3 2026 vs. Q3 2025

Revenue

$75 million–$77 million vs. $160.5 million

Preliminary Q3 2026 vs. Q3 2025

Adjusted EBITDA

$(0.3) million–$0.3 million vs. $17.0 million

Preliminary Q3 2026 vs. Q3 2025

Fiscal 2026 railcar deliveries outlook

3,100–3,300 railcars; prior outlook 3,500–3,900 railcars

Updated outlook vs. August 3, 2026 outlook

Fiscal 2026 revenue outlook

$370 million–$410 million; prior outlook $410 million–$460 million

Updated outlook vs. August 3, 2026 outlook

Fiscal 2026 Adjusted EBITDA outlook

$15 million–$19 million; prior outlook $36 million–$44 million

Updated outlook vs. August 3, 2026 outlook

Previous Earnings Reports

2 past events · Latest: Aug 03

Same Type 2 events

1. Aug 03

   Q2 earnings

   24h Move

   +3.6%

   Quarterly results accompanied by reduced fiscal 2026 delivery, revenue and adjusted EBITDA guidance.

2. Nov 10

   Q3 earnings

   24h Move

   +11.8%

   Q3 revenue, deliveries and adjusted EBITDA were higher year over year.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

adjusted ebitda, non-gaap, gaap, warrant liability

4 terms

adjusted ebitda financial

"Adjusted EBITDA, a measure not derived in accordance with generally accepted accounting principles"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

non-gaap financial

"This non-GAAP measure should not be considered in isolation"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

View in glossary

gaap financial

"not derived in accordance with generally accepted accounting principles (“GAAP”)"

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

View in glossary

warrant liability financial

"including warrant liability and non-core operating items"

Warrant liability is the financial obligation a company records when it grants warrants—special options giving the holder the right to buy company shares at a set price in the future. It matters to investors because changes in this liability can affect a company's reported earnings and overall financial health, similar to how a pending contract can influence a company's future value.

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Tank Car Retrofit Order Removed from Full-Year Outlook and Backlog

Full-Year 2026 Outlook Revised Across Railcar Deliveries, Revenue and Adjusted EBITDA

Full Third Quarter 2026 Results to Be Released on Monday, November 9, 2026, with Conference Call on Tuesday, November 10, 2026 at 11:00 a.m. ET

CHICAGO, Oct. 19, 2026 (GLOBE NEWSWIRE) -- FreightCar America, Inc. (NASDAQ: RAIL) (“FreightCar America” or the “Company”), a diversified manufacturer and supplier of railroad freight cars, railcar parts and components, today updated its outlook for fiscal year 2026 and reported preliminary results for the third quarter ended September 30, 2026.

Tank Car Retrofit Order

The Company has elected to remove 1,285 railcars related to its tank car retrofit order from its backlog because the Company believes that the customer in question is unlikely to be able to meet its obligations under the associated customer contract. The order was to begin delivery in the second half of 2026 and continue through 2027. The updated 2026 outlook announced today excludes the railcars related to this order that had been scheduled to be delivered in 2026. No other orders in the Company’s backlog are affected. After this removal, backlog as of September 30, 2026 was 2,660 units valued at $284.5 million.

Preliminary Third Quarter 2026 Results

• Railcar deliveries of 662 units, compared to 1,304 units in the third quarter of 2025
• Revenue of $75 million to $77 million, compared to $160.5 million in the third quarter of 2025
• Adjusted EBITDA of $(0.3) million to $0.3 million, compared to $17.0 million in the third quarter of 2025
• Backlog of 2,660 units valued at $284.5 million as of September 30, 2026

These preliminary figures are unaudited and subject to the completion of the Company’s quarter-end closing procedures.

“We have elected to remove the customer’s contractually committed tank car retrofit order from our reported backlog in full,” said Nick Randall, President and Chief Executive Officer of FreightCar America. “The removal covers all deliveries scheduled for 2026 and 2027. Our updated 2026 outlook excludes the associated deliveries and reflects our current operating forecast. This adjustment is specific to one customer order. Our remaining backlog continues to be supported by firm customer commitments, and no other orders are affected by this adjustment.”

Randall continued, “Our commitment to the tank car retrofit market remains unchanged. We continue to focus on the railcar types where we have a proven record and continue to gain share, while growing our aftermarket business. Our flexible operating model positions us to execute on our remaining backlog and respond as industry demand improves. We look forward to discussing our commercial progress and strategic priorities on our upcoming earnings call.”

Updated Fiscal Year 2026 Outlook

The Company has updated its outlook for fiscal year 2026 as follows:

	Updated Fiscal 2026 Outlook	Prior Fiscal 2026 Outlook (August 3, 2026)
Railcar Deliveries	3,100 – 3,300 railcars	3,500 – 3,900 railcars
Revenue	$370 – $410 million	$410 – $460 million
Adjusted EBITDA1	$15 – $19 million	$36 – $44 million

1. The Company does not provide a reconciliation of forward-looking Adjusted EBITDA guidance due to the inherent difficulty in forecasting and quantifying adjustments necessary to calculate such non-GAAP measure without unreasonable effort. Material changes to such adjustments, including warrant liability and non-core operating items, could affect future GAAP results.

Mike Riordan, Chief Financial Officer of FreightCar America, added, “While our updated outlook excludes the tank car retrofit order, we are confident in our ability to execute on our strategic priorities. With a lower cost base in place, we are positioned to deliver stronger results as our backlog converts into deliveries in 2027, along with continued growth in our aftermarket business.”

The Company expects to report its full third quarter 2026 financial results on Monday, November 9, 2026 after the market close and to host its regularly scheduled conference call on Tuesday, November 10, 2026 at 11:00 a.m. (Eastern Time). Details will be provided in a separate announcement.

About FreightCar America

FreightCar America, headquartered in Chicago, Illinois, is a leading designer, producer and supplier of railroad freight cars, railcar parts and components. We also specialize in railcar repairs, complete railcar rebody services and railcar conversions that repurpose idled rail assets back into revenue service. Since 1901, our customers have trusted us to build quality railcars that are critical to economic growth and instrumental to the North American supply chain. To learn more about FreightCar America, visit www.freightcaramerica.com.

Forward-Looking Statements

This press release contains statements relating to our expected financial performance, financial condition, and/or future business prospects, events and/or plans that are “forward-looking statements” as defined under the Private Securities Litigation Reform Act of 1995. Forward-looking statements represent our estimates and assumptions only as of the date of this press release. Our actual results may differ materially from the results described in or anticipated by our forward-looking statements due to certain risks and uncertainties. These risks and uncertainties relate to, among other things, the cyclical nature of our business; adverse geopolitical, economic and market conditions, including inflation; material disruption in the movement of rail traffic for deliveries; fluctuating costs of raw materials, including steel and aluminum; delays in the delivery of raw materials; our ability to maintain relationships with our suppliers of railcar components; our reliance upon a small number of customers that represent a large percentage of our sales; the variable purchase patterns of our customers and the timing of completion; delivery and customer acceptance of orders; the highly competitive nature of our industry; the risk of lack of acceptance of our new railcar offerings; potential unexpected changes in laws, rules, and regulatory requirements, including tariffs and trade barriers (including recent United States tariffs imposed or threatened to be imposed on China, Canada, Mexico and other countries and any retaliatory actions taken by such countries); and other competitive factors. The factors listed above are not exhaustive. New factors emerge from time to time that may cause our business not to develop as we expect, and it is not possible for us to predict all of them. We expressly disclaim any duty to provide updates to any forward-looking statements made in this press release, whether as a result of new information, future events or otherwise.

Non-GAAP Financial Measures

This press release includes Adjusted EBITDA, a measure not derived in accordance with generally accepted accounting principles (“GAAP”). This non-GAAP measure should not be considered in isolation or as a substitute for any measure derived in accordance with GAAP and may also be inconsistent with similar measures presented by other companies. A reconciliation of preliminary third quarter 2026 Adjusted EBITDA to the most directly comparable GAAP measure is included below. The Company does not provide a reconciliation of forward-looking Adjusted EBITDA guidance due to the inherent difficulty in forecasting and quantifying adjustments necessary to calculate such non-GAAP measure without unreasonable effort.

Investor Contact:    chris@jbgcapadvisory.com

Preliminary Reconciliation of Adjusted EBITDA

The following table reconciles preliminary third quarter 2026 Adjusted EBITDA to loss before income taxes. Amounts are in millions and are preliminary and unaudited:

	Low		High
Loss before income taxes	$(1.9)		$(1.3)
Depreciation and amortization	$1.9		$1.9
Interest expense, net	$3.1		$3.1
EBITDA	$3.1		$3.7
Change in fair value of warrant liability and other adjustments	$(4.7)		$(4.7)
Stock-based compensation	$0.8		$0.8
Other non-recurring items	$0.5		$0.5
Adjusted EBITDA	$(0.3)		$0.3

Preliminary Financial Information

The third quarter 2026 figures presented in this press release are preliminary, unaudited and based on information available to management as of the date of this release. They are subject to change in connection with the completion of the Company’s quarter-end closing and review procedures, and the Company’s final results may differ from these preliminary figures. The Company undertakes no obligation to update this preliminary information before it reports its third quarter 2026 results.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What is FreightCar America's updated 2026 outlook?

FreightCar America expects 3,100–3,300 railcar deliveries, revenue of $370–$410 million and adjusted EBITDA of $15–$19 million for fiscal 2026. The updated outlook excludes deliveries from the removed tank car retrofit order that had been scheduled for 2026.

How much backlog did FreightCar America remove?

FreightCar America removed 1,285 railcars associated with a tank car retrofit order scheduled for delivery in 2026 and 2027. After the removal, backlog as of September 30, 2026 was 2,660 units valued at $284.5 million. No other orders were affected.

When will FreightCar America release its full third-quarter 2026 results?

FreightCar America expects to release its full third-quarter 2026 financial results November 9, 2026, after market close. Its earnings conference call is scheduled for November 10, 2026 at 11:00 a.m. Eastern Time.