About Westinghouse Air Brake Technologies

Westinghouse Air Brake Technologies Corporation, doing business as Wabtec Corporation, operates as a global provider of value-added, technology-based locomotives, equipment, systems and services for the freight rail and passenger transit industries, and the mining, marine, and industrial markets. The company primarily serves the global freight rail and passenger transit industries. Its highly engineered products can be found on most locomotives, freight cars, passenger transit cars and buses around the world. Business Segments and Products The company provides its products and services through two principal business segments, the Freight Segment and the Transit Segment. The Freight Segment primarily manufactures new and modernized locomotives; provides aftermarket parts and services to existing locomotives; provides components to new and existing freight cars; builds new commuter locomotives; supplies rail control and infrastructure products, including electronics, positive train control equipment, signal design and engineering services; provides a comprehensive suite of software-enabled solutions designed to improve customer safety, efficiency and productivity in the transportation and mining industries; overhauls locomotives; and provides heat exchangers and cooling systems for rail and other industrial markets. Customers include large, publicly traded railroads, leasing companies, manufacturers of original equipment, such as locomotives and freight cars, utilities, and companies in the mining, marine, and industrial markets. The company is a global manufacturer of diesel-electric locomotives for freight railroads producing essential products and solutions that help railroads reduce operating costs, decrease fuel use, minimize downtime and comply with emissions standards. As a result of the large base of nearly 24,000 locomotives in use, Wabtec's Services product lines of modernizing, rebuilding and overhauling, remanufacturing, maintaining, and exchanging locomotives and components in the aftermarkets provides a significant, recurring revenue stream. The Transit Segment primarily manufactures and services components for new and existing passenger transit vehicles, typically regional trains, high speed trains, subway cars, light-rail vehicles and buses; supplies rail control and infrastructure products, including electronics, signal design and engineering services; and refurbishes passenger transit vehicles. Customers include public transit authorities and municipalities, leasing companies, and manufacturers of passenger transit vehicles and buses around the world. The following is a summary of the company’s primary products and services in both aftermarket and original equipment across both of the company’s business segments: Equipment: Diesel-electric, battery, and liquid natural gas powered locomotives for freight and transit; engines, electric motors and premium propulsion systems used in locomotives, mining, marine, stationary power and drilling applications; and marine and mining products. Digital Intelligence Products: Positive Train Control (‘PTC’) equipment and electronically controlled pneumatic braking products; railway electronics, including event recorders, monitoring equipment and end of train devices; signal design and engineering services; train performance such as distributed locomotive power, train 'cruise control', and train remote control; transport intelligence such as industrial/mobile internet of things (iot) hardware & software, edge-to-cloud, on and off-board analytics & rules, and asset performance management; transport logistics such as rail and shipper transportation management and port visibility and optimization; and network optimization such as rail network scheduling, dispatch and optimization, intermodal, terminal management and optimization, and rail yard management and optimization. Components: Freight car trucks and braking equipment and related components for freight applications; air compressors and dryers; heat transfer components and systems for diesel and gas engine cooling, generator and transformer coolers and high temperature applications; track and switch products; new commuter and switcher locomotives; and turbochargers for industrial and aftermarket vehicle applications. Services: Freight locomotive overhauls, modernizations and refurbishment; master service agreements for locomotive and car maintenance; transit locomotive and car overhaul; unit exchange of locomotive components; and maintenance of way equipment and services. Transit Products: Railway and freight braking equipment and related components, including high-speed passenger transit vehicles; friction products, including brake shoes, discs and pads; heating, ventilation and air conditioning equipment; access doors and platform screen doors; pantographs; auxiliary power converter and battery charging; passenger information systems and closed-circuit television; signaling and railway electric relays; and doors, window assemblies, accessibility lifts, ramps and electric charging solutions for buses. Wabtec is utilizing a flexible and growing portfolio of freight rail and passenger transit products and innovative technologies to support customers’ sustainability goals and targets. From pioneering advancements to current signaling systems and network efficiency solutions, the company is striving to increase the rail capacity to move more freight by train. Wabtec is working to reduce existing locomotive fleet emissions through fuel-efficiency solutions and testing renewable diesel and biofuels. The company is developing advanced propulsion technologies such as the first heavy-haul 100% battery electric locomotive. In 2023, Wabtec secured several orders for new battery-electric locomotives and modernizations that will upgrade existing fleets to help the company’s customers extend the service life of their fleet and improve performance and reliability. The company is also conducting collaborative research and development efforts with the National Laboratories to support the use of hydrogen to lower emissions across the rail industry. In 2023, Norfolk Southern recognized Wabtec’s innovations in modernizing locomotives with its inaugural Thoroughbred Sustainability Partner Award in recognition of energy efficiency, innovation, and environmental stewardship. Wabtec also is implementing energy-reducing technologies for the passenger transit sector. In 2022, Wabtec received sustainability awards from both the German Ministry of Transportation and Deutsche Bahn and for the company’s Green Air heating, ventilation, and air conditioning (HVAC) solution. In recent years, the company has also introduced a number of significant new products, including PTC equipment that encompasses onboard digital data and global positioning communication protocols. The company is making additional investments in this technology, which will provide customers with opportunities to improve safety and efficiency, in part through data analytics solutions. During 2023, Wabtec also expanded the Digital Intelligence portfolio with entry into the railcar telematics market. The company’s comprehensive product portfolio and service offerings span the freight rail and passenger transit industries, as well as the bus, mining, marine, and industrial markets, which help Wabtec balance the cyclical nature of the global rail business. The company provides its products in both the original equipment market and the aftermarket. The company’s substantial installed base of products with end-users, such as the railroads and the passenger transit authorities, is a significant competitive advantage for providing products and services to the aftermarket because these customers often look to purchase safety- and performance-related replacement parts and technology upgrades from the original equipment components supplier. Wabtec has an installed base of nearly 24,000 locomotives, as well as a diverse offering of Transit locomotives and cars both internationally and domestically. The company’s significant installed base enables opportunities in the aftermarket parts and services business. Business Strategy The company’s growth strategies are to accelerate innovation of scalable technologies; grow and refresh expansive installed base; lead the decarbonization of rail; expand high-margin recurring revenue streams; and drive continuous operational improvement. Intellectual Property The company has more than 6,500 active patents worldwide and files for approximately 300 new patents each year. Customers The company provides products and services for more than 500 customers worldwide. The company’s customers include passenger transit authorities and railroads throughout North America, Europe, the Asia Pacific, Africa and South America; manufacturers of transportation equipment, such as locomotives, freight cars, passenger transit vehicles and buses and companies that own, lease, and maintain such equipment, as well as customers in the mining, marine, and industrial markets. Engineering and Development To execute the company’s strategy to develop new products, the company invests in a variety of engineering and development activities. For the year ended December 31, 2023, the company invested $218 million in engineering for product development and improvement activities. Competition Within North America, New York Air Brake Company, a subsidiary of the German air brake producer Knorr-Bremse AG (‘Knorr’) and Amsted Rail Company, Inc., a subsidiary of Amsted Industries Corporation, are the company’s principal overall OEM competitors. The company’s primary competition for locomotives is Electro-Motive Diesel, owned by a subsidiary of Caterpillar. The company’s primary competition for freight and passenger transit service and repair is mostly from the railroads’ and passenger transit authorities’ in-house operations and Knorr. Outside of North America, Knorr is the company’s main competitor. History Westinghouse Air Brake Technologies Corporation was founded in 1869. The company was incorporated in 1989.

Country
Industry:
Railroad equipment
Founded:
1869
IPO Date:
06/16/1995
ISIN Number:
I_US9297401088
Address:
30 Isabella Street, Pittsburgh, Pennsylvania, 15212, United States
Phone Number
412 825 1000

Key Executives

CEO:
Santana, Rafael
CFO
Olin, John
COO:
Sbrocco, Greg