Greenbrier Reports Fourth Quarter and Fiscal Year Results - Form 8-K

Greenbrier Reports Fourth Quarter and Fiscal Year Results

Greenbrier Board designates next CEO and sets transition timeline

Orders for 6,700 new railcars valued at $665 million - book-to-bill of 1.5x in the quarter

Generated over $80 million of operating cash flow in the quarter

Lake Oswego, Oregon, October 26, 2021 - The Greenbrier Companies, Inc. (NYSE: GBX) ("Greenbrier"), a leading international supplier of equipment and services to global freight transportation markets, today reported financial results for its fourth fiscal quarter and year ended August 31, 2021.

Today, Greenbrier separately announced the appointment of Lorie Tekorius as the Company's next CEO and President, effective March 1, 2022. Bill Furman will step into the newly created position of Executive Chair on the same date, and as earlier announced, will retire in September 2022, while remaining a member of the Board of Directors into 2024.

Fourth Quarter Highlights

•

New railcar orders for 6,700 units valued at $665 million and deliveries of 4,500 units, resulted in a 1.5x book-to-bill, the third consecutive quarter with a book-to-bill over 1.0x.

•

Diversified new railcar backlog as of August 31, 2021 was 26,600 units with an estimated value of $2.8 billion.

•

Ended the quarter with liquidity of $835 million, including $647 million in cash and $188 million of available borrowing capacity.

•

Operating cash flow exceeded $80 million.

•

Net earnings attributable to Greenbrier for the quarter were $32 million, or $0.95 per diluted share, on revenue of nearly $600 million. Net earnings included $1.2 million ($0.03 per share), of loss on extinguishment of debt, net of tax.

•

Adjusted net earnings attributable to Greenbrier were $33 million, or $0.98 per diluted share, and EBITDA for the quarter was $70 million.

•

Contributed nearly $70 million of assets into GBX Leasing. GBX Leasing is funded with a combination of equity and non-recourse debt. It is consolidated in Greenbrier's financial statements; see supplemental information in this release.

•

Board declares a quarterly dividend of $0.27 per share, payable on December 2, 2021 to shareholders of record as of November 11, 2021 representing Greenbrier's 30th consecutive quarterly dividend.

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 2

Fiscal Year 2021 Highlights

•

Diversified new railcar orders of 17,200 units valued at $1.8 billion and deliveries of 13,000 units resulted in 1.3x book-to-bill.

•

COVID-19 related expenses for the year totaled nearly $10 million (pre-tax).

•

Net earnings attributable to Greenbrier for the year were $32 million, or $0.96 per diluted share, on revenue of $1.7 billion. Net earnings included $5 million ($0.14 per share), of loss on extinguishment of debt, net of tax, associated with refinancing of the Company's debt.

•

Completed nearly $1.5 billion of debt refinancing effectively doubling the maturity profile of Greenbrier's debt.

•

Adjusted net earnings attributable to Greenbrier were $37 million, or $1.10 per diluted share, excluding the loss on extinguishment of debt.

•

GBX Leasing was formed in April 2021 to create stable, tax-advantaged cash flows. Nearly $200 million of railcars were contributed in fiscal 2021 which were levered 3:1 utilizing a $300 million non-recourse warehouse credit facility secured at formation. Subsequent to year end, Greenbrier acquired a portfolio of 3,600 railcars, accelerating its enhanced railcar leasing strategy.

•

Under a provision of the CARES Act, Greenbrier invested in our lease fleets which created net operating losses for tax purposes that were carried back to prior years with higher federal tax rates. This activity resulted in tax benefits that generated $1.09 per diluted share of earnings over the course of fiscal 2021.

•

EBITDA was $145 million, or 8.3% of revenue.

William A. Furman, Chairman & CEO commented, "Greenbrier continued to build momentum during our fourth fiscal quarter as the recovery in the North American railcar market progresses. We achieved our fifth sequential quarterly increase in new orders during the quarter with new orders totaling 6,700 units valued at $665 million. Greenbrier also completed a comprehensive $1.5 billion refinancing plan that extended maturities into 2026 and beyond. Combined with the $300 million GBX Leasing warehouse credit facility, Greenbrier completed $1.8 billion of financings in fiscal 2021. Our strong financial position and $2.8 billion backlog supports Greenbrier's proven ability to adjust production capacity in response to growing demand. It also uniquely positions Greenbrier to participate meaningfully in the post-pandemic recovery. Momentum continues to build in our international markets with approximately 30% of our backlog for delivery in Europe and Brazil."

Furman added, "Our strategic focus remains unchanged as we enter fiscal 2022, particularly given challenges brought about by inflationary pressures, labor shortages and supply chain issues. The market recovery will not be linear, and for this reason, we are pleased to have recently increased the scale of our lease fleet through our GBX Leasing joint venture. Our lease fleet investment provides Greenbrier tax-advantaged cash flows and reduces our exposure to the inherent cyclicality of freight transportation equipment manufacturing. All factors considered, Greenbrier is extremely well-positioned to continue to grow and deliver value to our shareholders."

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 3

Business Update & Outlook

Greenbrier's strategy during the fourth fiscal quarter produced strong operating performance while balancing economic and labor volatility. Since March 2020, Greenbrier has practiced disciplined management to meet the challenges created by the COVID-19 pandemic. Greenbrier's near-term strategic focus continues to be:

1.

Maintain a strong liquidity base and balance sheet.

2.

Navigate the COVID-19 pandemic and economic crisis by safely operating our factories while generating cash.

3.

Prepare for economic recovery and forward momentum in our markets. Greenbrier is well-positioned to navigate the challenges of increasing production rates safely, while ensuring labor and supply chain continuity.

Based on current trends and production schedules, Greenbrier expects:

•

Deliveries will be 16,000 - 18,000 units including approximately 1,500 units in Greenbrier-Maxion (Brazil).

•

Selling & administrative expense to be $200 - $210 million.

•

Capital expenditures will consist of $275 million in Leasing & Service, $55 million in Manufacturing and $10 million in Wheels, Repair & Parts.

We will provide additional operating color during the earnings call.

Financial Summary

		Q4 FY21		Q3 FY21		Sequential Comparison - Main Drivers
Revenue		$599.2M		$450.1M		46% higher deliveries reflecting increased production levels and syndication activity
Gross margin		16.4%		16.7%		Strong operating performance reflects increased production rates and syndication activity in Manufacturing, and lease modification fees while the prior quarter benefited from favorable international warranty resolution
Selling and administrative		$55.4M		$49.2M		Increased employee-related costs including performance-based compensation expense
EBITDA		$70.4M		$52.9M		Higher operating earnings reflecting increased deliveries; See reconciliation on page 12
Net earnings attributable to noncontrolling interest		($3.9M)		($0.3M)		Increased operating activity at GIMSA joint venture
Adjusted net earnings attributable to Greenbrier		$32.9M(1)		$23.3M(2)		Primarily from increased deliveries and tax benefit from the CARES Act
Adjusted diluted EPS		$0.98(1)		$0.69(2)

(1)	Excludes $1.2 million ($0.03 per share), net of tax, of loss on debt extinguishment.

(2)	Excludes $3.6 million ($0.10 per share), net of tax, of loss on debt extinguishment.

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 4

Segment Summary

		Q4 FY21		Q3 FY21		Sequential Comparison - Main Drivers
Manufacturing
Revenue		$477.2M		$341.9M		Higher deliveries including increased syndication activity
Gross margin		13.2%		14.5%		Strong operating performance and increased syndication activity while prior quarter benefited from a favorable warranty resolution
Operating margin (1)		9.1%		9.2%
Deliveries (2)		4,100		2,800		Higher production rates and increased syndication activity
Wheels, Repair & Parts
Revenue		$80.3M		$80.9M		Lower volumes partially offset by higher scrap revenue
Gross margin		4.0%		8.9%		Repair operations negatively impacted by labor shortages and inventory adjustments
Operating margin (1)		0.1%		5.2%
Leasing & Services (including GBX Leasing)
Revenue		$41.7M		$27.3M		Revenue and margin reflect higher interim rent and the benefit of lease modification fees
Gross margin		76.2%		67.6%
Operating margin (1) (3)		61.0%		44.9%
Fleet utilization		94.1%		93.8%

(1)	See supplemental segment information on page 11 for additional information.

(2)	Excludes Brazil deliveries which are not consolidated into Manufacturing revenue and margins.

(3)	Includes Net loss (gain) on disposition of equipment, which is excluded from gross margin.

Conference Call

Greenbrier will host a teleconference to discuss its fourth quarter 2021 results. In conjunction with this news release, Greenbrier has posted a supplemental earnings presentation to our website. Teleconference details are as follows:

•

October 26, 2021

•

8:00 a.m. Pacific Daylight Time

•

Phone: [phone] (Toll Free) 1-412-317-6061 (International), Entry Number "1560183"

•

Real-time Audio Access: ("Newsroom" at http://www.gbrx.com)

Please access the site 10-15 minutes prior to the start time.

About Greenbrier

Greenbrier, headquartered in Lake Oswego, Oregon, is a leading international supplier of equipment and services to global freight transportation markets. Through its wholly-owned subsidiaries and joint ventures, Greenbrier designs, builds and markets freight railcars and marine barges in North America, Europe and Brazil. We are a leading provider of freight railcar wheel services, parts, maintenance and retrofitting services in North America through our rail services business unit. Greenbrier manages 444,000 railcars and offers railcar management, regulatory compliance services and leasing services to railroads and other railcars owners in North America. GBX Leasing (GBXL) is a special purpose subsidiary that owns and manages a portfolio of leased railcars that originate primarily from Greenbrier's manufacturing operations. As of September 30, 2021, GBXL and Greenbrier own a lease fleet of nearly 12,500 railcars. Learn more about Greenbrier at www.gbrx.com.

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 5
	THE GREENBRIER COMPANIES, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands, unaudited)

		August 31, 2021			May 31, 2021			February 28, 2021			November 30, 2020			August 31, 2020
Assets
Cash and cash equivalents		$	646,769			$	628,200			$	593,499			$	724,547			$	833,745
Restricted cash			24,627				8,689				8,614				8,547				8,342
Accounts receivable, net			306,407				274,792				236,171				216,220				230,488
Income tax receivable			112,135				75,135				62,103				24,448				9,109
Inventories			573,594				553,137				522,984				490,282				529,529
Leased railcars for syndication			51,647				154,017				109,287				51,087				107,671
Equipment on operating leases, net			609,812				446,888				445,451				445,542				350,442
Property, plant and equipment, net			670,221				676,010				687,468				696,333				711,524
Investment in unconsolidated affiliates			79,898				79,420				70,820				72,254				72,354
Intangibles and other assets, net			183,448				180,829				190,283				186,509				190,322
Goodwill			132,110				133,050				132,685				130,315				130,308
	$	3,390,668			$	3,210,167			$	3,059,365			$	3,046,084			$	3,173,834
Liabilities and Equity
Revolving notes		$	372,176			$	325,150			$	275,839			$	276,248			$	351,526
Accounts payable and accrued liabilities			569,805				480,373				448,571				434,138				463,880
Deferred income taxes			73,249				44,900				24,798				10,120				7,701
Deferred revenue			42,797				43,676				42,572				36,916				42,467
Notes payable, net			826,506				835,027				793,189				797,089				804,088
Contingently redeemable noncontrolling interest			29,708				30,323				30,037				30,711				31,117
Total equity - Greenbrier			1,307,748				1,286,763				1,268,502				1,280,407				1,293,043
Noncontrolling interest			168,679				163,955				175,857				180,455				180,012
Total equity			1,476,427				1,450,718				1,444,359				1,460,862				1,473,055
	$	3,390,668			$	3,210,167			$	3,059,365			$	3,046,084			$	3,173,834

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 6
	THE GREENBRIER COMPANIES, INC.

CONSOLIDATED STATEMENTSOF INCOME

(In thousands, except per share amounts, unaudited)

		Years Ended August 31,
		2021			2020			2019
Revenue
Manufacturing		$	1,329,987			$	2,349,971			$	2,431,499
Wheels, Repair & Parts			298,330				324,670				444,502
Leasing & Services			119,664				117,548				157,590
		1,747,981				2,792,189				3,033,591
Cost of revenue
Manufacturing			1,189,246				2,065,169				2,137,625
Wheels, Repair & Parts			280,391				302,189				420,890
Leasing & Services			46,737				71,700				108,590
		1,516,374				2,439,058				2,667,105
Margin			231,607				353,131				366,486
Selling and administrative expense			191,813				204,706				213,308
Net gain on disposition of equipment			(1,176	)			(20,004	)			(40,963	)
Goodwill impairment			-				-				10,025
Earnings from operations			40,970				168,429				184,116
Other costs
Interest and foreign exchange			43,263				43,619				30,912
Net loss on extinguishment of debt			6,287				-				-
Earnings (loss) before income tax and earnings (loss) from unconsolidated affiliates			(8,580	)			124,810				153,204
Income tax benefit (expense)			40,223				(40,184	)			(41,588	)
Earnings before earnings (loss) from unconsolidated affiliates			31,643				84,626				111,616
Earnings (loss) from unconsolidated affiliates			3,491				2,960				(5,805	)
Net earnings			35,134				87,586				105,811
Net earnings attributable to noncontrolling interest			(2,657	)			(38,619	)			(34,735	)
Net earnings attributable to Greenbrier		$	32,477			$	48,967			$	71,076
Basic earnings per common share:		$	0.99			$	1.50			$	2.18
Diluted earnings per common share:		$	0.96			$	1.46			$	2.14
Weighted average common shares:
Basic			32,648				32,670				32,615
Diluted			33,665				33,441				33,165
Dividends per common share		$	1.08			$	1.06			$	1.00

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 7
	THE GREENBRIER COMPANIES, INC.

CONSOLIDATED STATEMENTSOF CASH FLOWS

(In thousands, unaudited)

		Years Ended August 31,
		2021			2020			2019
Cash flows from operating activities
Net earnings		$	35,134			$	87,586			$	105,811
Adjustments to reconcile net earnings to net cash provided by (used in) operating activities:
Deferred income taxes			51,100				(9,489	)			(20,225	)
Depreciation and amortization			100,717				109,850				83,731
Net gain on disposition of equipment			(1,176	)			(20,004	)			(40,963	)
Accretion of debt discount			7,075				5,504				4,458
Stock based compensation expense			14,704				8,997				11,153
Net loss on extinguishment of debt			6,287				-				-
Noncontrolling interest adjustments			2,259				1,436				7,402
Goodwill impairment			-				-				10,025
Other			2,363				1,142				145
Decrease (increase) in assets:
Accounts receivable, net			(82,117	)			144,435				13,022
Income tax receivable			(103,026	)			(9,109	)			-
Inventories			(166,488	)			166,607				(143,168	)
Leased railcars for syndication			(11,904	)			(12,942	)			(96,110	)
Other assets			(5,813	)			(64,995	)			6,843
Increase (decrease) in liabilities:
Accounts payable and accrued liabilities			109,922				(108,837	)			55,910
Deferred revenue			438				(27,920	)			(19,275	)
Net cash provided by (used in) operating activities			(40,525	)			272,261				(21,241	)
Cash flows from investing activities
Acquisitions, net of cash acquired			-				-				(361,878	)
Proceeds from sales of assets			15,927				83,484				125,427
Capital expenditures			(139,011	)			(66,879	)			(198,233	)
Investments in and advances to unconsolidated affiliates			(26	)			(1,815	)			(11,393	)
Cash distribution from unconsolidated affiliates and other			5,350				12,693				2,096
Net cash provided by (used in) investing activities			(117,760	)			27,483				(443,981	)
Cash flows from financing activities
Net change in revolving notes with maturities of 90 days or less			197,382				146,542				(105	)
Proceeds from revolving notes with maturities longer than 90 days			112,000				176,500				-
Repayments of revolving notes with maturities long than 90 days			(287,000	)			-				-
Proceeds from issuance of notes payable			391,890				-				525,000
Repayments of notes payable			(337,754	)			(30,179	)			(182,971	)
Debt issuance costs			(21,997	)			-				(8,630	)
Repurchase of stock			(20,000	)			-				-
Dividends			(35,663	)			(35,173	)			(33,193	)
Cash distribution to joint venture partner			(25,292	)			(38,969	)			(16,879	)
Investment by joint venture partner			7,000				-				-
Tax payments for net share settlement of restricted stock			(3,308	)			(2,266	)			(6,321	)
Net cash provided by (used in) financing activities			(22,742	)			216,455				276,901
Effect of exchange rate changes			10,336				(12,599	)			(12,666	)
Increase (decrease) in cash, cash equivalents and restricted cash			(170,691	)			503,600				(200,987	)
Cash and cash equivalents and restricted cash
Beginning of period			842,087				338,487				539,474
End of period		$	671,396			$	842,087			$	338,487
Balance Sheet Reconciliation:
Cash and cash equivalents		$	646,769			$	833,745			$	329,684
Restricted cash			24,627				8,342				8,803
Total cash and cash equivalents and restricted cash		$	671,396			$	842,087			$	338,487

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 8
	THE GREENBRIER COMPANIES, INC.

SUPPLEMENTAL LEASING INFORMATION

(In thousands, except owned and managed fleet, unaudited)

GBX Leasing (GBXL) was formed in April 2021 as a joint venture with The Longwood Group to own and manage a portfolio of leased railcars primarily built by Greenbrier. Greenbrier owns approximately 95% of GBXL and consolidates it in Greenbrier's financial statements in the Leasing & Services segment. GBXL provides an additional "go to market" element to Greenbrier's Commercial strategy of direct sales, partnerships with operating leasing companies, origination of leases for syndication partners as well as providing a platform for further growth at scale. GBXL will produce strong tax-advantaged cash flows. The goal is to add at least $200 million in railcar assets annually at about 3:1 debt to equity (or 75%) based on the fair market value of assets. GBX Leasing will observe Greenbrier's established portfolio standards including investing in strong credits with a diverse equipment mix and staggered maturity ladders.

During fiscal 2021, $197 million in fair market value of assets were acquired from Greenbrier's transaction flow and $147 million was drawn on the $300 million non-recourse railcar credit facility. Subsequent to year end, Greenbrier acquired a portfolio of 3,600 railcars, a portion of which will be held in GBX Leasing. Combined with Greenbrier built cars from lease originations, GBX Leasing's portfolio's value is $350 million as of September 30. Over time the entity is expected to grow by at least $200 million in assets annually with a five-year target of $1 billion of assets. Reflecting the strong momentum achieved since inception, GBX Leasing expects to use the asset-backed securities market to refinance the warehouse facility and to convert to long term financing in fiscal 2022. Investing in leasing assets reduces Greenbrier's Manufacturing revenue and margin in the short-term but provides considerable tax benefits and longer-term earnings and cash flow stability.

Key information for the consolidated Leasing & Services segment

(In Units)		August 31, 2021			May 31, 2021
Owned fleet(1)			8,800				8,700
Managed fleet			444,000				445,000
Owned fleet utilization(1)			94	%			94	%
		August 31, 2021			May 31, 2021
Equipment on operating lease(2)		$	609,812			$	446,888
GBX Leasing non-recourse warehouse		$	146,985			$	96,576
Leasing non-recourse term loan			200,000				202,815
Total Leasing non-recourse debt		$	346,985			$	299,391
Fleet leverage %(3)			57	%			67	%

(1)	Owned fleet includes Leased railcars for syndication

(2)	Equipment on operating lease assets not securing Leasing non-recourse term loan support the $600 million U.S. revolver

(3)	Total Leasing non-recourse debt / Equipment on operating lease

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 9
	THE GREENBRIER COMPANIES, INC.

SUPPLEMENTAL INFORMATION

(In thousands, except per share amounts, unaudited)

Operating Results by Quarter for 2021 are as follows:

		First			Second			Third			Fourth			Total
Revenue
Manufacturing		$	308,722			$	202,094			$	341,939			$	477,232			$	1,329,987
Wheels, Repair & Parts			65,556				71,623				80,871				80,280				298,330
Leasing & Services			28,711				21,905				27,333				41,715				119,664
		402,989				295,622				450,143				599,227				1,747,981
Cost of revenue
Manufacturing			280,890				201,771				292,464				414,121				1,189,246
Wheels, Repair & Parts			62,984				66,667				73,690				77,050				280,391
Leasing & Services			18,444				9,513				8,857				9,923				46,737
		362,318				277,951				375,011				501,094				1,516,374
Margin			40,671				17,671				75,132				98,133				231,607
Selling and administrative expense			43,707				43,425				49,239				55,442				191,813
Net (gain) loss on disposition of equipment			(922	)			(27	)			184				(411	)			(1,176	)
Earnings (loss) from operations			(2,114	)			(25,727	)			25,709				43,102				40,970
Other costs
Interest and foreign exchange			11,103				9,568				10,204				12,388				43,263
Net loss on extinguishment of debt			-				-				4,763				1,524				6,287
Earnings (loss) before income tax and earnings (loss) from unconsolidated affiliates			(13,217	)			(35,295	)			10,742				29,190				(8,580	)
Income tax benefit			7,332				21,752				6,914				4,225				40,223
Earnings (loss) before earnings (loss) from unconsolidated affiliates			(5,885	)			(13,543	)			17,656				33,415				31,643
Earnings (loss) from unconsolidated affiliates			(744	)			(378	)			2,379				2,234				3,491
Net earnings (loss)			(6,629	)			(13,921	)			20,035				35,649				35,134
Net (earnings) loss attributable to noncontrolling interest			(3,343	)			4,856				(298	)			(3,872	)			(2,657	)
Net earnings (loss) attributable to Greenbrier		$	(9,972	)		$	(9,065	)		$	19,737			$	31,777			$	32,477
Basic earnings (loss) per common share (1)		$	(0.30	)		$	(0.28	)		$	0.61			$	0.98			$	0.99
Diluted earnings (loss) per common share (1)		$	(0.30	)		$	(0.28	)		$	0.59			$	0.95			$	0.96
Dividends per common share		$	0.27			$	0.27			$	0.27			$	0.27			$	1.08

(1)	Quarterly amounts may not total to the year to date amount as each period is calculated discretely.

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 10
	THE GREENBRIER COMPANIES, INC.

SUPPLEMENTAL INFORMATION

(In thousands, except per share amounts, unaudited)

Operating Results by Quarter for 2020 are as follows:

		First			Second			Third			Fourth			Total
Revenue
Manufacturing		$	657,367			$	489,943			$	653,007			$	549,654			$	2,349,971
Wheels, Repair & Parts			86,608				91,225				82,024				64,813				324,670
Leasing & Services			25,384				42,680				27,526				21,958				117,548
		769,359				623,848				762,557				636,425				2,792,189
Cost of revenue
Manufacturing			581,912				422,309				562,793				498,155				2,065,169
Wheels, Repair & Parts			81,892				84,373				75,001				60,923				302,189
Leasing & Services			13,366				30,830				17,232				10,272				71,700
		677,170				537,512				655,026				569,350				2,439,058
Margin			92,189				86,336				107,531				67,075				353,131
Selling and administrative expense			54,364				54,597				49,494				46,251				204,706
Net gain on disposition of equipment			(3,959	)			(6,697	)			(8,775	)			(573	)			(20,004	)
Earnings from operations			41,784				38,436				66,812				21,397				168,429
Other costs
Interest and foreign exchange			12,852				12,609				7,562				10,596				43,619
Earnings before income tax and earnings (loss) from unconsolidated affiliates			28,932				25,827				59,250				10,801				124,810
Income tax expense			(5,994	)			(7,463	)			(24,421	)			(2,306	)			(40,184	)
Earnings before earnings (loss) from unconsolidated affiliates			22,938				18,364				34,829				8,495				84,626
Earnings (loss) from unconsolidated affiliates			1,073				1,651				1,040				(804	)			2,960
Net earnings			24,011				20,015				35,869				7,691				87,586
Net earnings attributable to noncontrolling interest			(16,342	)			(6,386	)			(8,097	)			(7,794	)			(38,619	)
Net earnings (loss) attributable to Greenbrier		$	7,669			$	13,629			$	27,772			$	(103	)		$	48,967
Basic earnings (loss) per common share (1)		$	0.24			$	0.42			$	0.85			$	(0.00	)		$	1.50
Diluted earnings (loss) per common share (1)		$	0.23			$	0.41			$	0.83			$	(0.00	)		$	1.46
Dividends per common share		$	0.25			$	0.27			$	0.27			$	0.27			$	1.06

(1)	Quarterly amounts may not total to the year to date amount as each period is calculated discretely.

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 11
	THE GREENBRIER COMPANIES, INC.

SUPPLEMENTAL INFORMATION

(In thousands, unaudited)

Segment Information

Three months ended August 31, 2021:
		Revenue			Earnings (loss) from operations
		External			Intersegment			Total			External			Intersegment			Total
Manufacturing		$	477,232			$	61,957			$	539,189			$	43,313			$	3,802			$	47,115
Wheels, Repair & Parts			80,280				4,922				85,202				46				51				97
Leasing & Services			41,715				11,883				53,598				25,431				11,817				37,248
Eliminations			-				(78,762	)			(78,762	)			-				(15,670	)			(15,670	)
Corporate			-				-				-				(25,688	)			-				(25,688	)
	$	599,227			$	-			$	599,227			$	43,102			$	-			$	43,102

Three months ended May 31, 2021:
		Revenue			Earnings (loss) from operations
		External			Intersegment			Total			External			Intersegment			Total
Manufacturing		$	341,939			$	7,451			$	349,390			$	31,341			$	492			$	31,833
Wheels, Repair & Parts			80,871				2,292				83,163				4,173				75				4,248
Leasing & Services			27,333				2,286				29,619				12,280				2,272				14,552
Eliminations			-				(12,029	)			(12,029	)			-				(2,839	)			(2,839	)
Corporate			-				-				-				(22,085	)			-				(22,085	)
	$	450,143			$	-			$	450,143			$	25,709			$	-			$	25,709

		Total assets
		August 31, 2021			May 31, 2021
Manufacturing		$	1,493,467			$	1,413,590
Wheels, Repair & Parts			260,904				265,847
Leasing & Services			949,380				878,743
Unallocated, including cash			686,917				651,987
	$	3,390,668			$	3,210,167

SUPPLEMENTAL BACKLOGAND DELIVERY INFORMATION(Unaudited)

		Three Months Ended			Year Ended
	August 31, 2021			August 31, 2021
Backlog Activity (units)(1)
Beginning backlog			24,800				24,600
Orders received			6,700				17,200
Production held on the Balance Sheet			(1,400	)			(3,700	)
Production sold directly to third parties			(3,500	)			(11,500	)
Ending backlog			26,600				26,600
Delivery Information (units)(1)
Production sold directly to third parties			3,500				11,500
Sales of Leased railcars for syndication			1,000				1,500
Total deliveries			4,500				13,000

(1)	Includes Greenbrier-Maxion, our Brazilian railcar manufacturer, which is accounted for under the equity method

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 12
	THE GREENBRIER COMPANIES, INC.

SUPPLEMENTAL INFORMATION

(In thousands, excluding backlog and delivery units, unaudited)

Reconciliation of Net earnings to EBITDA

		Three Months Ended			Year Ended
		August 31, 2021			May 31, 2021			August 31, 2021
Net earnings		$	35,649			$	20,035			$	35,134
Interest and foreign exchange			12,388				10,204				43,263
Income tax benefit			(4,225	)			(6,914	)			(40,223	)
Depreciation and amortization			25,080				24,769				100,717
Net loss on extinguishment of debt			1,524				4,763				6,287
EBITDA		$	70,416			$	52,857			$	145,178

Reconciliation of Net earnings attributable to Greenbrier to Adjusted net earnings attributable to Greenbrier

		Three Months Ended			Year Ended
		August 31, 2021			May 31, 2021			August 31, 2021
Net earnings attributable to Greenbrier		$	31,777			$	19,737			$	32,477
Net loss on extinguishment of debt, net of tax			1,151	(1)			3,596	(2)			4,747
Adjusted net earnings attributable to Greenbrier		$	32,928			$	23,333			$	37,224

(1)	Net of tax of $373

(2)	Net of tax of $1,167

Reconciliation of Diluted earnings per share to Adjusted diluted earnings per share

		Three Months Ended			Year Ended
		August 31, 2021			May 31, 2021			August 31, 2021
Diluted earnings per share		$	0.95			$	0.59			$	0.96
Net loss on extinguishment of debt, net of tax			0.03				0.10				0.14	(1)
Adjusted diluted earnings per share		$	0.98			$	0.69			$	1.10
Diluted weighted average shares outstanding			33,420				33,605				33,665

(1)	May not sum due to rounding

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Greenbrier Reports Fourth Quarter and 2021 Fiscal Year Results(Cont.)		Page 13

"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: This press release may contain forward-looking statements, including any statements that are not purely statements of historical fact. Greenbrier uses words, and variations of words, such as "adjust," "allow," "believe", "continue," "expect," "goal," "maintain," "outlook," "position," "reduce," "will," and similar expressions to identify forward-looking statements. These forward-looking statements include, without limitation, statements about backlog, leasing performance, financing, future liquidity, cash flow, our ability to grow market share and deliver future value to our shareholders and other information regarding future performance and strategies and appear throughout this press release including in the headlines and the sections titled "Fourth Quarter Highlights," "Fiscal Year 2021 Highlights" and "Business Update & Outlook." These forward-looking statements are not guarantees of future performance and are subject to certain risks and uncertainties that could cause actual results to differ materially from the results contemplated by the forward-looking statements. Factors that might cause such a difference include, but are not limited to, the following: We are unable to predict when, how, or with what magnitude COVID-19, variants thereof, and governmental reaction thereto, and related economic disruptions (including, among other factors, supply disruptions and sectoral inflation) will negatively impact our business Our backlog of railcar units and marine vessels is not necessarily indicative of future results of operations. Certain orders in backlog are subject to customary documentation which may not occur. More information on potential factors that could cause our results to differ from our forward-looking statements is included in the Company's filings with the SEC, including in the "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of the Company's most recently filed periodic report on Form 10-K and subsequent reports on 10-Q. Except as otherwise required by law, the Company assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's opinions only as of the date hereof.

Adjusted Financial Metric Definitions

EBITDA, Adjusted net earnings (loss) attributable to Greenbrier and Adjusted diluted EPS are not financial measures under generally accepted accounting principles (GAAP). These metrics are performance measurement tools used by rail supply companies and Greenbrier. You should not consider these metrics in isolation or as a substitute for other financial statement data determined in accordance with GAAP. In addition, because these metrics are not a measure of financial performance under GAAP and are susceptible to varying calculations, the measures presented may differ from and may not be comparable to similarly titled measures used by other companies.

We define EBITDA as Net earnings (loss) before Interest and foreign exchange, Income tax benefit (expense), Depreciation and amortization and Net loss on extinguishment of debt. We believe the presentation of EBITDA provides useful information as it excludes the impact of financing, foreign exchange, income taxes and the accounting effects of capital spending. These items may vary for different companies for reasons unrelated to the overall operating performance of a company's core business. We believe this assists in comparing our performance across reporting periods.

Adjusted net earnings (loss) attributable to Greenbrier and Adjusted diluted EPS excludes the impact associated with items we do not believe are indicative of our core business or which affect comparability. We believe this assists in comparing our performance across reporting periods.

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