FreightCar America Shares Fall After 1Q Results

CHICAGO (AP) — Shares of FreightCar America Inc. plunged Tuesday after the railroad freight car maker reported first-quarter profit above analyst estimates, but its revenue widely missed expectations.

The company said it earned almost $2.6 million, or 22 cents per share, compared with a loss of $10.2 million, or 87 cents per share, during the same period last year. Revenue was $39.6 million, down from $95.1 million a year ago.

Analysts surveyed by Thomson Reuters expected a profit of 13 cents per share on revenue of $109.9 million.

FreightCar America Chief Executive Chris Ragot said the company remains in a cost-cutting mode, with first-quarter selling, general, and administrative expenses 15 percent below the same period last year.

"We will continue to assess market conditions and are prepared to make further reductions as necessary," he said.

The company said it has $130 million in cash and $110 million in undrawn credit lines.

FreightCar shares fell $2.14, or 10.6 percent, to $18.10 in afternoon trading. The stock has ranged from $14.05 to $45.32 over the past year.