Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Aug. 31, 2018 | Oct. 19, 2018 | Feb. 28, 2018 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Aug. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | GBX | ||
Entity Registrant Name | GREENBRIER COMPANIES INC | ||
Entity Central Index Key | 923,120 | ||
Current Fiscal Year End Date | --08-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Shell Company | false | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Common Stock, Shares Outstanding | 32,190,763 | ||
Entity Public Float | $ 1,465,342,435 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 |
Assets | ||
Cash and cash equivalents | $ 530,655 | $ 611,466 |
Restricted cash | 8,819 | 8,892 |
Accounts receivable, net | 348,406 | 279,964 |
Inventories | 432,314 | 400,127 |
Leased railcars for syndication | 130,926 | 91,272 |
Equipment on operating leases, net | 322,855 | 315,941 |
Property, plant and equipment, net | 457,196 | 428,021 |
Investment in unconsolidated affiliates | 61,414 | 108,255 |
Intangibles and other assets, net | 94,668 | 85,177 |
Goodwill | 78,211 | 68,590 |
Total assets | 2,465,464 | 2,397,705 |
Liabilities and Equity | ||
Revolving notes | 27,725 | 4,324 |
Accounts payable and accrued liabilities | 449,857 | 415,061 |
Deferred income taxes | 31,740 | 75,791 |
Deferred revenue | 105,954 | 129,260 |
Notes payable, net | 436,205 | 558,228 |
Commitments and contingencies (Notes 21 & 22) | ||
Contingently redeemable noncontrolling interest | 29,768 | 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 outstanding at August 31, 2018 and 2017 | 0 | 0 |
Additional paid-in capital | 442,569 | 315,306 |
Retained earnings | 830,898 | 709,103 |
Accumulated other comprehensive loss | (23,366) | (6,279) |
Total equity - Greenbrier | 1,250,101 | 1,018,130 |
Noncontrolling interest | 134,114 | 160,763 |
Total equity | 1,384,215 | 1,178,893 |
Liabilities and Equity | $ 2,465,464 | $ 2,397,705 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Aug. 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 | 12 Months Ended | |||||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | ||||
Revenue | ||||||
Revenue | [1] | $ 2,519,464 | $ 2,169,164 | $ 2,679,524 | ||
Cost of revenue | ||||||
Cost of revenue | 2,110,409 | 1,747,865 | 2,128,087 | |||
Margin | 409,055 | 421,299 | 551,437 | |||
Selling and administrative | 200,439 | 170,607 | 158,681 | |||
Net gain on disposition of equipment | (44,369) | (9,740) | (15,796) | |||
Earnings from operations | 252,985 | 260,432 | 408,552 | |||
Other costs | ||||||
Interest and foreign exchange | 29,368 | 24,192 | 13,502 | |||
Earnings before income tax and earnings (loss) from unconsolidated affiliates | 223,617 | 236,240 | 395,050 | |||
Income tax expense | (32,893) | (64,014) | (112,322) | |||
Earnings before earnings (loss) from unconsolidated affiliates | 190,724 | 172,226 | 282,728 | |||
Earnings (loss) from unconsolidated affiliates | (18,661) | (11,764) | 2,096 | |||
Net earnings | 172,063 | 160,462 | 284,824 | |||
Net earnings attributable to noncontrolling interest | (20,282) | (44,395) | (101,611) | |||
Net earnings attributable to Greenbrier | $ 151,781 | $ 116,067 | $ 183,213 | |||
Basic earnings per common share | $ 4.92 | [2] | $ 3.97 | [3] | $ 6.28 | |
Diluted earnings per common share | [4] | $ 4.68 | [2] | $ 3.65 | [3] | $ 5.73 |
Weighted average common shares: | ||||||
Basic | [5] | 30,857 | 29,225 | 29,156 | ||
Diluted | 32,835 | 32,562 | 32,468 | |||
Dividends declared per common share | $ 0.96 | $ 0.86 | $ 0.81 | |||
Manufacturing | ||||||
Revenue | ||||||
Revenue | $ 2,044,586 | $ 1,725,188 | $ 2,096,331 | |||
Cost of revenue | ||||||
Cost of revenue | 1,727,407 | 1,373,967 | 1,630,554 | |||
Earnings from operations | 240,901 | 295,334 | 415,094 | |||
Wheels, Repair & Parts | ||||||
Revenue | ||||||
Revenue | 347,023 | 312,679 | 322,395 | |||
Cost of revenue | ||||||
Cost of revenue | 318,330 | 288,336 | 293,751 | |||
Earnings from operations | 16,731 | 14,984 | 19,948 | |||
Leasing & Services | ||||||
Revenue | ||||||
Revenue | 127,855 | 131,297 | 260,798 | |||
Cost of revenue | ||||||
Cost of revenue | 64,672 | 85,562 | 203,782 | |||
Earnings from operations | $ 88,481 | $ 31,904 | $ 51,723 | |||
[1] | Revenue is presented on the basis of geographic location of customers. | |||||
[2] | Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are not considered participating securities, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes, during the periods in which they were outstanding, using the "if converted" method in which debt issuance and interest costs, net of tax, were added back to net earnings. The 2018 Convertible notes matured on April 1, 2018. | |||||
[3] | Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes using the "if converted" method in which debt issuance and interest costs, net of tax, were added back to net earnings. | |||||
[4] | Diluted earnings per share was calculated as follows: Earnings before interest and debt issuance costs on convertible notes Weighted average diluted common shares outstanding | |||||
[5] | 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. No restricted stock and restricted stock units were anti-dilutive for the years ended August 31, 2018, 2017 and 2016. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | ||
Net earnings | $ 172,063 | $ 160,462 | $ 284,824 | |
Other comprehensive income | ||||
Translation adjustment | (16,159) | 15,488 | (2,204) | |
Reclassification of derivative financial instruments recognized in net earnings | [1] | (415) | 3,729 | 2,544 |
Unrealized gain (loss) on derivative financial instruments | [2] | (197) | 1,944 | (5,842) |
Other (net of tax effect) | (335) | (665) | (84) | |
Other comprehensive income | (17,106) | 20,496 | (5,586) | |
Comprehensive income | 154,957 | 180,958 | 279,238 | |
Comprehensive income attributable to noncontrolling interest | (20,263) | (44,417) | (101,573) | |
Comprehensive income attributable to Greenbrier | $ 134,694 | $ 136,541 | $ 177,665 | |
[1] | Net of tax of effect of $3 thousand, $1.0 million and $1.2 million for the years ended August 31, 2018, 2017 and 2016, respectively. | |||
[2] | Net of tax of effect of $0.1 million, $0.8 million and $2.1 million for the years ended August 31, 2018, 2017 and 2016, respectively. |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Reclassification of derivative financial instruments recognized in net earnings (loss), tax | $ 3 | $ 1,000 | $ 1,200 |
Unrealized loss on derivative financial instruments, tax | $ 100 | $ 800 | $ 2,100 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) shares in Thousands, $ in Thousands | Total | Contingently Redeemable Noncontrolling Interest | Common Stock Shares | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Attributable to Greenbrier | Attributable to Noncontrolling Interest | Equity Excluding Contingently Redeemable Noncontrolling Interest [Member] | 2024 Convertible Senior NotesAdditional Paid-in Capital | 2024 Convertible Senior NotesTotal Attributable to Greenbrier | 2024 Convertible Senior NotesEquity Excluding Contingently Redeemable Noncontrolling Interest [Member] | 2024 Convertible Senior Notes Issuance CostsAdditional Paid-in Capital | 2024 Convertible Senior Notes Issuance CostsTotal Attributable to Greenbrier | 2024 Convertible Senior Notes Issuance CostsEquity Excluding Contingently Redeemable Noncontrolling Interest [Member] |
Beginning balance (in shares) at Aug. 31, 2015 | 28,907 | ||||||||||||||
Beginning balance at Aug. 31, 2015 | $ 295,444 | $ 458,599 | $ (21,205) | $ 732,838 | $ 130,651 | $ 863,489 | |||||||||
Net earnings | $ 284,824 | ||||||||||||||
Net earnings | 183,213 | 183,213 | 101,611 | 284,824 | |||||||||||
Other comprehensive income, net | (5,586) | (5,548) | (5,548) | (38) | (5,586) | ||||||||||
Noncontrolling interest adjustments | 526 | 526 | |||||||||||||
Noncontrolling interest acquired | (1,195) | (1,195) | |||||||||||||
Joint venture partner distribution declared | (94,439) | (94,439) | |||||||||||||
Investment by joint venture partner | 5,400 | 5,400 | |||||||||||||
Restricted stock awards (net of cancellations) (in shares) | 353 | ||||||||||||||
Restricted stock awards (net of cancellations) | 6,055 | 6,055 | 6,055 | ||||||||||||
Unamortized restricted stock | (11,555) | (11,555) | (11,555) | ||||||||||||
Restricted stock amortization | 22,502 | 22,502 | 22,502 | ||||||||||||
Excess tax benefit from restricted stock awards | 2,813 | 2,813 | 2,813 | ||||||||||||
Dividends | (23,634) | (23,634) | (23,634) | ||||||||||||
Repurchase of stock (in shares) | (1,055) | ||||||||||||||
Repurchase of stock | (32,373) | (32,373) | (32,373) | ||||||||||||
Ending Balance (in shares) at Aug. 31, 2016 | 28,205 | ||||||||||||||
Ending Balance at Aug. 31, 2016 | 282,886 | 618,178 | (26,753) | 874,311 | 142,516 | 1,016,827 | |||||||||
Net earnings | 160,462 | 116,067 | 116,067 | 46,535 | 162,602 | ||||||||||
Beginning balance at Aug. 31, 2016 | $ (2,140) | ||||||||||||||
Contingently redeemable noncontrolling interest | 38,288 | ||||||||||||||
Other comprehensive income, net | $ 20,496 | 20,474 | 20,474 | 22 | 20,496 | ||||||||||
Noncontrolling interest adjustments | (677) | (677) | |||||||||||||
Joint venture partner distribution declared | (28,027) | (28,027) | |||||||||||||
Acquisition of minority interest | 394 | 394 | |||||||||||||
Restricted stock awards (net of cancellations) (in shares) | 298 | ||||||||||||||
Restricted stock awards (net of cancellations) | 5,520 | 5,520 | 5,520 | ||||||||||||
Unamortized restricted stock | (10,734) | (10,734) | (10,734) | ||||||||||||
Restricted stock amortization | 19,826 | 19,826 | 19,826 | ||||||||||||
Tax deficiency from restricted stock awards | (2,339) | (2,339) | (2,339) | ||||||||||||
Dividends | (25,142) | (25,142) | (25,142) | ||||||||||||
2024 Convertible Senior Notes - equity component, net of tax | $ 20,818 | $ 20,818 | $ 20,818 | $ (671) | $ (671) | $ (671) | |||||||||
Ending Balance (in shares) at Aug. 31, 2017 | 28,503 | 28,503 | |||||||||||||
Ending Balance at Aug. 31, 2017 | $ 1,178,893 | 36,148 | 315,306 | 709,103 | (6,279) | 1,018,130 | 160,763 | 1,178,893 | |||||||
Net earnings | 172,063 | 151,781 | 151,781 | 26,662 | 178,443 | ||||||||||
Beginning balance at Aug. 31, 2017 | (6,380) | ||||||||||||||
Other comprehensive income, net | $ (17,106) | (17,087) | (17,087) | (19) | (17,106) | ||||||||||
Noncontrolling interest adjustments | 2,864 | 2,864 | |||||||||||||
Noncontrolling interest acquired | (7) | (7) | |||||||||||||
Joint venture partner distribution declared | (62,649) | (62,649) | |||||||||||||
Investment by joint venture partner | 6,500 | 6,500 | |||||||||||||
Restricted stock awards (net of cancellations) (in shares) | 336 | ||||||||||||||
Restricted stock awards (net of cancellations) | 7,334 | 7,334 | 7,334 | ||||||||||||
Unamortized restricted stock | (15,058) | (15,058) | (15,058) | ||||||||||||
Restricted stock amortization | 16,100 | 16,100 | 16,100 | ||||||||||||
Dividends | (29,986) | (29,986) | (29,986) | ||||||||||||
Conversion of 2018 Convertible Senior Notes (in shares) | 3,352 | ||||||||||||||
Conversion of 2018 Convertible Senior Notes | 118,887 | 118,887 | 118,887 | ||||||||||||
Ending Balance (in shares) at Aug. 31, 2018 | 32,191 | 32,191 | |||||||||||||
Ending Balance at Aug. 31, 2018 | $ 1,384,215 | $ 29,768 | $ 442,569 | $ 830,898 | $ (23,366) | $ 1,250,101 | $ 134,114 | $ 1,384,215 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Cash flows from operating activities: | |||
Net earnings | $ 172,063 | $ 160,462 | $ 284,824 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Deferred income taxes | (40,496) | 4,377 | (8,935) |
Depreciation and amortization | 74,356 | 65,129 | 63,345 |
Net gain on disposition of equipment | (44,369) | (9,740) | (15,796) |
Stock based compensation expense | 29,314 | 26,427 | 24,037 |
Accretion of debt discount | 4,171 | 2,340 | |
Noncontrolling interest adjustments | 2,864 | (677) | 526 |
Other | 1,688 | (845) | 560 |
Decrease (increase) in assets: | |||
Accounts receivable, net | (83,551) | (25,272) | (32,051) |
Inventories | (26,592) | (2,787) | 53,711 |
Leased railcars for syndication | (54,023) | 41,015 | 19,154 |
Other | 34,115 | 17,558 | (16,989) |
Increase (decrease) in liabilities: | |||
Accounts payable and accrued liabilities | 54,032 | (25,422) | (85,928) |
Deferred revenue | (20,231) | 33,039 | 50,712 |
Net cash provided by operating activities | 103,341 | 285,604 | 337,170 |
Cash flows from investing activities | |||
Acquisitions, net of cash acquired | (34,874) | (27,127) | |
Proceeds from sales of assets | 153,224 | 24,149 | 103,715 |
Capital expenditures | (176,848) | (86,065) | (139,013) |
Decrease (increase) in restricted cash | 73 | 15,387 | (15,410) |
Investment in and advances to unconsolidated affiliates | (26,455) | (40,632) | (12,855) |
Cash distribution from joint ventures | 4,661 | 550 | 7,855 |
Net cash used in investing activities | (80,219) | (113,738) | (55,708) |
Cash flows from financing activities | |||
Net changes in revolving notes with maturities of 90 days or less | 23,401 | 4,324 | (49,000) |
Repayments of revolving notes with maturities longer than 90 days | (1,888) | ||
Proceeds from issuance of notes payable | 13,771 | 276,093 | |
Repayments of notes payable | (22,269) | (8,297) | (22,299) |
Debt issuance costs | (9,082) | (4,161) | |
Repurchase of stock | (33,498) | ||
Dividends | (29,914) | (24,890) | (23,303) |
Cash distribution to joint venture partner | (73,033) | (28,511) | (95,092) |
Investment by joint venture partner | 6,500 | 5,400 | |
Tax payments for net share settlement of restricted stock | (7,723) | (5,215) | (5,500) |
Excess tax benefit from restricted stock awards | 2,813 | ||
Other | (887) | ||
Net cash provided by (used in) financing activities | (89,267) | 204,422 | (227,415) |
Effect of exchange rate changes | (14,666) | 12,499 | (4,298) |
Increase (decrease) in cash and cash equivalents | (80,811) | 388,787 | 49,749 |
Cash and cash equivalents | |||
Beginning of period | 611,466 | 222,679 | 172,930 |
End of period | 530,655 | 611,466 | 222,679 |
Cash paid during the period for: | |||
Interest | 18,878 | 13,962 | 12,277 |
Income taxes, net | 66,423 | 45,280 | 125,455 |
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 | 20,945 | 8,668 | 73,165 |
Capital expenditures accrued in Accounts payable and accrued liabilities | 13,534 | 16,145 | 8,408 |
Change in Accounts payable and accrued liabilities associated with cash distributions to joint venture partner | 14 | 484 | 652 |
Change in Accounts payable and accrued liabilities associated with dividends declared | $ (72) | (252) | (331) |
Change in Accounts payable and accrued liabilities associated with repurchase of stock | 1,125 | ||
Transfer of Property, plant and equipment, net to (from) Intangibles and other assets, net | $ (63) | $ 588 |
Nature of Operations
Nature of Operations | 12 Months Ended |
Aug. 31, 2018 | |
Nature of Operations | Note 1 - Nature of Operations The Company operates in three reportable segments: Manufacturing; Wheels, Repair & Parts; and Leasing & Services. Prior to August 20, 2018, the Company operated in four reportable segments: Manufacturing; Wheels & Parts; Leasing & Services; and GBW Joint Venture. On August 20, 2018 the Company entered into an agreement with its joint venture partner to discontinue the GBW railcar repair joint venture which resulted in 12 repair shops returned to the Company. Beginning on August 20, 2018, GBW Joint Venture was no longer considered a reportable segment. The segments are operationally integrated. The Manufacturing segment, which currently operates from facilities in the U.S., Mexico, Poland, Romania and Turkey, produces double-stack intermodal railcars, tank cars, conventional railcars, automotive railcar products and marine vessels. The Wheels, Repair & Parts segment performs wheel and axle servicing; railcar repair, refurbishment and maintenance; as well as production of a variety of parts for the railroad industry in North America. The Leasing & Services segment owns approximately 8,100 railcars (6,300 railcars held as equipment on operating leases, 1,600 held as leased railcars for syndication and 200 held as finished goods inventory) and provides management services for approximately 357,000 railcars for railroads, shippers, carriers, institutional investors and other leasing and transportation companies in North America as of August 31, 2018. Through unconsolidated affiliates the Company produces rail and industrial castings, tank heads and other components and has an ownership stake in a railcar manufacturer in Brazil and a lease financing warehouse. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Aug. 31, 2018 | |
Summary of Significant Accounting Policies | Note 2 - Summary of Significant Accounting Policies Principles of consolidation - Unclassified balance sheet - non-current Foreign currency translation - year-end Cash and cash equivalents - Restricted cash - Accounts receivable - As of August 31, (In thousands) 2018 2017 2016 Allowance for doubtful accounts Balance at beginning of period $ 1,768 $ 2,215 $ 2,449 Additions, net of reversals 938 370 70 Usage (54 ) (891 ) (277 ) Currency translation effect 49 74 (27 ) Balance at end of period $ 2,701 $ 1,768 $ 2,215 Inventories - first-in first-out Work-in-process Leased railcars for syndication - Equipment on operating leases, net - Investment in unconsolidated affiliates - Property, plant and equipment - Depreciable Life Buildings and improvements 10 – 25 years Machinery and equipment 3 – 15 years Other 3 – 7 years Goodwill - Intangibles – Goodwill and Other Intangible and other assets, net - Impairment of long-lived assets - Maintenance obligations - Warranty accruals - Income taxes - Deferred revenue Noncontrolling interest and Contingently redeemable noncontrolling interest - Greenbrier-Astra Rail was formed in 2017 between the Company’s existing European operations headquartered in Swidnica, Poland and Astra Rail, based in Arad, Romania. Greenbrier-Astra Rail is controlled by the Company with an approximate 75% interest. The Company consolidates Greenbrier-Astra Rail for financial reporting purposes and includes the noncontrolling interest in the mezzanine section of the Consolidated Balance Sheet in Contingently redeemable noncontrolling interest (see Note 3 – Acquisitions). In August 2018, Greenbrier-Astra Rail entered into an agreement to take an approximately 68% ownership stake in Rayvag, a railcar manufacturing company based in Adana, Turkey. Rayvag is controlled by the Company. The Company consolidates Rayvag for financial reporting purposes. The noncontrolling interest related to the partner’s interest is included in Noncontrolling interest in the equity section of the Company’s Consolidated Balance Sheet. The Company has a joint venture with Summit Railroad Products, Inc. to provide axle services. Each party owns a 50% interest in the joint venture. The financial results of this operation are consolidated for financial reporting purposes as the Company has the power to direct the activities which most significantly impact the economic performance of the entity. The noncontrolling interest related to the partner’s 50% interest in the joint venture is included in Noncontrolling interest in the equity section of the Company’s Consolidated Balance Sheet. Net earnings attributable to noncontrolling interest on the Company’s Consolidated Statement of Income represents the Company’s partners’ share of results from operations. Accumulated other comprehensive loss - (In thousands) Unrealized Foreign Other Accumulated Balance, August 31, 2017 $ 181 $ (5,366 ) $ (1,094 ) $ (6,279 ) Other comprehensive loss before reclassifications (197 ) (16,140 ) (335 ) (16,672 ) Amounts reclassified from accumulated other comprehensive loss (415 ) – – (415 ) Balance, August 31, 2018 $ (431 ) $ (21,506 ) $ (1,429 ) $ (23,366 ) The amounts reclassified out of Accumulated other comprehensive loss into the Consolidated Statements of Income, with the financial statement caption, were as follows: Year Ended August 31, Financial Statement Caption (In thousands) 2018 2017 (Gain) loss on derivative financial instruments: Foreign exchange contracts $ (716 ) $ 3,644 Revenue and Cost of revenue Interest rate swap contracts 298 1,057 Interest and foreign exchange (418 ) 4,701 Total before tax 3 (972 ) Tax benefit $ (415 ) $ 3,729 Net of tax Revenue recognition - Railcars are generally manufactured, repaired or refurbished under firm orders from third parties. Revenue is recognized when new, used, refurbished or repaired railcars are completed, accepted by an unaffiliated customer and contractual contingencies removed. Marine revenue is either recognized on the percentage of completion method during the construction period or on the completed contract method based on the terms of the contract. Under the percentage of completion method, revenue is recognized based on the progress toward contract completion measured by actual costs incurred to date in relation to the estimate of total expected costs. Under the completed contract method, revenue is not recognized until the project has been fully completed. Cash payments received prior to meeting revenue recognition criteria are accounted for in Deferred revenue. Operating lease revenue is recognized as earned under the lease terms. Certain leases are operated under car hire arrangements whereby revenue is earned based on utilization, car hire rates and terms specified in the lease agreement. The Company sells railcars with attached leases to financial investors. Revenue and cost of revenue associated with railcars that the Company has manufactured are recognized in Manufacturing once sold. Revenue and cost of revenue associated with railcars which were obtained from a third party with the intent to resell them and subsequently sold are recognized in Leasing & Services. In addition the Company will often perform management or maintenance services at market rates for these railcars. The Company evaluates the terms of any remarketing agreements and any contractual provisions that represent retained risk and the level of retained risk based on those provisions. The Company applies a 10% threshold to determine whether the level of retained risk exceeds 10% of the individual fair value of the rail cars delivered. If retained risk exceeded 10%, the transaction would not be recognized as a sale until such time as the retained risk declined to 10% or less. For any contracts with multiple elements (i.e. railcars, maintenance, management services, etc.) the Company allocates revenue among the deliverables primarily based upon objective and reliable evidence of the fair value of each element in the arrangement. If objective and reliable evidence of fair value of any element is not available, the Company will use its estimated selling price for purposes of allocating the total arrangement consideration among the elements. Interest and foreign exchange - (In thousands) Years ended August 31, 2018 2017 2016 Interest and foreign exchange: Interest and other expense $ 30,946 $ 23,519 $ 17,268 Foreign exchange (gain) loss (1,578 ) 673 (3,766 ) $ 29,368 $ 24,192 $ 13,502 Research and development - Forward exchange contracts - non-performance. Interest rate instruments - Net earnings per share - 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. Stock-based compensation - Restricted stock units and restricted stock are accounted for as equity based awards (see Note 15 – Equity). Phantom stock units are accounted for as liability based awards. The Company began granting phantom stock units during the year ended August 31, 2016. Every phantom stock unit entitles the participant to receive a cash payment equal to the value of a single share of the Company’s common stock upon vesting. The holders of unvested phantom stock units are entitled to participate in dividend equivalents. There were no phantom stock units awarded during the year ended August 31, 2018. During the years ended August 31, 2017 and 2016, the Company awarded 151,634 and 268,161 phantom stock units, respectively, which include performance-based grants. As of August 31, 2018, there were a total of 200,686 phantom stock units associated with unvested performance-based grants. The actual number of phantom stock units that will vest associated with performance-based phantom stock units will vary depending on the Company’s performance. Approximately 200,686 additional phantom stock units may be granted if performance-based phantom stock units vest at stretch levels of performance. These additional units are associated with phantom stock unit awards granted during the years ended August 31, 2016 and 2017. The grant date fair value of phantom stock awards was $6.7 million and $7.9 million for the years ended August 31, 2017 and 2016, respectively. Our phantom stock unit grants are considered liability based awards and therefore are re-measured 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, 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 |
Acquisitions
Acquisitions | 12 Months Ended |
Aug. 31, 2018 | |
Acquisitions | Note 3 - Acquisitions GBW On August 20, 2018, the Company entered into a dissolution agreement with Watco Companies, LLC, its previous joint venture partner, to discontinue their GBW Railcar Services railcar repair joint venture. Pursuant to the dissolution agreement, previously operated Greenbrier repair shops and associated employees were returned to the Company. Additionally, the dissolution agreement provides that certain agreements entered into in connection with the original creation of GBW in 2014 will be terminated as of the transaction date, including the leases of real and personal property, service agreements, and certain employment-related agreements. GBW is expected to exist as a formal legal entity at least through December 31, 2018 to complete its cessation of activities in an orderly manner. Beginning on August 20, 2018, the repair shops and their activity are being reported in the Company’s consolidated financial statements as part of the Wheels, Repair & Parts segment. As the assets received and liabilities assumed from GBW meet the definition of a business, the Company has accounted for this transaction as a business combination. The total net assets acquired were approximately $56.8 million. Additionally, the Company removed the book value of its remaining equity method investment in, and note receivable due from, the joint venture. The accumulated deficit reflected in GBW’s balance sheet as of August 31, 2018 will be funded by its parents. The Company has included this assumed liability within the purchase price allocation in the table below. The impact of the acquisition was not material to the Company’s results of operations, therefore pro forma financial information has not been included. See Note 17 – Related Party Transactions for additional information. The preliminary allocation of the purchase price based on the fair value of the net assets acquired was as follows as of August 31, 2018: (in thousands) Cash and cash equivalents $ 5,000 Accounts receivable, net 12,230 Inventories 18,106 Property, plant and equipment, net 16,748 Intangibles and other assets, net 9,200 Goodwill 7,863 Total assets acquired 69,147 Accounts payable and accrued liabilities 12,394 Total liabilities assumed 12,394 Net assets acquired $ 56,753 As of August 31, 2018, certain liabilities in the table above are estimates and the Company will adjust the purchase price allocation as they are settled. Greenbrier Astra Rail On June 1, 2017, Greenbrier and Astra Holding GmbH (Astra) contributed its European operations to a newly formed company, Greenbrier-Astra Rail (GAR), 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, an additional €30 million 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 year ended August 31, 2018. For the year ended August 31, 2018, the European operations contributed by Astra generated revenues of $136.8 million and a loss from operations of $11.5 million, 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 for the twelve-month period ended August 31, 2017, therefore pro forma financial information has not been included. The purchase price of the net assets acquired from Astra was allocated as follows: (in thousands) Cash and cash equivalents $ 6,562 Accounts receivable, net 10,984 Inventories 30,454 Property, plant and equipment, net 75,296 Intangibles and other assets, net 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, net 24,382 Total liabilities assumed 50,517 Net assets acquired $ 115,825 On August 2, 2018, GAR entered in to an agreement with Rayvag Vagon Sanavi ve Ticaret A.S. (Rayvag) to take an approximately 68% ownership stake in Rayvag. Rayvag is a railcar manufacturer and provider of railcar repair and parts services based in Adana, Turkey. The amount paid to acquire the 68% ownership stake in Rayvag and the impact of the acquisition were not material to the Company’s consolidated balance sheet and results of operations, therefore pro forma financial information has not been included. |
Inventories
Inventories | 12 Months Ended |
Aug. 31, 2018 | |
Inventories | Note 4 - Inventories As of August 31, (In thousands) 2018 2017 Manufacturing supplies and raw materials $ 278,726 $ 222,080 Work-in-process 105,021 86,794 Finished goods 54,181 95,389 Excess and obsolete adjustment (5,614 ) (4,136 ) $ 432,314 $ 400,127 As of August 31, (In thousands) 2018 2017 2016 Excess and obsolete adjustment Balance at beginning of period $ 4,136 $ 3,257 $ 2,679 Charge to cost of revenue 4,023 2,781 2,422 Disposition of inventory (2,455 ) (2,003 ) (1,792 ) Currency translation effect (90 ) 101 (52 ) Balance at end of period $ 5,614 $ 4,136 $ 3,257 |
Equipment on Operating Leases,
Equipment on Operating Leases, net | 12 Months Ended |
Aug. 31, 2018 | |
Equipment on Operating Leases, net | Note 5 - Equipment on Operating Leases, net Equipment on operating leases is reported net of accumulated depreciation of $64.9 million and $91.1 million as of August 31, 2018 and 2017, respectively. Depreciation expense was $11.2 million, $12.1 million and $16.6 million as of August 31, 2018, 2017 and 2016, respectively. In addition, certain railcar equipment leased-in non-cancelable non-cancelable (In thousands) Year ending August 31, 2019 $ 26,246 2020 19,898 2021 13,311 2022 11,311 2023 8,562 Thereafter 14,733 $ 94,061 Certain equipment is also operated under daily, monthly or car hire utilization arrangements. Associated revenue amounted to $12.8 million, $13.0 million and $14.7 million for the years ended August 31, 2018, 2017 and 2016, respectively. |
Property, Plant and Equipment,
Property, Plant and Equipment, net | 12 Months Ended |
Aug. 31, 2018 | |
Property, Plant and Equipment, net | Note 6 - Property, Plant and Equipment, net As of August 31, (In thousands) 2018 2017 Land and improvements $ 84,432 $ 84,594 Machinery and equipment 414,865 378,311 Buildings and improvements 202,973 186,960 Construction in progress 48,406 39,417 Other 68,452 60,747 819,128 750,029 Accumulated depreciation (361,932 ) (322,008 ) $ 457,196 $ 428,021 Depreciation expense was $54.5 million, $45.5 million and $39.2 million for the years ended August 31, 2018, 2017 and 2016, respectively. |
Investments In Unconsolidated A
Investments In Unconsolidated Affiliates | 12 Months Ended |
Aug. 31, 2018 | |
Investments In Unconsolidated Affiliates | Note 7 - Investments In Unconsolidated Affiliates GBW The Company has a 50% ownership interest in GBW which performed railcar repair, refurbishment and maintenance until August 20, 2018, on which date the Company entered in to a dissolution agreement (See Note 3 – Acquisitions). The Company accounts for its interest in GBW under the equity method of accounting. The assets and liabilities shown below as of August 31, 2018 primarily represent one remaining repair shop and other corporate related obligations while the summarized income statement for the year ended August 31, 2018 is for GBW’s full year of activity. Summarized financial data for GBW is as follows: As of August 31, (In thousands) 2018 2017 Current assets $ 8,531 $ 81,860 Total assets $ 8,531 $ 206,009 Current liabilities $ 23,283 $ 33,033 Total liabilities $ 23,283 $ 111,384 Years ended August 31, (In thousands) 2018 2017 2016 Revenue $ 238,033 $ 253,436 $ 373,490 Margin $ (6,047 ) $ (4,058 ) $ 33,929 Net income (loss) (1) $ (51,679 ) $ (36,947 ) $ 4,006 (1) In 2018 and 2017, GBW recorded a pre-tax Greenbrier-Maxion In May 2017, the Company completed a $20 million investment in Greenbrier-Maxion, a railcar manufacturer in Brazil resulting in an increase in the Company’s ownership interest from 19.5% to 60%. Greenbrier-Maxion also assembles bogies and offers a range of aftermarket services including railcar overhaul and refurbishment. The Company does not consolidate Greenbrier-Maxion for financial reporting purposes and accounts for its interest under the equity method of accounting as the entity’s governance provisions require that all significant decisions of Greenbrier-Maxion are subject to shared consent of its shareholders. Summarized financial data for Greenbrier-Maxion is as follows: As of August 31, (In thousands) 2018 2017 Current assets $ 41,619 $ 48,012 Total assets $ 61,034 $ 71,455 Current liabilities $ 38,027 $ 38,055 Total liabilities $ 41,539 $ 42,197 Years ended August 31, (In thousands) 2018 2017 2016 Revenue $ 187,664 $ 228,510 $ 168,465 Margin $ 10,086 $ 24,372 $ 14,245 Net income (loss) $ (3,006 ) $ 1,378 $ (4,051 ) Amsted-Maxion Cruzeiro In May 2017, the Company increased its ownership interest in Amsted-Maxion Cruzeiro, a manufacturer of castings and components for railcars and other heavy equipment, from 19.5% to 24.5% for $3.25 million. Proceeds from the Company’s increased ownership, along with loans from each of the partners, were used to retire third-party debt at Amsted-Maxion Cruzeiro. The Company retains an option to increase its ownership to 29.5% subject to certain conditions. Amsted-Maxion Cruzeiro has a 40% ownership position in Greenbrier-Maxion. The Company accounts for its interest in Amsted-Maxion Cruzeiro under the equity method of accounting. Summarized financial data for Amsted-Maxion Cruzeiro is as follows: As of August 31, (In thousands) 2018 2017 Current assets $ 21,463 $ 23,777 Total assets $ 111,589 $ 142,583 Current liabilities $ 27,981 $ 28,084 Total liabilities $ 83,407 $ 94,846 Years ended August 31, (In thousands) 2018 2017 2016 Revenue $ 96,490 $ 90,114 $ 87,833 Margin $ 8,001 $ 5,983 $ 8,256 Net income (loss) $ (9,590 ) $ (20,114 ) $ (12,640 ) Other Unconsolidated Affiliates The Company has eight other unconsolidated affiliates which are accounted for under the equity method of accounting. For the year ended August 31, 2018, the Company recognized earnings of $1.8 million from these other unconsolidated affiliates. Summarized financial information, shown as 100% of these other unconsolidated affiliates in aggregate are as follows: As of August 31, (In thousands) 2018 2017 Current assets $ 32,168 $ 16,996 Total assets $ 239,535 $ 283,895 Current liabilities $ 3,647 $ 3,003 Total liabilities $ 52,852 $ 90,064 Years ended August 31, (In thousands) 2018 2017 2016 Revenue $ 25,549 $ 39,161 $ 75,851 Margin $ 11,360 $ 8,015 $ 11,087 Net income (loss) $ 6,988 $ 5,202 $ 6,051 |
Goodwill
Goodwill | 12 Months Ended |
Aug. 31, 2018 | |
Goodwill | Note 8 - Goodwill Changes in the carrying value of goodwill are as follows: (In thousands) Manufacturing Wheels, Repair & Parts Leasing & Services Total Balance August 31, 2017 $ 25,325 $ 43,265 $ – $ 68,590 Additions (1) 839 7,863 – 8,702 Translation 919 – – 919 Balance August 31, 2018 $ 27,083 $ 51,128 $ – $ 78,211 (1) Additions to goodwill relate to the GBW repair shop transaction and Manufacturing includes final adjustments to the Astra purchase price allocation. See Note 3 – Acquisitions. (In thousands) Goodwill Gross goodwill balance before accumulated goodwill impairment losses and other reductions $ 230,736 Accumulated goodwill impairment losses (128,209 ) Accumulated other reductions (24,316 ) Balance August 31, 2018 $ 78,211 The Company performs a goodwill impairment test annually during the third quarter. Goodwill is also tested more frequently if changes in circumstances or the occurrence of events indicates that a potential impairment exists. The provisions of ASC 350, Intangibles – Goodwill and Other |
Intangibles and Other Assets, n
Intangibles and Other Assets, net | 12 Months Ended |
Aug. 31, 2018 | |
Intangibles and Other Assets, net | Note 9 - 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: As of August 31, (In thousands) 2018 2017 Intangible assets subject to amortization: Customer relationships $ 72,521 $ 64,521 Accumulated amortization (43,576 ) (40,153 ) Other intangibles 16,300 20,207 Accumulated amortization (6,400 ) (4,866 ) 38,845 39,709 Intangible assets not subject to amortization 5,115 912 Prepaid and other assets 18,935 16,914 Nonqualified savings plan investments 26,299 20,974 Debt issuance costs, net 1,824 2,623 Assets held for sale 3,650 4,045 $ 94,668 $ 85,177 Amortization expense for the years ended August 31, 2018, 2017 and 2016 was $5.3 million, $4.8 million and $6.3 million, respectively. Amortization expense for the years ending August 31, 2019, 2020, 2021, 2022 and 2023 is expected to be $5.2 million, $5.2 million, $4.8 million, $3.4 million and $3.2 million, respectively. |
Revolving Notes
Revolving Notes | 12 Months Ended |
Aug. 31, 2018 | |
Revolving Notes | Note 10 - Revolving Notes Senior secured credit facilities, consisting of three components, aggregated to $635.3 million as of August 31, 2018. As of August 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. After August 31, 2018 this revolving line of credit agreement was amended (see Note 25 – Subsequent Events). As of August 31, 2018, lines of credit totaling $35.3 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 August 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 August 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 $27.7 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 | 12 Months Ended |
Aug. 31, 2018 | |
Accounts Payable and Accrued Liabilities | Note 11 - Accounts Payable and Accrued Liabilities As of August 31, (In thousands) 2018 2017 Trade payables $ 226,405 $ 180,592 Other accrued liabilities 73,273 107,002 Accrued payroll and related liabilities 105,111 84,749 Accrued warranty 27,395 20,737 Accrued maintenance 9,090 17,667 Income taxes payable 4,771 – Other 3,812 4,314 $ 449,857 $ 415,061 |
Maintenance and Warranty Accrua
Maintenance and Warranty Accruals | 12 Months Ended |
Aug. 31, 2018 | |
Maintenance and Warranty Accruals | Note 12 - Maintenance and Warranty Accruals As of August 31, (In thousands) 2018 2017 2016 Accrued maintenance Balance at beginning of period $ 17,667 $ 18,646 $ 18,642 Charged to cost of revenue (389 ) 10,609 12,926 Payments (8,188 ) (11,588 ) (12,922 ) Balance at end of period $ 9,090 $ 17,667 $ 18,646 Accrued warranty Balance at beginning of period $ 20,737 $ 12,159 $ 11,512 Charged to cost of revenue 12,323 6,872 6,069 Acquisition – 3,526 – Payments (5,217 ) (2,649 ) (5,299 ) Currency translation effect (448 ) 829 (123 ) Balance at end of period $ 27,395 $ 20,737 $ 12,159 |
Notes Payable, net
Notes Payable, net | 12 Months Ended |
Aug. 31, 2018 | |
Notes Payable, net | Note 13 - Notes Payable, net As of August 31, (In thousands) 2018 2017 Convertible senior notes, due 2018 $ – $ 119,063 Convertible senior notes, due 2024 275,000 275,000 Term loans 179,923 184,001 Other notes payable 14,798 19,540 $ 469,721 $ 597,604 Debt discount and issuance costs (33,516 ) (39,376 ) $ 436,205 $ 558,228 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. Convertible senior notes, due 2024, bear interest at a fixed rate of 2.875%, paid semi-annually in arrears on February 1 st st 470-20, paid-in Term loans are primarily composed of: • $200 million of senior term debt, with a maturity date of March 2020, which is secured by a pool of leased railcars. The debt bears a floating interest rate of LIBOR plus 1.75% with principal of $1.75 million paid quarterly in arrears and a balloon payment of $159.8 million due at maturity. An interest rate swap agreement was entered into on 50% of the initial balance to swap the floating interest rate of LIBOR plus 1.75% to a fixed rate of 3.74%. The principal balance as of August 31, 2018 was $170.3 million. After August 31, 2018 this senior term debt agreement was amended (see Note 25 – Subsequent Events). • Other term loans with an aggregate balance of $9.7 million as of August 31, 2018 and maturity dates ranging from April 2020 to September 2022. • Other notes payable includes $14.8 million of unsecured debt with a maturity date of June 2019. The notes payable, along with the revolving and operating lines of credit, contain certain covenants with respect to the Company and various subsidiaries, the most restrictive of which, among other things, limit the ability to: incur additional indebtedness or guarantees; pay dividends or repurchase stock; enter into capital leases; create liens; sell assets; engage in transactions with affiliates, including joint ventures and non U.S. subsidiaries, including but not limited to loans, advances, equity investments and guarantees; enter into mergers, consolidations or sales of substantially all the Company’s assets; and enter into new lines of business. The covenants also require certain maximum ratios of debt to total capitalization and minimum levels of fixed charges (interest and rent) coverage. As of August 31, 2018 principal payments on the notes payable are expected as follows: (In thousands) Year ending August 31, 2019 $ 26,775 2020 167,086 2021 413 2022 413 2023 34 Thereafter (1) 275,000 $ 469,721 (1) The repayment of the $275.0 million of Convertible senior notes due 2024 is assumed to occur at the scheduled maturity in 2024 instead of assuming an earlier conversion by the holders. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Aug. 31, 2018 | |
Derivative Instruments | Note 14 - 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 August 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 and Euros aggregated to $145.4 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 August 31, 2018 exchange rates, approximately $1.3 million would be reclassified to revenue or cost of revenue in the next year. At August 31, 2018, an interest rate swap agreement maturing in March 2020 had a notional amount of $85.1 million. The fair value of the contract is included on the Consolidated Balance Sheets in Accounts payable and accrued liabilities when there is a loss, or in Accounts receivable, net when there is a gain. 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 August 31, 2018 interest rates, approximately $0.1 million would be reclassified to interest expense in the next year. Fair Values of Derivative Instruments Asset Derivatives Liability Derivatives August 31, August 31, 2018 2017 2018 2017 (In thousands) Balance sheet caption Fair Fair Value Balance sheet caption Fair Value Fair Value Derivatives designated as hedging instruments Foreign forward exchange contracts Accounts receivable, net $ 700 $ 2,341 Accounts payable and accrued liabilities $ 1,211 $ 1,761 Interest rate swap contracts Intangibles and other assets, net 781 – Accounts payable and accrued liabilities 1 1,125 $ 1,481 $ 2,341 $ 1,212 $ 2,886 Derivatives not designated as hedging instruments Foreign forward exchange contracts Accounts receivable, net $ 76 $ 1,473 Accounts payable and accrued liabilities $ 354 $ – The Effect of Derivative Instruments on the Consolidated Statements of Income Derivatives in cash flow hedging relationships Financial statement caption of gain recognized in income on derivative Gain recognized in Years ended 2018 2017 Foreign forward exchange contract Interest and foreign exchange $ 1,052 $ 3,207 Interest rate swap contracts Interest and foreign exchange (1 ) 23 $ 1,051 $ 3,230 Derivatives in cash flow hedging Gain (loss) Years ended August 31, Financial statement caption of from accumulated income Gain (loss) Years Financial statement amount Gain (loss) (ineffective portion and amount testing) Years ended August 31, 2018 2017 2018 2017 2018 2017 Foreign forward exchange contracts $ (658 ) $ 1,746 Revenue $ 1,145 $ (3,980 ) Revenue $ 854 $ (2,843 ) Foreign forward exchange contracts (1,093 ) 385 Cost of revenue (429 ) 336 Cost of revenue 306 248 Interest rate swap contracts 1,632 1,042 Interest and foreign exchange (298 ) (1,057 ) Interest and foreign exchange – – $ (119 ) $ 3,173 $ 418 $ (4,701 ) $ 1,160 $ (2,595 ) |
Equity
Equity | 12 Months Ended |
Aug. 31, 2018 | |
Equity | Note 15 - Equity Stock Incentive Plan The 2014 Amended and Restated Stock Incentive Plan was amended and restated as the 2017 Amended and Restated Stock Incentive Plan on October 24, 2017 and approved by stockholders on January 5, 2018. The stockholders also approved an increase in the total number of shares reserved for issuance by 1,100,000 shares. As a result, the maximum aggregate number of the Company’s common shares authorized for issuance is 5,425,000. The 2017 Amended and Restated Stock Incentive Plan provides for the grant of incentive stock options, non-statutory On August 31, 2018 there were 1,050,675 shares available for grant compared to 233,271 and 476,770 shares available for grant as of the years ended August 31, 2017 and 2016, respectively. There are no stock options or stock appreciation rights outstanding as of August 31, 2018. The Company currently grants restricted shares and restricted stock units. Restricted share grants are considered outstanding shares of common stock at the time they are issued. The holders of unvested restricted shares are entitled to voting rights and participation in dividends. Shares associated with restricted stock unit awards are not considered legally outstanding shares of common stock until vested. Restricted stock unit awards, including performance-based awards, are entitled to participate in dividends and these awards are considered participating securities and are considered outstanding for earnings per share purposes when the effect is dilutive. During the years ended August 31, 2018, 2017 and 2016, the Company awarded restricted share and restricted stock unit grants totaling 317,036, 269,705 and 447,895 shares, respectively, which include performance-based grants. As of August 31, 2018, there were a total of 467,710 shares associated with unvested performance-based grants. The actual number of shares that will vest associated with performance-based grants will vary depending on the Company’s performance. Approximately 467,710 additional shares may be granted if performance-based restricted stock unit awards vest at stretch levels of performance. These additional shares are associated with restricted stock unit awards granted during the years ended August 31, 2018, 2017 and 2016. The fair value of awards granted was $15.2 million, $11.3 million and $12.5 million for the years ended August 31, 2018, 2017 and 2016, respectively. The value, at the date of grant, of stock awarded under restricted share grants and restricted stock unit grants is amortized as compensation expense over the lesser of the vesting period of one to three years or to the recipients eligible retirement date. Compensation expense recognized related to restricted share grants and restricted stock unit grants for the years ended August 31, 2018, 2017 and 2016 was $17.2 million, $20.2 million and $22.5 million, respectively, and was recorded in Selling and administrative and Cost of Revenue on the Consolidated Statements of Income. Unamortized compensation cost related to restricted stock grants was $15.5 million as of August 31, 2018. Total unvested restricted share and restricted stock unit grants were 788,744 and 837,654 as of August 31, 2018 and 2017. The following table summarizes restricted share and restricted stock unit grant transactions for shares, both vested and unvested, under the 2017 Amended and Restated Stock Incentive Plan: Shares Balance at August 31, 2015 (1) 3,419,861 Granted 447,895 Forfeited (19,526 ) Balance at August 31, 2016 (1) 3,848,230 Granted 269,705 Forfeited (26,206 ) Balance at August 31, 2017 (1) 4,091,729 Granted 317,036 Forfeited (34,440 ) Balance at August 31, 2018 (1) 4,374,325 (1) Balance represents cumulative grants net of forfeitures. Share Repurchase Program The Board of Directors has authorized the Company to repurchase in aggregate up to $225 million of the Company’s common stock. The program may be modified, suspended or discontinued at any time without prior notice. Under the share repurchase program, shares of common stock may be purchased on the open market or through privately negotiated transactions from time-to-time. There were no shares repurchased during the years ended August 31, 2018 and 2017. As of August 31, 2018 the Company had cumulatively repurchased 3,206,226 shares for approximately $137.0 million and had $88.0 million available under the share repurchase program. In October 2017, the expiration date of this share repurchase program was extended from January 1, 2018 to March 31, 2019. Stock Issuance The Company’s convertible senior notes due 2018 matured on April 1, 2018. The conversion of these notes resulted in the issuance of an additional 3.4 million shares of the Company’s common stock. See Note 13 – Notes Payable, net. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Aug. 31, 2018 | |
Earnings Per Share | Note 16 - Earnings Per Share The shares used in the computation of the Company’s basic and diluted earnings per common share are reconciled as follows: Years ended August 31, (In thousands) 2018 2017 2016 Weighted average basic common shares outstanding (1) 30,857 29,225 29,156 Dilutive effect of 2018 Convertible notes (2) 1,821 3,295 3,214 Dilutive effect of 2024 Convertible notes (3) – – n/a Dilutive effect of 2026 Convertible notes (4) n/a n/a – Dilutive effect of restricted stock units (5) 157 42 98 Weighted average diluted common shares outstanding 32,835 32,562 32,468 (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. No restricted stock and restricted stock units were anti-dilutive for the years ended August 31, 2018, 2017 and 2016. (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 year ended August 31, 2018 and 2017 as the average stock price was less than the applicable conversion price and therefore was considered anti-dilutive. (4) The 2026 Convertible notes were retired in August 2016. The effect of the 2026 Convertible notes was excluded for the year ended August 31, 2016 as the average stock price was less than the applicable conversion price and therefore the notes were considered anti-dilutive. (5) 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, 2026 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 and 2026 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. Years ended August 31, 2018 2017 2016 Net earnings attributable to Greenbrier $ 151,781 $ 116,067 $ 183,213 Add back: Interest and debt issuance costs on the 2018 Convertible notes, net of tax 2,031 2,932 2,695 Earnings before interest and debt issuance costs on convertible notes $ 153,812 $ 118,999 $ 185,908 Weighted average diluted common shares outstanding 32,835 32,562 32,468 Diluted earnings per share (1) $ 4.68 $ 3.65 $ 5.73 (1) Diluted earnings per share was calculated as follows: Earnings before interest and debt issuance costs on convertible notes Weighted average diluted common shares outstanding |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Aug. 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 lease financing warehouse are principally built by Greenbrier. The Company accounts for this lease financing warehouse investment under the equity method of accounting. As of August 31, 2018, the carrying amount of the investment was $6.1 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 year ended August 31, 2018, the Company recognized $16 million in revenue associated with railcars sold into the lease financing warehouse and an additional $48 million associated with railcars sold out of the lease financing warehouse. The Company also provides administrative and remarketing services to this entity and earns management fees for these services which were immaterial for the year ended August 31, 2018. The Company has a 60.0% ownership interest in Greenbrier-Maxion, a railcar manufacturer in Brazil, and a 24.5% ownership interest in Amsted-Maxion Cruzeiro, a manufacturer of various castings and components for railcars and other heavy industrial equipment in Brazil. The Company accounts for these investments under the equity method of accounting. As of August 31, 2018, the Company had a $7.2 million note receivable from Greenbrier-Maxion and a $10.0 million note receivable from Amsted-Maxion Cruzeiro. These note receivables are included on the Consolidated Balance Sheet in Accounts receivable, net. In July 2014, the Company and Watco Companies LLC completed the formation of GBW, an unconsolidated 50/50 joint venture. The Company accounted for its interest in GBW under the equity method of accounting. On August 20, 2018 we entered into an agreement with our joint venture partner to discontinue the GBW railcar repair joint venture. The Company leased real and personal property to GBW with lease revenue totaling approximately $5 million for the years ended August 31, 2018, 2017 and 2016. The Company sold wheel sets and components to GBW which totaled $16.5 million, $18.3 million and $28.5 million for the years ended August 31, 2018, 2017 and 2016, respectively. GBW provided services to the Company which totaled $0.4 million, $1.0 million and $1.3 million for the years ended August 31, 2018, 2017 and 2016, respectively. Mr. Furman is the owner of a private aircraft managed by a private independent management company. From time to time, the Company’s business requires charter use of privately-owned aircraft. In such instances, it is possible that charters may be placed on Mr. Furman’s aircraft. The Company placed charters on Mr. Furman’s aircraft aggregating $0.5 million, $0.5 million and $0.8 million for each of the years ended August 31, 2018, 2017 and 2016, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Aug. 31, 2018 | |
Income Taxes | Note 18 - Income Taxes Components of income tax expense were as follows: Years ended August 31, (In thousands) 2018 2017 2016 Current Federal $ 28,357 $ 22,710 $ 66,455 State 3,244 305 4,595 Foreign 38,628 35,893 50,299 70,229 58,908 121,349 Deferred Federal (33,459 ) 9,418 (6,199 ) State (344 ) (1,467 ) (1,174 ) Foreign (3,690 ) (2,732 ) (1,644 ) (37,493 ) 5,219 (9,017 ) Change in valuation allowance 157 (113 ) (10 ) Income tax expense $ 32,893 $ 64,014 $ 112,322 Income tax expense is computed at rates different from statutory rates. The U.S. federal corporate statutory rate was significantly reduced from 35% to 21% effective January 1, 2018 by the Tax Act enacted on December 22, 2017. 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 resulting in a tax benefit of $33.6 million. The Tax Act also required the Company to accrue a transition tax on foreign earnings not previously subject to U.S. taxation, which resulted in $6.9 million of tax expense in 2018. The Company recognized the income tax effects of the Tax Act in accordance with Staff Accounting Bulletin No. 118 (SAB 118) which required the financial results to reflect effects for which the accounting is complete and those for which it is provisional. Provisional effects will be adjusted during the measurement period determined under SAB 118 based on ongoing analysis of data, tax positions and regulatory guidance. The effect of the transition tax is provisional, in particular the calculation of prior year foreign earnings and profits. The effect of the remeasurement of domestic deferred taxes is provisional primarily because temporary differences that have been estimated as of August 31, 2018 could change the remeasurement once they are finalized with the filing of our fiscal 2018 income tax return. Since many of the deferred tax balances include estimates of future events, the Company is unable to determine the final impact of the tax rate change at this time. The Tax Act also imposed a global intangible low-taxed The reconciliation between effective and statutory tax rates on operations is as follows: Years ended August 31, 2018 2017 2016 Federal statutory rate 25.7 % 35.0 % 35.0 % State income taxes, net of federal benefit 0.8 0.1 0.7 Foreign operations, excluding transition tax 1.8 (3.4 ) 0.1 Transition tax on foreign earnings 3.1 – – Remeasurement of domestic deferred taxes (15.0 ) – – Change in valuation allowance 0.1 – – Noncontrolling interest in flow-through entity (2.4 ) (6.0 ) (7.4 ) Permanent differences and other 0.6 1.4 – Effective tax rate 14.7 % 27.1 % 28.4 % Earnings before income tax and earnings from unconsolidated affiliates for the years ended August 31, 2018, 2017 and 2016 were $110.8 million, $123.2 million and $264.8 million, respectively, for our domestic U.S. operations and $112.8 million, $113.0 million and $130.3 million, respectively, for our foreign operations. The tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities were as follows: As of August 31, (In thousands) 2018 2017 Deferred tax assets: Accrued payroll and related liabilities $ 18,461 $ 28,761 Deferred revenue 10,642 7,547 Inventories and other 10,518 13,641 Maintenance and warranty accruals 7,201 10,988 Net operating losses 2,002 320 Investment and asset tax credits 1,439 1,840 50,263 63,097 Deferred tax liabilities: Fixed assets 70,942 110,429 Original issue discount 6,099 11,086 Intangibles 2,474 3,605 Other 1,831 (831 ) Investment in GBW Joint Venture – 14,066 81,346 138,355 Valuation allowance 657 533 Net deferred tax liability $ 31,740 $ 75,791 As of August 31, 2018 the Company had $1.5 million of state credit carryforwards that will begin to expire in 2021 and $8.5 million of foreign NOL carryforwards that will begin to expire in 2020. The Company has placed valuation allowances against any deferred tax assets for which no benefit is anticipated, including those for loss and credit carryforwards not likely to be used before their expiration dates. The net increase in the total valuation allowance on deferred taxes for which no benefit is anticipated was approximately $0.1 million for the year ended August 31, 2018. Prior to 2018 no provision had been made for U.S. income taxes on the Company’s cumulative undistributed earnings from foreign subsidiaries. In 2018, however, these earnings were subject to the one-time The following is a tabular reconciliation of the total amounts of unrecognized tax benefits: Years ended August 31, (In thousands) 2018 2017 2016 Unrecognized Tax Benefit – Opening Balance $ 1,820 $ 942 $ 1,019 Gross increases – tax positions in prior period 237 1,368 – Gross decreases – tax positions in prior period (449 ) (53 ) – Settlements – – – Lapse of statute of limitations – (437 ) (77 ) Unrecognized Tax Benefit – Ending Balance $ 1,608 $ 1,820 $ 942 The Company is subject to taxation in the U.S. and in various states and foreign jurisdictions. The Company is effectively no longer subject to U.S. Federal examination for fiscal years ending before 2015, to state and local examinations before 2014, or to foreign examinations before 2013. Unrecognized tax benefits, excluding interest, at August 31, 2018 were $1.6 million, all of which would affect the effective tax rate if recognized. The unrecognized tax benefits at August 31, 2017 were $1.8 million. Accrued interest on unrecognized tax benefits was $0.2 million as of August 31, 2018 and was minimal as of August 31, 2017. The Company recorded annual interest benefits of approximately $0.2 million for changes in the reserves during each of the years ended August 31, 2018 and 2017. The Company has not accrued any penalties on the reserves. Interest and penalties related to income taxes are not classified as a component of income tax expense. Benefits from the realization of unrecognized tax benefits for deductible differences attributable to ordinary operations will be recognized as a reduction of income tax expense. The Company does not anticipate a significant decrease in the reserves for uncertain tax positions during the next year. |
Segment Information
Segment Information | 12 Months Ended |
Aug. 31, 2018 | |
Segment Information | Note 19 - Segment Information The Company operates in three reportable segments: Manufacturing; Wheels, Repair & Parts; and Leasing & Services. Prior to August 20, 2018, the Company operated in four reportable segments: Manufacturing; Wheels & Parts; Leasing & Services; and GBW Joint Venture. On August 20, 2018 the Company entered into an agreement with its joint venture partner to discontinue the GBW railcar repair joint venture, which resulted in 12 repair shops returned to the Company. Beginning on August 20, 2018, the GBW Joint Venture was no longer considered a reportable segment. The accounting policies of the segments are the same as those described in the summary of significant accounting policies. Performance is evaluated based on Earnings from operations. Corporate includes selling and administrative costs not directly related to goods and services and certain costs that are intertwined among segments due to our integrated business model. The Company does not allocate Interest and foreign exchange or Income tax expense for either external or internal reporting purposes. Intersegment sales and transfers are valued as if the sales or transfers were to third parties. Related revenue and margin are eliminated in consolidation and therefore are not included in consolidated results in the Company’s Consolidated Financial Statements. 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 year ended August 31, 2018: Revenue Earnings (loss) from operations External Intersegment Total External Intersegment Total Manufacturing $ 2,044,586 $ 118,157 $ 2,162,743 $ 240,901 $ 17,721 $ 258,622 Wheels, Repair & Parts 347,023 41,494 388,517 16,731 2,748 19,479 Leasing & Services 127,855 11,847 139,702 88,481 10,296 98,777 Eliminations – (171,498 ) (171,498 ) – (30,765 ) (30,765 ) Corporate – – – (93,128 ) – (93,128 ) $ 2,519,464 $ – $ 2,519,464 $ 252,985 $ – $ 252,985 For the year ended August 31, 2017: Revenue Earnings (loss) from operations External Intersegment Total External Intersegment Total Manufacturing $ 1,725,188 $ 19,291 $ 1,744,479 $ 295,334 $ 1,022 $ 296,356 Wheels, Repair & Parts 312,679 30,861 343,540 14,984 2,303 17,287 Leasing & Services 131,297 11,812 143,109 31,904 11,099 43,003 Eliminations – (61,964 ) (61,964 ) – (14,424 ) (14,424 ) Corporate – – – (81,790 ) – (81,790 ) $ 2,169,164 $ – $ 2,169,164 $ 260,432 $ – $ 260,432 For the year ended August 31, 2016: Revenue Earnings (loss) from operations External Intersegment Total External Intersegment Total Manufacturing $ 2,096,331 $ 89,158 $ 2,185,489 $ 415,094 $ 24,299 $ 439,393 Wheels, Repair & Parts 322,395 32,436 354,831 19,948 2,602 22,550 Leasing & Services 260,798 13,101 273,899 51,723 13,101 64,824 Eliminations – (134,695 ) (134,695 ) – (40,002 ) (40,002 ) Corporate – – – (78,213 ) – (78,213 ) $ 2,679,524 $ – $ 2,679,524 $ 408,552 $ – $ 408,552 Years ended August 31, (In thousands) 2018 2017 2016 Assets: Manufacturing $ 1,020,757 $ 914,450 $ 701,296 Wheels, Repair & Parts 306,756 236,315 275,599 Leasing & Services 578,818 535,323 516,147 Unallocated 559,133 711,617 342,732 $ 2,465,464 $ 2,397,705 $ 1,835,774 Depreciation and amortization: Manufacturing $ 44,225 $ 33,807 $ 27,137 Wheels, Repair & Parts 10,771 11,143 11,971 Leasing & Services 19,360 20,179 24,237 $ 74,356 $ 65,129 $ 63,345 Capital expenditures: Manufacturing $ 59,707 $ 54,973 $ 51,294 Wheels, Repair & Parts 5,204 3,129 10,190 Leasing & Services 111,937 27,963 77,529 $ 176,848 $ 86,065 $ 139,013 The following table summarizes selected geographic information. Years ended August 31, (In thousands) 2018 2017 2016 Revenue (1) U.S. $ 1,840,877 $ 1,674,517 $ 2,297,501 Foreign 678,587 494,647 382,023 $ 2,519,464 $ 2,169,164 $ 2,679,524 Assets: U.S. $ 1,677,144 $ 1,307,239 $ 955,674 Mexico 517,543 791,974 788,878 Europe 270,777 298,492 91,222 $ 2,465,464 $ 2,397,705 $ 1,835,774 (1) Revenue is presented on the basis of geographic location of customers. Reconciliation of Earnings from operations to Earnings before income tax and earnings (loss) from unconsolidated affiliates: Years ended August 31, (In thousands) 2018 2017 2016 Earnings from operations $ 252,985 $ 260,432 $ 408,552 Interest and foreign exchange 29,368 24,192 13,502 Earnings before income tax and earnings (loss) from unconsolidated affiliates $ 223,617 $ 236,240 $ 395,050 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 was Greenbrier’s fourth reportable segment until August 20, 2018. Information for 2018, 2017 and 2016 is included in the tables below which represent totals for GBW rather than Greenbrier’s 50% share, as this is how performance and resource allocation was previously evaluated. Years ended August 31, (In thousands) 2018 2017 2016 GBW Joint Venture: Revenue $ 238,033 $ 253,436 $ 373,490 Earnings (loss) from operations $ (46,783 ) $ (32,454 ) $ 8,558 Assets $ 8,531 $ 206,009 $ 247,610 Depreciation and amortization $ 8,932 $ 9,023 $ 7,676 Capital expenditures $ 8,514 $ 8,030 $ 16,110 |
Customer Concentration
Customer Concentration | 12 Months Ended |
Aug. 31, 2018 | |
Customer Concentration | Note 20 - Customer Concentration Customer concentration is defined as a single customer that accounts for more than 10% of total revenues or accounts receivable. In 2018, revenue from two customers represented 20% and 11% of total revenue. In 2017, revenue from one customer represented 20% of total revenue. In 2016, revenue from two customers represented 17% and 14% of total revenue. No other customers accounted for more than 10% of total revenues for the years ended August 31, 2018, 2017, or 2016. One customer had a balance that individually equaled or exceeded 10% of accounts receivable and represented 19% of the consolidated accounts receivable balance at August 31, 2018. Three customers had balances that individually equaled or exceeded 10% of accounts receivable and represented 13%, 13% and 10% of the consolidated accounts receivable balance at August 31, 2017. |
Lease Commitments
Lease Commitments | 12 Months Ended |
Aug. 31, 2018 | |
Lease Commitments | Note 21 - Lease Commitments Lease expense for railcar equipment leased-in non-cancelable non-cancelable (In thousands) Year ending August 31, 2019 $ 6,287 2020 4,839 2021 1,821 2022 1,792 2023 1,792 Thereafter 1,810 $ 18,341 Operating leases for domestic railcar repair facilities, office space and certain manufacturing and office equipment expire at various dates through February 2030. Rental expense for facilities, office space and equipment was $8.7 million, $9.4 million and $9.3 million for the years ended August 31, 2018, 2017 and 2016. Aggregate minimum future amounts payable under these non-cancelable (In thousands) Year ending August 31, 2019 $ 6,048 2020 4,437 2021 3,286 2022 1,915 2023 1,862 Thereafter 196 $ 17,744 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Aug. 31, 2018 | |
Commitments and Contingencies | Note 22 - Commitments and Contingencies Portland Harbor Superfund Site 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. Oregon Department of Environmental Quality (DEQ) Regulation of Portland Manufacturing Operations 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. Other Litigation, Commitments and Contingencies 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 August 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 August 31, 2018, the Company had a $10.0 million note receivable from Amsted-Maxion Cruzeiro, its unconsolidated Brazilian castings and components manufacturer and a $7.2 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 of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Aug. 31, 2018 | |
Fair Value of Financial Instruments | Note 23 - Fair Value of Financial Instruments The estimated fair values of financial instruments and the methods and assumptions used to estimate such fair values are as follows: (In thousands) Carrying Amount 1 Estimated Fair Value (Level 2) Notes payable as of August 31, 2018 $ 469,721 $ 517,925 Notes payable as of August 31, 2017 $ 597,604 $ 644,708 1 Carrying amount disclosed in this table excludes debt discount and debt issuance costs. The carrying amount of cash and cash equivalents, accounts and notes receivable, revolving notes, accounts payable and accrued liabilities, foreign currency forward contracts and interest rate swaps is a reasonable estimate of fair value of these financial instruments. Estimated rates currently available to the Company for debt with similar terms and remaining maturities and current market data are used to estimate the fair value of notes payable. |
Fair Value Measures
Fair Value Measures | 12 Months Ended |
Aug. 31, 2018 | |
Fair Value Measures | Note 24 - 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 which prioritizes the inputs used in measuring a 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 August 31, 2018 are: (In thousands) Total Level 1 Level 2 (1) Level 3 Assets: Derivative financial instruments $ 1,557 $ – $ 1,557 $ – Nonqualified savings plan investments 26,299 26,299 – – Cash equivalents 126,430 126,430 – – $ 154,286 $ 152,729 $ 1,557 $ – Liabilities: Derivative financial instruments $ 1,566 $ – $ 1,566 $ – (1) Level 2 assets include derivative financial instruments which are valued based on significant observable inputs. See Note 14 – Derivative Instruments for further discussion. Assets and liabilities measured at fair value on a recurring basis as of August 31, 2017 are: (In thousands) Total Level 1 Level 2 (1) 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 $ – (1) Level 2 assets include derivative financial instruments which are valued based on significant observable inputs. See Note 14 – Derivative Instruments for further discussion. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Aug. 31, 2018 | |
Subsequent Events | Note 25 - Subsequent Events As of August 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. In September 2018, this revolving line of credit was renewed on terms similar to the existing facility and increased to $600.0 million with a new maturity date of September 2023. In addition, advances under this renewed facility bear interest at LIBOR plus 1.50% or Prime plus 0.50% depending on the type of borrowing. In September 2018, the Company refinanced approximately $170 million of existing senior term debt, due in March 2020, secured by a pool of leased railcars with new 5-year In October 2018, the Company announced that Greenbrier and the Saudi Railway Company (SAR) signed an agreement to form a joint venture that will generate a total investment of 1 billion Saudi Riyals (USD $270 million) in the Saudi Arabia’s railway system and supply of freight railcars for the Saudi rail industry. The joint venture is subject to the completion of final due diligence by the parties and required government or corporate approvals. |
Quarterly Results of Operations
Quarterly Results of Operations (Unaudited) | 12 Months Ended |
Aug. 31, 2018 | |
Quarterly Results of Operations (Unaudited) | Quarterly Results of Operations (Unaudited) (In thousands, except per share amount) First Second Third Fourth Total 2018 Revenue Manufacturing $ 451,485 $ 511,827 $ 510,099 $ 571,175 $ 2,044,586 Wheels, Repair & Parts 78,011 88,710 94,515 85,787 347,023 Leasing & Services 30,039 28,799 36,773 32,244 127,855 559,535 629,336 641,387 689,206 2,519,464 Cost of revenue Manufacturing 380,850 429,165 427,875 489,517 1,727,407 Wheels, Repair & Parts 72,506 80,708 85,850 79,266 318,330 Leasing & Services 16,865 14,116 19,155 14,536 64,672 470,221 523,989 532,880 583,319 2,110,409 Margin 89,314 105,347 108,507 105,887 409,055 Selling and administrative 47,043 50,294 51,793 51,309 200,439 Net gain on disposition of equipment (19,171 ) (5,817 ) (14,825 ) (4,556 ) (44,369 ) Earnings from operations 61,442 60,870 71,539 59,134 252,985 Other costs Interest and foreign exchange 7,020 7,029 6,533 8,786 29,368 Earnings before income tax and earnings (loss) from unconsolidated affiliates 54,422 53,841 65,006 50,348 223,617 Income tax expense (18,135 ) 11,301 (15,944 ) (10,115 ) (32,893 ) Earnings (loss) from unconsolidated affiliates (2,910 ) 147 (12,823 ) (3,075 ) (18,661 ) Net earnings 33,377 65,289 36,239 37,158 172,063 Net earnings attributable to noncontrolling interest (7,124 ) (3,647 ) (3,288 ) (6,223 ) (20,282 ) Net earnings attributable to Greenbrier $ 26,253 $ 61,642 $ 32,951 $ 30,935 $ 151,781 Basic earnings per common share: (1) $ 0.90 $ 2.10 $ 1.03 $ 0.95 $ 4.92 Diluted earnings per common share: (1) $ 0.83 $ 1.91 $ 1.01 $ 0.94 $ 4.68 (1) Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are not considered participating securities, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes, during the periods in which they were outstanding, using the “if converted” method in which debt issuance and interest costs, net of tax, were added back to net earnings. The 2018 Convertible notes matured on April 1, 2018. Quarterly Results of Operations (Unaudited) (In thousands, except per share amount) First Second Third Fourth Total 2017 Revenue Manufacturing $ 454,033 $ 445,504 $ 317,104 $ 508,547 $ 1,725,188 Wheels, Repair & Parts 69,635 82,714 85,231 75,099 312,679 Leasing & Services 28,646 38,064 36,826 27,761 131,297 552,314 566,282 439,161 611,407 2,169,164 Cost of revenue Manufacturing 356,555 346,653 245,228 425,531 1,373,967 Wheels, Repair & Parts 64,978 75,497 77,985 69,876 288,336 Leasing & Services 18,030 25,207 26,247 16,078 85,562 439,563 447,357 349,460 511,485 1,747,865 Margin 112,751 118,925 89,701 99,922 421,299 Selling and administrative 41,213 39,495 42,810 47,089 170,607 Net gain on disposition of equipment (1,122 ) (2,090 ) (1,581 ) (4,947 ) (9,740 ) Earnings from operations 72,660 81,520 48,472 57,780 260,432 Other costs Interest and foreign exchange 1,724 5,673 7,894 8,901 24,192 Earnings before income tax and loss from unconsolidated affiliates 70,936 75,847 40,578 48,879 236,240 Income tax expense (20,386 ) (24,858 ) (8,656 ) (10,114 ) (64,014 ) Loss from unconsolidated affiliates (2,584 ) (1,988 ) (681 ) (6,511 ) (11,764 ) Net earnings 47,966 49,001 31,241 32,254 160,462 Net earnings attributable to noncontrolling interest (23,004 ) (14,465 ) 1,582 (8,508 ) (44,395 ) Net earnings attributable to Greenbrier $ 24,962 $ 34,536 $ 32,823 $ 23,746 $ 116,067 Basic earnings per common share: (1) $ 0.86 $ 1.19 $ 1.12 $ 0.81 $ 3.97 Diluted earnings per common share: (1) $ 0.79 $ 1.09 $ 1.03 $ 0.75 $ 3.65 (1) Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes using the “if converted” method in which debt issuance and interest costs, net of tax, were added back to net earnings. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Aug. 31, 2018 | |
Principles of consolidation | Principles of consolidation - |
Unclassified balance sheet | Unclassified balance sheet - non-current |
Foreign currency translation | Foreign currency translation - year-end |
Cash and cash equivalents | Cash and cash equivalents - |
Restricted cash | Restricted cash - |
Accounts receivable | Accounts receivable - As of August 31, (In thousands) 2018 2017 2016 Allowance for doubtful accounts Balance at beginning of period $ 1,768 $ 2,215 $ 2,449 Additions, net of reversals 938 370 70 Usage (54 ) (891 ) (277 ) Currency translation effect 49 74 (27 ) Balance at end of period $ 2,701 $ 1,768 $ 2,215 |
Inventories | Inventories - first-in first-out Work-in-process |
Leased railcars for syndication | Leased railcars for syndication - |
Equipment on operating leases, net | Equipment on operating leases, net - |
Investment in unconsolidated affiliates | Investment in unconsolidated affiliates - |
Property, plant and equipment | Property, plant and equipment - Depreciable Life Buildings and improvements 10 – 25 years Machinery and equipment 3 – 15 years Other 3 – 7 years |
Goodwill | Goodwill - Intangibles – Goodwill and Other |
Intangible and other assets, net | Intangible and other assets, net - |
Impairment of long-lived assets | Impairment of long-lived assets - |
Maintenance obligations | Maintenance obligations - |
Warranty accruals | Warranty accruals - |
Income taxes | Income taxes - |
Deferred revenue | Deferred revenue |
Noncontrolling interest and Contingently redeemable noncontrolling interest | Noncontrolling interest and Contingently redeemable noncontrolling interest - Greenbrier-Astra Rail was formed in 2017 between the Company’s existing European operations headquartered in Swidnica, Poland and Astra Rail, based in Arad, Romania. Greenbrier-Astra Rail is controlled by the Company with an approximate 75% interest. The Company consolidates Greenbrier-Astra Rail for financial reporting purposes and includes the noncontrolling interest in the mezzanine section of the Consolidated Balance Sheet in Contingently redeemable noncontrolling interest (see Note 3 – Acquisitions). In August 2018, Greenbrier-Astra Rail entered into an agreement to take an approximately 68% ownership stake in Rayvag, a railcar manufacturing company based in Adana, Turkey. Rayvag is controlled by the Company. The Company consolidates Rayvag for financial reporting purposes. The noncontrolling interest related to the partner’s interest is included in Noncontrolling interest in the equity section of the Company’s Consolidated Balance Sheet. The Company has a joint venture with Summit Railroad Products, Inc. to provide axle services. Each party owns a 50% interest in the joint venture. The financial results of this operation are consolidated for financial reporting purposes as the Company has the power to direct the activities which most significantly impact the economic performance of the entity. The noncontrolling interest related to the partner’s 50% interest in the joint venture is included in Noncontrolling interest in the equity section of the Company’s Consolidated Balance Sheet. Net earnings attributable to noncontrolling interest on the Company’s Consolidated Statement of Income represents the Company’s partners’ share of results from operations. |
Accumulated other comprehensive loss | Accumulated other comprehensive loss - (In thousands) Unrealized Foreign Other Accumulated Balance, August 31, 2017 $ 181 $ (5,366 ) $ (1,094 ) $ (6,279 ) Other comprehensive loss before reclassifications (197 ) (16,140 ) (335 ) (16,672 ) Amounts reclassified from accumulated other comprehensive loss (415 ) – – (415 ) Balance, August 31, 2018 $ (431 ) $ (21,506 ) $ (1,429 ) $ (23,366 ) The amounts reclassified out of Accumulated other comprehensive loss into the Consolidated Statements of Income, with the financial statement caption, were as follows: Year Ended August 31, Financial Statement Caption (In thousands) 2018 2017 (Gain) loss on derivative financial instruments: Foreign exchange contracts $ (716 ) $ 3,644 Revenue and Cost of revenue Interest rate swap contracts 298 1,057 Interest and foreign exchange (418 ) 4,701 Total before tax 3 (972 ) Tax benefit $ (415 ) $ 3,729 Net of tax |
Revenue recognition | Revenue recognition - Railcars are generally manufactured, repaired or refurbished under firm orders from third parties. Revenue is recognized when new, used, refurbished or repaired railcars are completed, accepted by an unaffiliated customer and contractual contingencies removed. Marine revenue is either recognized on the percentage of completion method during the construction period or on the completed contract method based on the terms of the contract. Under the percentage of completion method, revenue is recognized based on the progress toward contract completion measured by actual costs incurred to date in relation to the estimate of total expected costs. Under the completed contract method, revenue is not recognized until the project has been fully completed. Cash payments received prior to meeting revenue recognition criteria are accounted for in Deferred revenue. Operating lease revenue is recognized as earned under the lease terms. Certain leases are operated under car hire arrangements whereby revenue is earned based on utilization, car hire rates and terms specified in the lease agreement. The Company sells railcars with attached leases to financial investors. Revenue and cost of revenue associated with railcars that the Company has manufactured are recognized in Manufacturing once sold. Revenue and cost of revenue associated with railcars which were obtained from a third party with the intent to resell them and subsequently sold are recognized in Leasing & Services. In addition the Company will often perform management or maintenance services at market rates for these railcars. The Company evaluates the terms of any remarketing agreements and any contractual provisions that represent retained risk and the level of retained risk based on those provisions. The Company applies a 10% threshold to determine whether the level of retained risk exceeds 10% of the individual fair value of the rail cars delivered. If retained risk exceeded 10%, the transaction would not be recognized as a sale until such time as the retained risk declined to 10% or less. For any contracts with multiple elements (i.e. railcars, maintenance, management services, etc.) the Company allocates revenue among the deliverables primarily based upon objective and reliable evidence of the fair value of each element in the arrangement. If objective and reliable evidence of fair value of any element is not available, the Company will use its estimated selling price for purposes of allocating the total arrangement consideration among the elements. |
Interest and foreign exchange | Interest and foreign exchange - (In thousands) Years ended August 31, 2018 2017 2016 Interest and foreign exchange: Interest and other expense $ 30,946 $ 23,519 $ 17,268 Foreign exchange (gain) loss (1,578 ) 673 (3,766 ) $ 29,368 $ 24,192 $ 13,502 |
Research and development | Research and development - |
Net earnings per share | Net earnings per share - 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. |
Stock-based compensation | Stock-based compensation - Restricted stock units and restricted stock are accounted for as equity based awards (see Note 15 – Equity). Phantom stock units are accounted for as liability based awards. The Company began granting phantom stock units during the year ended August 31, 2016. Every phantom stock unit entitles the participant to receive a cash payment equal to the value of a single share of the Company’s common stock upon vesting. The holders of unvested phantom stock units are entitled to participate in dividend equivalents. There were no phantom stock units awarded during the year ended August 31, 2018. During the years ended August 31, 2017 and 2016, the Company awarded 151,634 and 268,161 phantom stock units, respectively, which include performance-based grants. As of August 31, 2018, there were a total of 200,686 phantom stock units associated with unvested performance-based grants. The actual number of phantom stock units that will vest associated with performance-based phantom stock units will vary depending on the Company’s performance. Approximately 200,686 additional phantom stock units may be granted if performance-based phantom stock units vest at stretch levels of performance. These additional units are associated with phantom stock unit awards granted during the years ended August 31, 2016 and 2017. The grant date fair value of phantom stock awards was $6.7 million and $7.9 million for the years ended August 31, 2017 and 2016, respectively. Our phantom stock unit grants are considered liability based awards and therefore are re-measured |
Management estimates | Management estimates |
Initial Adoption of Accounting Policies | Initial Adoption of Accounting Policies 2016-09, Improvements to Employee Share-Based Payment Accounting 2016-09). |
Prospective accounting changes | Prospective Accounting Changes 2014-09, Revenue from Contracts with Customers 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 |
Foreign Exchange Contracts | |
Derivatives | Forward exchange contracts - non-performance. |
Interest rate swap contracts | |
Derivatives | Interest rate instruments - |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Allowance for Doubtful Accounts | Accounts receivable - As of August 31, (In thousands) 2018 2017 2016 Allowance for doubtful accounts Balance at beginning of period $ 1,768 $ 2,215 $ 2,449 Additions, net of reversals 938 370 70 Usage (54 ) (891 ) (277 ) Currency translation effect 49 74 (27 ) Balance at end of period $ 2,701 $ 1,768 $ 2,215 |
Estimated Useful Lives | Depreciation is provided on the straight-line method over estimated useful lives which are as follows: Depreciable Life Buildings and improvements 10 – 25 years Machinery and equipment 3 – 15 years Other 3 – 7 years |
Components of Accumulated Other Comprehensive Loss, Net of Tax | Accumulated other comprehensive loss - (In thousands) Unrealized Foreign Other Accumulated Balance, August 31, 2017 $ 181 $ (5,366 ) $ (1,094 ) $ (6,279 ) Other comprehensive loss before reclassifications (197 ) (16,140 ) (335 ) (16,672 ) Amounts reclassified from accumulated other comprehensive loss (415 ) – – (415 ) Balance, August 31, 2018 $ (431 ) $ (21,506 ) $ (1,429 ) $ (23,366 ) |
Amounts Reclassified out of Accumulated Other Comprehensive Loss | The amounts reclassified out of Accumulated other comprehensive loss into the Consolidated Statements of Income, with the financial statement caption, were as follows: Year Ended August 31, Financial Statement Caption (In thousands) 2018 2017 (Gain) loss on derivative financial instruments: Foreign exchange contracts $ (716 ) $ 3,644 Revenue and Cost of revenue Interest rate swap contracts 298 1,057 Interest and foreign exchange (418 ) 4,701 Total before tax 3 (972 ) Tax benefit $ (415 ) $ 3,729 Net of tax |
Interest and Foreign Exchange | Interest and foreign exchange - (In thousands) Years ended August 31, 2018 2017 2016 Interest and foreign exchange: Interest and other expense $ 30,946 $ 23,519 $ 17,268 Foreign exchange (gain) loss (1,578 ) 673 (3,766 ) $ 29,368 $ 24,192 $ 13,502 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
GBW Railcar Services LLC | |
Preliminary Allocation of Purchase Price Based on Fair Value of Net Assets Acquired | The preliminary allocation of the purchase price based on the fair value of the net assets acquired was as follows as of August 31, 2018: (in thousands) Cash and cash equivalents $ 5,000 Accounts receivable, net 12,230 Inventories 18,106 Property, plant and equipment, net 16,748 Intangibles and other assets, net 9,200 Goodwill 7,863 Total assets acquired 69,147 Accounts payable and accrued liabilities 12,394 Total liabilities assumed 12,394 Net assets acquired $ 56,753 |
Greenbrier-Astra Rail | |
Preliminary Allocation of Purchase Price Based on Fair Value of Net Assets Acquired | The purchase price of the net assets acquired from Astra was allocated as follows: (in thousands) Cash and cash equivalents $ 6,562 Accounts receivable, net 10,984 Inventories 30,454 Property, plant and equipment, net 75,296 Intangibles and other assets, net 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, net 24,382 Total liabilities assumed 50,517 Net assets acquired $ 115,825 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Components of Inventories | As of August 31, (In thousands) 2018 2017 Manufacturing supplies and raw materials $ 278,726 $ 222,080 Work-in-process 105,021 86,794 Finished goods 54,181 95,389 Excess and obsolete adjustment (5,614 ) (4,136 ) $ 432,314 $ 400,127 |
Inventory Valuation | As of August 31, (In thousands) 2018 2017 2016 Excess and obsolete adjustment Balance at beginning of period $ 4,136 $ 3,257 $ 2,679 Charge to cost of revenue 4,023 2,781 2,422 Disposition of inventory (2,455 ) (2,003 ) (1,792 ) Currency translation effect (90 ) 101 (52 ) Balance at end of period $ 5,614 $ 4,136 $ 3,257 |
Equipment on Operating Leases_2
Equipment on Operating Leases, net (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Aggregate Minimum Future Amounts Receivable Under All Non-Cancelable Operating Leases and Subleases | Aggregate minimum future amounts receivable under all non-cancelable (In thousands) Year ending August 31, 2019 $ 26,246 2020 19,898 2021 13,311 2022 11,311 2023 8,562 Thereafter 14,733 $ 94,061 |
Property, Plant and Equipment_2
Property, Plant and Equipment, net (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Property, Plant and Equipment, Net | As of August 31, (In thousands) 2018 2017 Land and improvements $ 84,432 $ 84,594 Machinery and equipment 414,865 378,311 Buildings and improvements 202,973 186,960 Construction in progress 48,406 39,417 Other 68,452 60,747 819,128 750,029 Accumulated depreciation (361,932 ) (322,008 ) $ 457,196 $ 428,021 |
Investments In Unconsolidated_2
Investments In Unconsolidated Affiliates (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
GBW Railcar Services LLC | |
Schedule of Summarized Financial Data | Summarized financial data for GBW is as follows: As of August 31, (In thousands) 2018 2017 Current assets $ 8,531 $ 81,860 Total assets $ 8,531 $ 206,009 Current liabilities $ 23,283 $ 33,033 Total liabilities $ 23,283 $ 111,384 Years ended August 31, (In thousands) 2018 2017 2016 Revenue $ 238,033 $ 253,436 $ 373,490 Margin $ (6,047 ) $ (4,058 ) $ 33,929 Net income (loss) (1) $ (51,679 ) $ (36,947 ) $ 4,006 (1) In 2018 and 2017, GBW recorded a pre-tax |
Greenbrier-Maxion | |
Schedule of Summarized Financial Data | Summarized financial data for Greenbrier-Maxion is as follows: As of August 31, (In thousands) 2018 2017 Current assets $ 41,619 $ 48,012 Total assets $ 61,034 $ 71,455 Current liabilities $ 38,027 $ 38,055 Total liabilities $ 41,539 $ 42,197 Years ended August 31, (In thousands) 2018 2017 2016 Revenue $ 187,664 $ 228,510 $ 168,465 Margin $ 10,086 $ 24,372 $ 14,245 Net income (loss) $ (3,006 ) $ 1,378 $ (4,051 ) |
Amsted-Maxion Cruzeiro | |
Schedule of Summarized Financial Data | Summarized financial data for Amsted-Maxion Cruzeiro is as follows: As of August 31, (In thousands) 2018 2017 Current assets $ 21,463 $ 23,777 Total assets $ 111,589 $ 142,583 Current liabilities $ 27,981 $ 28,084 Total liabilities $ 83,407 $ 94,846 Years ended August 31, (In thousands) 2018 2017 2016 Revenue $ 96,490 $ 90,114 $ 87,833 Margin $ 8,001 $ 5,983 $ 8,256 Net income (loss) $ (9,590 ) $ (20,114 ) $ (12,640 ) |
Other Unconsolidated Affiliates | |
Schedule of Summarized Financial Data | Summarized financial information, shown as 100% of these other unconsolidated affiliates in aggregate are as follows: As of August 31, (In thousands) 2018 2017 Current assets $ 32,168 $ 16,996 Total assets $ 239,535 $ 283,895 Current liabilities $ 3,647 $ 3,003 Total liabilities $ 52,852 $ 90,064 Years ended August 31, (In thousands) 2018 2017 2016 Revenue $ 25,549 $ 39,161 $ 75,851 Margin $ 11,360 $ 8,015 $ 11,087 Net income (loss) $ 6,988 $ 5,202 $ 6,051 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Schedule of Changes in Carrying Value of Goodwill | Changes in the carrying value of goodwill are as follows: (In thousands) Manufacturing Wheels, Repair & Parts Leasing & Services Total Balance August 31, 2017 $ 25,325 $ 43,265 $ – $ 68,590 Additions (1) 839 7,863 – 8,702 Translation 919 – – 919 Balance August 31, 2018 $ 27,083 $ 51,128 $ – $ 78,211 (1) Additions to goodwill relate to the GBW repair shop transaction and Manufacturing includes final adjustments to the Astra purchase price allocation. See Note 3 – Acquisitions. (In thousands) Goodwill Gross goodwill balance before accumulated goodwill impairment losses and other reductions $ 230,736 Accumulated goodwill impairment losses (128,209 ) Accumulated other reductions (24,316 ) Balance August 31, 2018 $ 78,211 |
Intangibles and Other Assets,_2
Intangibles and Other Assets, net (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Identifiable Intangible and Other Assets | The following table summarizes the Company’s identifiable intangible and other assets balance: As of August 31, (In thousands) 2018 2017 Intangible assets subject to amortization: Customer relationships $ 72,521 $ 64,521 Accumulated amortization (43,576 ) (40,153 ) Other intangibles 16,300 20,207 Accumulated amortization (6,400 ) (4,866 ) 38,845 39,709 Intangible assets not subject to amortization 5,115 912 Prepaid and other assets 18,935 16,914 Nonqualified savings plan investments 26,299 20,974 Debt issuance costs, net 1,824 2,623 Assets held for sale 3,650 4,045 $ 94,668 $ 85,177 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Liabilities (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Accounts Payable and Accrued Liabilities | As of August 31, (In thousands) 2018 2017 Trade payables $ 226,405 $ 180,592 Other accrued liabilities 73,273 107,002 Accrued payroll and related liabilities 105,111 84,749 Accrued warranty 27,395 20,737 Accrued maintenance 9,090 17,667 Income taxes payable 4,771 – Other 3,812 4,314 $ 449,857 $ 415,061 |
Maintenance and Warranty Accr_2
Maintenance and Warranty Accruals (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Maintenance and Warranty Accruals | As of August 31, (In thousands) 2018 2017 2016 Accrued maintenance Balance at beginning of period $ 17,667 $ 18,646 $ 18,642 Charged to cost of revenue (389 ) 10,609 12,926 Payments (8,188 ) (11,588 ) (12,922 ) Balance at end of period $ 9,090 $ 17,667 $ 18,646 Accrued warranty Balance at beginning of period $ 20,737 $ 12,159 $ 11,512 Charged to cost of revenue 12,323 6,872 6,069 Acquisition – 3,526 – Payments (5,217 ) (2,649 ) (5,299 ) Currency translation effect (448 ) 829 (123 ) Balance at end of period $ 27,395 $ 20,737 $ 12,159 |
Notes Payable, net (Tables)
Notes Payable, net (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Notes Payable, Net | As of August 31, (In thousands) 2018 2017 Convertible senior notes, due 2018 $ – $ 119,063 Convertible senior notes, due 2024 275,000 275,000 Term loans 179,923 184,001 Other notes payable 14,798 19,540 $ 469,721 $ 597,604 Debt discount and issuance costs (33,516 ) (39,376 ) $ 436,205 $ 558,228 |
Principal Payments on the Notes Payable | As of August 31, 2018 principal payments on the notes payable are expected as follows: (In thousands) Year ending August 31, 2019 $ 26,775 2020 167,086 2021 413 2022 413 2023 34 Thereafter (1) 275,000 $ 469,721 (1) The repayment of the $275.0 million of Convertible senior notes due 2024 is assumed to occur at the scheduled maturity in 2024 instead of assuming an earlier conversion by the holders. |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Fair Values of Derivative Instruments | Fair Values of Derivative Instruments Asset Derivatives Liability Derivatives August 31, August 31, 2018 2017 2018 2017 (In thousands) Balance sheet caption Fair Fair Value Balance sheet caption Fair Value Fair Value Derivatives designated as hedging instruments Foreign forward exchange contracts Accounts receivable, net $ 700 $ 2,341 Accounts payable and accrued liabilities $ 1,211 $ 1,761 Interest rate swap contracts Intangibles and other assets, net 781 – Accounts payable and accrued liabilities 1 1,125 $ 1,481 $ 2,341 $ 1,212 $ 2,886 Derivatives not designated as hedging instruments Foreign forward exchange contracts Accounts receivable, net $ 76 $ 1,473 Accounts payable and accrued liabilities $ 354 $ – |
Effect of Derivative Instruments on Consolidated Statements of Income | The Effect of Derivative Instruments on the Consolidated Statements of Income Derivatives in cash flow hedging relationships Financial statement caption of gain recognized in income on derivative Gain recognized in Years ended 2018 2017 Foreign forward exchange contract Interest and foreign exchange $ 1,052 $ 3,207 Interest rate swap contracts Interest and foreign exchange (1 ) 23 $ 1,051 $ 3,230 Derivatives in cash flow hedging Gain (loss) Years ended August 31, Financial statement caption of from accumulated income Gain (loss) Years Financial statement amount Gain (loss) (ineffective portion and amount testing) Years ended August 31, 2018 2017 2018 2017 2018 2017 Foreign forward exchange contracts $ (658 ) $ 1,746 Revenue $ 1,145 $ (3,980 ) Revenue $ 854 $ (2,843 ) Foreign forward exchange contracts (1,093 ) 385 Cost of revenue (429 ) 336 Cost of revenue 306 248 Interest rate swap contracts 1,632 1,042 Interest and foreign exchange (298 ) (1,057 ) Interest and foreign exchange – – $ (119 ) $ 3,173 $ 418 $ (4,701 ) $ 1,160 $ (2,595 ) |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Summary of Restricted Stock Share and Restricted Stock Unit Grant Transactions for Shares, both Vested and Unvested | The following table summarizes restricted share and restricted stock unit grant transactions for shares, both vested and unvested, under the 2017 Amended and Restated Stock Incentive Plan: Shares Balance at August 31, 2015 (1) 3,419,861 Granted 447,895 Forfeited (19,526 ) Balance at August 31, 2016 (1) 3,848,230 Granted 269,705 Forfeited (26,206 ) Balance at August 31, 2017 (1) 4,091,729 Granted 317,036 Forfeited (34,440 ) Balance at August 31, 2018 (1) 4,374,325 (1) Balance represents cumulative grants net of forfeitures. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Reconciliation of Shares Used in Computation of Basic and Diluted Earnings Per Common Share | The shares used in the computation of the Company’s basic and diluted earnings per common share are reconciled as follows: Years ended August 31, (In thousands) 2018 2017 2016 Weighted average basic common shares outstanding (1) 30,857 29,225 29,156 Dilutive effect of 2018 Convertible notes (2) 1,821 3,295 3,214 Dilutive effect of 2024 Convertible notes (3) – – n/a Dilutive effect of 2026 Convertible notes (4) n/a n/a – Dilutive effect of restricted stock units (5) 157 42 98 Weighted average diluted common shares outstanding 32,835 32,562 32,468 (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. No restricted stock and restricted stock units were anti-dilutive for the years ended August 31, 2018, 2017 and 2016. (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 year ended August 31, 2018 and 2017 as the average stock price was less than the applicable conversion price and therefore was considered anti-dilutive. (4) The 2026 Convertible notes were retired in August 2016. The effect of the 2026 Convertible notes was excluded for the year ended August 31, 2016 as the average stock price was less than the applicable conversion price and therefore the notes were considered anti-dilutive. (5) 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 | Years ended August 31, 2018 2017 2016 Net earnings attributable to Greenbrier $ 151,781 $ 116,067 $ 183,213 Add back: Interest and debt issuance costs on the 2018 Convertible notes, net of tax 2,031 2,932 2,695 Earnings before interest and debt issuance costs on convertible notes $ 153,812 $ 118,999 $ 185,908 Weighted average diluted common shares outstanding 32,835 32,562 32,468 Diluted earnings per share (1) $ 4.68 $ 3.65 $ 5.73 (1) Diluted earnings per share was calculated as follows: Earnings before interest and debt issuance costs on convertible notes Weighted average diluted common shares outstanding |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Components of Income Tax Expense of Continuing Operations | Components of income tax expense were as follows: Years ended August 31, (In thousands) 2018 2017 2016 Current Federal $ 28,357 $ 22,710 $ 66,455 State 3,244 305 4,595 Foreign 38,628 35,893 50,299 70,229 58,908 121,349 Deferred Federal (33,459 ) 9,418 (6,199 ) State (344 ) (1,467 ) (1,174 ) Foreign (3,690 ) (2,732 ) (1,644 ) (37,493 ) 5,219 (9,017 ) Change in valuation allowance 157 (113 ) (10 ) Income tax expense $ 32,893 $ 64,014 $ 112,322 |
Reconciliation Between Effective and Statutory Tax Rates on Operations | The reconciliation between effective and statutory tax rates on operations is as follows: Years ended August 31, 2018 2017 2016 Federal statutory rate 25.7 % 35.0 % 35.0 % State income taxes, net of federal benefit 0.8 0.1 0.7 Foreign operations, excluding transition tax 1.8 (3.4 ) 0.1 Transition tax on foreign earnings 3.1 – – Remeasurement of domestic deferred taxes (15.0 ) – – Change in valuation allowance 0.1 – – Noncontrolling interest in flow-through entity (2.4 ) (6.0 ) (7.4 ) Permanent differences and other 0.6 1.4 – Effective tax rate 14.7 % 27.1 % 28.4 % |
Tax Effects of Temporary Differences that give rise to Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities | The tax effects of temporary differences that give rise to significant portions of deferred tax assets and deferred tax liabilities were as follows: As of August 31, (In thousands) 2018 2017 Deferred tax assets: Accrued payroll and related liabilities $ 18,461 $ 28,761 Deferred revenue 10,642 7,547 Inventories and other 10,518 13,641 Maintenance and warranty accruals 7,201 10,988 Net operating losses 2,002 320 Investment and asset tax credits 1,439 1,840 50,263 63,097 Deferred tax liabilities: Fixed assets 70,942 110,429 Original issue discount 6,099 11,086 Intangibles 2,474 3,605 Other 1,831 (831 ) Investment in GBW Joint Venture – 14,066 81,346 138,355 Valuation allowance 657 533 Net deferred tax liability $ 31,740 $ 75,791 |
Unrecognized Tax Benefits | The following is a tabular reconciliation of the total amounts of unrecognized tax benefits: Years ended August 31, (In thousands) 2018 2017 2016 Unrecognized Tax Benefit – Opening Balance $ 1,820 $ 942 $ 1,019 Gross increases – tax positions in prior period 237 1,368 – Gross decreases – tax positions in prior period (449 ) (53 ) – Settlements – – – Lapse of statute of limitations – (437 ) (77 ) Unrecognized Tax Benefit – Ending Balance $ 1,608 $ 1,820 $ 942 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Results of Operations | For the year ended August 31, 2018: Revenue Earnings (loss) from operations External Intersegment Total External Intersegment Total Manufacturing $ 2,044,586 $ 118,157 $ 2,162,743 $ 240,901 $ 17,721 $ 258,622 Wheels, Repair & Parts 347,023 41,494 388,517 16,731 2,748 19,479 Leasing & Services 127,855 11,847 139,702 88,481 10,296 98,777 Eliminations – (171,498 ) (171,498 ) – (30,765 ) (30,765 ) Corporate – – – (93,128 ) – (93,128 ) $ 2,519,464 $ – $ 2,519,464 $ 252,985 $ – $ 252,985 For the year ended August 31, 2017: Revenue Earnings (loss) from operations External Intersegment Total External Intersegment Total Manufacturing $ 1,725,188 $ 19,291 $ 1,744,479 $ 295,334 $ 1,022 $ 296,356 Wheels, Repair & Parts 312,679 30,861 343,540 14,984 2,303 17,287 Leasing & Services 131,297 11,812 143,109 31,904 11,099 43,003 Eliminations – (61,964 ) (61,964 ) – (14,424 ) (14,424 ) Corporate – – – (81,790 ) – (81,790 ) $ 2,169,164 $ – $ 2,169,164 $ 260,432 $ – $ 260,432 For the year ended August 31, 2016: Revenue Earnings (loss) from operations External Intersegment Total External Intersegment Total Manufacturing $ 2,096,331 $ 89,158 $ 2,185,489 $ 415,094 $ 24,299 $ 439,393 Wheels, Repair & Parts 322,395 32,436 354,831 19,948 2,602 22,550 Leasing & Services 260,798 13,101 273,899 51,723 13,101 64,824 Eliminations – (134,695 ) (134,695 ) – (40,002 ) (40,002 ) Corporate – – – (78,213 ) – (78,213 ) $ 2,679,524 $ – $ 2,679,524 $ 408,552 $ – $ 408,552 Years ended August 31, (In thousands) 2018 2017 2016 Assets: Manufacturing $ 1,020,757 $ 914,450 $ 701,296 Wheels, Repair & Parts 306,756 236,315 275,599 Leasing & Services 578,818 535,323 516,147 Unallocated 559,133 711,617 342,732 $ 2,465,464 $ 2,397,705 $ 1,835,774 Depreciation and amortization: Manufacturing $ 44,225 $ 33,807 $ 27,137 Wheels, Repair & Parts 10,771 11,143 11,971 Leasing & Services 19,360 20,179 24,237 $ 74,356 $ 65,129 $ 63,345 Capital expenditures: Manufacturing $ 59,707 $ 54,973 $ 51,294 Wheels, Repair & Parts 5,204 3,129 10,190 Leasing & Services 111,937 27,963 77,529 $ 176,848 $ 86,065 $ 139,013 |
Summary of Selected Geographic Information | The following table summarizes selected geographic information. Years ended August 31, (In thousands) 2018 2017 2016 Revenue (1) U.S. $ 1,840,877 $ 1,674,517 $ 2,297,501 Foreign 678,587 494,647 382,023 $ 2,519,464 $ 2,169,164 $ 2,679,524 Assets: U.S. $ 1,677,144 $ 1,307,239 $ 955,674 Mexico 517,543 791,974 788,878 Europe 270,777 298,492 91,222 $ 2,465,464 $ 2,397,705 $ 1,835,774 (1) Revenue is presented on the basis of geographic location of customers. |
Reconciliation of Earnings from Operations to Earnings Before Income Tax and Earnings (Loss) from Unconsolidated Affiliates | Reconciliation of Earnings from operations to Earnings before income tax and earnings (loss) from unconsolidated affiliates: Years ended August 31, (In thousands) 2018 2017 2016 Earnings from operations $ 252,985 $ 260,432 $ 408,552 Interest and foreign exchange 29,368 24,192 13,502 Earnings before income tax and earnings (loss) from unconsolidated affiliates $ 223,617 $ 236,240 $ 395,050 |
GBW Railcar Services LLC | |
Results of Operations | Information for 2018, 2017 and 2016 is included in the tables below which represent totals for GBW rather than Greenbrier’s 50% share, as this is how performance and resource allocation is evaluated. Years ended August 31, (In thousands) 2018 2017 2016 GBW Joint Venture: Revenue $ 238,033 $ 253,436 $ 373,490 Earnings (loss) from operations $ (46,783 ) $ (32,454 ) $ 8,558 Assets $ 8,531 $ 206,009 $ 247,610 Depreciation and amortization $ 8,932 $ 9,023 $ 7,676 Capital expenditures $ 8,514 $ 8,030 $ 16,110 |
Lease Commitments (Tables)
Lease Commitments (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Railcar Equipment | |
Aggregate Minimum Future Amounts Payable Under Non-Cancelable Operating Leases | Aggregate minimum future amounts payable under these non-cancelable (In thousands) Year ending August 31, 2019 $ 6,287 2020 4,839 2021 1,821 2022 1,792 2023 1,792 Thereafter 1,810 $ 18,341 |
Domestic railcar repair facilities, office space and certain manufacturing and office equipment | |
Aggregate Minimum Future Amounts Payable Under Non-Cancelable Operating Leases | Aggregate minimum future amounts payable under these non-cancelable (In thousands) Year ending August 31, 2019 $ 6,048 2020 4,437 2021 3,286 2022 1,915 2023 1,862 Thereafter 196 $ 17,744 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Estimated Fair Values of Financial Instruments and Methods and Assumptions Used | The estimated fair values of financial instruments and the methods and assumptions used to estimate such fair values are as follows: (In thousands) Carrying Amount 1 Estimated Fair Value (Level 2) Notes payable as of August 31, 2018 $ 469,721 $ 517,925 Notes payable as of August 31, 2017 $ 597,604 $ 644,708 1 Carrying amount disclosed in this table excludes debt discount and debt issuance costs. |
Fair Value Measures (Tables)
Fair Value Measures (Tables) | 12 Months Ended |
Aug. 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 August 31, 2018 are: (In thousands) Total Level 1 Level 2 (1) Level 3 Assets: Derivative financial instruments $ 1,557 $ – $ 1,557 $ – Nonqualified savings plan investments 26,299 26,299 – – Cash equivalents 126,430 126,430 – – $ 154,286 $ 152,729 $ 1,557 $ – Liabilities: Derivative financial instruments $ 1,566 $ – $ 1,566 $ – (1) Level 2 assets include derivative financial instruments which are valued based on significant observable inputs. See Note 14 – Derivative Instruments for further discussion. Assets and liabilities measured at fair value on a recurring basis as of August 31, 2017 are: (In thousands) Total Level 1 Level 2 (1) 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 $ – (1) Level 2 assets include derivative financial instruments which are valued based on significant observable inputs. See Note 14 – Derivative Instruments for further discussion. |
Quarterly Results of Operatio_2
Quarterly Results of Operations (Unaudited) (Tables) | 12 Months Ended |
Aug. 31, 2018 | |
Quarterly Financial Data | (In thousands, except per share amount) First Second Third Fourth Total 2018 Revenue Manufacturing $ 451,485 $ 511,827 $ 510,099 $ 571,175 $ 2,044,586 Wheels, Repair & Parts 78,011 88,710 94,515 85,787 347,023 Leasing & Services 30,039 28,799 36,773 32,244 127,855 559,535 629,336 641,387 689,206 2,519,464 Cost of revenue Manufacturing 380,850 429,165 427,875 489,517 1,727,407 Wheels, Repair & Parts 72,506 80,708 85,850 79,266 318,330 Leasing & Services 16,865 14,116 19,155 14,536 64,672 470,221 523,989 532,880 583,319 2,110,409 Margin 89,314 105,347 108,507 105,887 409,055 Selling and administrative 47,043 50,294 51,793 51,309 200,439 Net gain on disposition of equipment (19,171 ) (5,817 ) (14,825 ) (4,556 ) (44,369 ) Earnings from operations 61,442 60,870 71,539 59,134 252,985 Other costs Interest and foreign exchange 7,020 7,029 6,533 8,786 29,368 Earnings before income tax and earnings (loss) from unconsolidated affiliates 54,422 53,841 65,006 50,348 223,617 Income tax expense (18,135 ) 11,301 (15,944 ) (10,115 ) (32,893 ) Earnings (loss) from unconsolidated affiliates (2,910 ) 147 (12,823 ) (3,075 ) (18,661 ) Net earnings 33,377 65,289 36,239 37,158 172,063 Net earnings attributable to noncontrolling interest (7,124 ) (3,647 ) (3,288 ) (6,223 ) (20,282 ) Net earnings attributable to Greenbrier $ 26,253 $ 61,642 $ 32,951 $ 30,935 $ 151,781 Basic earnings per common share: (1) $ 0.90 $ 2.10 $ 1.03 $ 0.95 $ 4.92 Diluted earnings per common share: (1) $ 0.83 $ 1.91 $ 1.01 $ 0.94 $ 4.68 (1) Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are not considered participating securities, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes, during the periods in which they were outstanding, using the “if converted” method in which debt issuance and interest costs, net of tax, were added back to net earnings. The 2018 Convertible notes matured on April 1, 2018. Quarterly Results of Operations (Unaudited) (In thousands, except per share amount) First Second Third Fourth Total 2017 Revenue Manufacturing $ 454,033 $ 445,504 $ 317,104 $ 508,547 $ 1,725,188 Wheels, Repair & Parts 69,635 82,714 85,231 75,099 312,679 Leasing & Services 28,646 38,064 36,826 27,761 131,297 552,314 566,282 439,161 611,407 2,169,164 Cost of revenue Manufacturing 356,555 346,653 245,228 425,531 1,373,967 Wheels, Repair & Parts 64,978 75,497 77,985 69,876 288,336 Leasing & Services 18,030 25,207 26,247 16,078 85,562 439,563 447,357 349,460 511,485 1,747,865 Margin 112,751 118,925 89,701 99,922 421,299 Selling and administrative 41,213 39,495 42,810 47,089 170,607 Net gain on disposition of equipment (1,122 ) (2,090 ) (1,581 ) (4,947 ) (9,740 ) Earnings from operations 72,660 81,520 48,472 57,780 260,432 Other costs Interest and foreign exchange 1,724 5,673 7,894 8,901 24,192 Earnings before income tax and loss from unconsolidated affiliates 70,936 75,847 40,578 48,879 236,240 Income tax expense (20,386 ) (24,858 ) (8,656 ) (10,114 ) (64,014 ) Loss from unconsolidated affiliates (2,584 ) (1,988 ) (681 ) (6,511 ) (11,764 ) Net earnings 47,966 49,001 31,241 32,254 160,462 Net earnings attributable to noncontrolling interest (23,004 ) (14,465 ) 1,582 (8,508 ) (44,395 ) Net earnings attributable to Greenbrier $ 24,962 $ 34,536 $ 32,823 $ 23,746 $ 116,067 Basic earnings per common share: (1) $ 0.86 $ 1.19 $ 1.12 $ 0.81 $ 3.97 Diluted earnings per common share: (1) $ 0.79 $ 1.09 $ 1.03 $ 0.75 $ 3.65 (1) Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes using the “if converted” method in which debt issuance and interest costs, net of tax, were added back to net earnings. |
Nature of Operations - Addition
Nature of Operations - Additional Information (Detail) | Aug. 20, 2018FacilitySegment | Aug. 19, 2018Segment | Aug. 31, 2018Vehicle |
Organization and Nature of Operations [Line Items] | |||
Number of reportable segments | Segment | 3 | 4 | |
Number of railcars repair shops returned to business | Facility | 12 | ||
Leasing & Services | |||
Organization and Nature of Operations [Line Items] | |||
Number of railcars owned | 8,100 | ||
Number of railcars that get services | 357,000 | ||
Leasing & Services | Equipment on operating leases, net | |||
Organization and Nature of Operations [Line Items] | |||
Number of railcars owned | 6,300 | ||
Leasing & Services | Leased railcars for syndication | |||
Organization and Nature of Operations [Line Items] | |||
Number of railcars owned | 1,600 | ||
Leasing & Services | Inventory Finished Goods | |||
Organization and Nature of Operations [Line Items] | |||
Number of railcars owned | 200 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | Sep. 01, 2018 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | Aug. 02, 2018 | Jun. 30, 2017 | Jun. 01, 2017 | Oct. 31, 2016 | Aug. 31, 2015 |
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Net foreign currency translation adjustment | $ 21,500 | $ 5,400 | $ 20,800 | ||||||
Allowance for doubtful accounts | 2,701 | 1,768 | 2,215 | $ 2,449 | |||||
Leased railcars for syndication | $ 130,926 | 91,272 | |||||||
Property, Plant and Equipment useful life | 35 years | ||||||||
Goodwill impairment | $ 0 | 0 | 0 | ||||||
Percentage of revenue and gross margin | 40.00% | ||||||||
Deferred revenue | $ 105,954 | 129,260 | |||||||
Retained risk threshold percentage | 10.00% | ||||||||
Research and development | $ 6,000 | 4,200 | 2,700 | ||||||
Stock based compensation expense | $ 29,314 | $ 26,427 | $ 24,037 | ||||||
Performance based share based compensation | 317,036 | 269,705 | 447,895 | ||||||
Share based compensation, non vested shares | 467,710 | ||||||||
Unamortized share based compensation | $ 15,500 | ||||||||
Greenbrier-Astra Rail | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Interest in joint venture | 25.00% | ||||||||
Ownership percentage by parent | 75.00% | 75.00% | |||||||
GIMSA | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Interest in joint venture | 50.00% | ||||||||
Rayvag | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Interest in joint venture | 68.00% | 68.00% | |||||||
Summit Railroad Products, Inc | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Interest in joint venture | 50.00% | ||||||||
Accounting Standards Update 2014-09 | Subsequent Event | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Increase to retained earnings | $ 5,400 | ||||||||
Reclassification from accrued maintenance to contract liabilities | $ 2,400 | ||||||||
Phantom Stock Units (PSUs) | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Performance based share based compensation | 0 | 151,634 | 268,161 | ||||||
Share based compensation, non vested shares | 200,686 | ||||||||
Additional shares available for grant if performance-based phantom stock units vest at stretch level of performance | 200,686 | ||||||||
Share based compensation, fair value of phantom stock | $ 6,700 | $ 7,900 | |||||||
Stock compensation expenses | $ 12,100 | 6,200 | 1,500 | ||||||
Unamortized share based compensation | $ 5,900 | $ 10,900 | $ 7,500 | ||||||
Greenbrier | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of ownership in entity | 40.00% | 40.00% | |||||||
Upfront Fee [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Unrecognized deferred revenue | $ 40,000 | ||||||||
Customer Relationships | Minimum | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Estimated useful lives | 5 years | ||||||||
Customer Relationships | Maximum | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Estimated useful lives | 20 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Allowance for Doubtful Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Allowance for doubtful accounts | |||
Balance at beginning of period | $ 1,768 | $ 2,215 | $ 2,449 |
Additions, net of reversals | 938 | 370 | 70 |
Usage | (54) | (891) | (277) |
Currency translation effect | 49 | 74 | (27) |
Balance at end of period | $ 2,701 | $ 1,768 | $ 2,215 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Estimated Useful Lives (Detail) | 12 Months Ended |
Aug. 31, 2018 | |
Property Plant and Equipment Estimated Useful Lives [Line Items] | |
Property, Plant and Equipment useful life | 35 years |
Building and improvements | Minimum | |
Property Plant and Equipment Estimated Useful Lives [Line Items] | |
Property, Plant and Equipment useful life | 10 years |
Building and improvements | Maximum | |
Property Plant and Equipment Estimated Useful Lives [Line Items] | |
Property, Plant and Equipment useful life | 25 years |
Machinery and Equipment | Minimum | |
Property Plant and Equipment Estimated Useful Lives [Line Items] | |
Property, Plant and Equipment useful life | 3 years |
Machinery and Equipment | Maximum | |
Property Plant and Equipment Estimated Useful Lives [Line Items] | |
Property, Plant and Equipment useful life | 15 years |
Other | Minimum | |
Property Plant and Equipment Estimated Useful Lives [Line Items] | |
Property, Plant and Equipment useful life | 3 years |
Other | Maximum | |
Property Plant and Equipment Estimated Useful Lives [Line Items] | |
Property, Plant and Equipment useful life | 7 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Components of Accumulated Other Comprehensive Loss, Net of Tax (Detail) $ in Thousands | 12 Months Ended |
Aug. 31, 2018USD ($) | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning balance | $ 1,018,130 |
Other comprehensive loss before reclassifications | (16,672) |
Amounts reclassified from accumulated other comprehensive loss | (415) |
Ending balance | 1,250,101 |
Accumulated Other Comprehensive Income (Loss) | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning balance | (6,279) |
Ending balance | (23,366) |
Unrealized (Gain) Loss on Derivative Financial Instruments | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning balance | 181 |
Other comprehensive loss before reclassifications | (197) |
Amounts reclassified from accumulated other comprehensive loss | (415) |
Ending balance | (431) |
Foreign Currency Translation Adjustment | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning balance | (5,366) |
Other comprehensive loss before reclassifications | (16,140) |
Ending balance | (21,506) |
Other | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Beginning balance | (1,094) |
Other comprehensive loss before reclassifications | (335) |
Ending balance | $ (1,429) |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Amounts Reclassified out of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||||||||||
Interest and foreign exchange | $ 8,786 | $ 6,533 | $ 7,029 | $ 7,020 | $ 8,901 | $ 7,894 | $ 5,673 | $ 1,724 | $ 29,368 | $ 24,192 | $ 13,502 |
Total before tax | (50,348) | (65,006) | (53,841) | (54,422) | (48,879) | (40,578) | (75,847) | (70,936) | (223,617) | (236,240) | (395,050) |
Tax benefit | $ 10,115 | $ 15,944 | $ (11,301) | $ 18,135 | $ 10,114 | $ 8,656 | $ 24,858 | $ 20,386 | 32,893 | 64,014 | $ 112,322 |
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 | (418) | 4,701 | |||||||||
Tax benefit | 3 | (972) | |||||||||
Net of tax | (415) | 3,729 | |||||||||
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 | (716) | 3,644 | |||||||||
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 | $ 298 | $ 1,057 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Interest and Foreign Exchange (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Interest Expense [Line Items] | |||||||||||
Interest and other expense | $ 30,946 | $ 23,519 | $ 17,268 | ||||||||
Foreign exchange (gain) loss | (1,578) | 673 | (3,766) | ||||||||
Interest and foreign exchange | $ 8,786 | $ 6,533 | $ 7,029 | $ 7,020 | $ 8,901 | $ 7,894 | $ 5,673 | $ 1,724 | $ 29,368 | $ 24,192 | $ 13,502 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) € in Millions | Jun. 01, 2018EUR (€) | Jun. 01, 2017EUR (€) | Aug. 31, 2018USD ($) | May 31, 2018USD ($) | Feb. 28, 2018USD ($) | Nov. 30, 2017USD ($) | Aug. 31, 2017USD ($) | May 31, 2017USD ($) | Feb. 28, 2017USD ($) | Nov. 30, 2016USD ($) | Aug. 31, 2018USD ($) | Aug. 31, 2017USD ($) | Aug. 31, 2016USD ($) | Aug. 20, 2018USD ($) | Aug. 02, 2018 | Jun. 01, 2017USD ($) | |||
Business Acquisition [Line Items] | |||||||||||||||||||
Net assets acquired | $ 56,800,000 | ||||||||||||||||||
Revenue | $ 689,206,000 | $ 641,387,000 | $ 629,336,000 | $ 559,535,000 | $ 611,407,000 | $ 439,161,000 | $ 566,282,000 | $ 552,314,000 | $ 2,519,464,000 | [1] | $ 2,169,164,000 | [1] | $ 2,679,524,000 | [1] | |||||
Earnings (loss) from operations | $ 59,134,000 | $ 71,539,000 | $ 60,870,000 | $ 61,442,000 | $ 57,780,000 | $ 48,472,000 | $ 81,520,000 | $ 72,660,000 | $ 252,985,000 | $ 260,432,000 | $ 408,552,000 | ||||||||
Rayvag | |||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||
Ownership interest in entity | 68.00% | 68.00% | 68.00% | ||||||||||||||||
Greenbrier-Astra Rail | |||||||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||||||
Net assets acquired | $ 115,825,000 | ||||||||||||||||||
Ownership percentage by parent | 75.00% | 75.00% | 75.00% | ||||||||||||||||
Amount of consideration paid | € | € 30 | € 30 | |||||||||||||||||
Ownership interest in entity | 25.00% | ||||||||||||||||||
Noncontrolling interest, fair value of acquisition | $ 38,300,000 | ||||||||||||||||||
Adjustments to reconcile carrying value of redemption amount to recorded retained earnings | $ 0 | ||||||||||||||||||
Revenue | 136,800,000 | ||||||||||||||||||
Earnings (loss) from operations | $ 11,500,000 | ||||||||||||||||||
[1] | Revenue is presented on the basis of geographic location of customers. |
Acquisitions - Preliminary Allo
Acquisitions - Preliminary Allocation of Purchase Price Based on Fair Value of Net Assets Acquired (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 20, 2018 | Aug. 31, 2017 |
Business Acquisition [Line Items] | |||
Goodwill | $ 78,211 | $ 68,590 | |
Net assets acquired | $ 56,800 | ||
GBW Railcar Services LLC | |||
Business Acquisition [Line Items] | |||
Cash and cash equivalents | 5,000 | ||
Accounts receivable, net | 12,230 | ||
Inventories | 18,106 | ||
Property, plant and equipment, net | 16,748 | ||
Intangibles and other assets, net | 9,200 | ||
Goodwill | 7,863 | $ 15,100 | |
Total assets acquired | 69,147 | ||
Accounts payable and accrued liabilities | 12,394 | ||
Total liabilities assumed | 12,394 | ||
Net assets acquired | $ 56,753 |
Acquisitions - Purchase Price o
Acquisitions - Purchase Price of Net Assets Acquired (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 20, 2018 | Aug. 31, 2017 | Jun. 01, 2017 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 78,211 | $ 68,590 | ||
Net assets acquired | $ 56,800 | |||
Greenbrier-Astra Rail | ||||
Business Acquisition [Line Items] | ||||
Cash and cash equivalents | $ 6,562 | |||
Accounts receivable, net | 10,984 | |||
Inventories | 30,454 | |||
Property, plant and equipment, net | 75,296 | |||
Intangibles and other assets, net | 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, net | 24,382 | |||
Total liabilities assumed | 50,517 | |||
Net assets acquired | $ 115,825 |
Inventories - Components of Inv
Inventories - Components of Inventories (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 |
Inventory [Line Items] | ||
Manufacturing supplies and raw materials | $ 278,726 | $ 222,080 |
Work-in-process | 105,021 | 86,794 |
Finished goods | 54,181 | 95,389 |
Excess and obsolete adjustment | (5,614) | (4,136) |
Inventories | $ 432,314 | $ 400,127 |
Inventories - Inventory Valuati
Inventories - Inventory Valuation (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at beginning of period | $ 4,136 | ||
Balance at end of period | 5,614 | $ 4,136 | |
Inventory Valuation Reserve | |||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at beginning of period | 4,136 | 3,257 | $ 2,679 |
Charge to cost of revenue | 4,023 | 2,781 | 2,422 |
Disposition of inventory | (2,455) | (2,003) | (1,792) |
Currency translation effect | (90) | 101 | (52) |
Balance at end of period | $ 5,614 | $ 4,136 | $ 3,257 |
Equipment on Operating Leases_3
Equipment on Operating Leases, Net - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Accumulated depreciation | $ 361,932 | $ 322,008 | |
Depreciation expense | 54,500 | 45,500 | $ 39,200 |
Revenue associated with equipment hiring arrangements | 12,800 | 13,000 | 14,700 |
Property Subject to Operating Lease | |||
Property, Plant and Equipment [Line Items] | |||
Accumulated depreciation | 64,900 | 91,100 | |
Depreciation expense | $ 11,200 | $ 12,100 | $ 16,600 |
Equipment on Operating Leases_4
Equipment on Operating Leases, Net - Aggregate Minimum Future Amounts Receivable Under All Non-Cancelable Operating Leases and Subleases (Detail) $ in Thousands | Aug. 31, 2018USD ($) |
Future Minimum Payments Receivable [Line Items] | |
2,019 | $ 26,246 |
2,020 | 19,898 |
2,021 | 13,311 |
2,022 | 11,311 |
2,023 | 8,562 |
Thereafter | 14,733 |
Operating Leases, Future Minimum Payments Receivable, Total | $ 94,061 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net - Property, Plant and Equipment, Net (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment | $ 819,128 | $ 750,029 |
Accumulated depreciation | (361,932) | (322,008) |
Property, plant and equipment, net | 457,196 | 428,021 |
Land and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment | 84,432 | 84,594 |
Machinery and Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment | 414,865 | 378,311 |
Building and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment | 202,973 | 186,960 |
Construction in Progress | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment | 48,406 | 39,417 |
Other | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment | $ 68,452 | $ 60,747 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation expense | $ 54.5 | $ 45.5 | $ 39.2 |
Investments in Unconsolidated_3
Investments in Unconsolidated Affiliates - Additional Information (Detail) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Aug. 31, 2018USD ($) | May 31, 2018USD ($) | Feb. 28, 2018USD ($) | Nov. 30, 2017USD ($) | Aug. 31, 2017USD ($) | May 31, 2017USD ($) | Feb. 28, 2017USD ($) | Nov. 30, 2016USD ($) | Aug. 31, 2018USD ($) | Aug. 31, 2017USD ($) | Aug. 31, 2016USD ($) | Aug. 20, 2018 | Apr. 30, 2017 | Aug. 31, 2015 | |
Investment [Line Items] | ||||||||||||||
Payment for investment | $ 26,455 | $ 40,632 | $ 12,855 | |||||||||||
Earnings (loss) from other unconsolidated affiliates | $ (3,075) | $ (12,823) | $ 147 | $ (2,910) | $ (6,511) | $ (681) | $ (1,988) | $ (2,584) | $ (18,661) | $ (11,764) | $ 2,096 | |||
Number of other unconsolidated affiliates | 8 | |||||||||||||
Amsted-Maxion Cruzeiro | ||||||||||||||
Investment [Line Items] | ||||||||||||||
Ownership stake in a railcar manufacturer | 40.00% | 40.00% | ||||||||||||
Greenbrier-Maxion | ||||||||||||||
Investment [Line Items] | ||||||||||||||
Equity method investment, percentage of ownership interest | 60.00% | 60.00% | 60.00% | 19.50% | ||||||||||
Payment for investment | $ 20,000 | |||||||||||||
Amsted-Maxion Cruzeiro | ||||||||||||||
Investment [Line Items] | ||||||||||||||
Equity method investment, percentage of ownership interest | 24.50% | 24.50% | 24.50% | 19.50% | ||||||||||
Payment for investment | $ 3,250 | |||||||||||||
Other Unconsolidated Affiliates | ||||||||||||||
Investment [Line Items] | ||||||||||||||
Earnings (loss) from other unconsolidated affiliates | $ 1,800 | |||||||||||||
GBW Railcar Services LLC | ||||||||||||||
Investment [Line Items] | ||||||||||||||
Equity method investment, percentage of ownership interest | 50.00% | 50.00% | 50.00% | 50.00% |
Investments in Unconsolidated_4
Investments in Unconsolidated Affiliates - Schedule of Summarized Financial Data (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Total assets | $ 2,465,464 | $ 2,397,705 | $ 2,465,464 | $ 2,397,705 | $ 1,835,774 | ||||||||||
Revenue | 689,206 | $ 641,387 | $ 629,336 | $ 559,535 | 611,407 | $ 439,161 | $ 566,282 | $ 552,314 | 2,519,464 | [1] | 2,169,164 | [1] | 2,679,524 | [1] | |
Margin | 105,887 | 108,507 | 105,347 | 89,314 | 99,922 | 89,701 | 118,925 | 112,751 | 409,055 | 421,299 | 551,437 | ||||
Net income (loss) | 30,935 | $ 32,951 | $ 61,642 | $ 26,253 | 23,746 | $ 32,823 | $ 34,536 | $ 24,962 | 151,781 | 116,067 | 183,213 | ||||
GBW Railcar Services LLC | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Current assets | 8,531 | 81,860 | 8,531 | 81,860 | |||||||||||
Total assets | 8,531 | 206,009 | 8,531 | 206,009 | 247,610 | ||||||||||
Current liabilities | 23,283 | 33,033 | 23,283 | 33,033 | |||||||||||
Total liabilities | 23,283 | 111,384 | 23,283 | 111,384 | |||||||||||
Revenue | 238,033 | 253,436 | 373,490 | ||||||||||||
Margin | (6,047) | (4,058) | 33,929 | ||||||||||||
Net income (loss) | [2] | (51,679) | (36,947) | 4,006 | |||||||||||
Greenbrier-Maxion | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Current assets | 41,619 | 48,012 | 41,619 | 48,012 | |||||||||||
Total assets | 61,034 | 71,455 | 61,034 | 71,455 | |||||||||||
Current liabilities | 38,027 | 38,055 | 38,027 | 38,055 | |||||||||||
Total liabilities | 41,539 | 42,197 | 41,539 | 42,197 | |||||||||||
Revenue | 187,664 | 228,510 | 168,465 | ||||||||||||
Margin | 10,086 | 24,372 | 14,245 | ||||||||||||
Net income (loss) | (3,006) | 1,378 | (4,051) | ||||||||||||
Amsted-Maxion Cruzeiro | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Current assets | 21,463 | 23,777 | 21,463 | 23,777 | |||||||||||
Total assets | 111,589 | 142,583 | 111,589 | 142,583 | |||||||||||
Current liabilities | 27,981 | 28,084 | 27,981 | 28,084 | |||||||||||
Total liabilities | 83,407 | 94,846 | 83,407 | 94,846 | |||||||||||
Revenue | 96,490 | 90,114 | 87,833 | ||||||||||||
Margin | 8,001 | 5,983 | 8,256 | ||||||||||||
Net income (loss) | (9,590) | (20,114) | (12,640) | ||||||||||||
Other Unconsolidated Affiliates | |||||||||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||||||||
Current assets | 32,168 | 16,996 | 32,168 | 16,996 | |||||||||||
Total assets | 239,535 | 283,895 | 239,535 | 283,895 | |||||||||||
Current liabilities | 3,647 | 3,003 | 3,647 | 3,003 | |||||||||||
Total liabilities | $ 52,852 | $ 90,064 | 52,852 | 90,064 | |||||||||||
Revenue | 25,549 | 39,161 | 75,851 | ||||||||||||
Margin | 11,360 | 8,015 | 11,087 | ||||||||||||
Net income (loss) | $ 6,988 | $ 5,202 | $ 6,051 | ||||||||||||
[1] | Revenue is presented on the basis of geographic location of customers. | ||||||||||||||
[2] | In 2018 and 2017, GBW recorded a pre-tax goodwill impairment loss of $26.4 million and $11.2 million, respectively, which reduced the goodwill balance to $15.1 million at the time of the dissolution. |
Investments in Unconsolidated_5
Investments in Unconsolidated Affiliates - Schedule of Summarized Financial Data (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | Aug. 20, 2018 | |
Schedule of Equity Method Investments [Line Items] | ||||
Pre-tax goodwill impairment loss | $ 0 | $ 0 | $ 0 | |
Goodwill | 78,211 | 68,590 | ||
GBW Railcar Services LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Pre-tax goodwill impairment loss | 26,400 | $ 11,200 | ||
Goodwill | $ 7,863 | $ 15,100 |
Goodwill - Schedule of Changes
Goodwill - Schedule of Changes in Carrying Value of Goodwill (Detail) $ in Thousands | 12 Months Ended | |
Aug. 31, 2018USD ($) | ||
Goodwill [Line Items] | ||
Beginning balance | $ 68,590 | |
Addition | 8,702 | [1] |
Translation | 919 | |
Ending balance | 78,211 | |
Gross goodwill balance before accumulated goodwill impairment losses and other reductions | 230,736 | |
Accumulated goodwill impairment losses | (128,209) | |
Accumulated other reductions | (24,316) | |
Manufacturing | ||
Goodwill [Line Items] | ||
Beginning balance | 25,325 | |
Addition | 839 | [1] |
Translation | 919 | |
Ending balance | 27,083 | |
Wheels, Repair & Parts | ||
Goodwill [Line Items] | ||
Beginning balance | 43,265 | |
Addition | 7,863 | [1] |
Ending balance | $ 51,128 | |
[1] | Additions to goodwill relate to the GBW repair shop transaction and Manufacturing includes final adjustments to the Astra purchase price allocation. See Note 3 - Acquisitions. |
Intangibles and Other Assets,_3
Intangibles and Other Assets, Net - Identifiable Intangible and Other Assets (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 |
Intangibles and Other Assets by Major Class [Line Items] | ||
Finite-Lived Intangible Assets, Net, Total | $ 38,845 | $ 39,709 |
Intangible assets not subject to amortization | 5,115 | 912 |
Prepaid and other assets | 18,935 | 16,914 |
Nonqualified savings plan investments | 26,299 | 20,974 |
Debt issuance costs, net | 1,824 | 2,623 |
Assets held for sale | 3,650 | 4,045 |
Total Intangible and other assets, net | 94,668 | 85,177 |
Customer Relationships | ||
Intangibles and Other Assets by Major Class [Line Items] | ||
Finite lived intangible assets gross | 72,521 | 64,521 |
Accumulated amortization | (43,576) | (40,153) |
Other Intangible Assets | ||
Intangibles and Other Assets by Major Class [Line Items] | ||
Finite lived intangible assets gross | 16,300 | 20,207 |
Accumulated amortization | $ (6,400) | $ (4,866) |
Intangibles and Other Assets,_4
Intangibles and Other Assets, Net - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Schedule of Intangible Assets Disclosure [Line Items] | |||
Amortization expense | $ 5.3 | $ 4.8 | $ 6.3 |
Future amortization expense, 2019 | 5.2 | ||
Future amortization expense, 2020 | 5.2 | ||
Future amortization expense, 2021 | 4.8 | ||
Future amortization expense, 2022 | 3.4 | ||
Future amortization expense, 2023 | $ 3.2 |
Revolving Notes - Additional In
Revolving Notes - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |
Mar. 31, 2014 | Aug. 31, 2018USD ($)FacilityCreditFacility | Aug. 31, 2017USD ($) | |
LIBOR | |||
Line of Credit Facility [Line Items] | |||
Debt instrument, percentage points added to the reference rate | 1.75% | ||
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 | $ 635,300,000 | ||
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 | $ 35,300,000 | ||
Letter of credit facility outstanding amount | $ 27,700,000 | $ 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 | 2018-10 | ||
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 _3
Accounts Payable and Accrued Liabilities - Accounts Payable and Accrued Liabilities (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | Aug. 31, 2015 |
Accounts Payable and Accrued Liabilities [Line Items] | ||||
Trade payables | $ 226,405 | $ 180,592 | ||
Other accrued liabilities | 73,273 | 107,002 | ||
Accrued payroll and related liabilities | 105,111 | 84,749 | ||
Accrued warranty | 27,395 | 20,737 | $ 12,159 | $ 11,512 |
Accrued maintenance | 9,090 | 17,667 | $ 18,646 | $ 18,642 |
Income taxes payable | 4,771 | |||
Other | 3,812 | 4,314 | ||
Accounts payable and accrued liabilities | $ 449,857 | $ 415,061 |
Maintenance and Warranty Accr_3
Maintenance and Warranty Accruals - Warranty Accruals Activity (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Accrued maintenance | |||
Balance at beginning of period | $ 17,667 | $ 18,646 | $ 18,642 |
Charged to cost of revenue | (389) | 10,609 | 12,926 |
Payments | (8,188) | (11,588) | (12,922) |
Balance at end of period | 9,090 | 17,667 | 18,646 |
Accrued warranty | |||
Balance at beginning of period | 20,737 | 12,159 | 11,512 |
Charged to cost of revenue | 12,323 | 6,872 | 6,069 |
Acquisition | 3,526 | ||
Payments | (5,217) | (2,649) | (5,299) |
Currency translation effect | (448) | 829 | (123) |
Balance at end of period | $ 27,395 | $ 20,737 | $ 12,159 |
Notes Payable, Net - Notes Paya
Notes Payable, Net - Notes Payable, Net (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Apr. 01, 2018 | Aug. 31, 2017 |
Debt Instrument [Line Items] | |||
Term loans | $ 179,923 | $ 184,001 | |
Other notes payable | 14,798 | 19,540 | |
Notes payable, gross | 469,721 | 597,604 | |
Debt discount and issuance costs | (33,516) | (39,376) | |
Notes payable, net | 436,205 | 558,228 | |
2018 Senior Notes | |||
Debt Instrument [Line Items] | |||
Convertible senior notes | $ 119,100 | 119,063 | |
2024 Convertible Senior Notes | |||
Debt Instrument [Line Items] | |||
Convertible senior notes | $ 275,000 | $ 275,000 |
Notes Payable, Net - Additional
Notes Payable, Net - Additional Information (Detail) $ / shares in Units, $ in Thousands, shares in Millions | Apr. 01, 2018USD ($)shares | Mar. 31, 2014USD ($) | Aug. 31, 2018USD ($)$ / shares | Aug. 31, 2017USD ($) |
Debt Instrument [Line Items] | ||||
Debt issuance costs | $ 1,824 | $ 2,623 | ||
Periodic Principal Payment | $ 1,750 | |||
Balloon payment | $ 159,800 | |||
Swap agreement interest rate | 50.00% | |||
Fixed interest rate | 3.74% | |||
Debt instrument amount outstanding | 469,721 | 597,604 | ||
LIBOR | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, percentage points added to the reference rate | 1.75% | |||
Term Loan | ||||
Debt Instrument [Line Items] | ||||
Debt instrument amount outstanding | 170,300 | |||
Senior term debt | 200,000 | |||
Other Term Loan Due February 2018 to April 2020 | ||||
Debt Instrument [Line Items] | ||||
Senior term debt | 9,700 | |||
Other Notes Payable | ||||
Debt Instrument [Line Items] | ||||
Unsecured debt | $ 14,800 | |||
Senior Unsecured Notes | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, maturity date | Jun. 30, 2019 | |||
2018 Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, interest rate | 3.50% | |||
Convertible senior notes | $ 119,100 | 119,063 | ||
Debt instrument, maturity date | Apr. 1, 2018 | |||
Convertible notes conversion rate, per share | $ / shares | $ 35.47 | |||
Conversion of 2018 Convertible Senior Notes, shares | shares | 3.4 | |||
2024 Convertible Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, interest rate | 2.875% | |||
Convertible senior notes | $ 275,000 | 275,000 | ||
Debt instrument, maturity date | Feb. 1, 2024 | |||
Convertible notes conversion rate, per share | $ / shares | $ 60.16 | |||
Description of long term debt | Convertible senior notes, due 2024, bear interest at a fixed rate of 2.875%, paid semi-annually in arrears on February 1st and August 1st. | |||
Convertible notes initial conversion rate, shares per $1,000 principal amount | 16.6234 | |||
Initial debt discount | $ 33,100 | |||
Debt issuance costs | $ 8,000 | |||
Frequency of payments | Semi-annually | |||
2024 Convertible Senior Notes | ASC 470-20 | ||||
Debt Instrument [Line Items] | ||||
Convertible notes, fair value | $ 241,900 | |||
Proceeds from the issuance of the notes | 275,000 | |||
Convertible notes, equity component | 33,100 | 33,100 | ||
2024 Convertible Senior Notes | ASC 470-20 | Additional Paid-in Capital | ||||
Debt Instrument [Line Items] | ||||
Convertible senior notes - equity component, net of tax | $ 12,300 | $ 12,300 | ||
2024 Convertible Senior Notes | Measurement Input, Risk Free Interest Rate [Member] | ASC 470-20 | ||||
Debt Instrument [Line Items] | ||||
Fair value assumed, interest rate | 0.05 |
Notes Payable, Net - Principal
Notes Payable, Net - Principal Payments on Notes Payable (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 | |
Debt Instrument [Line Items] | |||
2,019 | $ 26,775 | ||
2,020 | 167,086 | ||
2,021 | 413 | ||
2,022 | 413 | ||
2,023 | 34 | ||
Thereafter | [1] | 275,000 | |
Notes payable, gross | $ 469,721 | $ 597,604 | |
[1] | The repayment of the $275.0 million of Convertible senior notes due 2024 is assumed to occur at the scheduled maturity in 2024 instead of assuming an earlier conversion by the holders. |
Notes Payable, Net - Principa_2
Notes Payable, Net - Principal Payments on Notes Payable (Parenthetical) (Detail) - 2024 Convertible Senior Notes - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2018 | Aug. 31, 2017 | |
Debt Instrument [Line Items] | ||
Convertible senior notes | $ 275,000 | $ 275,000 |
Debt instrument, redemption, description | The repayment of the $275.0 million of Convertible senior notes due 2024 is assumed to occur at the scheduled maturity in 2024 instead of assuming an earlier conversion by the holders. |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) | 12 Months Ended |
Aug. 31, 2018USD ($) | |
Foreign Exchange Contracts | |
Derivative [Line Items] | |
Aggregate derivative notional amount | $ 145,400,000 |
Amount reclassified to revenue or cost of revenue in the next year | 1,300,000 |
Interest rate swap contracts | |
Derivative [Line Items] | |
Aggregate derivative notional amount | $ 85,100,000 |
Maturity date | 2020-03 |
Unrealized pre-tax gain (loss) that would be reclassified to interest expense in the next year | $ 100,000 |
Derivative Instruments - Fair V
Derivative Instruments - Fair Values of Derivative Instruments (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 |
Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | $ 1,481 | $ 2,341 |
Designated as Hedging Instrument | Accounts Payable and Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Liability Derivatives | 1,212 | 2,886 |
Designated as Hedging Instrument | Foreign Exchange Contracts | Accounts Receivable | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 700 | 2,341 |
Designated as Hedging Instrument | Foreign Exchange Contracts | Accounts Payable and Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Liability Derivatives | 1,211 | 1,761 |
Designated as Hedging Instrument | Interest rate swap contracts | Accounts Payable and Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Liability Derivatives | 1 | 1,125 |
Designated as Hedging Instrument | Interest rate swap contracts | Intangibles and Other Assets, Net | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 781 | |
Not Designated as Hedging Instrument | Foreign Exchange Contracts | Accounts Receivable | ||
Derivatives, Fair Value [Line Items] | ||
Asset Derivatives | 76 | $ 1,473 |
Not Designated as Hedging Instrument | Foreign Exchange Contracts | Accounts Payable and Accrued Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Liability Derivatives | $ 354 |
Derivative Instruments - Effect
Derivative Instruments - Effect of Derivative Instruments on Consolidated Statements of Income (Detail) - Cash Flow Hedging - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2018 | Aug. 31, 2017 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain recognized in income on derivatives | $ 1,051 | $ 3,230 |
Gain (loss) recognized in OCI on derivatives (effective portion) | (119) | 3,173 |
Gain (loss) reclassified accumulated OCI income (effective portion) | 418 | (4,701) |
Gain (loss) recognized on derivative (ineffective portion and amount excluded from effectiveness testing) | 1,160 | (2,595) |
Foreign Exchange Forward | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) recognized in OCI on derivatives (effective portion) | (658) | 1,746 |
Foreign Exchange Forward | Interest and Foreign Exchange | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain recognized in income on derivatives | 1,052 | 3,207 |
Foreign Exchange Forward | Sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) reclassified accumulated OCI income (effective portion) | 1,145 | (3,980) |
Gain (loss) recognized on derivative (ineffective portion and amount excluded from effectiveness testing) | 854 | (2,843) |
Foreign Exchange Forward | Cost Of Revenue | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) recognized in OCI on derivatives (effective portion) | (1,093) | 385 |
Gain (loss) reclassified accumulated OCI income (effective portion) | (429) | 336 |
Gain (loss) recognized on derivative (ineffective portion and amount excluded from effectiveness testing) | 306 | 248 |
Interest rate swap contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) recognized in OCI on derivatives (effective portion) | 1,632 | 1,042 |
Interest rate swap contracts | Interest and Foreign Exchange | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain recognized in income on derivatives | (1) | 23 |
Gain (loss) reclassified accumulated OCI income (effective portion) | $ (298) | $ (1,057) |
Equity - Additional Information
Equity - Additional Information (Detail) - USD ($) | Apr. 01, 2018 | Oct. 27, 2017 | Sep. 30, 2017 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | Aug. 31, 2018 | Jan. 05, 2018 |
Stockholders Equity Note [Line Items] | ||||||||
Shares available for grant | 1,050,675 | 233,271 | 476,770 | 1,050,675 | ||||
Performance based share based compensation | 317,036 | 269,705 | 447,895 | |||||
Share based compensation, non vested shares | 467,710 | 467,710 | ||||||
Additional shares available for grant | 467,710 | |||||||
Unamortized compensation cost of restricted stock grants | $ 15,500,000 | $ 15,500,000 | ||||||
2018 Senior Notes | ||||||||
Stockholders Equity Note [Line Items] | ||||||||
Conversion of 2018 Convertible Senior Notes, shares | 3,400,000 | |||||||
Debt instrument, maturity date | Apr. 1, 2018 | |||||||
2017 Amended and Restated Stock Incentive Plan | ||||||||
Stockholders Equity Note [Line Items] | ||||||||
Number of shares reserved for future issuance | 1,100,000 | |||||||
Maximum aggregate number of common shares authorized for issuance | 5,425,000 | |||||||
Selling, Administrative and Cost of Revenue | ||||||||
Stockholders Equity Note [Line Items] | ||||||||
Restricted stock compensation expense | $ 17,200,000 | $ 20,200,000 | $ 22,500,000 | |||||
Share Repurchase Program - 2014 | ||||||||
Stockholders Equity Note [Line Items] | ||||||||
Repurchase of common stock, shares | 0 | 0 | 3,206,226 | |||||
Stock repurchase program total cost of repurchased shares | $ 137,000,000 | |||||||
Remaining authorized repurchase amount | $ 88,000,000 | 88,000,000 | ||||||
Repurchase program expiration date | Mar. 31, 2019 | Jan. 1, 2018 | Jan. 1, 2018 | |||||
Maximum | Share Repurchase Program - 2013 | ||||||||
Stockholders Equity Note [Line Items] | ||||||||
Amount authorized for repurchase | $ 225,000,000 | $ 225,000,000 | ||||||
Unvested Restricted Stock Grants | ||||||||
Stockholders Equity Note [Line Items] | ||||||||
Share based compensation, non vested shares | 788,744 | 837,654 | 788,744 | |||||
Fair value of awards granted | $ 15,200,000 | $ 11,300,000 | $ 12,500,000 | |||||
Restricted Stock | Minimum | ||||||||
Stockholders Equity Note [Line Items] | ||||||||
Vesting period of compensation expense | 1 year | |||||||
Restricted Stock | Maximum | ||||||||
Stockholders Equity Note [Line Items] | ||||||||
Vesting period of compensation expense | 3 years |
Equity - Summary of Restricted
Equity - Summary of Restricted Stock Share and Restricted Stock Unit Grant Transactions for Shares, both Vested and Unvested (Detail) - shares | 12 Months Ended | |||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | ||
Reconciliation of Restricted Stock Activity [Line Items] | ||||
Beginning Balance | [1] | 4,091,729 | 3,848,230 | 3,419,861 |
Granted | 317,036 | 269,705 | 447,895 | |
Forfeited | (34,440) | (26,206) | (19,526) | |
Ending Balance | [1] | 4,374,325 | 4,091,729 | 3,848,230 |
[1] | Balance represents cumulative grants net of forfeitures. |
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 | 12 Months Ended | |||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | ||
Earnings Per Share Disclosure [Line Items] | ||||
Weighted average basic common shares outstanding | [1] | 30,857 | 29,225 | 29,156 |
Dilutive effect of restricted stock units | [2] | 157 | 42 | 98 |
Weighted average diluted common shares outstanding | 32,835 | 32,562 | 32,468 | |
2018 Senior Notes | ||||
Earnings Per Share Disclosure [Line Items] | ||||
Dilutive effect of convertible notes | [3] | 1,821 | 3,295 | 3,214 |
[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. No restricted stock and restricted stock units were anti-dilutive for the years ended August 31, 2018, 2017 and 2016. | |||
[2] | 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. | |||
[3] | 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. |
Earnings Per Share - Reconcil_2
Earnings Per Share - Reconciliation of Shares Used in Computation of Basic and Diluted Earnings Per Common Share (Parenthetical) (Detail) - shares | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
2018 Senior Notes | |||
Earnings Per Share Disclosure [Line Items] | |||
Debt instrument, maturity date | Apr. 1, 2018 | ||
Restricted Stock | |||
Earnings Per Share Disclosure [Line Items] | |||
Anti-dilutive shares excluded from calculation | 0 | 0 | 0 |
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 | 12 Months Ended | ||||||||||||||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | ||||||||||||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||||||||||||||||||||||
Net earnings attributable to Greenbrier | $ 30,935 | $ 32,951 | $ 61,642 | $ 26,253 | $ 23,746 | $ 32,823 | $ 34,536 | $ 24,962 | $ 151,781 | $ 116,067 | $ 183,213 | |||||||||||
Earnings before interest and debt issuance costs on convertible notes | $ 153,812 | $ 118,999 | $ 185,908 | |||||||||||||||||||
Weighted average diluted common shares outstanding | 32,835 | 32,562 | 32,468 | |||||||||||||||||||
Diluted earnings per share | $ 0.94 | [1] | $ 1.01 | [1] | $ 1.91 | [1] | $ 0.83 | [1] | $ 0.75 | [2] | $ 1.03 | [2] | $ 1.09 | [2] | $ 0.79 | [2] | $ 4.68 | [1],[3] | $ 3.65 | [2],[3] | $ 5.73 | [3] |
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 | $ 2,031 | $ 2,932 | $ 2,695 | |||||||||||||||||||
[1] | Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are not considered participating securities, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes, during the periods in which they were outstanding, using the "if converted" method in which debt issuance and interest costs, net of tax, were added back to net earnings. The 2018 Convertible notes matured on April 1, 2018. | |||||||||||||||||||||
[2] | Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes using the "if converted" method in which debt issuance and interest costs, net of tax, were added back to net earnings. | |||||||||||||||||||||
[3] | Diluted earnings per share was calculated as follows: Earnings before interest and debt issuance costs on convertible notes Weighted average diluted common shares outstanding |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |||||||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | Aug. 20, 2018 | Jun. 30, 2017 | May 31, 2017 | Apr. 30, 2017 | Aug. 31, 2015 | |
Related Party Transaction [Line Items] | ||||||||
Carrying amount of investment in unconsolidated affiliates | $ 6.1 | |||||||
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 | $ 48 | |||||||
Related party expenses | 0.5 | $ 0.5 | $ 0.8 | |||||
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% | 40.00% | ||||||
GBW Railcar Services LLC | ||||||||
Related Party Transaction [Line Items] | ||||||||
Equity method investment, percentage of ownership interest | 50.00% | 50.00% | 50.00% | |||||
Related party transaction other revenue | $ 5 | 5 | 5 | |||||
Sale of wheel sets and components | 16.5 | 18.3 | 28.5 | |||||
Related party expenses | $ 0.4 | $ 1 | $ 1.3 | |||||
GBW Railcar Services LLC | Watco Companies LLC | ||||||||
Related Party Transaction [Line Items] | ||||||||
Equity method investment, percentage of ownership interest | 50.00% | |||||||
Amsted-Maxion Cruzeiro | ||||||||
Related Party Transaction [Line Items] | ||||||||
Equity method investment, percentage of ownership interest | 24.50% | 24.50% | 19.50% | |||||
Note receivable | $ 10 | |||||||
Greenbrier-Maxion | ||||||||
Related Party Transaction [Line Items] | ||||||||
Equity method investment, percentage of ownership interest | 60.00% | 60.00% | 19.50% | |||||
Note receivable | $ 7.2 |
Income Taxes - Components of In
Income Taxes - Components of Income Tax Expense of Continuing Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Current | |||||||||||
Federal | $ 28,357 | $ 22,710 | $ 66,455 | ||||||||
State | 3,244 | 305 | 4,595 | ||||||||
Foreign | 38,628 | 35,893 | 50,299 | ||||||||
Current Income Tax Expense (Benefit), Total | 70,229 | 58,908 | 121,349 | ||||||||
Deferred | |||||||||||
Federal | (33,459) | 9,418 | (6,199) | ||||||||
State | (344) | (1,467) | (1,174) | ||||||||
Foreign | (3,690) | (2,732) | (1,644) | ||||||||
Total Deferred Income Tax Expense (Benefit) | (37,493) | 5,219 | (9,017) | ||||||||
Change in valuation allowance | 157 | (113) | (10) | ||||||||
Income tax expense | $ 10,115 | $ 15,944 | $ (11,301) | $ 18,135 | $ 10,114 | $ 8,656 | $ 24,858 | $ 20,386 | $ 32,893 | $ 64,014 | $ 112,322 |
Income Taxes - Additional infor
Income Taxes - Additional information (Detail) - USD ($) $ in Millions | 4 Months Ended | 8 Months Ended | 12 Months Ended | |||
Dec. 31, 2017 | Aug. 31, 2018 | Aug. 31, 2019 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Operating Loss Carryforwards [Line Items] | ||||||
Statutory federal corporate tax rate | 35.00% | 21.00% | 25.70% | 35.00% | 35.00% | |
Tax benefit due to remeasurement of deferred tax assets and liabilities | $ 33.6 | |||||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Transition Tax for Accumulated Foreign Earnings, Provisional Income Tax Expense | 6.9 | |||||
Income tax and earnings from unconsolidated affiliates,Domestic u.s. operations | 110.8 | $ 123.2 | $ 264.8 | |||
Income tax and earnings from unconsolidated affiliates,Foreign operations | 112.8 | 113 | $ 130.3 | |||
Net increase (Decrease) in the valuation allowance | 0.1 | |||||
Unrecognized tax benefits, excluding interest | $ 1.6 | 1.6 | 1.8 | |||
Accrued interest related to uncertain tax provisions | 0.2 | 0.2 | ||||
Interest benefit relating to reserves for uncertain tax provisions | $ 0.2 | $ 0.2 | ||||
Maximum | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Transition tax payable period | 8 years | |||||
Scenario Forecast | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Statutory federal corporate tax rate | 21.00% | |||||
State | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Credit carryforwards | 1.5 | $ 1.5 | ||||
Credit carryforwards expiration Year | 2,021 | |||||
Foreign | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Operating loss carryforwards | $ 8.5 | $ 8.5 | ||||
Operating loss carryforwards expiration dates | 2,020 |
Income Taxes - Reconciliation B
Income Taxes - Reconciliation Between Effective and Statutory Tax Rates on Continuing Operations (Detail) | 4 Months Ended | 8 Months Ended | 12 Months Ended | ||
Dec. 31, 2017 | Aug. 31, 2018 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Income Tax [Line Items] | |||||
Federal statutory rate | 35.00% | 21.00% | 25.70% | 35.00% | 35.00% |
State income taxes, net of federal benefit | 0.80% | 0.10% | 0.70% | ||
Foreign operations, excluding transition tax | 1.80% | (3.40%) | 0.10% | ||
Transition tax on foreign earnings | 3.10% | ||||
Remeasurement of domestic deferred taxes | (15.00%) | ||||
Change in valuation allowance | 0.10% | ||||
Noncontrolling interest in flow-through entity | (2.40%) | (6.00%) | (7.40%) | ||
Permanent differences and other | 0.60% | 1.40% | |||
Effective tax rate | 14.70% | 27.10% | 28.40% |
Income Taxes - Tax Effects of T
Income Taxes - Tax Effects of Temporary Differences that give rise to Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 |
Deferred tax assets: | ||
Accrued payroll and related liabilities | $ 18,461 | $ 28,761 |
Deferred revenue | 10,642 | 7,547 |
Inventories and other | 10,518 | 13,641 |
Maintenance and warranty accruals | 7,201 | 10,988 |
Net operating losses | 2,002 | 320 |
Investment and asset tax credits | 1,439 | 1,840 |
Deferred Tax Assets, Gross, Total | 50,263 | 63,097 |
Deferred tax liabilities: | ||
Fixed assets | 70,942 | 110,429 |
Original issue discount | 6,099 | 11,086 |
Intangibles | 2,474 | 3,605 |
Other | 1,831 | (831) |
Investment in GBW Joint Venture | 14,066 | |
Deferred Tax Liabilities, Gross, Total | 81,346 | 138,355 |
Valuation allowance | 657 | 533 |
Net deferred tax liability | $ 31,740 | $ 75,791 |
Income Taxes - Unrecognized Tax
Income Taxes - Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Income Taxes [Line Items] | |||
Unrecognized Tax Benefit - Opening Balance | $ 1,820 | $ 942 | $ 1,019 |
Gross increases - tax positions in prior period | 237 | 1,368 | |
Gross decreases - tax positions in prior period | (449) | (53) | |
Settlements | 0 | 0 | 0 |
Lapse of statute of limitations | (437) | (77) | |
Unrecognized Tax Benefit - Ending Balance | $ 1,608 | $ 1,820 | $ 942 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | Aug. 20, 2018FacilitySegment | Aug. 19, 2018Segment | Aug. 31, 2018 | Aug. 31, 2015 |
Segment Reporting Information [Line Items] | ||||
Number of reportable segments | Segment | 3 | 4 | ||
Number of railcars repair shops returned to business | Facility | 12 | |||
GBW Railcar Services LLC | ||||
Segment Reporting Information [Line Items] | ||||
Equity method investment, percentage of ownership interest | 50.00% | 50.00% | 50.00% |
Segment Information - Segments
Segment Information - Segments Internal Financial Reports (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | ||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | $ 689,206 | $ 641,387 | $ 629,336 | $ 559,535 | $ 611,407 | $ 439,161 | $ 566,282 | $ 552,314 | $ 2,519,464 | [1] | $ 2,169,164 | [1] | $ 2,679,524 | [1] |
Earnings (loss) from operations | 59,134 | 71,539 | 60,870 | 61,442 | 57,780 | 48,472 | 81,520 | 72,660 | 252,985 | 260,432 | 408,552 | |||
Assets | 2,465,464 | 2,397,705 | 2,465,464 | 2,397,705 | 1,835,774 | |||||||||
Depreciation and amortization | 74,356 | 65,129 | 63,345 | |||||||||||
Capital expenditures | 176,848 | 86,065 | 139,013 | |||||||||||
Manufacturing | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | 571,175 | 510,099 | 511,827 | 451,485 | 508,547 | 317,104 | 445,504 | 454,033 | 2,044,586 | 1,725,188 | 2,096,331 | |||
Earnings (loss) from operations | 240,901 | 295,334 | 415,094 | |||||||||||
Wheels, Repair & Parts | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | 85,787 | 94,515 | 88,710 | 78,011 | 75,099 | 85,231 | 82,714 | 69,635 | 347,023 | 312,679 | 322,395 | |||
Earnings (loss) from operations | 16,731 | 14,984 | 19,948 | |||||||||||
Leasing & Services | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | 32,244 | $ 36,773 | $ 28,799 | $ 30,039 | 27,761 | $ 36,826 | $ 38,064 | $ 28,646 | 127,855 | 131,297 | 260,798 | |||
Earnings (loss) from operations | 88,481 | 31,904 | 51,723 | |||||||||||
Operating Segments | Manufacturing | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | 2,162,743 | 1,744,479 | 2,185,489 | |||||||||||
Earnings (loss) from operations | 258,622 | 296,356 | 439,393 | |||||||||||
Assets | 1,020,757 | 914,450 | 1,020,757 | 914,450 | 701,296 | |||||||||
Depreciation and amortization | 44,225 | 33,807 | 27,137 | |||||||||||
Capital expenditures | 59,707 | 54,973 | 51,294 | |||||||||||
Operating Segments | Wheels, Repair & Parts | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | 388,517 | 343,540 | 354,831 | |||||||||||
Earnings (loss) from operations | 19,479 | 17,287 | 22,550 | |||||||||||
Assets | 306,756 | 236,315 | 306,756 | 236,315 | 275,599 | |||||||||
Depreciation and amortization | 10,771 | 11,143 | 11,971 | |||||||||||
Capital expenditures | 5,204 | 3,129 | 10,190 | |||||||||||
Operating Segments | Leasing & Services | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | 139,702 | 143,109 | 273,899 | |||||||||||
Earnings (loss) from operations | 98,777 | 43,003 | 64,824 | |||||||||||
Assets | 578,818 | 535,323 | 578,818 | 535,323 | 516,147 | |||||||||
Depreciation and amortization | 19,360 | 20,179 | 24,237 | |||||||||||
Capital expenditures | 111,937 | 27,963 | 77,529 | |||||||||||
Operating Segments | Unallocated Amount to Segment | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Assets | $ 559,133 | $ 711,617 | 559,133 | 711,617 | 342,732 | |||||||||
Intersegment Eliminations | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | (171,498) | (61,964) | (134,695) | |||||||||||
Earnings (loss) from operations | (30,765) | (14,424) | (40,002) | |||||||||||
Intersegment Eliminations | Manufacturing | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | (118,157) | (19,291) | (89,158) | |||||||||||
Earnings (loss) from operations | (17,721) | (1,022) | (24,299) | |||||||||||
Intersegment Eliminations | Wheels, Repair & Parts | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | (41,494) | (30,861) | (32,436) | |||||||||||
Earnings (loss) from operations | (2,748) | (2,303) | (2,602) | |||||||||||
Intersegment Eliminations | Leasing & Services | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenues | (11,847) | (11,812) | (13,101) | |||||||||||
Earnings (loss) from operations | (10,296) | (11,099) | (13,101) | |||||||||||
Corporate, Non-Segment | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Earnings (loss) from operations | $ (93,128) | $ (81,790) | $ (78,213) | |||||||||||
[1] | Revenue is presented on the basis of geographic location of customers. |
Segment Information - Summary o
Segment Information - Summary of Geographic Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||||||||||
Revenue | $ 689,206 | $ 641,387 | $ 629,336 | $ 559,535 | $ 611,407 | $ 439,161 | $ 566,282 | $ 552,314 | $ 2,519,464 | [1] | $ 2,169,164 | [1] | $ 2,679,524 | [1] | |
Assets | 2,465,464 | 2,397,705 | 2,465,464 | 2,397,705 | 1,835,774 | ||||||||||
UNITED STATES | |||||||||||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||||||||||
Revenue | [1] | 1,840,877 | 1,674,517 | 2,297,501 | |||||||||||
Assets | 1,677,144 | 1,307,239 | 1,677,144 | 1,307,239 | 955,674 | ||||||||||
Foreign | |||||||||||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||||||||||
Revenue | [1] | 678,587 | 494,647 | 382,023 | |||||||||||
Mexico | |||||||||||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||||||||||
Assets | 517,543 | 791,974 | 517,543 | 791,974 | 788,878 | ||||||||||
Europe | |||||||||||||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||||||||||||
Assets | $ 270,777 | $ 298,492 | $ 270,777 | $ 298,492 | $ 91,222 | ||||||||||
[1] | Revenue is presented on the basis of geographic location of customers. |
Segment Information - Reconcili
Segment Information - Reconciliation of Earnings from Operations to Earnings Before Income Tax and Earnings (Loss) from Unconsolidated Affiliates (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Segment Reporting, Other Significant Reconciling Item [Line Items] | |||||||||||
Earnings from operations | $ 59,134 | $ 71,539 | $ 60,870 | $ 61,442 | $ 57,780 | $ 48,472 | $ 81,520 | $ 72,660 | $ 252,985 | $ 260,432 | $ 408,552 |
Interest and foreign exchange | 8,786 | 6,533 | 7,029 | 7,020 | 8,901 | 7,894 | 5,673 | 1,724 | 29,368 | 24,192 | 13,502 |
Earnings before income tax and earnings (loss) from unconsolidated affiliates | $ 50,348 | $ 65,006 | $ 53,841 | $ 54,422 | $ 48,879 | $ 40,578 | $ 75,847 | $ 70,936 | $ 223,617 | $ 236,240 | $ 395,050 |
Segment Information - Results o
Segment Information - Results of Operations for GBW Joint Venture (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | ||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenue | $ 689,206 | $ 641,387 | $ 629,336 | $ 559,535 | $ 611,407 | $ 439,161 | $ 566,282 | $ 552,314 | $ 2,519,464 | [1] | $ 2,169,164 | [1] | $ 2,679,524 | [1] |
Earnings (loss) from operations | 59,134 | $ 71,539 | $ 60,870 | $ 61,442 | 57,780 | $ 48,472 | $ 81,520 | $ 72,660 | 252,985 | 260,432 | 408,552 | |||
Assets | 2,465,464 | 2,397,705 | 2,465,464 | 2,397,705 | 1,835,774 | |||||||||
Capital expenditures | 176,848 | 86,065 | 139,013 | |||||||||||
GBW Railcar Services LLC | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Revenue | 238,033 | 253,436 | 373,490 | |||||||||||
Earnings (loss) from operations | (46,783) | (32,454) | 8,558 | |||||||||||
Assets | $ 8,531 | $ 206,009 | 8,531 | 206,009 | 247,610 | |||||||||
Depreciation and amortization | 8,932 | 9,023 | 7,676 | |||||||||||
Capital expenditures | $ 8,514 | $ 8,030 | $ 16,110 | |||||||||||
[1] | Revenue is presented on the basis of geographic location of customers. |
Customer Concentration - Additi
Customer Concentration - Additional Information (Detail) | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Customer Concentration Risk | Sales Revenue, Net | Customer One Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 20.00% | 20.00% | 17.00% |
Customer Concentration Risk | Sales Revenue, Net | Customer Two Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 11.00% | 14.00% | |
Credit Concentration Risk | Accounts Receivable | Customer One Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 19.00% | 13.00% | |
Credit Concentration Risk | Accounts Receivable | Customer Two Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 13.00% | ||
Credit Concentration Risk | Accounts Receivable | Customer Three Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 10.00% |
Lease Commitments - Additional
Lease Commitments - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | |
Railcar Equipment | |||
Lessee, Lease, Description [Line Items] | |||
Lease expense | $ 7.5 | $ 7.6 | $ 6.6 |
Domestic railcar repair facilities, office space and certain manufacturing and office equipment | |||
Lessee, Lease, Description [Line Items] | |||
Lease expense | $ 8.7 | $ 9.4 | $ 9.3 |
Lease Commitments - Aggregate M
Lease Commitments - Aggregate Minimum Future Amounts Payable Under Non-Cancelable Railcar Equipment Leases (Detail) - Railcar Equipment $ in Thousands | Aug. 31, 2018USD ($) |
Operating Leased Assets [Line Items] | |
2,019 | $ 6,287 |
2,020 | 4,839 |
2,021 | 1,821 |
2,022 | 1,792 |
2,023 | 1,792 |
Thereafter | 1,810 |
Operating Leases, Future Minimum Payments Due | $ 18,341 |
Lease Commitments - Aggregate_2
Lease Commitments - Aggregate Minimum Future Amounts Payable Under Non-Cancelable Operating Leases (Detail) - Domestic railcar repair facilities, office space and certain manufacturing and office equipment $ in Thousands | Aug. 31, 2018USD ($) |
Operating Leased Assets [Line Items] | |
2,019 | $ 6,048 |
2,020 | 4,437 |
2,021 | 3,286 |
2,022 | 1,915 |
2,023 | 1,862 |
Thereafter | 196 |
Operating Leases, Future Minimum Payments Due, Total | $ 17,744 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | Jan. 06, 2017USD ($)Segment | Aug. 31, 2018USD ($) | Dec. 31, 2016USD ($) | Nov. 30, 2016USD ($) |
Commitments and Contingencies Disclosure [Line Items] | ||||
Remedial investigation and feasibility study | $ 110,000,000 | |||
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 | Minimum | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Accuracy of cost estimate | (30.00%) | |||
Portland Harbor Site | Maximum | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Accuracy of cost estimate | 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 | 7,200,000 | |||
Commercial Litigation in a Foreign Jurisdictions | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Adverse judgment | $ 15,000,000 | |||
Adverse judgment settlement amount | $ 10,000,000 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Fair Value of Financial Instruments (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 | |
Carrying (Reported) Amount, Fair Value Disclosure | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable | [1] | $ 469,721 | $ 597,604 |
Estimate of Fair Value, Fair Value Disclosure | Fair Value, Inputs, Level 2 | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Notes payable | $ 517,925 | $ 644,708 | |
[1] | Carrying amount disclosed in this table excludes debt discount and debt issuance costs. |
Fair Value Measures - Assets an
Fair Value Measures - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Aug. 31, 2018 | Aug. 31, 2017 |
Assets: | ||
Nonqualified savings plan investments | $ 26,299 | $ 20,974 |
Fair Value, Measurements, Recurring | ||
Assets: | ||
Derivative financial instruments | 1,557 | 3,814 |
Nonqualified savings plan investments | 26,299 | 20,974 |
Cash equivalents | 126,430 | 105,337 |
Assets, Fair Value Disclosure, Total | 154,286 | 130,125 |
Liabilities: | ||
Derivative financial instruments | 1,566 | 2,886 |
Fair Value, Inputs, Level 1 | Fair Value, Measurements, Recurring | ||
Assets: | ||
Nonqualified savings plan investments | 26,299 | 20,974 |
Cash equivalents | 126,430 | 105,337 |
Assets, Fair Value Disclosure, Total | 152,729 | 126,311 |
Fair Value, Inputs, Level 2 | Fair Value, Measurements, Recurring | ||
Assets: | ||
Derivative financial instruments | 1,557 | 3,814 |
Assets, Fair Value Disclosure, Total | 1,557 | 3,814 |
Liabilities: | ||
Derivative financial instruments | $ 1,566 | $ 2,886 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) ر.س in Billions | Oct. 26, 2018USD ($) | Oct. 26, 2018SAR (ر.س) | Sep. 30, 2018USD ($) | Mar. 31, 2014 | Aug. 31, 2018USD ($) |
Subsequent Events [Line Items] | |||||
Swap agreement interest rate | 50.00% | ||||
Fixed interest rate | 3.74% | ||||
Term Loan | |||||
Subsequent Events [Line Items] | |||||
Senior term debt | $ 200,000,000 | ||||
Subsequent Event | |||||
Subsequent Events [Line Items] | |||||
Periodic payment | $ 1,970,000 | ||||
Swap agreement interest rate | 50.00% | ||||
Fixed interest rate | 2.99% | ||||
Subsequent Event | Saudi Railway Company | |||||
Subsequent Events [Line Items] | |||||
Investment in joint venture | $ 270,000,000 | ر.س 1 | |||
Subsequent Event | Term Loan | |||||
Subsequent Events [Line Items] | |||||
Senior term debt | $ 170,000,000 | ||||
Subsequent Event | New Five Year Term Loan | |||||
Subsequent Events [Line Items] | |||||
Senior term debt | $ 225,000,000 | ||||
LIBOR | |||||
Subsequent Events [Line Items] | |||||
Debt instrument, percentage points added to the reference rate | 1.75% | ||||
LIBOR | Subsequent Event | |||||
Subsequent Events [Line Items] | |||||
Debt instrument, percentage points added to the reference rate | 1.50% | ||||
Prime Rate | Subsequent Event | |||||
Subsequent Events [Line Items] | |||||
Debt instrument, percentage points added to the reference rate | 0.50% | ||||
Revolving Line of Credit, 1st Component of Senior Secured Credit Facilities | |||||
Subsequent Events [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 | Subsequent Event | |||||
Subsequent Events [Line Items] | |||||
Line of credit facility maximum capacity | $ 600,000,000 | ||||
Line of credit maturity date | 2023-09 | ||||
Revolving Line of Credit, 1st Component of Senior Secured Credit Facilities | LIBOR | |||||
Subsequent Events [Line Items] | |||||
Debt instrument, percentage points added to the reference rate | 1.75% | ||||
Revolving Line of Credit, 1st Component of Senior Secured Credit Facilities | LIBOR | Subsequent Event | |||||
Subsequent Events [Line Items] | |||||
Debt instrument, percentage points added to the reference rate | 1.50% | ||||
Revolving Line of Credit, 1st Component of Senior Secured Credit Facilities | Prime Rate | |||||
Subsequent Events [Line Items] | |||||
Debt instrument, percentage points added to the reference rate | 0.75% | ||||
Revolving Line of Credit, 1st Component of Senior Secured Credit Facilities | Prime Rate | Subsequent Event | |||||
Subsequent Events [Line Items] | |||||
Debt instrument, percentage points added to the reference rate | 0.50% |
Quarterly Results of Operatio_3
Quarterly Results of Operations (Unaudited) - Quarterly Results of Operations (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
Aug. 31, 2018 | May 31, 2018 | Feb. 28, 2018 | Nov. 30, 2017 | Aug. 31, 2017 | May 31, 2017 | Feb. 28, 2017 | Nov. 30, 2016 | Aug. 31, 2018 | Aug. 31, 2017 | Aug. 31, 2016 | ||||||||||||
Revenue | ||||||||||||||||||||||
Revenue | $ 689,206 | $ 641,387 | $ 629,336 | $ 559,535 | $ 611,407 | $ 439,161 | $ 566,282 | $ 552,314 | $ 2,519,464 | [1] | $ 2,169,164 | [1] | $ 2,679,524 | [1] | ||||||||
Cost of revenue | ||||||||||||||||||||||
Cost of revenue | 583,319 | 532,880 | 523,989 | 470,221 | 511,485 | 349,460 | 447,357 | 439,563 | 2,110,409 | 1,747,865 | 2,128,087 | |||||||||||
Margin | 105,887 | 108,507 | 105,347 | 89,314 | 99,922 | 89,701 | 118,925 | 112,751 | 409,055 | 421,299 | 551,437 | |||||||||||
Selling and administrative | 51,309 | 51,793 | 50,294 | 47,043 | 47,089 | 42,810 | 39,495 | 41,213 | 200,439 | 170,607 | 158,681 | |||||||||||
Net gain on disposition of equipment | (4,556) | (14,825) | (5,817) | (19,171) | (4,947) | (1,581) | (2,090) | (1,122) | (44,369) | (9,740) | (15,796) | |||||||||||
Earnings from operations | 59,134 | 71,539 | 60,870 | 61,442 | 57,780 | 48,472 | 81,520 | 72,660 | 252,985 | 260,432 | 408,552 | |||||||||||
Selling and administrative | 51,309 | 51,793 | 50,294 | 47,043 | 47,089 | 42,810 | 39,495 | 41,213 | 200,439 | 170,607 | 158,681 | |||||||||||
Net gain on disposition of equipment | (4,556) | (14,825) | (5,817) | (19,171) | (4,947) | (1,581) | (2,090) | (1,122) | (44,369) | (9,740) | (15,796) | |||||||||||
Earnings from operations | 59,134 | 71,539 | 60,870 | 61,442 | 57,780 | 48,472 | 81,520 | 72,660 | 252,985 | 260,432 | 408,552 | |||||||||||
Other costs | ||||||||||||||||||||||
Interest and foreign exchange | 8,786 | 6,533 | 7,029 | 7,020 | 8,901 | 7,894 | 5,673 | 1,724 | 29,368 | 24,192 | 13,502 | |||||||||||
Earnings before income tax and earnings (loss) from unconsolidated affiliates | 50,348 | 65,006 | 53,841 | 54,422 | 48,879 | 40,578 | 75,847 | 70,936 | 223,617 | 236,240 | 395,050 | |||||||||||
Income tax expense | (10,115) | (15,944) | 11,301 | (18,135) | (10,114) | (8,656) | (24,858) | (20,386) | (32,893) | (64,014) | (112,322) | |||||||||||
Earnings (loss) from unconsolidated affiliates | (3,075) | (12,823) | 147 | (2,910) | (6,511) | (681) | (1,988) | (2,584) | (18,661) | (11,764) | 2,096 | |||||||||||
Net earnings | 37,158 | 36,239 | 65,289 | 33,377 | 32,254 | 31,241 | 49,001 | 47,966 | 172,063 | 160,462 | 284,824 | |||||||||||
Net earnings attributable to noncontrolling interest | (6,223) | (3,288) | (3,647) | (7,124) | (8,508) | 1,582 | (14,465) | (23,004) | (20,282) | (44,395) | (101,611) | |||||||||||
Net earnings attributable to Greenbrier | $ 30,935 | $ 32,951 | $ 61,642 | $ 26,253 | $ 23,746 | $ 32,823 | $ 34,536 | $ 24,962 | $ 151,781 | $ 116,067 | $ 183,213 | |||||||||||
Basic earnings per common share | $ 0.95 | [2] | $ 1.03 | [2] | $ 2.10 | [2] | $ 0.90 | [2] | $ 0.81 | [3] | $ 1.12 | [3] | $ 1.19 | [3] | $ 0.86 | [3] | $ 4.92 | [2] | $ 3.97 | [3] | $ 6.28 | |
Diluted earnings per common share | 0.94 | [2] | 1.01 | [2] | 1.91 | [2] | 0.83 | [2] | 0.75 | [3] | 1.03 | [3] | 1.09 | [3] | 0.79 | [3] | 4.68 | [2],[4] | 3.65 | [3],[4] | 5.73 | [4] |
Basic earnings per common share | 0.95 | [2] | 1.03 | [2] | 2.10 | [2] | 0.90 | [2] | 0.81 | [3] | 1.12 | [3] | 1.19 | [3] | 0.86 | [3] | 4.92 | [2] | 3.97 | [3] | 6.28 | |
Diluted earnings per common share | $ 0.94 | [2] | $ 1.01 | [2] | $ 1.91 | [2] | $ 0.83 | [2] | $ 0.75 | [3] | $ 1.03 | [3] | $ 1.09 | [3] | $ 0.79 | [3] | $ 4.68 | [2],[4] | $ 3.65 | [3],[4] | $ 5.73 | [4] |
Manufacturing | ||||||||||||||||||||||
Revenue | ||||||||||||||||||||||
Revenue | $ 571,175 | $ 510,099 | $ 511,827 | $ 451,485 | $ 508,547 | $ 317,104 | $ 445,504 | $ 454,033 | $ 2,044,586 | $ 1,725,188 | $ 2,096,331 | |||||||||||
Cost of revenue | ||||||||||||||||||||||
Cost of revenue | 489,517 | 427,875 | 429,165 | 380,850 | 425,531 | 245,228 | 346,653 | 356,555 | 1,727,407 | 1,373,967 | 1,630,554 | |||||||||||
Earnings from operations | 240,901 | 295,334 | 415,094 | |||||||||||||||||||
Earnings from operations | 240,901 | 295,334 | 415,094 | |||||||||||||||||||
Wheels, Repair & Parts | ||||||||||||||||||||||
Revenue | ||||||||||||||||||||||
Revenue | 85,787 | 94,515 | 88,710 | 78,011 | 75,099 | 85,231 | 82,714 | 69,635 | 347,023 | 312,679 | 322,395 | |||||||||||
Cost of revenue | ||||||||||||||||||||||
Cost of revenue | 79,266 | 85,850 | 80,708 | 72,506 | 69,876 | 77,985 | 75,497 | 64,978 | 318,330 | 288,336 | 293,751 | |||||||||||
Earnings from operations | 16,731 | 14,984 | 19,948 | |||||||||||||||||||
Earnings from operations | 16,731 | 14,984 | 19,948 | |||||||||||||||||||
Leasing & Services | ||||||||||||||||||||||
Revenue | ||||||||||||||||||||||
Revenue | 32,244 | 36,773 | 28,799 | 30,039 | 27,761 | 36,826 | 38,064 | 28,646 | 127,855 | 131,297 | 260,798 | |||||||||||
Cost of revenue | ||||||||||||||||||||||
Cost of revenue | $ 14,536 | $ 19,155 | $ 14,116 | $ 16,865 | $ 16,078 | $ 26,247 | $ 25,207 | $ 18,030 | 64,672 | 85,562 | 203,782 | |||||||||||
Earnings from operations | 88,481 | 31,904 | 51,723 | |||||||||||||||||||
Earnings from operations | $ 88,481 | $ 31,904 | $ 51,723 | |||||||||||||||||||
[1] | Revenue is presented on the basis of geographic location of customers. | |||||||||||||||||||||
[2] | Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are not considered participating securities, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes, during the periods in which they were outstanding, using the "if converted" method in which debt issuance and interest costs, net of tax, were added back to net earnings. The 2018 Convertible notes matured on April 1, 2018. | |||||||||||||||||||||
[3] | Quarterly amounts do not total to the year to date amount as each period is calculated discretely. Diluted earnings per common share includes the dilutive effect of the 2024 Convertible Notes using the treasury stock method when dilutive, restricted stock units that are subject to performance criteria for which actual levels of performance above target have been achieved and the dilutive effect of shares underlying the 2018 Convertible Notes using the "if converted" method in which debt issuance and interest costs, net of tax, were added back to net earnings. | |||||||||||||||||||||
[4] | Diluted earnings per share was calculated as follows: Earnings before interest and debt issuance costs on convertible notes Weighted average diluted common shares outstanding |