L.B. Foster Reports Ongoing Sales Increase and Strong Cash Flow in Fiscal Third Quarter, Anticipates Solid Conclusion to 2025
Third Quarter Sales Performance: L.B. Foster Company reported a 0.6% increase in net sales for Q3 2025 compared to the previous year, driven by a 4.4% rise in the Infrastructure segment, while Rail sales decreased by 2.2%.
Backlog and New Orders: The company's backlog rose to $247.4 million, an 18.4% increase year-over-year, with significant growth in Rail business units, particularly a 59.9% increase in Rail Products.
Financial Metrics: Operating cash flow for the quarter was $29.2 million, with free cash flow at $26.4 million, contributing to a reduction in total debt and a gross leverage ratio of 1.6x.
Future Outlook: The company anticipates a strong fourth quarter, projecting a 115% increase in Adjusted EBITDA on 25% sales growth, supported by improved demand in the Rail segment and a focus on cost containment.
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Validea's Upgrades: Validea's Price/Sales Investor model, based on Kenneth Fisher's strategy, has upgraded several stocks, indicating improved ratings due to strong fundamentals and valuations.
NACCO Industries: The rating for NACCO Industries Inc. increased from 48% to 70%, reflecting its position as a small-cap value stock in the Coal industry with solid fundamentals.
Primoris Services Corp: Primoris Services Corp's rating rose from 60% to 80%, highlighting its growth potential in the Construction Services industry, driven by its critical infrastructure services.
OraSure Technologies: OraSure Technologies Inc. saw its rating improve from 58% to 70%, showcasing its growth in the Biotechnology & Drugs sector through innovative health diagnostics solutions.
- Conference Schedule: L.B. Foster Company's CEO John Kasel and CFO Bill Thalman will present virtually at the Sidoti Year-End Conference on December 10, 2025, at 9:15 AM ET, aimed at showcasing the company's latest developments to investors.
- Second Conference: Bill Thalman and Corporate Controller Sean Reilly will present at the Singular Research Best of the Uncovereds Conference on December 11, 2025, at 11:00 AM ET, further enhancing the company's engagement with investors.
- Material Release: Presentation materials will be posted on the company's Investor Relations website on the morning of the conferences, ensuring investors have timely access to relevant information and enhancing transparency.
- Video Replay: The Sidoti conference video replay will be available online for 90 days, while the Singular Research conference will offer a 30-day replay, allowing investors who could not attend live to catch up on the presentations.
Validea's Upgrades: Today's upgrades for Validea's Price/Sales Investor model highlight significant changes in stock ratings for several companies based on Kenneth Fisher's investment strategy, which favors low P/S ratios and strong fundamentals.
Archer-Daniels-Midland Co (ADM): The rating for ADM, a large-cap growth stock in the Food Processing industry, improved from 50% to 80%, indicating strong interest due to its solid fundamentals and valuation.
Commercial Metals Co (CMC): CMC, a mid-cap growth stock in the Construction Supplies industry, saw its rating rise from 50% to 90%, reflecting strong underlying fundamentals and valuation metrics.
L.B. Foster Co (FSTR): FSTR, a small-cap growth stock in the Railroads industry, also experienced a rating increase from 60% to 90%, suggesting strong interest based on its fundamentals and valuation.

Third Quarter Sales Performance: L.B. Foster Company reported a 0.6% increase in net sales for Q3 2025 compared to the previous year, driven by a 4.4% rise in the Infrastructure segment, while Rail sales decreased by 2.2%.
Backlog and New Orders: The company's backlog rose to $247.4 million, an 18.4% increase year-over-year, with significant growth in Rail business units, particularly a 59.9% increase in Rail Products.
Financial Metrics: Operating cash flow for the quarter was $29.2 million, with free cash flow at $26.4 million, contributing to a reduction in total debt and a gross leverage ratio of 1.6x.
Future Outlook: The company anticipates a strong fourth quarter, projecting a 115% increase in Adjusted EBITDA on 25% sales growth, supported by improved demand in the Rail segment and a focus on cost containment.

Earnings Expectations: L.B. Foster is set to report earnings, with analysts expecting a 12.3% revenue growth to $154.4 million and adjusted earnings of $0.62 per share, following a mixed previous quarter.
Market Performance: The company has seen a 3.1% increase in share price over the past month, with an average analyst price target of $28, slightly above the current price of $27.40.
Peer Comparisons: Competitors like Columbus McKinnon and GE Aerospace have reported strong revenue growth, indicating a positive trend in the general industrial machinery sector.
Investment Insights: The article suggests that young investors may benefit from understanding historical market trends, particularly in technology, as they consider future investments in generative AI and enterprise software stocks.

Cleveland-Cliffs Quarterly Performance: Cleveland-Cliffs reported a quarterly loss of $0.45 per share, slightly better than the expected loss of $0.48, and revenues of $4.73 billion, missing estimates by 3.12%. The company has surpassed consensus EPS estimates two out of the last four quarters.
Stock Outlook and Industry Context: The stock currently holds a Zacks Rank #4 (Sell) due to unfavorable earnings estimate revisions, suggesting it may underperform the market. The Steel - Producers industry is ranked in the bottom 37% of Zacks industries, indicating potential challenges ahead for Cleveland-Cliffs.








