Key Points – Cash generation and leverage improved significantly: L.B.
Foster generated $17.9 million in second-quarter cash, reduced net debt by $13.5 million, and lowered gross leverage to 1.0x from 2.2x a year earlier
The company reaffirmed its full-year guidance, including projected free cash flow of $15 million to $25 million. – Quarterly results were mixed: Revenue fell 3.5% to $138.6 million and adjusted EBITDA declined 4.7% to $11.7 million, primarily because Rail Products orders shifted into the first quarter and employment costs rose. First-half sales increased 7.6% and adjusted EBITDA grew 19.6%. – Backlog and outlook remain supportive despite pockets of weakness: Consolidated backlog rose 17.4% sequentially to $246.1 million, with at least 80% expected to be completed by the end of 2026. Rail backlog increased year over year, while Infrastructure backlog declined due partly to a canceled pipeline coating order, though it improved in July.
L.B. Foster (NASDAQ:FSTR) reported second-quarter 2026 results marked by strong cash generation, lower debt and improved first-half profitability, while quarterly revenue and adjusted EBITDA declined modestly as sales timing shifted and personnel costs rose. President and CEO John Kasel said the company generated $17.9 million in cash during the quarter, its highest second-quarter cash generation since 2017.