June 2007 -- 2006 was a year of growing sales and diversification for FreightCar America Inc. For the fourth quarter of 2006, the rail car manufacturer reported net income of $34.0 million, almost double the net income of $17.6 million for the fourth quarter of 2005. EBITDA was $53.1 million in the fourth quarter of 2006, compared with EBITDA of $28.6 million in the fourth quarter of 2005. The improvement in net income and EBITDA reflected increased sales volume, operating leverage attributable to higher volume and improved productivity.
"Even with diversification from aluminum cars to carbon steel and stainless steel designs, operating margins continued to be outstanding," said John E. Carroll, Jr., President and CEO.
"Our strategic initiative to develop other railcar types remains on track, and we continue to explore other opportunities to further enhance shareholder value. We remain focused on cost reduction programs to improve our competitive position, including reassessing our manufacturing facilities. The expansion of our Roanoke, Virginia facility is on schedule, and we plan to ship the first aluminum/stainless steel hybrid cars in the first quarter of 2007."
