L.B. Foster Q2 Earnings Call Highlights

2 weeks ago 20

MarketBeat

Mon, August 10, 2026 astatine 9:04 AM CDT 6 min read

Key Points

Interested successful L.B. Foster Company? Here are 5 stocks we similar better.
Cash procreation and leverage improved significantly: L.B. Foster generated $17.9 cardinal successful second-quarter cash, reduced nett indebtedness by $13.5 million, and lowered gross leverage to 1.0x from 2.2x a twelvemonth earlier. The institution reaffirmed its full-year guidance, including projected escaped currency travel of $15 cardinal to $25 million.
Quarterly results were mixed: Revenue fell 3.5% to $138.6 cardinal and adjusted EBITDA declined 4.7% to $11.7 million, chiefly due to the fact that Rail Products orders shifted into the archetypal 4th and employment costs rose. First-half income accrued 7.6% and adjusted EBITDA grew 19.6%.
Backlog and outlook stay supportive contempt pockets of weakness: Consolidated backlog roseate 17.4% sequentially to $246.1 million, with astatine slightest 80% expected to beryllium completed by the extremity of 2026. Rail backlog accrued twelvemonth implicit year, portion Infrastructure backlog declined owed partially to a canceled pipeline coating order, though it improved successful July.

L.B. Foster (NASDAQ:FSTR) reported second-quarter 2026 results marked by beardown currency generation, little indebtedness and improved first-half profitability, portion quarterly gross and adjusted EBITDA declined modestly arsenic income timing shifted and unit costs rose.

President and CEO John Kasel said the institution generated $17.9 cardinal successful currency during the quarter, its highest second-quarter currency procreation since 2017. Net indebtedness declined by $13.5 cardinal during the 4th and by $35.2 cardinal from the anterior year, portion gross leverage fell to 1.0x from 2.2x a twelvemonth earlier.

→ Why the Landlord of the AI Boom Could Outlast the Chipmakers

"We're pleased with the 2nd 4th and archetypal fractional of the year," Kasel said, pointing to the company's backlog and assurance successful its second-half outlook. L.B. Foster reaffirmed its full-year fiscal guidance during the call.

Quarterly income diminution reflected bid timing

Second-quarter nett income totaled $138.6 million, down 3.5% from the prior-year period. Chief Financial Officer Sean Reilly said the diminution was chiefly tied to the timing of lawsuit orders successful the Rail Products business, aft income were pulled guardant into the archetypal quarter. First-quarter income had accrued 23.9%, and first-half income roseate 7.6% to $259.7 million.

→ MarketBeat Week successful Review – 08/03 - 08/07

Consolidated gross borderline improved 80 ground points to 22.3%, aided by favorable concern mix. However, gross nett included a $2.1 cardinal complaint related to L.B. Foster's exit from definite non-core merchandise lines astatine its Tew Engineering concern successful the United Kingdom. SG&A expenses accrued $1.7 million, oregon 7.7%, to $24.1 million, chiefly owed to higher employment costs, including $1.1 cardinal successful adaptable incentive-based compensation tied to the company's year-to-date performance.

Read Entire Article