The Greenbrier Companies, Inc. (GBX) 10-Q 29 Jun 18 2018 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	May 31, 2018	Jun. 22, 2018
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	May 31, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Trading Symbol	GBX
Entity Registrant Name	GREENBRIER COMPANIES INC
Entity Central Index Key	923,120
Current Fiscal Year End Date	--08-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		32,190,518

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	May 31, 2018	Aug. 31, 2017
Assets
Cash and cash equivalents	$ 589,969	$ 611,466
Restricted cash	9,204	8,892
Accounts receivable, net	322,328	279,964
Inventories	396,518	400,127
Leased railcars for syndication	158,194	91,272
Equipment on operating leases, net	302,074	315,941
Property, plant and equipment, net	424,035	428,021
Investment in unconsolidated affiliates	75,884	108,255
Intangibles and other assets, net	82,030	85,177
Goodwill	70,347	68,590
Total assets	2,430,583	2,397,705
Liabilities and Equity
Revolving notes	20,337	4,324
Accounts payable and accrued liabilities	447,827	415,061
Deferred income taxes	36,657	75,791
Deferred revenue	102,919	129,260
Notes payable, net	437,833	558,228
Commitments and contingencies (Note 15)
Contingently redeemable noncontrolling interest	31,135	36,148
Greenbrier
Preferred stock - without par value; 25,000 shares authorized; none outstanding
Common stock - without par value; 50,000 shares authorized; 32,191 and 28,503 shares outstanding at May 31, 2018 and August 31, 2017	0	0
Additional paid-in capital	438,560	315,306
Retained earnings	808,202	709,103
Accumulated other comprehensive loss	(21,250)	(6,279)
Total equity - Greenbrier	1,225,512	1,018,130
Noncontrolling interest	128,363	160,763
Total equity	1,353,875	1,178,893
Liabilities and Equity	$ 2,430,583	$ 2,397,705

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	May 31, 2018	Aug. 31, 2017
Preferred stock, without par value
Preferred stock, shares authorized	25,000,000	25,000,000
Preferred stock, outstanding
Common stock, without par value
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares outstanding	32,191,000	28,503,000

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Revenue
Revenue	$ 641,387	$ 439,161	$ 1,830,258	$ 1,557,757
Cost of revenue
Cost of revenue	532,880	349,460	1,527,090	1,236,380
Margin	108,507	89,701	303,168	321,377
Selling and administrative expense	51,793	42,810	149,130	123,518
Net gain on disposition of equipment	(14,825)	(1,581)	(39,813)	(4,793)
Earnings from operations	71,539	48,472	193,851	202,652
Other costs
Interest and foreign exchange	6,533	7,894	20,582	15,291
Earnings before income taxes and loss from unconsolidated affiliates	65,006	40,578	173,269	187,361
Income tax expense	(15,944)	(8,656)	(22,778)	(53,900)
Earnings before loss from unconsolidated affiliates	49,062	31,922	150,491	133,461
Loss from unconsolidated affiliates	(12,823)	(681)	(15,586)	(5,253)
Net earnings	36,239	31,241	134,905	128,208
Net (earnings) loss attributable to noncontrolling interest	(3,288)	1,582	(14,059)	(35,887)
Net earnings attributable to Greenbrier	$ 32,951	$ 32,823	$ 120,846	$ 92,321
Basic earnings per common share	$ 1.03	$ 1.12	$ 3.99	$ 3.16
Diluted earnings per common share	$ 1.01	$ 1.03	$ 3.75	$ 2.91
Weighted average common shares:
Basic	32,034	29,348	30,250	29,192
Diluted	32,914	32,690	32,774	32,515
Dividends declared per common share	$ 0.25	$ 0.22	$ 0.71	$ 0.64
Manufacturing
Revenue
Revenue	$ 510,099	$ 317,104	$ 1,473,411	$ 1,216,641
Cost of revenue
Cost of revenue	427,875	245,228	1,237,890	948,436
Earnings from operations	62,435	57,901	178,589	226,611
Wheels & Parts
Revenue
Revenue	94,515	85,231	261,236	237,580
Cost of revenue
Cost of revenue	85,850	77,985	239,064	218,460
Earnings from operations	5,546	4,239	13,083	12,702
Leasing & Services
Revenue
Revenue	36,773	36,826	95,611	103,536
Cost of revenue
Cost of revenue	19,155	26,247	50,136	69,484
Earnings from operations	$ 26,704	$ 7,084	$ 71,008	$ 24,363

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Net earnings		$ 36,239	$ 31,241	$ 134,905	$ 128,208
Other comprehensive income
Translation adjustment		(15,136)	8,334	(14,163)	5,624
Reclassification of derivative financial instruments recognized in net earnings	[1]	59	871	(606)	4,022
Unrealized gain (loss) on derivative financial instruments	[2]	(2,103)	4,420	(274)	2,232
Other (net of tax effect)		29	64	54	(786)
Other comprehensive income		(17,151)	13,689	(14,989)	11,092
Comprehensive income		19,088	44,930	119,916	139,300
Comprehensive income attributable to noncontrolling interest		(3,266)	1,582	(14,041)	(35,887)
Comprehensive income attributable to Greenbrier		$ 15,822	$ 46,512	$ 105,875	$ 103,413
[1]	Net of tax effect of $0.01 million and $0.2 million for the three months ended May 31, 2018 and 2017 and $0.1 million and $1.2 million for the nine months ended May 31, 2018 and 2017.
[2]	Net of tax effect of $0.6 million and $1.1 million for the three months ended May 31, 2018 and 2017 and $0.1 million and $0.9 million for the nine months ended May 31, 2018 and 2017.

Consolidated Statements of Com6

Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Reclassification of derivative financial instruments recognized in net earnings (loss), tax	$ 10	$ 200	$ 100	$ 1,200
Unrealized loss on derivative financial instruments, tax	$ 600	$ 1,100	$ 100	$ 900

Consolidated Statements of Equi

Consolidated Statements of Equity - USD ($) shares in Thousands, $ in Thousands	Total	2024 Convertible Senior Notes	2024 Convertible Senior Notes Issuance Costs	Contingently Redeemable Noncontrolling Interest	Common Stock Shares	Additional Paid-in Capital	Additional Paid-in Capital2024 Convertible Senior Notes	Additional Paid-in Capital2024 Convertible Senior Notes Issuance Costs	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Total Attributable to Greenbrier	Total Attributable to Greenbrier2024 Convertible Senior Notes	Total Attributable to Greenbrier2024 Convertible Senior Notes Issuance Costs	Attributable to Noncontrolling Interest
Beginning balance (in shares) at Aug. 31, 2016					28,205
Beginning balance at Aug. 31, 2016	$ 1,016,827					$ 282,886			$ 618,178	$ (26,753)	$ 874,311			$ 142,516
Net earnings	128,208								92,321		92,321			35,887
Other comprehensive income, net	11,092									11,092	11,092
Noncontrolling interest adjustments	1,203													1,203
Joint venture partner distribution declared	(26,127)													(26,127)
Restricted stock awards (net of cancellations) (in shares)					298
Restricted stock awards (net of cancellations)	5,567					5,567					5,567
Unamortized restricted stock	(10,775)					(10,775)					(10,775)
Restricted stock amortization	14,645					14,645					14,645
Tax deficiency from restricted stock awards	(2,396)					(2,396)					(2,396)
Cash dividends	(18,691)								(18,691)		(18,691)
2024 Convertible Senior Notes - equity component, net of tax		$ 20,818	$ (671)				$ 20,818	$ (671)				$ 20,818	$ (671)
Ending Balance (in shares) at May. 31, 2017					28,503
Ending Balance at May. 31, 2017	$ 1,139,700					310,074			691,808	(15,661)	986,221			153,479
Beginning balance at Aug. 31, 2017				$ 36,148
Net earnings				(5,013)
Ending Balance at May. 31, 2018				$ 31,135
Beginning balance (in shares) at Aug. 31, 2017	28,503				28,503
Beginning balance at Aug. 31, 2017	$ 1,178,893					315,306			709,103	(6,279)	1,018,130			160,763
Net earnings	139,918								120,846		120,846			19,072
Net earnings	134,905
Other comprehensive income, net	(14,989)									(14,971)	(14,971)			(18)
Noncontrolling interest adjustments	1,067													1,067
Joint venture partner distribution declared	(59,014)													(59,014)
Investment by joint venture partner	6,500													6,500
Noncontrolling interest acquired	(7)													(7)
Restricted stock awards (net of cancellations) (in shares)					336
Restricted stock awards (net of cancellations)	7,335					7,335					7,335
Unamortized restricted stock	(15,052)					(15,052)					(15,052)
Restricted stock amortization	12,084					12,084					12,084
Cash dividends	(21,747)								(21,747)		(21,747)
Conversion of 2018 Convertible Senior Notes	$ 118,887					118,887					118,887
Conversion of 2018 Convertible Senior Notes, shares					3,352
Ending Balance (in shares) at May. 31, 2018	32,191				32,191
Ending Balance at May. 31, 2018	$ 1,353,875					$ 438,560			$ 808,202	$ (21,250)	$ 1,225,512			$ 128,363

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	May 31, 2018	May 31, 2017
Cash flows from operating activities
Net earnings	$ 134,905	$ 128,208
Adjustments to reconcile net earnings to net cash provided by operating activities:
Deferred income taxes	(38,825)	16,815
Depreciation and amortization	55,161	46,616
Net gain on disposition of equipment	(39,813)	(4,793)
Accretion of debt discount	3,109	1,329
Stock based compensation expense	20,311	19,007
Noncontrolling interest adjustments	1,067	1,203
Other	1,345	1,017
(Increase) decrease in assets:
Accounts receivable, net	(24,980)	(27,109)
Inventories	(4,270)	(47,209)
Leased railcars for syndication	(69,994)	(16,122)
Other	30,549	8,419
Increase (decrease) in liabilities:
Accounts payable and accrued liabilities	34,898	(35,800)
Deferred revenue	(23,837)	(13,650)
Net cash provided by operating activities	79,626	77,931
Cash flows from investing activities
Proceeds from sales of assets	129,828	20,344
Capital expenditures	(118,656)	(53,848)
Decrease in restricted cash	(312)	15,526
Investment in and advances to unconsolidated affiliates	(21,455)	(34,068)
Cash distribution from unconsolidated affiliates	3,941	550
Net cash used in investing activities	(6,654)	(51,496)
Cash flows from financing activities
Net change in revolving notes with maturities of 90 days or less	16,013
Proceeds from issuance of notes payable	13,749	275,000
Repayments of notes payable	(19,274)	(5,469)
Debt issuance costs		(9,082)
Dividends	(21,866)	(18,619)
Cash distribution to joint venture partner	(69,413)	(27,267)
Investment by joint venture partner	6,500
Tax payments for net share settlement of restricted stock	(7,716)	(5,208)
Excess tax deficiency from restricted stock awards		(2,396)
Net cash provided by (used in) financing activities	(82,007)	206,959
Effect of exchange rate changes	(12,462)	9,340
Increase (decrease) in cash and cash equivalents	(21,497)	242,734
Cash and cash equivalents
Beginning of period	611,466	222,679
End of period	589,969	465,413
Cash paid during the period for
Interest	13,080	8,500
Income taxes, net	62,219	40,587
Non-cash activity
Conversion of 2018 Senior Convertible Notes	118,887
Transfer from Leased railcars for syndication and Inventories to Equipment on operating leases, net	5,541	8,597
Capital expenditures accrued in Accounts payable and accrued liabilities	1,868	4,301
Change in Accounts payable and accrued liabilities associated with dividends declared	119	(72)
Change in Accounts payable and accrued liabilities associated with cash distributions to joint venture partner	$ 29	$ 1,140

Interim Financial Statements

Interim Financial Statements	9 Months Ended
	May 31, 2018
Interim Financial Statements	Note 1 – Interim Financial Statements The Condensed Consolidated Financial Statements of The Greenbrier Companies, Inc. and its subsidiaries (Greenbrier or the Company) as of May 31, 2018 and for the three and nine months ended May 31, 2018 and 2017 have been prepared to reflect all adjustments (consisting of normal recurring accruals) that, in the opinion of management, are necessary for a fair presentation of the financial position, operating results and cash flows for the periods indicated. The results of operations for the three and nine months ended May 31, 2018 are not necessarily indicative of the results to be expected for the entire year ending August 31, 2018. Certain notes and other information have been condensed or omitted from the interim financial statements presented in this Quarterly Report on Form 10-Q. 10-K. Management Estimates – Initial Adoption of Accounting Policies 2016-09, Improvements to Employee Share-Based Payment Accounting 2016-09). Prospective Accounting Changes 2014-09, Revenue from Contracts with Customers 2014-09), 2014-09, 2014-09 2014-09, In February 2016, the FASB issued Accounting Standards Update 2016-02, Leases 2016-02). 2016-02 right-of-use In December 2016, the FASB issued Accounting Standards Update 2016-18, Restricted Cash 2016-18). beginning-of-period end-of-period In August 2017, the FASB issued Accounting Standards Update 2017-12, Derivatives and Hedging: Targeted Improvements to Accounting for Hedging Activities 2017-12). non-financial Share Repurchase Program – time-to-time. The Company did not repurchase any shares during the three and nine months ended May 31, 2018. As of May 31, 2018, the Company had cumulatively repurchased 3,206,226 shares for approximately $137.0 million since October 2013 and had $88.0 million available under the share repurchase program.

Acquisitions

Acquisitions	9 Months Ended
	May 31, 2018
Acquisitions	Note 2 – Acquisitions On June 1, 2017, Greenbrier and Astra Holding GmbH (Astra) contributed their European operations to a newly formed company, Greenbrier-Astra Rail, a Europe-based freight railcar manufacturing, engineering and repair business. As consideration for an approximate 75% controlling interest, Greenbrier agreed to pay Astra €30 million at closing and €30 million 12 months after closing, which was paid on June 1, 2018, and issue an approximate 25% noncontrolling interest in the new company. The total net assets acquired of $115.8 million includes $38.3 million representing the fair value of the noncontrolling interest at the acquisition date. Astra also received a put option to sell its entire noncontrolling interest to Greenbrier at an exercise price equal to the higher of fair value or a defined EBITDA multiple as measured on the exercise date. The option is exercisable 30 days prior to and up until June 1, 2022. Due to Astra’s redemption right under the put option, the noncontrolling interest has been classified as a Contingently redeemable noncontrolling interest in the mezzanine section of the Consolidated Balance Sheets. The carrying value of the noncontrolling interest cannot be less than the maximum redemption amount, which is the amount Greenbrier will settle the put option for if exercised. Adjustments to reconcile the carrying value to the maximum redemption amount are recorded to retained earnings. There were no such adjustments during the nine months ended May 31, 2018. For the nine months ended May 31, 2018, the European operations contributed by Astra generated revenues of $105.6 million and an immaterial loss from operations, which are reported in the Company’s consolidated financial statements as part of the Manufacturing segment. The impact of the acquisition was not material to the Company’s consolidated results of operations, therefore pro forma financial information has not been included. The purchase price of the net assets acquired from Astra is allocated as follows: (in thousands) Cash and cash equivalents $ 6,562 Accounts receivable 10,984 Inventories 30,454 Property, plant and equipment 75,296 Intangibles and other assets 17,300 Goodwill 25,746 Total assets acquired 166,342 Accounts payable and accrued liabilities 17,879 Deferred income taxes 7,292 Deferred revenue 964 Notes payable 24,382 Total liabilities assumed 50,517 Net assets acquired $ 115,825 Minor adjustments were made to the purchase price allocation during the nine months ended May 31, 2018.

Inventories

Inventories	9 Months Ended
	May 31, 2018
Inventories	Note 3 – Inventories Inventories are valued at the lower of cost (first-in, first-out) Work-in-process (In thousands) May 31, August 31, Manufacturing supplies and raw materials $ 242,824 $ 222,080 Work-in-process 94,878 86,794 Finished goods 63,702 95,389 Excess and obsolete adjustment (4,886 ) (4,136 ) $ 396,518 $ 400,127

Intangibles and Other Assets, n

Intangibles and Other Assets, net	9 Months Ended
	May 31, 2018
Intangibles and Other Assets, net	Note 4 – Intangibles and Other Assets, net Intangible assets that are determined to have finite lives are amortized over their useful lives. Intangible assets with indefinite useful lives are not amortized and are periodically evaluated for impairment. The following table summarizes the Company’s identifiable intangible and other assets balance: (In thousands) May 31, August 31, Intangible assets subject to amortization: Customer relationships $ 64,521 $ 64,521 Accumulated amortization (42,695 ) (40,153 ) Other intangibles 16,299 20,207 Accumulated amortization (6,123 ) (4,866 ) 32,002 39,709 Intangible assets not subject to amortization 4,120 912 Prepaid and other assets 15,100 16,914 Nonqualified savings plan investments 25,156 20,974 Revolving notes issuance costs, net 2,002 2,623 Assets held for sale 3,650 4,045 Total Intangible and other assets, net $ 82,030 $ 85,177 Amortization expense for the three and nine months ended May 31, 2018 was $1.4 million and $4.2 million and for the three and nine months ended May 31, 2017 was $0.9 million and $3.5 million. Amortization expense for the years ending August 31, 2018, 2019, 2020, 2021 and 2022 is expected to be $5.8 million, $5.4 million, $5.7 million, $5.4 million and $4.0 million.

Revolving Notes

Revolving Notes	9 Months Ended
	May 31, 2018
Revolving Notes	Note 5 – Revolving Notes Senior secured credit facilities, consisting of three components, aggregated to $628.4 million as of May 31, 2018. As of May 31, 2018, a $550.0 million revolving line of credit, maturing October 2020, secured by substantially all the Company’s assets in the U.S. not otherwise pledged as security for term loans, was available to provide working capital and interim financing of equipment, principally for the U.S. and Mexican operations. Advances under this facility bear interest at LIBOR plus 1.75% or Prime plus 0.75% depending on the type of borrowing. Available borrowings under the credit facility are generally based on defined levels of inventory, receivables, property, plant and equipment and leased equipment, as well as total debt to consolidated capitalization and fixed charges coverage ratios. As of May 31, 2018, lines of credit totaling $28.4 million secured by certain of the Company’s European assets, with variable rates that range from Warsaw Interbank Offered Rate (WIBOR) plus 1.2% to WIBOR plus 1.3% and Euro Interbank Offered Rate (EURIBOR) plus 1.1%, were available for working capital needs of the European manufacturing operation. European credit facilities are continually being renewed. Currently, these European credit facilities have maturities that range from December 2018 through June 2019. As of May 31, 2018, the Company’s Mexican railcar manufacturing joint venture had two lines of credit totaling $50.0 million. The first line of credit provides up to $30.0 million and is fully guaranteed by the Company and its joint venture partner. Advances under this facility bear interest at LIBOR plus 2.0%. The Mexican railcar manufacturing joint venture will be able to draw against this facility through January 2019. The second line of credit provides up to $20.0 million, of which the Company and its joint venture partner have each guaranteed 50%. Advances under this facility bear interest at LIBOR plus 2.0%. The Mexican railcar manufacturing joint venture will be able to draw amounts available under this facility through July 2019. As of May 31, 2018, outstanding commitments under the senior secured credit facilities consisted of $72.2 million in letters of credit under the North American credit facility and $20.3 million outstanding under the European credit facilities. As of August 31, 2017, outstanding commitments under the senior secured credit facilities consisted of $77.6 million in letters of credit under the North American credit facility and $4.3 million outstanding under the European credit facilities.

Accounts Payable and Accrued Li

Accounts Payable and Accrued Liabilities	9 Months Ended
	May 31, 2018
Accounts Payable and Accrued Liabilities	Note 6 – Accounts Payable and Accrued Liabilities (In thousands) May 31, August 31, Trade payables $ 204,658 $ 180,592 Other accrued liabilities 110,380 111,316 Accrued payroll and related liabilities 85,735 84,749 Accrued warranty 27,246 20,737 Accrued maintenance 13,635 17,667 Income taxes payable 6,173 — $ 447,827 $ 415,061

Warranty Accruals

Warranty Accruals	9 Months Ended
	May 31, 2018
Warranty Accruals	Note 7 – Warranty Accruals Warranty costs are estimated and charged to operations to cover a defined warranty period. The estimated warranty cost is based on the history of warranty claims for each particular product type. For new product types without a warranty history, preliminary estimates are based on historical information for similar product types. The warranty accruals, included in Accounts payable and accrued liabilities on the Consolidated Balance Sheets, are reviewed periodically and updated based on warranty trends and expirations of warranty periods. Warranty accrual activity: (In thousands) Three Months Ended Nine Months Ended 2018 2017 2018 2017 Balance at beginning of period $ 26,977 $ 14,582 $ 20,737 $ 12,159 Charged to cost of revenue, net 3,183 1,574 10,782 5,219 Payments (1,855 ) (377 ) (3,695 ) (1,509 ) Currency translation effect (1,059 ) 443 (578 ) 353 Balance at end of period $ 27,246 $ 16,222 $ 27,246 $ 16,222

Notes Payable

Notes Payable	9 Months Ended
	May 31, 2018
Notes Payable	Note 8 – Notes Payable The Company’s 3.5% convertible senior notes due 2018 with a conversion price of $35.47 matured on April 1, 2018 with a balance of $119.1 million prior to conversion. The conversion of these notes resulted in the issuance of an additional 3.4 million shares of the Company’s common stock.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	9 Months Ended
	May 31, 2018
Accumulated Other Comprehensive Loss	Note 9 – Accumulated Other Comprehensive Loss Accumulated other comprehensive loss, net of tax effect as appropriate, consisted of the following: (In thousands) Unrealized Foreign Other Accumulated Balance, August 31, 2017 $ 181 $ (5,366 ) $ (1,094 ) $ (6,279 ) Other comprehensive loss before reclassifications (274 ) (14,145 ) 54 (14,365 ) Amounts reclassified from Accumulated other comprehensive loss (606 ) — — (606 ) Balance, May 31, 2018 $ (699 ) $ (19,511 ) $ (1,040 ) $ (21,250 ) The amounts reclassified out of Accumulated other comprehensive loss into the Consolidated Statements of Income, with presentation location, were as follows: (In thousands) Three Months Ended Financial Statement Location 2018 2017 (Gain) loss on derivative financial instruments: Foreign exchange contracts $ 71 $ 862 Revenue and cost of revenue Interest rate swap contracts 39 245 Interest and foreign exchange 110 1,107 Total before tax (51 ) (236 ) Income tax expense (benefit) $ 59 $ 871 Net of tax (In thousands) Nine Months Ended Financial Statement Location 2018 2017 (Gain) loss on derivative financial instruments: Foreign exchange contracts $ (986 ) $ 4,304 Revenue and cost of revenue Interest rate swap contracts 312 871 Interest and foreign exchange (674 ) 5,175 Total before tax 68 (1,153 ) Income tax expense (benefit) $ (606 ) $ 4,022 Net of tax

Earnings Per Share

Earnings Per Share	9 Months Ended
	May 31, 2018
Earnings Per Share	Note 10 – Earnings Per Share The shares used in the computation of basic and diluted earnings per common share are reconciled as follows: (In thousands) Three Months Ended Nine Months Ended 2018 2017 2018 2017 Weighted average basic common shares outstanding (1) 32,034 29,348 30,250 29,192 Dilutive effect of 2018 Convertible notes (2) 655 3,305 2,435 3,286 Dilutive effect of 2024 Convertible notes (3) — — — — Dilutive effect of restricted stock units (4) 225 37 89 37 Weighted average diluted common shares outstanding 32,914 32,690 32,774 32,515 (1) Restricted stock grants and restricted stock units that are considered participating securities, including some grants subject to certain performance criteria, are included in weighted average basic common shares outstanding when the Company is in a net earnings position. (2) The dilutive effect of the 2018 Convertible notes was included as they were considered dilutive under the “if converted” method as further discussed below. The 2018 Convertible notes matured on April 1, 2018. (3) The 2024 Convertible notes were issued in February 2017. The dilutive effect of the 2024 Convertible notes was excluded for the three and nine months ended May 31, 2018 and 2017 as the average stock price was less than the applicable conversion price and therefore was considered anti-dilutive. (4) Restricted stock units that are not considered participating securities and restricted stock units subject to performance criteria, for which actual levels of performance above target have been achieved, are included in weighted average diluted common shares outstanding when the Company is in a net earnings position. Diluted EPS is calculated using the more dilutive of two approaches. The first approach includes the dilutive effect, using the treasury stock method, associated with shares underlying the 2024 Convertible notes, restricted stock units that are not considered participating securities and performance based restricted stock units subject to performance criteria, for which actual levels of performance above target have been achieved. The second approach supplements the first by including the “if converted” effect of the 2018 Convertible notes during the periods in which they were outstanding. Under the “if converted” method, debt issuance and interest costs, both net of tax, associated with the convertible notes are added back to net earnings and the share count is increased by the shares underlying the convertible notes. The 2024 Convertible notes are included in the calculation of both approaches using the treasury stock method when the average stock price is greater than the applicable conversion price. Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net earnings attributable to Greenbrier $ 32,951 $ 32,823 $ 120,846 $ 92,321 Add back: Interest and debt issuance costs on the 2018 Convertible notes, net of tax 297 733 2,031 2,199 Earnings before interest and debt issuance costs on convertible notes $ 33,248 $ 33,556 $ 122,877 $ 94,520 Weighted average diluted common shares outstanding 32,914 32,690 32,774 32,515 Diluted earnings per share (1) $ 1.01 $ 1.03 $ 3.75 $ 2.91 (1) Diluted earnings per share was calculated as follows: Earnings before interest and debt issuance costs (net of tax) on convertible notes Weighted average diluted common shares outstanding

Stock Based Compensation

Stock Based Compensation	9 Months Ended
	May 31, 2018
Stock Based Compensation	Note 11 – Stock Based Compensation The value of stock based compensation awards is amortized as compensation expense from the grant date through the earlier of the vesting period or the recipient’s eligible retirement date. Awards are expensed upon grant when the recipient’s eligible retirement date precedes the grant date. Stock based compensation expense was $7.7 million and $20.3 million for the three and nine months ended May 31, 2018, respectively and $8.2 million and $19.0 million for the three and nine months ended May 31, 2017, respectively. Compensation expense is recorded in Selling and administrative expense and Cost of revenue on the Consolidated Statements of Income.

Derivative Instruments

Derivative Instruments	9 Months Ended
	May 31, 2018
Derivative Instruments	Note 12 – Derivative Instruments Foreign operations give rise to market risks from changes in foreign currency exchange rates. Foreign currency forward exchange contracts with established financial institutions are utilized to hedge a portion of that risk. Interest rate swap agreements are used to reduce the impact of changes in interest rates on certain debt. The Company’s foreign currency forward exchange contracts and interest rate swap agreements are designated as cash flow hedges, and therefore the effective portion of unrealized gains and losses is recorded in accumulated other comprehensive income or loss. At May 31, 2018 exchange rates, forward exchange contracts for the purchase of Polish Zlotys and the sale of Euros; the purchase of Mexican Pesos and the sale of U.S. Dollars; and for the purchase of U.S. Dollars and the sale of Saudi Riyals aggregated to $148.4 million. The fair value of the contracts is included on the Consolidated Balance Sheets as Accounts payable and accrued liabilities when there is a loss, or as Accounts receivable, net when there is a gain. As the contracts mature at various dates through December 2019, any such gain or loss remaining will be recognized in manufacturing revenue or cost of revenue along with the related transactions. In the event that the underlying transaction does not occur or does not occur in the period designated at the inception of the hedge, the amount classified in accumulated other comprehensive loss would be reclassified to the results of operations in Interest and foreign exchange at the time of occurrence. At May 31, 2018 exchange rates, approximately $1.3 million would be reclassified to revenue or cost of revenue in the next 12 months. At May 31, 2018, an interest rate swap agreement maturing in March 2020 had a notional amount of $86.0 million. The fair value of the contract is included in Accounts payable and accrued liabilities on the Consolidated Balance Sheets. As interest expense on the underlying debt is recognized, amounts corresponding to the interest rate swap are reclassified from Accumulated other comprehensive loss and charged or credited to interest expense. At May 31, 2018 interest rates, approximately $0.1 million would be reclassified to interest expense in the next 12 months. Fair Values of Derivative Instruments Asset Derivatives Liability Derivatives May 31, August 31, May 31, August 31, (In thousands) Balance sheet location Fair Fair Balance sheet location Fair Fair Derivatives designated as hedging instruments Foreign forward exchange contracts Accounts receivable, net $ 493 $ 2,341 Accounts payable and accrued liabilities $ 1,220 $ 1,761 Interest rate swap contracts Accounts receivable, net 648 — Accounts payable and accrued liabilities 1 1,125 $ 1,141 $ 2,341 $ 1,221 $ 2,886 Derivatives not designated as hedging instruments Foreign forward exchange contracts Accounts receivable, net $ 25 $ 1,473 Accounts payable and accrued liabilities $ 207 $ — The Effect of Derivative Instruments on the Statements of Income Derivatives in cash flow hedging relationships Location of gain (loss) recognized in income on derivatives Gain (loss) 2018 2017 Foreign forward exchange contract Interest and foreign exchange $ 1,081 $ 2,494 Interest rate swap contracts Interest and foreign exchange (1 ) 24 $ 1,080 $ 2,518 Derivatives in cash flow hedging relationships Gain (loss) Location of gain (loss) reclassified from accumulated OCI into income Gain (loss) Location of gain (loss) on derivative (ineffective portion and amount excluded from effectiveness testing) Gain (loss) recognized on 2018 2017 2018 2017 2018 2017 Foreign forward exchange contracts $ (1,063 ) $ 1,888 Revenue $ 1,262 $ (4,130 ) Revenue $ 472 $ (3,216 ) Foreign forward exchange contracts (566 ) 166 Cost of revenue (276 ) (174 ) Cost of revenue 353 205 Interest rate swap contracts 1,485 1,248 Interest and foreign exchange (312 ) (871 ) Interest and foreign exchange — — $ (144 ) $ 3,302 $ 674 $ (5,175 ) $ 825 $ (3,011 )

Segment Information

Segment Information	9 Months Ended
	May 31, 2018
Segment Information	Note 13 – Segment Information Greenbrier operates in four reportable segments: Manufacturing; Wheels & Parts; Leasing & Services; and GBW Joint Venture. The accounting policies of the segments are described in the summary of significant accounting policies in the Consolidated Financial Statements contained in the Company’s 2017 Annual Report on Form 10-K. The information in the following table is derived directly from the segments’ internal financial reports used for corporate management purposes. The results of operations for the GBW Joint Venture are not reflected in the tables below as the investment is accounted for under the equity method of accounting. For the three months ended May 31, 2018: Revenue Earnings (loss) from operations (In thousands) External Intersegment Total External Intersegment Total Manufacturing $ 510,099 $ 53,501 $ 563,600 $ 62,435 $ 6,215 $ 68,650 Wheels & Parts 94,515 10,879 105,394 5,546 686 6,232 Leasing & Services 36,773 3,886 40,659 26,704 3,380 30,084 Eliminations — (68,266 ) (68,266 ) — (10,281 ) (10,281 ) Corporate — — — (23,146 ) — (23,146 ) $ 641,387 $ — $ 641,387 $ 71,539 $ — $ 71,539 For the nine months ended May 31, 2018: Revenue Earnings (loss) from operations (In thousands) External Intersegment Total External Intersegment Total Manufacturing $ 1,473,411 $ 84,253 $ 1,557,664 $ 178,589 $ 13,816 $ 192,405 Wheels & Parts 261,236 27,563 288,799 13,083 2,214 15,297 Leasing & Services 95,611 9,855 105,466 71,008 8,546 79,554 Eliminations — (121,671 ) (121,671 ) — (24,576 ) (24,576 ) Corporate — — — (68,829 ) — (68,829 ) $ 1,830,258 $ — $ 1,830,258 $ 193,851 $ — $ 193,851 For the three months ended May 31, 2017: Revenue Earnings (loss) from operations (In thousands) External Intersegment Total External Intersegment Total Manufacturing $ 317,104 $ 19,291 $ 336,395 $ 57,901 $ 1,022 $ 58,923 Wheels & Parts 85,231 8,959 94,190 4,239 839 5,078 Leasing & Services 36,826 595 37,421 7,084 427 7,511 Eliminations — (28,845 ) (28,845 ) — (2,288 ) (2,288 ) Corporate — — — (20,752 ) — (20,752 ) $ 439,161 $ — $ 439,161 $ 48,472 $ — $ 48,472 For the nine months ended May 31, 2017: Revenue Earnings (loss) from operations (In thousands) External Intersegment Total External Intersegment Total Manufacturing $ 1,216,641 $ 19,291 $ 1,235,932 $ 226,611 $ 1,022 $ 227,633 Wheels & Parts 237,580 23,393 260,973 12,702 1,962 14,664 Leasing & Services 103,536 8,040 111,576 24,363 7,602 31,965 Eliminations — (50,724 ) (50,724 ) — (10,586 ) (10,586 ) Corporate — — — (61,024 ) — (61,024 ) $ 1,557,757 $ — $ 1,557,757 $ 202,652 $ — $ 202,652 Total assets May 31, August 31, (In thousands) 2018 2017 Manufacturing $ 924,869 $ 914,450 Wheels & Parts 243,641 236,315 Leasing & Services 578,259 535,323 Unallocated 683,814 711,617 $ 2,430,583 $ 2,397,705 Reconciliation of Earnings from operations to Earnings before income tax and loss from unconsolidated affiliates: Three Months Ended Nine Months Ended (In thousands) 2018 2017 2018 2017 Earnings from operations $ 71,539 $ 48,472 $ 193,851 $ 202,652 Interest and foreign exchange 6,533 7,894 20,582 15,291 Earnings before income tax and loss from unconsolidated affiliates $ 65,006 $ 40,578 $ 173,269 $ 187,361 The Company has a 50% ownership interest in the GBW Joint Venture and accounts for its interest under the equity method of accounting. The Company’s 50% share of the results of operations are included in Earnings (loss) from unconsolidated affiliates in the Consolidated Statement of Income and its investment is included in Investments in unconsolidated affiliates in the Consolidated Balance Sheet. The GBW Joint Venture is Greenbrier’s fourth reportable segment. Information included in the tables below represent totals for GBW Railcar Services LLC (GBW) rather than Greenbrier’s 50% share, as this is how performance and resource allocation is evaluated. During the third quarter of 2018, GBW recorded a pre-tax Three Months Ended Nine Months Ended (In thousands) 2018 2017 2018 2017 Revenue $ 67,248 $ 62,674 $ 187,933 $ 197,176 Loss from operations $ (29,544 ) $ (5,525 ) $ (40,748 ) $ (16,988 ) Total Assets May 31, August 31, GBW (1) $ 177,764 $ 206,009 (1) Includes goodwill and intangible assets of $50.4 million and $78.8 million as of May 31, 2018 and August 31, 2017.

Income Taxes

Income Taxes	9 Months Ended
	May 31, 2018
Income Taxes	Note 14 – Income Taxes The enactment of the Tax Cuts and Jobs Act (Tax Act) on December 22, 2017 significantly changed U.S. federal income tax law. The changes with the largest effects on the Company were the reduction of the statutory federal corporate tax rate from 35% to 21% effective January 1, 2018 and the imposition of a transition tax on foreign earnings not previously subject to U.S. taxation. As a result of the Company’s fiscal year, the Company’s statutory federal corporate rate is a blended rate of 25.7% in 2018, which will be reduced to 21% in 2019 and thereafter. Deferred income taxes were remeasured as a result of the new statutory rate. This resulted in a tax benefit of $34.3 million that was recognized during the second quarter of 2018. No adjustments were made during the third quarter of 2018. The Tax Act requires the Company to accrue a transition tax in its 2018 taxable income on foreign earnings not previously subject to U.S. taxation. The transition tax resulted in a tax expense of $11.5 million that was recognized during the second quarter of 2018. No adjustments were made during the third quarter of 2018. The Company intends to pay this transition tax over eight years as permitted by the Tax Act. Notwithstanding this deemed inclusion in taxable income, any actual repatriation of these foreign earnings would be accompanied by foreign withholding taxes. The Company does not intend to repatriate these foreign earnings and continues to assert that its foreign earnings are indefinitely reinvested. The Tax Act also imposed a tax on global intangible low-taxed Staff Accounting Bulletin 118, issued by the SEC on the date of the Tax Act, allows registrants to record provisional amounts related to the Tax Act during a measurement period that will end at the earlier of one year from the date of the enactment of the Tax Act or whenever the registrant has obtained and analyzed the information necessary to finalize its accounting. The amounts that were recorded during the second quarter of 2018 for the remeasurement of deferred income taxes and for the transition tax were provisional amounts. Both were recorded as discrete items of tax expense or benefit. These amounts may be revised in subsequent quarters as further information is obtained and analyzed. As of May 31, 2018 no adjustments have been made to these provisional amounts. The table below reconciles the effects of the Tax Act discussed above on the effective tax rate for the nine months ended May 31, 2018: Effective tax rate before the Tax Act 31.9 % Benefit from reduction in statutory federal corporate tax rate from 35% to 25.7% (5.5 ) Effective tax rate before discrete items 26.4 Discrete benefit from revaluation of deferred income taxes (19.9 ) Discrete expense from transition tax 6.6 Effective tax rate 13.1 %

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	May 31, 2018
Commitments and Contingencies	Note 15 – Commitments and Contingencies The Company’s Portland, Oregon manufacturing facility is located adjacent to the Willamette River. In December 2000, the U.S. Environmental Protection Agency (EPA) classified portions of the Willamette River bed known as the Portland Harbor, including the portion fronting the Company’s manufacturing facility, as a federal “National Priority List” or “Superfund” site due to sediment contamination (the Portland Harbor Site). The Company and more than 140 other parties have received a “General Notice” of potential liability from the EPA relating to the Portland Harbor Site. The letter advised the Company that it may be liable for the costs of investigation and remediation (which liability may be joint and several with other potentially responsible parties) as well as for natural resource damages resulting from releases of hazardous substances to the site. Ten private and public entities, including the Company (the Lower Willamette Group or LWG), signed an Administrative Order on Consent (AOC) to perform a remedial investigation/feasibility study (RI/FS) of the Portland Harbor Site under EPA oversight, and several additional entities have not signed such consent, but nevertheless contributed money to the effort. The EPA-mandated 17-year 17-year Separate from the process described above, which focused on the type of remediation to be performed at the Portland Harbor Site and the schedule for such remediation, 83 parties, including the State of Oregon and the federal government, entered into a non-judicial Arkema Inc. et al v. A & C Foundry Products, Inc. et al #3:09-cv-453-PK. The EPA’s January 6, 2017 ROD identifies a clean-up -30% 2-year clean-up clean-up The ROD does not address responsibility for the costs of clean-up, pre-remedial On January 30, 2017 the Confederated Tribes and Bands of Yakama Nation sued 33 parties including the Company as well as the United States and the State of Oregon for costs it incurred in assessing alleged natural resource damages to the Columbia River from contaminants deposited in Portland Harbor. Confederated Tribes and Bands of the Yakama Nation v. Air Liquide America Corp., et al., 3i17-CV-00164-SB. The Company has entered into a Voluntary Cleanup Agreement with the Oregon Department of Environmental Quality (DEQ) in which the Company agreed to conduct an investigation of whether, and to what extent, past or present operations at the Portland property may have released hazardous substances into the environment. The Company has also signed an Order on Consent with the DEQ to finalize the investigation of potential onsite sources of contamination that may have a release pathway to the Willamette River. Interim precautionary measures are also required in the order and the Company is discussing with the DEQ potential remedial actions which may be required. The Company’s aggregate expenditure has not been material, however the Company could incur significant expenses for remediation. Some or all of any such outlay may be recoverable from other responsible parties. In the quarter ended November 30, 2016, the Company received an adverse judgment of approximately $15 million, which was subsequently reduced to approximately $10 million, on one matter related to commercial litigation in a foreign jurisdiction. The Company has settled the litigation for less than the judgment. From time to time, Greenbrier is involved as a defendant in litigation in the ordinary course of business, the outcomes of which cannot be predicted with certainty. While the ultimate outcome of such legal proceedings cannot be determined at this time, the Company believes that the resolution of pending litigation will not have a material adverse effect on the Company’s Consolidated Financial Statements. As of May 31, 2018, the Company had outstanding letters of credit aggregating $72.2 million associated with performance guarantees, facility leases and workers compensation insurance. As of May 31, 2018, the Company had a $45.0 million note receivable balance from GBW which is included on the Consolidated Balance Sheet in Accounts receivable, net. The Company may make additional capital contributions or loans to GBW, an unconsolidated 50/50 joint venture, in the future. As of May 31, 2018, the Company had a $10.0 million note receivable from Amsted-Maxion Cruzeiro, its unconsolidated Brazilian castings and components manufacturer and a $7.9 million note receivable balance from Greenbrier-Maxion, its unconsolidated Brazilian railcar manufacturer. These note receivables are included on the Consolidated Balance Sheet in Accounts receivable, net. In the future, the Company may make loans to or provide guarantees for Amsted-Maxion Cruzeiro or Greenbrier-Maxion.

Fair Value Measures

Fair Value Measures	9 Months Ended
	May 31, 2018
Fair Value Measures	Note 16 – Fair Value Measures Certain assets and liabilities are reported at fair value on either a recurring or nonrecurring basis. Fair value, for this disclosure, is defined as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants, under a three-tier fair value hierarchy that prioritizes the inputs used in measuring fair value as follows: Level 1 - observable inputs such as unadjusted quoted prices in active markets for identical instruments; Level 2 - inputs, other than the quoted market prices in active markets for similar instruments, which are observable, either directly or indirectly; and Level 3 - unobservable inputs for which there is little or no market data available, which require the reporting entity to develop its own assumptions. Assets and liabilities measured at fair value on a recurring basis as of May 31, 2018 were: (In thousands) Total Level 1 Level 2 (1) Level 3 Assets: Derivative financial instruments $ 1,166 $ — $ 1,166 $ — Nonqualified savings plan investments 25,156 25,156 — — Cash equivalents 106,056 106,056 — — $ 132,378 $ 131,212 $ 1,166 $ — Liabilities: Derivative financial instruments $ 1,428 $ — $ 1,428 $ — (1) Level 2 assets and liabilities include derivative financial instruments that are valued based on observable inputs. See Note 11 Derivative Instruments for further discussion. Assets and liabilities measured at fair value on a recurring basis as of August 31, 2017 were: (In thousands) Total Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 3,814 $ — $ 3,814 $ — Nonqualified savings plan investments 20,974 20,974 — — Cash equivalents 105,337 105,337 — — $ 130,125 $ 126,311 $ 3,814 $ — Liabilities: Derivative financial instruments $ 2,886 $ — $ 2,886 $ —

Related Party Transactions

Related Party Transactions	9 Months Ended
	May 31, 2018
Related Party Transactions	Note 17 – Related Party Transactions In June 2017, the Company purchased a 40% interest in the common equity of an entity that buys and sells railcar assets that are leased to third parties. The railcars sold to this leasing warehouse are principally built by Greenbrier. The Company accounts for this leasing warehouse investment under the equity method of accounting. As of May 31, 2018, the carrying amount of the investment was $6.8 million which is classified in Investment in unconsolidated affiliates in the Consolidated Balance Sheet. Upon sale of railcars to this entity from Greenbrier, 60% of the related revenue and margin is recognized and 40% is deferred until the railcars are ultimately sold by the entity. During the nine months ended May 31, 2018, the Company recognized $16 million in revenue associated with railcars sold into the leasing warehouse and an additional $41 million associated with railcars sold out of the leasing warehouse. The Company also provides administrative and remarketing services to this entity and earns management fees for these services which were immaterial for the nine months ended May 31, 2018.

Acquisitions (Tables)

Acquisitions (Tables)	9 Months Ended
	May 31, 2018
Purchase Price of Net Assets Acquired	The purchase price of the net assets acquired from Astra is allocated as follows: (in thousands) Cash and cash equivalents $ 6,562 Accounts receivable 10,984 Inventories 30,454 Property, plant and equipment 75,296 Intangibles and other assets 17,300 Goodwill 25,746 Total assets acquired 166,342 Accounts payable and accrued liabilities 17,879 Deferred income taxes 7,292 Deferred revenue 964 Notes payable 24,382 Total liabilities assumed 50,517 Net assets acquired $ 115,825

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	May 31, 2018
Components of Inventories	The following table summarizes the Company’s inventory balance: (In thousands) May 31, August 31, Manufacturing supplies and raw materials $ 242,824 $ 222,080 Work-in-process 94,878 86,794 Finished goods 63,702 95,389 Excess and obsolete adjustment (4,886 ) (4,136 ) $ 396,518 $ 400,127

Intangibles and Other Assets,28

Intangibles and Other Assets, net (Tables)	9 Months Ended
	May 31, 2018
Identifiable Intangible and Other Assets	The following table summarizes the Company’s identifiable intangible and other assets balance: (In thousands) May 31, August 31, Intangible assets subject to amortization: Customer relationships $ 64,521 $ 64,521 Accumulated amortization (42,695 ) (40,153 ) Other intangibles 16,299 20,207 Accumulated amortization (6,123 ) (4,866 ) 32,002 39,709 Intangible assets not subject to amortization 4,120 912 Prepaid and other assets 15,100 16,914 Nonqualified savings plan investments 25,156 20,974 Revolving notes issuance costs, net 2,002 2,623 Assets held for sale 3,650 4,045 Total Intangible and other assets, net $ 82,030 $ 85,177

Accounts Payable and Accrued 29

Accounts Payable and Accrued Liabilities (Tables)	9 Months Ended
	May 31, 2018
Accounts Payable and Accrued Liabilities	(In thousands) May 31, August 31, Trade payables $ 204,658 $ 180,592 Other accrued liabilities 110,380 111,316 Accrued payroll and related liabilities 85,735 84,749 Accrued warranty 27,246 20,737 Accrued maintenance 13,635 17,667 Income taxes payable 6,173 — $ 447,827 $ 415,061

Warranty Accruals (Tables)

Warranty Accruals (Tables)	9 Months Ended
	May 31, 2018
Warranty Accrual Activity	Warranty accrual activity: (In thousands) Three Months Ended Nine Months Ended 2018 2017 2018 2017 Balance at beginning of period $ 26,977 $ 14,582 $ 20,737 $ 12,159 Charged to cost of revenue, net 3,183 1,574 10,782 5,219 Payments (1,855 ) (377 ) (3,695 ) (1,509 ) Currency translation effect (1,059 ) 443 (578 ) 353 Balance at end of period $ 27,246 $ 16,222 $ 27,246 $ 16,222

Accumulated Other Comprehensi31

Accumulated Other Comprehensive Loss (Tables)	9 Months Ended
	May 31, 2018
Components of Accumulated Other Comprehensive Loss, Net of Tax	Accumulated other comprehensive loss, net of tax effect as appropriate, consisted of the following: (In thousands) Unrealized Foreign Other Accumulated Balance, August 31, 2017 $ 181 $ (5,366 ) $ (1,094 ) $ (6,279 ) Other comprehensive loss before reclassifications (274 ) (14,145 ) 54 (14,365 ) Amounts reclassified from Accumulated other comprehensive loss (606 ) — — (606 ) Balance, May 31, 2018 $ (699 ) $ (19,511 ) $ (1,040 ) $ (21,250 )
Amounts Reclassified out of Accumulated Other Comprehensive Loss	The amounts reclassified out of Accumulated other comprehensive loss into the Consolidated Statements of Income, with presentation location, were as follows: (In thousands) Three Months Ended Financial Statement Location 2018 2017 (Gain) loss on derivative financial instruments: Foreign exchange contracts $ 71 $ 862 Revenue and cost of revenue Interest rate swap contracts 39 245 Interest and foreign exchange 110 1,107 Total before tax (51 ) (236 ) Income tax expense (benefit) $ 59 $ 871 Net of tax (In thousands) Nine Months Ended Financial Statement Location 2018 2017 (Gain) loss on derivative financial instruments: Foreign exchange contracts $ (986 ) $ 4,304 Revenue and cost of revenue Interest rate swap contracts 312 871 Interest and foreign exchange (674 ) 5,175 Total before tax 68 (1,153 ) Income tax expense (benefit) $ (606 ) $ 4,022 Net of tax

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	May 31, 2018
Reconciliation of Shares Used in Computation of Basic and Diluted Earnings Per Common Share	The shares used in the computation of basic and diluted earnings per common share are reconciled as follows: (In thousands) Three Months Ended Nine Months Ended 2018 2017 2018 2017 Weighted average basic common shares outstanding (1) 32,034 29,348 30,250 29,192 Dilutive effect of 2018 Convertible notes (2) 655 3,305 2,435 3,286 Dilutive effect of 2024 Convertible notes (3) — — — — Dilutive effect of restricted stock units (4) 225 37 89 37 Weighted average diluted common shares outstanding 32,914 32,690 32,774 32,515 (1) Restricted stock grants and restricted stock units that are considered participating securities, including some grants subject to certain performance criteria, are included in weighted average basic common shares outstanding when the Company is in a net earnings position. (2) The dilutive effect of the 2018 Convertible notes was included as they were considered dilutive under the “if converted” method as further discussed below. The 2018 Convertible notes matured on April 1, 2018. (3) The 2024 Convertible notes were issued in February 2017. The dilutive effect of the 2024 Convertible notes was excluded for the three and nine months ended May 31, 2018 and 2017 as the average stock price was less than the applicable conversion price and therefore was considered anti-dilutive. (4) Restricted stock units that are not considered participating securities and restricted stock units subject to performance criteria, for which actual levels of performance above target have been achieved, are included in weighted average diluted common shares outstanding when the Company is in a net earnings position.
Approach to Calculate Diluted Earning per Share	Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net earnings attributable to Greenbrier $ 32,951 $ 32,823 $ 120,846 $ 92,321 Add back: Interest and debt issuance costs on the 2018 Convertible notes, net of tax 297 733 2,031 2,199 Earnings before interest and debt issuance costs on convertible notes $ 33,248 $ 33,556 $ 122,877 $ 94,520 Weighted average diluted common shares outstanding 32,914 32,690 32,774 32,515 Diluted earnings per share (1) $ 1.01 $ 1.03 $ 3.75 $ 2.91 (1) Diluted earnings per share was calculated as follows: Earnings before interest and debt issuance costs (net of tax) on convertible notes Weighted average diluted common shares outstanding

Derivative Instruments (Tables)

Derivative Instruments (Tables)	9 Months Ended
	May 31, 2018
Fair Values of Derivative Instruments	Fair Values of Derivative Instruments Asset Derivatives Liability Derivatives May 31, August 31, May 31, August 31, (In thousands) Balance sheet location Fair Fair Balance sheet location Fair Fair Derivatives designated as hedging instruments Foreign forward exchange contracts Accounts receivable, net $ 493 $ 2,341 Accounts payable and accrued liabilities $ 1,220 $ 1,761 Interest rate swap contracts Accounts receivable, net 648 — Accounts payable and accrued liabilities 1 1,125 $ 1,141 $ 2,341 $ 1,221 $ 2,886 Derivatives not designated as hedging instruments Foreign forward exchange contracts Accounts receivable, net $ 25 $ 1,473 Accounts payable and accrued liabilities $ 207 $ —
Effect of Derivative Instruments on Statements of Income	The Effect of Derivative Instruments on the Statements of Income Derivatives in cash flow hedging relationships Location of gain (loss) recognized in income on derivatives Gain (loss) 2018 2017 Foreign forward exchange contract Interest and foreign exchange $ 1,081 $ 2,494 Interest rate swap contracts Interest and foreign exchange (1 ) 24 $ 1,080 $ 2,518 Derivatives in cash flow hedging relationships Gain (loss) Location of gain (loss) reclassified from accumulated OCI into income Gain (loss) Location of gain (loss) on derivative (ineffective portion and amount excluded from effectiveness testing) Gain (loss) recognized on 2018 2017 2018 2017 2018 2017 Foreign forward exchange contracts $ (1,063 ) $ 1,888 Revenue $ 1,262 $ (4,130 ) Revenue $ 472 $ (3,216 ) Foreign forward exchange contracts (566 ) 166 Cost of revenue (276 ) (174 ) Cost of revenue 353 205 Interest rate swap contracts 1,485 1,248 Interest and foreign exchange (312 ) (871 ) Interest and foreign exchange — — $ (144 ) $ 3,302 $ 674 $ (5,175 ) $ 825 $ (3,011 )

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	May 31, 2018
Results of Operations	For the three months ended May 31, 2018: Revenue Earnings (loss) from operations (In thousands) External Intersegment Total External Intersegment Total Manufacturing $ 510,099 $ 53,501 $ 563,600 $ 62,435 $ 6,215 $ 68,650 Wheels & Parts 94,515 10,879 105,394 5,546 686 6,232 Leasing & Services 36,773 3,886 40,659 26,704 3,380 30,084 Eliminations — (68,266 ) (68,266 ) — (10,281 ) (10,281 ) Corporate — — — (23,146 ) — (23,146 ) $ 641,387 $ — $ 641,387 $ 71,539 $ — $ 71,539 For the nine months ended May 31, 2018: Revenue Earnings (loss) from operations (In thousands) External Intersegment Total External Intersegment Total Manufacturing $ 1,473,411 $ 84,253 $ 1,557,664 $ 178,589 $ 13,816 $ 192,405 Wheels & Parts 261,236 27,563 288,799 13,083 2,214 15,297 Leasing & Services 95,611 9,855 105,466 71,008 8,546 79,554 Eliminations — (121,671 ) (121,671 ) — (24,576 ) (24,576 ) Corporate — — — (68,829 ) — (68,829 ) $ 1,830,258 $ — $ 1,830,258 $ 193,851 $ — $ 193,851 For the three months ended May 31, 2017: Revenue Earnings (loss) from operations (In thousands) External Intersegment Total External Intersegment Total Manufacturing $ 317,104 $ 19,291 $ 336,395 $ 57,901 $ 1,022 $ 58,923 Wheels & Parts 85,231 8,959 94,190 4,239 839 5,078 Leasing & Services 36,826 595 37,421 7,084 427 7,511 Eliminations — (28,845 ) (28,845 ) — (2,288 ) (2,288 ) Corporate — — — (20,752 ) — (20,752 ) $ 439,161 $ — $ 439,161 $ 48,472 $ — $ 48,472 For the nine months ended May 31, 2017: Revenue Earnings (loss) from operations (In thousands) External Intersegment Total External Intersegment Total Manufacturing $ 1,216,641 $ 19,291 $ 1,235,932 $ 226,611 $ 1,022 $ 227,633 Wheels & Parts 237,580 23,393 260,973 12,702 1,962 14,664 Leasing & Services 103,536 8,040 111,576 24,363 7,602 31,965 Eliminations — (50,724 ) (50,724 ) — (10,586 ) (10,586 ) Corporate — — — (61,024 ) — (61,024 ) $ 1,557,757 $ — $ 1,557,757 $ 202,652 $ — $ 202,652 Total assets May 31, August 31, (In thousands) 2018 2017 Manufacturing $ 924,869 $ 914,450 Wheels & Parts 243,641 236,315 Leasing & Services 578,259 535,323 Unallocated 683,814 711,617 $ 2,430,583 $ 2,397,705
Reconciliation of Earnings from Operations to Earnings Before Income Tax and Loss from Unconsolidated Affiliates	Reconciliation of Earnings from operations to Earnings before income tax and loss from unconsolidated affiliates: Three Months Ended Nine Months Ended (In thousands) 2018 2017 2018 2017 Earnings from operations $ 71,539 $ 48,472 $ 193,851 $ 202,652 Interest and foreign exchange 6,533 7,894 20,582 15,291 Earnings before income tax and loss from unconsolidated affiliates $ 65,006 $ 40,578 $ 173,269 $ 187,361
GBW Railcar Services LLC
Results of Operations	The Company has a 50% ownership interest in the GBW Joint Venture and accounts for its interest under the equity method of accounting. The Company’s 50% share of the results of operations are included in Earnings (loss) from unconsolidated affiliates in the Consolidated Statement of Income and its investment is included in Investments in unconsolidated affiliates in the Consolidated Balance Sheet. The GBW Joint Venture is Greenbrier’s fourth reportable segment. Information included in the tables below represent totals for GBW Railcar Services LLC (GBW) rather than Greenbrier’s 50% share, as this is how performance and resource allocation is evaluated. During the third quarter of 2018, GBW recorded a pre-tax Three Months Ended Nine Months Ended (In thousands) 2018 2017 2018 2017 Revenue $ 67,248 $ 62,674 $ 187,933 $ 197,176 Loss from operations $ (29,544 ) $ (5,525 ) $ (40,748 ) $ (16,988 ) Total Assets May 31, August 31, GBW (1) $ 177,764 $ 206,009 (1) Includes goodwill and intangible assets of $50.4 million and $78.8 million as of May 31, 2018 and August 31, 2017.

Income Taxes (Tables)

Income Taxes (Tables)	9 Months Ended
	May 31, 2018
Reconciliation of Effects of Tax Act on Effective Tax Rate	The table below reconciles the effects of the Tax Act discussed above on the effective tax rate for the nine months ended May 31, 2018: Effective tax rate before the Tax Act 31.9 % Benefit from reduction in statutory federal corporate tax rate from 35% to 25.7% (5.5 ) Effective tax rate before discrete items 26.4 Discrete benefit from revaluation of deferred income taxes (19.9 ) Discrete expense from transition tax 6.6 Effective tax rate 13.1 %

Fair Value Measures (Tables)

Fair Value Measures (Tables)	9 Months Ended
	May 31, 2018
Assets and Liabilities Measured at Fair Value on Recurring Basis	Assets and liabilities measured at fair value on a recurring basis as of May 31, 2018 were: (In thousands) Total Level 1 Level 2 (1) Level 3 Assets: Derivative financial instruments $ 1,166 $ — $ 1,166 $ — Nonqualified savings plan investments 25,156 25,156 — — Cash equivalents 106,056 106,056 — — $ 132,378 $ 131,212 $ 1,166 $ — Liabilities: Derivative financial instruments $ 1,428 $ — $ 1,428 $ — (1) Level 2 assets and liabilities include derivative financial instruments that are valued based on observable inputs. See Note 11 Derivative Instruments for further discussion. Assets and liabilities measured at fair value on a recurring basis as of August 31, 2017 were: (In thousands) Total Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 3,814 $ — $ 3,814 $ — Nonqualified savings plan investments 20,974 20,974 — — Cash equivalents 105,337 105,337 — — $ 130,125 $ 126,311 $ 3,814 $ — Liabilities: Derivative financial instruments $ 2,886 $ — $ 2,886 $ —

Interim Financial Statements -

Interim Financial Statements - Additional Information (Detail)	3 Months Ended	9 Months Ended
	May 31, 2018USD ($)shares	May 31, 2018USD ($)shares
Share Repurchase Program - 2014
Equity, Class of Treasury Stock [Line Items]
Stock repurchased during period, shares | shares	0	0
Stock repurchase program total cost of repurchased shares		$ 137,000,000
Repurchase of common stock, shares | shares		3,206,226
Remaining authorized repurchase amount	$ 88,000,000	$ 88,000,000
Maximum | Share Repurchase Program - 2013
Equity, Class of Treasury Stock [Line Items]
Amount authorized for repurchase	$ 225,000,000	$ 225,000,000

Acquisitions - Additional Infor

Acquisitions - Additional Information (Detail) € in Millions	Jun. 01, 2018EUR (€)	Jun. 01, 2017EUR (€)	May 31, 2018USD ($)	May 31, 2017USD ($)	May 31, 2018USD ($)	May 31, 2017USD ($)	Jun. 01, 2017USD ($)
Business Acquisition [Line Items]
Revenue			$ 641,387,000	$ 439,161,000	$ 1,830,258,000	$ 1,557,757,000
Greenbrier-Astra Rail
Business Acquisition [Line Items]
Ownership percentage by parent							75.00%
Amount of consideration paid | €		€ 30
Percentage of noncontrolling interest							25.00%
Net assets acquired							$ 115,825,000
Noncontrolling interest, fair value of acquisition							$ 38,300,000
Adjustments to reconcile carrying value of redemption amount to recorded retained earnings					0
Revenue					$ 105,600,000
Greenbrier-Astra Rail | Subsequent Event
Business Acquisition [Line Items]
Amount of consideration paid | €	€ 30

Acquisitions - Purchase Price o

Acquisitions - Purchase Price of Net Assets Acquired (Detail) - USD ($) $ in Thousands	May 31, 2018	Aug. 31, 2017	Jun. 01, 2017
Business Acquisition [Line Items]
Goodwill	$ 70,347	$ 68,590
Greenbrier-Astra Rail
Business Acquisition [Line Items]
Cash and cash equivalents			$ 6,562
Accounts receivable			10,984
Inventories			30,454
Property, plant and equipment			75,296
Intangibles and other assets			17,300
Goodwill			25,746
Total assets acquired			166,342
Accounts payable and accrued liabilities			17,879
Deferred income taxes			7,292
Deferred revenue			964
Notes payable			24,382
Total liabilities assumed			50,517
Net assets acquired			$ 115,825

Inventories - Components of Inv

Inventories - Components of Inventories (Detail) - USD ($) $ in Thousands	May 31, 2018	Aug. 31, 2017
Inventory [Line Items]
Manufacturing supplies and raw materials	$ 242,824	$ 222,080
Work-in-process	94,878	86,794
Finished goods	63,702	95,389
Excess and obsolete adjustment	(4,886)	(4,136)
Inventories	$ 396,518	$ 400,127

Intangibles and Other Assets,41

Intangibles and Other Assets, Net - Identifiable Intangible and Other Assets (Detail) - USD ($) $ in Thousands	May 31, 2018	Aug. 31, 2017
Intangibles and Other Assets by Major Class [Line Items]
Finite-Lived Intangible Assets, Net, Total	$ 32,002	$ 39,709
Intangible assets not subject to amortization	4,120	912
Prepaid and other assets	15,100	16,914
Nonqualified savings plan investments	25,156	20,974
Revolving notes issuance costs, net	2,002	2,623
Assets held for sale	3,650	4,045
Total Intangible and other assets, net	82,030	85,177
Customer Relationships
Intangibles and Other Assets by Major Class [Line Items]
Finite lived intangible assets gross	64,521	64,521
Accumulated amortization	(42,695)	(40,153)
Other Intangible Assets
Intangibles and Other Assets by Major Class [Line Items]
Finite lived intangible assets gross	16,299	20,207
Accumulated amortization	$ (6,123)	$ (4,866)

Intangibles and Other Assets,42

Intangibles and Other Assets, Net - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Schedule of Intangible Assets Disclosure [Line Items]
Amortization expense	$ 1.4	$ 0.9	$ 4.2	$ 3.5
Future amortization expense, 2018	5.8		5.8
Future amortization expense, 2019	5.4		5.4
Future amortization expense, 2020	5.7		5.7
Future amortization expense, 2021	5.4		5.4
Future amortization expense, 2022	$ 4		$ 4

Revolving Notes - Additional In

Revolving Notes - Additional Information (Detail)	9 Months Ended
	May 31, 2018USD ($)CreditFacilityFacility	Aug. 31, 2017USD ($)
Senior Secured Credit Facilities, Consisting of 3 Components
Line of Credit Facility [Line Items]
Number of senior secured credit facilities | CreditFacility	3
Line of credit facility maximum capacity	$ 628,400,000
Letter of credit facility outstanding amount	72,200,000	$ 77,600,000
Revolving Line of Credit, 1st Component of Senior Secured Credit Facilities
Line of Credit Facility [Line Items]
Line of credit facility maximum capacity	$ 550,000,000
Line of credit maturity date	2020-10
Revolving Line of Credit, 1st Component of Senior Secured Credit Facilities | LIBOR
Line of Credit Facility [Line Items]
Debt instrument, percentage points added to the reference rate	1.75%
Revolving Line of Credit, 1st Component of Senior Secured Credit Facilities | Prime Rate
Line of Credit Facility [Line Items]
Debt instrument, percentage points added to the reference rate	0.75%
European Line of Credit, 2nd Component of Senior Secured Credit Facilities
Line of Credit Facility [Line Items]
Line of credit facility maximum capacity	$ 28,400,000
Letter of credit facility outstanding amount	$ 20,300,000	$ 4,300,000
European Line of Credit, 2nd Component of Senior Secured Credit Facilities | Minimum
Line of Credit Facility [Line Items]
Line of credit maturity date	2018-12
European Line of Credit, 2nd Component of Senior Secured Credit Facilities | Maximum
Line of Credit Facility [Line Items]
Line of credit maturity date	2019-06
European Line of Credit, 2nd Component of Senior Secured Credit Facilities | WIBOR | Minimum
Line of Credit Facility [Line Items]
Debt instrument, percentage points added to the reference rate	1.20%
European Line of Credit, 2nd Component of Senior Secured Credit Facilities | WIBOR | Maximum
Line of Credit Facility [Line Items]
Debt instrument, percentage points added to the reference rate	1.30%
European Line of Credit, 2nd Component of Senior Secured Credit Facilities | EURIBOR
Line of Credit Facility [Line Items]
Debt instrument, percentage points added to the reference rate	1.10%
Mexican Railcar Manufacturing Joint Venture Line of Credit, 3rd Component of Senior Secured Credit Facilities
Line of Credit Facility [Line Items]
Line of credit facility maximum capacity	$ 50,000,000
Number of lines of credits | Facility	2
Mexican Railcar Manufacturing Joint Venture Line of Credit 1, 3rd Component of Senior Secured Credit Facilities
Line of Credit Facility [Line Items]
Line of credit facility maximum capacity	$ 30,000,000
Line of credit facility borrowings outstanding due period	2019-01
Mexican Railcar Manufacturing Joint Venture Line of Credit 1, 3rd Component of Senior Secured Credit Facilities | LIBOR
Line of Credit Facility [Line Items]
Debt instrument, percentage points added to the reference rate	2.00%
Mexican Railcar Manufacturing Joint Venture Line of Credit 2, 3rd Component of Senior Secured Credit Facilities
Line of Credit Facility [Line Items]
Line of credit facility maximum capacity	$ 20,000,000
Line of credit facility borrowings outstanding due period	2019-07
Joint venture partner each guaranteed percentage	50.00%
Mexican Railcar Manufacturing Joint Venture Line of Credit 2, 3rd Component of Senior Secured Credit Facilities | LIBOR
Line of Credit Facility [Line Items]
Debt instrument, percentage points added to the reference rate	2.00%

Accounts Payable and Accrued 44

Accounts Payable and Accrued Liabilities - Accounts Payable and Accrued Liabilities (Detail) - USD ($) $ in Thousands	May 31, 2018	Feb. 28, 2018	Aug. 31, 2017	May 31, 2017	Feb. 28, 2017	Aug. 31, 2016
Accounts Payable and Accrued Liabilities [Line Items]
Trade payables	$ 204,658		$ 180,592
Other accrued liabilities	110,380		111,316
Accrued payroll and related liabilities	85,735		84,749
Accrued warranty	27,246	$ 26,977	20,737	$ 16,222	$ 14,582	$ 12,159
Accrued maintenance	13,635		17,667
Income taxes payable	6,173
Accounts payable and accrued liabilities	$ 447,827		$ 415,061

Warranty Accruals - Warranty Ac

Warranty Accruals - Warranty Accruals Activity (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Product Liability Contingency [Line Items]
Balance at beginning of period	$ 26,977	$ 14,582	$ 20,737	$ 12,159
Charged to cost of revenue, net	3,183	1,574	10,782	5,219
Payments	(1,855)	(377)	(3,695)	(1,509)
Currency translation effect	(1,059)	443	(578)	353
Balance at end of period	$ 27,246	$ 16,222	$ 27,246	$ 16,222

Notes Payable - Additional Info

Notes Payable - Additional Information (Detail) - 2018 Senior Notes - USD ($) $ / shares in Units, shares in Millions, $ in Millions	Apr. 01, 2018	May 31, 2018
Debt Instrument [Line Items]
Debt instrument, interest rate		3.50%
Convertible senior notes	$ 119.1
Debt instrument, maturity date		Apr. 1, 2018
Convertible notes conversion rate, per share		$ 35.47
Conversion of 2018 Convertible Senior Notes, shares	3.4

Accumulated Other Comprehensi47

Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss, Net of Tax (Detail) $ in Thousands	9 Months Ended
	May 31, 2018USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	$ 1,018,130
Other comprehensive loss before reclassifications	(14,365)
Amounts reclassified from Accumulated other comprehensive loss	(606)
Ending balance	1,225,512
Unrealized (Gain) Loss on Derivative Financial Instruments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	181
Other comprehensive loss before reclassifications	(274)
Amounts reclassified from Accumulated other comprehensive loss	(606)
Ending balance	(699)
Foreign Currency Translation Adjustment
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(5,366)
Other comprehensive loss before reclassifications	(14,145)
Ending balance	(19,511)
Other
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(1,094)
Other comprehensive loss before reclassifications	54
Ending balance	(1,040)
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(6,279)
Ending balance	$ (21,250)

Accumulated Other Comprehensi48

Accumulated Other Comprehensive Loss - Amounts Reclassified out of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Interest and foreign exchange	$ 6,533	$ 7,894	$ 20,582	$ 15,291
Total before tax	(65,006)	(40,578)	(173,269)	(187,361)
Income tax expense (benefit)	15,944	8,656	22,778	53,900
Unrealized (Gain) Loss on Derivative Financial Instruments | Reclassification out of Accumulated Other Comprehensive loss
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Total before tax	110	1,107	(674)	5,175
Income tax expense (benefit)	(51)	(236)	68	(1,153)
Net of tax	59	871	(606)	4,022
Unrealized (Gain) Loss on Derivative Financial Instruments | Reclassification out of Accumulated Other Comprehensive loss | Foreign Exchange Contracts
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Revenue and Cost of revenue	71	862	(986)	4,304
Unrealized (Gain) Loss on Derivative Financial Instruments | Reclassification out of Accumulated Other Comprehensive loss | Interest rate swap contracts
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]
Interest and foreign exchange	$ 39	$ 245	$ 312	$ 871

Earnings Per Share - Reconcilia

Earnings Per Share - Reconciliation of Shares Used in Computation of Basic and Diluted Earnings Per Common Share (Detail) - shares shares in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Earnings Per Share Disclosure [Line Items]
Weighted average basic common shares outstanding	32,034	29,348	30,250	29,192
Dilutive effect of restricted stock units	225	37	89	37
Weighted average diluted common shares outstanding	32,914	32,690	32,774	32,515
2018 Senior Notes
Earnings Per Share Disclosure [Line Items]
Dilutive effect of convertible notes	655	3,305	2,435	3,286

Earnings Per Share - Reconcil50

Earnings Per Share - Reconciliation of Shares Used in Computation of Basic and Diluted Earnings Per Common Share (Parenthetical) (Detail)	9 Months Ended
	May 31, 2018
2018 Senior Notes
Earnings Per Share Disclosure [Line Items]
Debt instrument, maturity date	Apr. 1, 2018

Earnings Per Share - Approach t

Earnings Per Share - Approach to Calculate Diluted Earning Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Net earnings attributable to Greenbrier	$ 32,951	$ 32,823	$ 120,846	$ 92,321
Earnings before interest and debt issuance costs on convertible notes	$ 33,248	$ 33,556	$ 122,877	$ 94,520
Weighted average diluted common shares outstanding	32,914	32,690	32,774	32,515
Diluted earnings per share	$ 1.01	$ 1.03	$ 3.75	$ 2.91
2018 Senior Notes
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Interest and debt issuance costs on the 2018 Convertible notes, net of tax	$ 297	$ 733	$ 2,031	$ 2,199

Stock Based Compensation - Addi

Stock Based Compensation - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock based compensation expense	$ 7,700	$ 8,200	$ 20,311	$ 19,007

Derivative Instruments - Additi

Derivative Instruments - Additional Information (Detail)	9 Months Ended
	May 31, 2018USD ($)
Foreign Exchange Contracts
Derivative [Line Items]
Aggregate derivative notional amount	$ 148,400,000
Amount reclassified to revenue or cost of revenue in the next 12 months	1,300,000
Interest rate swap contracts
Derivative [Line Items]
Aggregate derivative notional amount	$ 86,000,000
Maturity date	2020-03
Unrealized pre-tax gain (loss) that would be reclassified to interest expense in the next 12 months	$ 100,000

Derivative Instruments - Fair V

Derivative Instruments - Fair Values of Derivative Instruments (Detail) - USD ($) $ in Thousands	May 31, 2018	Aug. 31, 2017
Designated as Hedging Instrument | Accounts Receivable
Derivatives, Fair Value [Line Items]
Asset Derivatives	$ 1,141	$ 2,341
Designated as Hedging Instrument | Accounts Payable and Accrued Liabilities
Derivatives, Fair Value [Line Items]
Liability Derivatives	1,221	2,886
Designated as Hedging Instrument | Foreign Exchange Contracts | Accounts Receivable
Derivatives, Fair Value [Line Items]
Asset Derivatives	493	2,341
Designated as Hedging Instrument | Foreign Exchange Contracts | Accounts Payable and Accrued Liabilities
Derivatives, Fair Value [Line Items]
Liability Derivatives	1,220	1,761
Designated as Hedging Instrument | Interest rate swap contracts | Accounts Receivable
Derivatives, Fair Value [Line Items]
Asset Derivatives	648
Designated as Hedging Instrument | Interest rate swap contracts | Accounts Payable and Accrued Liabilities
Derivatives, Fair Value [Line Items]
Liability Derivatives	1	1,125
Not Designated as Hedging Instrument | Foreign Exchange Contracts | Accounts Receivable
Derivatives, Fair Value [Line Items]
Asset Derivatives	25	$ 1,473
Not Designated as Hedging Instrument | Foreign Exchange Contracts | Accounts Payable and Accrued Liabilities
Derivatives, Fair Value [Line Items]
Liability Derivatives	$ 207

Derivative Instruments - Effect

Derivative Instruments - Effect of Derivative Instruments on Statements of Income (Detail) - Cash Flow Hedging - USD ($) $ in Thousands	9 Months Ended
	May 31, 2018	May 31, 2017
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) recognized in income on derivatives	$ 1,080	$ 2,518
Gain (loss) recognized in OCI on derivatives (effective portion)	(144)	3,302
Gain (loss) reclassified from accumulated OCI into income (effective portion)	674	(5,175)
Gain (loss) recognized on derivative (ineffective portion and amount excluded from effectiveness testing)	825	(3,011)
Foreign Exchange Forward
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss) recognized in OCI on derivatives (effective portion)	(1,063)	1,888
Foreign Exchange Forward | Interest and Foreign Exchange
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) recognized in income on derivatives	1,081	2,494
Foreign Exchange Forward | Sales
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss) reclassified from accumulated OCI into income (effective portion)	1,262	(4,130)
Gain (loss) recognized on derivative (ineffective portion and amount excluded from effectiveness testing)	472	(3,216)
Foreign Exchange Forward | Cost Of Revenue
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss) recognized in OCI on derivatives (effective portion)	(566)	166
Gain (loss) reclassified from accumulated OCI into income (effective portion)	(276)	(174)
Gain (loss) recognized on derivative (ineffective portion and amount excluded from effectiveness testing)	353	205
Interest rate swap contracts
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss) recognized in OCI on derivatives (effective portion)	1,485	1,248
Interest rate swap contracts | Interest and Foreign Exchange
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) recognized in income on derivatives	(1)	24
Gain (loss) reclassified from accumulated OCI into income (effective portion)	$ (312)	$ (871)

Segment Information - Additiona

Segment Information - Additional Information (Detail) $ in Thousands	3 Months Ended	9 Months Ended
	May 31, 2018USD ($)	May 31, 2018USD ($)Segment	Aug. 31, 2017USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments | Segment		4
Equity method investment, percentage of ownership interest	50.00%	50.00%
Goodwill	$ 70,347	$ 70,347	$ 68,590
GBW Railcar Services LLC
Segment Reporting Information [Line Items]
Equity method investment, percentage of ownership interest	50.00%	50.00%
Pre-tax goodwill impairment loss	$ 26,400
Goodwill	$ 15,100	$ 15,100

Segment Information - Segments

Segment Information - Segments Internal Financial Reports (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017	Aug. 31, 2017
Segment Reporting Information [Line Items]
Revenues	$ 641,387	$ 439,161	$ 1,830,258	$ 1,557,757
Earnings (loss) from operations	71,539	48,472	193,851	202,652
Assets	2,430,583		2,430,583		$ 2,397,705
Manufacturing
Segment Reporting Information [Line Items]
Revenues	510,099	317,104	1,473,411	1,216,641
Earnings (loss) from operations	62,435	57,901	178,589	226,611
Wheels & Parts
Segment Reporting Information [Line Items]
Revenues	94,515	85,231	261,236	237,580
Earnings (loss) from operations	5,546	4,239	13,083	12,702
Leasing & Services
Segment Reporting Information [Line Items]
Revenues	36,773	36,826	95,611	103,536
Earnings (loss) from operations	26,704	7,084	71,008	24,363
Operating Segments | Manufacturing
Segment Reporting Information [Line Items]
Revenues	563,600	336,395	1,557,664	1,235,932
Earnings (loss) from operations	68,650	58,923	192,405	227,633
Assets	924,869		924,869		914,450
Operating Segments | Wheels & Parts
Segment Reporting Information [Line Items]
Revenues	105,394	94,190	288,799	260,973
Earnings (loss) from operations	6,232	5,078	15,297	14,664
Assets	243,641		243,641		236,315
Operating Segments | Leasing & Services
Segment Reporting Information [Line Items]
Revenues	40,659	37,421	105,466	111,576
Earnings (loss) from operations	30,084	7,511	79,554	31,965
Assets	578,259		578,259		535,323
Operating Segments | Unallocated Amount to Segment
Segment Reporting Information [Line Items]
Assets	683,814		683,814		$ 711,617
Intersegment Eliminations
Segment Reporting Information [Line Items]
Revenues	(68,266)	(28,845)	(121,671)	(50,724)
Earnings (loss) from operations	(10,281)	(2,288)	(24,576)	(10,586)
Intersegment Eliminations | Manufacturing
Segment Reporting Information [Line Items]
Revenues	(53,501)	(19,291)	(84,253)	(19,291)
Earnings (loss) from operations	(6,215)	(1,022)	(13,816)	(1,022)
Intersegment Eliminations | Wheels & Parts
Segment Reporting Information [Line Items]
Revenues	(10,879)	(8,959)	(27,563)	(23,393)
Earnings (loss) from operations	(686)	(839)	(2,214)	(1,962)
Intersegment Eliminations | Leasing & Services
Segment Reporting Information [Line Items]
Revenues	(3,886)	(595)	(9,855)	(8,040)
Earnings (loss) from operations	(3,380)	(427)	(8,546)	(7,602)
Corporate, Non-Segment
Segment Reporting Information [Line Items]
Earnings (loss) from operations	$ (23,146)	$ (20,752)	$ (68,829)	$ (61,024)

Segment Information - Reconcili

Segment Information - Reconciliation of Earnings from Operations to Earnings Before Income Tax and Loss from Unconsolidated Affiliates (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Segment Reporting, Other Significant Reconciling Item [Line Items]
Earnings from operations	$ 71,539	$ 48,472	$ 193,851	$ 202,652
Interest and foreign exchange	6,533	7,894	20,582	15,291
Earnings before income tax and loss from unconsolidated affiliates	$ 65,006	$ 40,578	$ 173,269	$ 187,361

Segment Information - Results o

Segment Information - Results of Operations for GBW Joint Venture (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017	Aug. 31, 2017
Segment Reporting Information [Line Items]
Revenue	$ 641,387	$ 439,161	$ 1,830,258	$ 1,557,757
Loss from operations	71,539	48,472	193,851	202,652
Assets	2,430,583		2,430,583		$ 2,397,705
GBW Railcar Services LLC
Segment Reporting Information [Line Items]
Revenue	67,248	62,674	187,933	197,176
Loss from operations	(29,544)	$ (5,525)	(40,748)	$ (16,988)
Assets	$ 177,764		$ 177,764		$ 206,009

Segment Information - Results60

Segment Information - Results of Operations for GBW Joint Venture (Parenthetical) (Detail) - USD ($) $ in Millions	May 31, 2018	Aug. 31, 2017
GBW Railcar Services LLC
Segment Reporting Information [Line Items]
Goodwill and intangible assets	$ 50.4	$ 78.8

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($)	3 Months Ended		4 Months Ended	5 Months Ended	9 Months Ended	12 Months Ended
	May 31, 2018	Feb. 28, 2018	Dec. 31, 2017	May 31, 2018	May 31, 2018	Aug. 31, 2019	Aug. 31, 2018
Operating Loss Carryforwards [Line Items]
Statutory federal corporate tax rate			35.00%	21.00%
Tax benefit due to remeasurement of deferred tax assets and liabilities	$ 0	$ 34,300,000
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Transition Tax for Accumulated Foreign Earnings, Provisional Income Tax Expense	$ 0	$ 11,500,000
Tax Cuts and Jobs Act of 2017, Provisional amount					$ 0
Scenario, Forecast
Operating Loss Carryforwards [Line Items]
Statutory federal corporate tax rate						21.00%	25.70%
Maximum
Operating Loss Carryforwards [Line Items]
Statutory federal corporate tax rate				25.70%
Transition tax payable period					8 years

Income Taxes - Reconciliation o

Income Taxes - Reconciliation of Effects of Tax Act on Effective Tax Rate (Detail)	9 Months Ended
	May 31, 2018
Income Taxes [Line Items]
Effective tax rate before the Tax Act	31.90%
Benefit from reduction in statutory federal corporate tax rate from 35% to 25.7%	(5.50%)
Effective tax rate before discrete items	26.40%
Discrete benefit from revaluation of deferred income taxes	(19.90%)
Discrete expense from transition tax	6.60%
Effective tax rate	13.10%

Income Taxes - Reconciliation63

Income Taxes - Reconciliation of Effects of Tax Act on Effective Tax Rate (Parenthetical) (Detail)	4 Months Ended	5 Months Ended
	Dec. 31, 2017	May 31, 2018
Income Taxes [Line Items]
Statutory federal corporate tax rate	35.00%	21.00%
Maximum
Income Taxes [Line Items]
Statutory federal corporate tax rate		25.70%

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail)	Jan. 06, 2017USD ($)Segment	May 31, 2018USD ($)	Dec. 31, 2016USD ($)	Nov. 30, 2016USD ($)
Commitments and Contingencies Disclosure [Line Items]
Remedial investigation and feasibility study			$ 110,000,000
Equity method investment, percentage of ownership interest		50.00%
Note receivable		$ 45,000,000
Performance Guarantee
Commitments and Contingencies Disclosure [Line Items]
Letter of credit facility outstanding amount		72,200,000
Portland Harbor Site
Commitments and Contingencies Disclosure [Line Items]
Number of sediment decision units | Segment	13
Estimated undiscounted cost	$ 1,700,000,000
Period for remedial action	13 years
Period for monitoring	30 years
New data collection period to reflect actual cost prior to final remedy design	2 years
Portland Harbor Site | Maximum
Commitments and Contingencies Disclosure [Line Items]
Accuracy of cost estimate	50.00%
Portland Harbor Site | Minimum
Commitments and Contingencies Disclosure [Line Items]
Accuracy of cost estimate	(30.00%)
Commercial Litigation in a Foreign Jurisdictions
Commitments and Contingencies Disclosure [Line Items]
Adverse judgment				$ 15,000,000
Adverse judgment settlement amount		$ 10,000,000
GBW Railcar Services LLC
Commitments and Contingencies Disclosure [Line Items]
Equity method investment, percentage of ownership interest		50.00%
Amsted-Maxion Cruzeiro
Commitments and Contingencies Disclosure [Line Items]
Note receivable		$ 10,000,000
Greenbrier-Maxion
Commitments and Contingencies Disclosure [Line Items]
Note receivable		$ 7,900,000

Fair Value Measures - Assets an

Fair Value Measures - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands	May 31, 2018	Aug. 31, 2017
Assets:
Nonqualified savings plan investments	$ 25,156	$ 20,974
Fair Value, Measurements, Recurring
Assets:
Derivative financial instruments	1,166	3,814
Nonqualified savings plan investments	25,156	20,974
Cash equivalents	106,056	105,337
Assets, Fair Value Disclosure, Total	132,378	130,125
Liabilities:
Derivative financial instruments	1,428	2,886
Fair Value, Inputs, Level 1 | Fair Value, Measurements, Recurring
Assets:
Nonqualified savings plan investments	25,156	20,974
Cash equivalents	106,056	105,337
Assets, Fair Value Disclosure, Total	131,212	126,311
Fair Value, Inputs, Level 2 | Fair Value, Measurements, Recurring
Assets:
Derivative financial instruments	1,166	3,814
Assets, Fair Value Disclosure, Total	1,166	3,814
Liabilities:
Derivative financial instruments	$ 1,428	$ 2,886

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Detail) - USD ($) $ in Millions	9 Months Ended
	May 31, 2018	Jun. 30, 2017
Related Party Transaction [Line Items]
Equity method investment, percentage of ownership interest	50.00%
Carrying amount of investment in unconsolidated affiliates	$ 6.8
Percentage of recognized revenue and margin from sale	60.00%
Percentage of deferred revenue and margin from sale	40.00%
Revenue recognize from railcars sold	$ 41
Leasing Warehouse
Related Party Transaction [Line Items]
Revenue recognize from railcars sold	$ 16
Greenbrier
Related Party Transaction [Line Items]
Equity method investment, percentage of ownership interest		40.00%