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CHICAGO--(BUSINESS WIRE)--Apr 25, 2023--
GATX Corporation (NYSE:GATX) today reported 2023 first-quarter net income of $77.4 million, or $2.16 per diluted share, compared to net income of $75.8 million, or $2.10 per diluted share, in the first quarter of 2022. The 2023 first-quarter results included a net negative impact of $1.3 million, or $0.04 per diluted share, from Tax Adjustments and Other Items. The 2022 first-quarter results included a net negative impact of $8.5 million, or $0.24 per diluted share, from Tax Adjustments and Other Items. Details related to Tax Adjustments and Other Items are provided in the attached Supplemental Information.
"Consistent with our expectations coming into the year, demand across our global railcar fleets remains robust," said Robert C. Lyons, president and chief executive officer of GATX. "At Rail North America, fleet utilization remained high at 99.3% at the end of the first quarter and the renewal success rate during the quarter was 77.9%. The renewal lease rate change of GATX’s Lease Price Index was positive 34.3%. We continue to capitalize on current market conditions by increasing renewal lease rates and lengthening lease terms, thereby locking in high-quality, long-term cash flow.
"During the first quarter, we continued to identify attractive investment opportunities in North America. In addition to successfully placing deliveries of new railcars under our existing and new supply agreements, we acquired over 1,000 railcars in the secondary market that are on long-term leases with attractive rates.
"Rail International performed well, with Rail Europe experiencing higher renewal lease rates versus expiring rates for most car types. Furthermore, we are making progress on our goal of growing and diversifying our fleets in Europe and India, adding a combined total of nearly 1,000 newly built cars in the first quarter. At Portfolio Management, results were driven by improved performance at our Rolls-Royce and Partners Finance affiliates as global air travel continues to recover."
Mr. Lyons concluded, “Based on our solid start in the first quarter, our 2023 full-year earnings estimate remains unchanged at $6.50–$6.90 per diluted share, excluding the impact of Tax Adjustments and Other Items.”
RAIL NORTH AMERICA
Rail North America reported segment profit of $95.2 million in the first quarter of 2023, compared to $120.4 million in the first quarter of 2022. Lower segment profit was primarily the result of lower gains on asset dispositions, partially offset by higher lease revenue.
At March 31, 2023, Rail North America’s wholly owned fleet was composed of approximately 110,000 cars, including approximately 8,800 boxcars. The following fleet statistics and performance discussion exclude the boxcar fleet.
Fleet utilization was 99.3% at the end of the first quarter, compared to 99.5% at the end of the prior quarter and 99.3% at the end of the first quarter of 2022. During the first quarter of 2023, the GATX Lease Price Index (LPI), a weighted-average lease renewal rate for a group of railcars representative of Rail North America’s fleet, was positive 34.3%. This compares to an LPI of positive 29.7% in the prior quarter and positive 9.3% in the first quarter of 2022. The average lease renewal term for all cars included in the LPI during the first quarter was 37 months, compared to 34 months in the prior quarter and 30 months in the first quarter of 2022. The 2023 first-quarter renewal success rate was 77.9%, compared to 85.7% in the prior quarter, and 80.0% in the first quarter of 2022. Rail North America’s investment volume during the first quarter was $296.5 million.
Additional fleet statistics, including information on the boxcar fleet, and macroeconomic data related to Rail North America’s business are provided on the last page of this press release.
RAIL INTERNATIONAL
Rail International’s segment profit was $23.5 million in the first quarter of 2023, compared to $24.9 million in the first quarter of 2022. Compared to the prior year period, results were favorably impacted by more railcars on lease and negatively impacted by changes in foreign currency exchange rates. In the first quarter of 2023, we completed the sale of Rail Russia.
At March 31, 2023, GATX Rail Europe’s (GRE's) fleet consisted of approximately 28,500 cars. Utilization was 98.5%, compared to 99.3% at the end of the prior quarter and 99.0% at the end of the first quarter of 2022. Additional fleet statistics for GRE are provided on the last page of this press release.
PORTFOLIO MANAGEMENT
Portfolio Management reported segment profit of $28.3 million in the first quarter of 2023, compared to segment loss of $3.9 million in the first quarter of 2022. The 2023 first-quarter segment profit included a net negative impact of $1.6 million from Tax Adjustments and Other Items. The 2022 first-quarter segment profit included a net negative impact of $15.3 million from Tax Adjustments and Other Items. Additional details are provided in the attached Supplemental Information under Tax Adjustments and Other Items. Excluding these impacts, higher 2023 first-quarter segment profit was driven by a higher share of affiliates earnings from the Rolls-Royce and Partners Finance affiliates, due to improved performance across the existing engine leasing portfolio and higher remarketing income.
COMPANY DESCRIPTION
At GATX Corporation (NYSE:GATX), we empower our customers to propel the world forward. GATX leases transportation assets including railcars, aircraft spare engines and tank containers to customers worldwide. Our mission is to provide innovative, unparalleled service that enables our customers to transport what matters safely and sustainably while championing the well-being of our employees and communities. Headquartered in Chicago, Illinois since its founding in 1898, GATX has paid a quarterly dividend, uninterrupted, since 1919.
TELECONFERENCE INFORMATION
GATX Corporation will host a teleconference to discuss 2023 first-quarter results. Call details are as follows:
Tuesday, April 25, 2023
11 a.m.Eastern Time
Domestic Dial-In: 1-888-660-6118
International Dial-In: 1-929-203-1802
Replay: 1-800-770-2030 or 1-647-362-9199 / Access Code: 2548217
Call-in details, a copy of this press release and real-time audio access are available at www.gatx.com. Please access the call 15 minutes prior to the start time. A replay will be available on the same site starting at 2 p.m. (Eastern Time), April 25, 2023.
AVAILABILITY OF INFORMATION ON GATX'S WEBSITE
Investors and others should note that GATX routinely announces material information to investors and the marketplace using SEC filings, press releases, public conference calls, webcasts and the GATX Investor Relations website. While not all of the information that the Company posts to the GATX Investor Relations website is of a material nature, some information could be deemed to be material. Accordingly, the Company encourages investors, the media and others interested in GATX to review the information that it shares on www.gatx.com under the “Investors” tab.
FORWARD-LOOKING STATEMENTS
Statements in this Earnings Release not based on historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and, accordingly, involve known and unknown risks and uncertainties that are difficult to predict and could cause our actual results, performance, or achievements to differ materially from those discussed. These include statements as to our future expectations, beliefs, plans, strategies, objectives, events, conditions, financial performance, prospects, or future events. In some cases, forward-looking statements can be identified by the use of words such as “may,” “could,” “expect,” “intend,” “plan,” “seek,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “outlook,” “continue,” “likely,” “will,” “would”, and similar words and phrases. Forward-looking statements are necessarily based on estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Accordingly, you should not place undue reliance on forward-looking statements, which speak only as of the date they are made, and are not guarantees of future performance. We do not undertake any obligation to publicly update or revise these forward-looking statements.
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GATX CORPORATION AND SUBSIDIARIES | |||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) | |||||||
(In millions, except per share data) | |||||||
| Three Months Ended | ||||||
| 2023 |
| 2022 | ||||
Revenues |
|
|
| ||||
Lease revenue | $ | 302.0 |
|
| $ | 283.3 |
|
Marine operating revenue |
| 3.5 |
|
|
| 6.2 |
|
Other revenue |
| 33.4 |
|
|
| 27.1 |
|
Total Revenues |
| 338.9 |
|
|
| 316.6 |
|
Expenses |
|
|
| ||||
Maintenance expense |
| 83.9 |
|
|
| 74.6 |
|
Marine operating expense |
| 2.0 |
|
|
| 4.2 |
|
Depreciation expense |
| 89.8 |
|
|
| 89.5 |
|
Operating lease expense |
| 9.0 |
|
|
| 9.1 |
|
Other operating expense |
| 11.0 |
|
|
| 10.7 |
|
Selling, general and administrative expense |
| 50.4 |
|
|
| 47.2 |
|
Total Expenses |
| 246.1 |
|
|
| 235.3 |
|
Other Income (Expense) |
|
|
| ||||
Net gain on asset dispositions |
| 47.1 |
|
|
| 73.7 |
|
Interest expense, net |
| (59.0 | ) |
|
| (51.2 | ) |
Other expense |
| (4.0 | ) |
|
| (2.0 | ) |
Income before Income Taxes and Share of Affiliates’ Earnings |
| 76.9 |
|
|
| 101.8 |
|
Income taxes |
| (20.2 | ) |
|
| (22.4 | ) |
Share of affiliates’ earnings (losses), net of taxes |
| 20.7 |
|
|
| (3.6 | ) |
Net Income | $ | 77.4 |
|
| $ | 75.8 |
|
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Share Data |
|
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| ||||
Basic earnings per share | $ | 2.19 |
|
| $ | 2.13 |
|
Average number of common shares |
| 35.3 |
|
|
| 35.5 |
|
|
|
|
| ||||
Diluted earnings per share | $ | 2.16 |
|
| $ | 2.10 |
|
Average number of common shares and common share equivalents |
| 35.8 |
|
|
| 36.0 |
|
|
|
|
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Dividends declared per common share | $ | 0.55 |
|
| $ | 0.52 |
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GATX CORPORATION AND SUBSIDIARIES | |||||||
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) | |||||||
(In millions) | |||||||
| March 31 |
| December 31 | ||||
| 2023 |
| 2022 | ||||
Assets |
|
|
| ||||
Cash and Cash Equivalents | $ | 177.4 |
|
| $ | 303.7 |
|
Restricted Cash |
| 0.2 |
|
|
| 0.3 |
|
Short-Term Investments |
| — |
|
|
| 148.5 |
|
Receivables |
|
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Rent and other receivables |
| 70.8 |
|
|
| 71.4 |
|
Finance leases (as lessor) |
| 116.3 |
|
|
| 96.5 |
|
Less: allowance for losses |
| (6.0 | ) |
|
| (5.9 | ) |
|
| 181.1 |
|
|
| 162.0 |
|
|
|
|
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Operating Assets and Facilities |
| 11,961.9 |
|
|
| 11,675.0 |
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Less: allowance for depreciation |
| (3,470.0 | ) |
|
| (3,424.7 | ) |
|
| 8,491.9 |
|
|
| 8,250.3 |
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Lease Assets (as lessee) |
|
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Right-of-use assets, net of accumulated depreciation |
| 235.4 |
|
|
| 243.5 |
|
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| 235.4 |
|
|
| 243.5 |
|
|
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Investments in Affiliated Companies |
| 597.6 |
|
|
| 575.1 |
|
Goodwill |
| 118.3 |
|
|
| 117.2 |
|
Other Assets ($16.2 and $40.0 related to assets held for sale) |
| 246.2 |
|
|
| 271.4 |
|
Total Assets | $ | 10,048.1 |
|
| $ | 10,072.0 |
|
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Liabilities and Shareholders’ Equity |
|
|
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Accounts Payable and Accrued Expenses | $ | 174.7 |
|
| $ | 202.2 |
|
Debt |
|
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Commercial paper and borrowings under bank credit facilities |
| 20.3 |
|
|
| 17.3 |
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Recourse |
| 6,360.9 |
|
|
| 6,431.5 |
|
|
| 6,381.2 |
|
|
| 6,448.8 |
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Lease Obligations (as lessee) |
|
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Operating leases |
| 246.2 |
|
|
| 257.9 |
|
|
| 246.2 |
|
|
| 257.9 |
|
|
|
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Deferred Income Taxes |
| 1,049.1 |
|
|
| 1,031.5 |
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Other Liabilities |
| 95.4 |
|
|
| 102.0 |
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Total Liabilities |
| 7,946.6 |
|
|
| 8,042.4 |
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Total Shareholders’ Equity |
| 2,101.5 |
|
|
| 2,029.6 |
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Total Liabilities and Shareholders’ Equity | $ | 10,048.1 |
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| $ | 10,072.0 |
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GATX CORPORATION AND SUBSIDIARIES | ||||||||||||||||||
SEGMENT DATA (UNAUDITED) | ||||||||||||||||||
Three Months Ended March 31, 2023 | ||||||||||||||||||
(In millions) | ||||||||||||||||||
|
Rail |
|
Rail |
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Portfolio |
| Other |
| GATX | |||||||||
Revenues |
|
|
|
|
|
|
|
|
| |||||||||
Lease revenue | $ | 215.1 |
|
| $ | 70.4 |
|
| $ | 8.3 |
|
| $ | 8.2 |
| $ | 302.0 |
|
Marine operating revenue |
| — |
|
|
| — |
|
|
| 3.5 |
|
|
| — |
|
| 3.5 |
|
Other revenue |
| 23.8 |
|
|
| 2.9 |
|
|
| 4.5 |
|
|
| 2.2 |
|
| 33.4 |
|
Total Revenues |
| 238.9 |
|
|
| 73.3 |
|
|
| 16.3 |
|
|
| 10.4 |
|
| 338.9 |
|
Expenses |
|
|
|
|
|
|
|
|
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Maintenance expense |
| 66.9 |
|
|
| 15.9 |
|
|
| — |
|
|
| 1.1 |
|
| 83.9 |
|
Marine operating expense |
| — |
|
|
| — |
|
|
| 2.0 |
|
|
| — |
|
| 2.0 |
|
Depreciation expense |
| 65.5 |
|
|
| 15.7 |
|
|
| 5.4 |
|
|
| 3.2 |
|
| 89.8 |
|
Operating lease expense |
| 9.0 |
|
|
| — |
|
|
| — |
|
|
| — |
|
| 9.0 |
|
Other operating expense |
| 7.0 |
|
|
| 2.2 |
|
|
| 0.9 |
|
|
| 0.9 |
|
| 11.0 |
|
Total Expenses |
| 148.4 |
|
|
| 33.8 |
|
|
| 8.3 |
|
|
| 5.2 |
|
| 195.7 |
|
Other Income (Expense) |
|
|
|
|
|
|
|
|
| |||||||||
Net gain (loss) on asset dispositions |
| 47.8 |
|
|
| 0.8 |
|
|
| (1.5 | ) |
|
| — |
|
| 47.1 |
|
Interest (expense) income, net |
| (42.3 | ) |
|
| (12.5 | ) |
|
| (5.7 | ) |
|
| 1.5 |
|
| (59.0 | ) |
Other (expense) income |
| (0.4 | ) |
|
| (4.3 | ) |
|
| (0.5 | ) |
|
| 1.2 |
|
| (4.0 | ) |
Share of affiliates' pre-tax (losses) earnings |
| (0.4 | ) |
|
| — |
|
|
| 28.0 |
|
|
| — |
|
| 27.6 |
|
Segment profit | $ | 95.2 |
|
| $ | 23.5 |
|
| $ | 28.3 |
|
| $ | 7.9 |
| $ | 154.9 |
|
Less: |
|
|
|
|
|
|
|
|
| |||||||||
Selling, general and administrative expense |
| 50.4 |
| |||||||||||||||
Income taxes (includes $6.9 related to affiliates' earnings) |
| 27.1 |
| |||||||||||||||
Net income | $ | 77.4 |
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|
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Selected Data: |
|
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|
|
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|
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Investment volume | $ | 296.5 |
|
| $ | 81.1 |
|
| $ | — |
|
| $ | 9.4 |
| $ | 387.0 |
|
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Net Gain (Loss) on Asset Dispositions |
|
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Asset Remarketing Income: |
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Net gains (losses) on disposition of owned assets | $ | 44.7 |
|
| $ | 0.4 |
|
| $ | (0.4 | ) |
| $ | — |
| $ | 44.7 |
|
Residual sharing income |
| 0.1 |
|
|
| — |
|
|
| 0.1 |
|
|
| — |
|
| 0.2 |
|
Non-remarketing net gains (1) |
| 3.0 |
|
|
| 0.4 |
|
|
| — |
|
|
| — |
|
| 3.4 |
|
Asset impairments |
| — |
|
|
| — |
|
|
| (1.2 | ) |
|
| — |
|
| (1.2 | ) |
| $ | 47.8 |
|
| $ | 0.8 |
|
| $ | (1.5 | ) |
| $ | — |
| $ | 47.1 |
|
__________ | ||||||||||||||||||
(1) Includes net gains (losses) from scrapping of railcars. |
GATX CORPORATION AND SUBSIDIARIES | |||||||||||||||||||
SEGMENT DATA (UNAUDITED) | |||||||||||||||||||
Three Months Ended March 31, 2022 | |||||||||||||||||||
(In millions) | |||||||||||||||||||
|
Rail |
|
Rail |
|
Portfolio |
| Other |
| GATX | ||||||||||
Revenues |
|
|
|
|
|
|
|
|
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Lease revenue | $ | 200.7 |
|
| $ | 67.6 |
|
| $ | 8.3 |
|
| $ | 6.7 |
|
| $ | 283.3 |
|
Marine operating revenue |
| — |
|
|
| — |
|
|
| 6.2 |
|
|
| — |
|
|
| 6.2 |
|
Other revenue |
| 23.0 |
|
|
| 2.3 |
|
|
| — |
|
|
| 1.8 |
|
|
| 27.1 |
|
Total Revenues |
| 223.7 |
|
|
| 69.9 |
|
|
| 14.5 |
|
|
| 8.5 |
|
|
| 316.6 |
|
Expenses |
|
|
|
|
|
|
|
|
| ||||||||||
Maintenance expense |
| 59.9 |
|
|
| 14.0 |
|
|
| — |
|
|
| 0.7 |
|
|
| 74.6 |
|
Marine operating expense |
| — |
|
|
| — |
|
|
| 4.2 |
|
|
| — |
|
|
| 4.2 |
|
Depreciation expense |
| 63.5 |
|
|
| 18.0 |
|
|
| 5.0 |
|
|
| 3.0 |
|
|
| 89.5 |
|
Operating lease expense |
| 9.1 |
|
|
| — |
|
|
| — |
|
|
| — |
|
|
| 9.1 |
|
Other operating expense |
| 7.3 |
|
|
| 2.4 |
|
|
| 0.5 |
|
|
| 0.5 |
|
|
| 10.7 |
|
Total Expenses |
| 139.8 |
|
|
| 34.4 |
|
|
| 9.7 |
|
|
| 4.2 |
|
|
| 188.1 |
|
Other Income (Expense) |
|
|
|
|
|
|
|
|
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Net gain on asset dispositions |
| 71.6 |
|
|
| 1.0 |
|
|
| 0.9 |
|
|
| 0.2 |
|
|
| 73.7 |
|
Interest expense, net |
| (34.4 | ) |
|
| (11.2 | ) |
|
| (4.7 | ) |
|
| (0.9 | ) |
|
| (51.2 | ) |
Other expense |
| (0.7 | ) |
|
| (0.4 | ) |
|
| (0.1 | ) |
|
| (0.8 | ) |
|
| (2.0 | ) |
Share of affiliates' pre-tax losses |
| — |
|
|
| — |
|
|
| (4.8 | ) |
|
| — |
|
|
| (4.8 | ) |
Segment profit (loss) | $ | 120.4 |
|
| $ | 24.9 |
|
| $ | (3.9 | ) |
| $ | 2.8 |
|
| $ | 144.2 |
|
Less: |
|
|
|
|
|
|
|
|
| ||||||||||
Selling, general and administrative expense |
| 47.2 |
| ||||||||||||||||
Income taxes (includes $1.2 of income tax benefit related to affiliates' losses) |
| 21.2 |
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Net income | $ | 75.8 |
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Selected Data: |
|
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Investment volume | $ | 280.4 |
|
| $ | 78.9 |
|
| $ | — |
|
| $ | 11.1 |
|
| $ | 370.4 |
|
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Net Gain on Asset Dispositions |
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Asset Remarketing Income: |
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Net gains on disposition of owned assets | $ | 64.4 |
|
| $ | 0.4 |
|
| $ | — |
|
| $ | 0.1 |
|
| $ | 64.9 |
|
Residual sharing income |
| 2.0 |
|
|
| — |
|
|
| 0.9 |
|
|
| — |
|
|
| 2.9 |
|
Non-remarketing net gains (1) |
| 5.2 |
|
|
| 0.6 |
|
|
| — |
|
|
| 0.1 |
|
|
| 5.9 |
|
| $ | 71.6 |
|
| $ | 1.0 |
|
| $ | 0.9 |
|
| $ | 0.2 |
|
| $ | 73.7 |
|
__________ | |||||||||||||||||||
(1) Includes net gains (losses) from scrapping of railcars. |
GATX CORPORATION AND SUBSIDIARIES | |||||||
SUPPLEMENTAL INFORMATION (UNAUDITED) | |||||||
(In millions, except per share data) | |||||||
Impact of Tax Adjustments and Other Items on Net Income(1) | |||||||
| Three Months Ended | ||||||
| 2023 |
| 2022 | ||||
Net income (GAAP) | $ | 77.4 |
|
| $ | 75.8 |
|
Adjustments attributable to consolidated pre-tax income: |
|
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Gain on sale of Rail Russia at Rail International (2) | $ | (0.3 | ) |
| $ | — |
|
Loss on Specialized Gas Vessels at Portfolio Management (3) |
| 1.6 |
|
|
| — |
|
Total adjustments attributable to consolidated pre-tax income | $ | 1.3 |
|
| $ | — |
|
Income taxes thereon, based on applicable effective tax rate | $ | — |
|
| $ | — |
|
Other income tax adjustments attributable to consolidated income: |
|
|
| ||||
Income tax rate change (4) |
| — |
|
|
| (3.0 | ) |
Total other income tax adjustments attributable to consolidated income | $ | — |
|
| $ | (3.0 | ) |
Adjustments attributable to affiliates' earnings, net of taxes: |
|
|
| ||||
Aircraft spare engine impairment at RRPF (5) |
| — |
|
|
| 11.5 |
|
Total adjustments attributable to affiliates' earnings, net of taxes | $ | — |
|
| $ | 11.5 |
|
Net income, excluding tax adjustments and other items (non-GAAP) | $ | 78.7 |
|
| $ | 84.3 |
|
Impact of Tax Adjustments and Other Items on Diluted Earnings per Share(1) | |||||
| Three Months Ended | ||||
| 2023 |
| 2022 | ||
Diluted earnings per share (GAAP) | $ | 2.16 |
| $ | 2.10 |
Diluted earnings per share, excluding tax adjustments and other items (non-GAAP) | $ | 2.20 |
| $ | 2.34 |
| _________ | ||
(1) | In addition to financial results reported in accordance with GAAP, we compute certain financial measures using non-GAAP components. Specifically, we exclude the effects of certain tax adjustments and other items for purposes of presenting net income and diluted earnings per share because we believe these items are not attributable to our business operations. Management utilizes net income, excluding tax adjustments and other items, when analyzing financial performance because such amounts reflect the underlying operating results that are within management’s ability to influence. Accordingly, we believe presenting this information provides investors and other users of our financial statements with meaningful supplemental information for purposes of analyzing year-to-year financial performance on a comparable basis and assessing trends. | |
(2) | In the third quarter of 2022, we made the decision to exit our rail business in Russia ("Rail Russia). In the first quarter of 2023, we sold Rail Russia and recorded a gain on the final sale of this business. | |
(3) | In the second quarter of 2022, we made the decision to sell the Specialized Gas Vessels. In the first quarter of 2023, we recorded losses associated with these assets. | |
(4) | Deferred income tax adjustment due to an enacted corporate income tax rate reduction in Austria in 2022. | |
(5) | Impairment losses related to aircraft spare engines in Russia that RRPF does not expect to recover. |
GATX CORPORATION AND SUBSIDIARIES | ||||||||||||||||||||
SUPPLEMENTAL INFORMATION (UNAUDITED) | ||||||||||||||||||||
(In millions, except leverage) | ||||||||||||||||||||
| ||||||||||||||||||||
|
| 3/31/2023 |
| 12/31/2022 |
| 9/30/2022 |
| 6/30/2022 |
| 3/31/2022 | ||||||||||
Total Assets, Excluding Cash and Short-Term Investments, by Segment | ||||||||||||||||||||
Rail North America |
| $ | 6,610.8 |
|
| $ | 6,439.1 |
|
| $ | 6,405.4 |
|
| $ | 6,347.2 |
|
| $ | 6,183.7 |
|
Rail International |
|
| 1,801.2 |
|
|
| 1,731.3 |
|
|
| 1,554.3 |
|
|
| 1,634.5 |
|
|
| 1,677.9 |
|
Portfolio Management |
|
| 1,089.6 |
|
|
| 1,084.8 |
|
|
| 970.9 |
|
|
| 1,010.3 |
|
|
| 1,031.5 |
|
Other |
|
| 368.9 |
|
|
| 364.3 |
|
|
| 348.2 |
|
|
| 351.7 |
|
|
| 366.0 |
|
Total Assets, excluding cash and short-term investments |
| $ | 9,870.5 |
|
| $ | 9,619.5 |
|
| $ | 9,278.8 |
|
| $ | 9,343.7 |
|
| $ | 9,259.1 |
|
Debt and Lease Obligations, Net of Unrestricted Cash and Short-Term Investments | ||||||||||||||||||||
Unrestricted cash and short-term investments |
| $ | (177.4 | ) |
| $ | (452.2 | ) |
| $ | (596.3 | ) |
| $ | (180.3 | ) |
| $ | (649.3 | ) |
Commercial paper and bank credit facilities |
|
| 20.3 |
|
|
| 17.3 |
|
|
| 16.3 |
|
|
| 20.0 |
|
|
| 18.6 |
|
Recourse debt |
|
| 6,360.9 |
|
|
| 6,431.5 |
|
|
| 6,353.1 |
|
|
| 5,964.4 |
|
|
| 6,256.9 |
|
Operating lease obligations |
|
| 246.2 |
|
|
| 257.9 |
|
|
| 259.0 |
|
|
| 266.7 |
|
|
| 273.4 |
|
Total debt and lease obligations, net of unrestricted cash and short-term investments |
| $ | 6,450.0 |
|
| $ | 6,254.5 |
|
| $ | 6,032.1 |
|
| $ | 6,070.8 |
|
| $ | 5,899.6 |
|
Total recourse debt (1) |
| $ | 6,450.0 |
|
| $ | 6,254.5 |
|
| $ | 6,032.1 |
|
| $ | 6,070.8 |
|
| $ | 5,899.6 |
|
Shareholders’ Equity |
| $ | 2,101.5 |
|
| $ | 2,029.6 |
|
| $ | 1,940.5 |
|
| $ | 1,981.5 |
|
| $ | 2,060.8 |
|
Recourse Leverage (2) |
|
| 3.1 |
|
|
| 3.1 |
|
|
| 3.1 |
|
|
| 3.1 |
|
|
| 2.9 |
|
| _________ | ||
(1) | Includes recourse debt, commercial paper and bank credit facilities, and operating and finance lease obligations, net of unrestricted cash and short-term investments. | |
(2)
|
| Calculated as total recourse debt / shareholder's equity. |
Reconciliation of Total Assets to Total Assets, Excluding Cash and Short-Term Investments | ||||||||||||||||||||
Total Assets |
| $ | 10,048.1 |
|
| $ | 10,072.0 |
|
| $ | 9,875.4 |
|
| $ | 9,524.2 |
|
| $ | 9,908.6 |
|
Less: cash and short-term investments |
|
| (177.6 | ) |
|
| (452.5 | ) |
|
| (596.6 | ) |
|
| (180.5 | ) |
|
| (649.5 | ) |
Total Assets, excluding cash and short-term investments |
| $ | 9,870.5 |
|
| $ | 9,619.5 |
|
| $ | 9,278.8 |
|
| $ | 9,343.7 |
|
| $ | 9,259.1 |
|
GATX CORPORATION AND SUBSIDIARIES | ||||||||||||||
SUPPLEMENTAL INFORMATION (UNAUDITED) | ||||||||||||||
(Continued) | ||||||||||||||
| 3/31/2023 |
| 12/31/2022 |
| 9/30/2022 |
| 6/30/2022 |
| 3/31/2022 | |||||
Rail North America Statistics |
|
|
|
|
|
|
|
|
| |||||
Lease Price Index (LPI) (1) |
|
|
|
|
|
|
|
|
| |||||
Average renewal lease rate change | 34.3 | % |
| 29.7 | % |
| 37.5 | % |
| 18.3 | % |
| 9.3 | % |
Average renewal term (months) | 37 |
|
| 34 |
|
| 33 |
|
| 34 |
|
| 30 |
|
Renewal Success Rate (2) | 77.9 | % |
| 85.7 | % |
| 87.2 | % |
| 87.7 | % |
| 80.0 | % |
Fleet Rollforward (3) |
|
|
|
|
|
|
|
|
| |||||
Beginning balance | 100,954 |
|
| 101,289 |
|
| 101,272 |
|
| 100,452 |
|
| 101,570 |
|
Cars added | 1,816 |
|
| 583 |
|
| 772 |
|
| 1,414 |
|
| 943 |
|
Cars scrapped | (324 | ) |
| (486 | ) |
| (506 | ) |
| (594 | ) |
| (547 | ) |
Cars sold | (1,227 | ) |
| (432 | ) |
| (249 | ) |
| — |
|
| (1,514 | ) |
Ending balance | 101,219 |
|
| 100,954 |
|
| 101,289 |
|
| 101,272 |
|
| 100,452 |
|
Utilization | 99.3 | % |
| 99.5 | % |
| 99.6 | % |
| 99.4 | % |
| 99.3 | % |
Average active railcars | 100,552 |
|
| 100,618 |
|
| 100,783 |
|
| 100,079 |
|
| 100,253 |
|
Boxcar Fleet Rollforward |
|
|
|
|
|
|
|
|
| |||||
Beginning balance | 8,663 |
|
| 10,224 |
|
| 10,315 |
|
| 10,283 |
|
| 12,946 |
|
Cars added | 229 |
|
| 106 |
|
| — |
|
| 85 |
|
| 352 |
|
Cars scrapped | (103 | ) |
| (94 | ) |
| (91 | ) |
| 64 |
|
| (109 | ) |
Cars sold | — |
|
| (1,573 | ) |
| — |
|
| (117 | ) |
| (2,906 | ) |
Ending balance | 8,789 |
|
| 8,663 |
|
| 10,224 |
|
| 10,315 |
|
| 10,283 |
|
Utilization | 100.0 | % |
| 99.9 | % |
| 100.0 | % |
| 99.9 | % |
| 99.8 | % |
Average active railcars | 8,720 |
|
| 9,032 |
|
| 10,267 |
|
| 10,239 |
|
| 10,856 |
|
Rail Europe Statistics |
|
|
|
|
|
|
|
|
| |||||
Fleet Rollforward |
|
|
|
|
|
|
|
|
| |||||
Beginning balance | 28,005 |
|
| 27,701 |
|
| 27,470 |
|
| 27,192 |
|
| 27,109 |
|
Cars added | 502 |
|
| 362 |
|
| 277 |
|
| 347 |
|
| 225 |
|
Cars scrapped/sold | (46 | ) |
| (58 | ) |
| (46 | ) |
| (69 | ) |
| (142 | ) |
Ending balance | 28,461 |
|
| 28,005 |
|
| 27,701 |
|
| 27,470 |
|
| 27,192 |
|
Utilization | 98.5 | % |
| 99.3 | % |
| 99.4 | % |
| 99.9 | % |
| 99.0 | % |
Average active railcars | 27,931 |
|
| 27,658 |
|
| 27,489 |
|
| 27,158 |
|
| 26,850 |
|
| _________ | ||
(1) | GATX's Lease Price Index (LPI) is an internally-generated business indicator that measures lease rate pricing on renewals for our North American railcar fleet, excluding boxcars. GATX calculates the index using the weighted-average lease rate for a group of railcar types that GATX believes best represents its overall North American fleet, excluding boxcars. The average renewal lease rate change is reported as the percentage change between the average renewal lease rate and the average expiring lease rate, weighted by fleet composition. The average renewal lease term is reported in months and reflects the average renewal lease term of railcar types in the LPI, weighted by fleet composition. | |
(2) | The renewal success rate represents the percentage of railcars on expiring leases that were renewed with the existing lessee. The renewal success rate is an important metric because railcars returned by our customers may remain idle or incur additional maintenance and freight costs prior to being leased to new customers. | |
(3) | Excludes boxcar fleet. |
GATX CORPORATION AND SUBSIDIARIES | ||||||||||||||
SUPPLEMENTAL INFORMATION (UNAUDITED) | ||||||||||||||
(Continued) | ||||||||||||||
| 3/31/2023 |
| 12/31/2022 |
| 9/30/2022 |
| 6/30/2022 |
| 3/31/2022 | |||||
Rail North America Industry Statistics |
|
|
|
|
|
|
|
|
| |||||
Manufacturing Capacity Utilization Index (1) | 79.8 | % |
| 78.9 | % |
| 80.1 | % |
| 79.8 | % |
| 79.9 | % |
Year-over-year Change in U.S. Carloadings (excl. intermodal) (2) | (0.3 | )% |
| (0.3 | ) % |
| 0.1 | % |
| (0.1 | ) % |
| 2.6 | % |
Year-over-year Change in U.S. Carloadings (chemical) (2) | (6.8 | ) % |
| — | % |
| 3.1 | % |
| 4.9 | % |
| 9.4 | % |
Year-over-year Change in U.S. Carloadings (petroleum) (2) | 12.3 | % |
| (7.6 | )% |
| (10.4 | )% |
| (13.1 | )% |
| (15.3 | )% |
Production Backlog at Railcar Manufacturers (3) | n/a (4) |
| 58,898 |
|
| 61,415 |
|
| 47,461 |
|
| 46,208 |
|
| _________ | ||
(1) | As reported and revised by the Federal Reserve. | |
(2) | As reported by the Association of American Railroads (AAR). | |
(3) | As reported by the Railway Supply Institute (RSI). | |
(4) | Not available, not published as of the date of this release. |
View source version on businesswire.com:https://www.businesswire.com/news/home/20230425005512/en/
CONTACT: GATX Corporation
Shari Hellerman
Senior Director, Investor Relations, ESG, and External Communications
312-621-4285
shari.hellerman@gatx.com
KEYWORD: ILLINOIS UNITED STATES NORTH AMERICA
INDUSTRY KEYWORD: RAIL TRANSPORT OTHER TRANSPORT
SOURCE: GATX Corporation
Copyright Business Wire 2023.
PUB: 04/25/2023 08:30 AM/DISC: 04/25/2023 08:32 AM
http://www.businesswire.com/news/home/20230425005512/en