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Sep 30, 2022

Trinity Q3 2022 Earnings Report

Trinity's Q3 2022 earnings were announced, reporting GAAP earnings of $0.35 per diluted share and adjusted earnings of $0.34 per diluted share.

Key Takeaways

Trinity Industries reported strong Q3 2022 results driven by increased railcar orders and deliveries. The company received orders for 19,500 railcars, including a multi-year order for 15,000 railcars, and delivered 3,935 railcars. Lease fleet utilization remained high at 97.9% and FLRD was positive at 11.0%.

Reported quarterly GAAP earnings from continuing operations of $0.35 per diluted share.

Received orders for 19,500 railcars, including multi-year 15,000 railcar order; backlog of $4.1 billion at quarter-end.

Delivered 3,935 railcars in the quarter, driving book-to-bill ratio of 5.0x.

Lease fleet utilization of 97.9% and Future Lease Rate Differential (FLRD) of positive 11.0% at quarter end.

Total Revenue
$497M
Previous year: $504M
-1.4%
EPS
$0.34
Previous year: $0.29
+17.2%
Fleet Utilization
97.9%
Previous year: 95%
+3.1%
Railcar Deliveries
3.94K
Previous year: 2.41K
+63.3%
New Railcar Orders
19.5K
Previous year: 2.53K
+670.8%
Gross Profit
$101M
Previous year: $105M
-3.3%
Cash and Equivalents
$58.5M
Previous year: $222M
-73.6%
Free Cash Flow
-$1.6M
Previous year: $88.4M
-101.8%
Total Assets
$8.6B
Previous year: $8.5B
+1.2%

Trinity

Trinity

Trinity Revenue by Segment

Forward Guidance

Trinity Industries provided the following guidance for 2022.

Positive Outlook

  • Industry deliveries of 40,000 to 50,000 railcars
  • Net investment in the lease fleet of $250 million to $300 million
  • Manufacturing capital expenditures of $35 million to $45 million
  • EPS of $0.90 to $1.10
  • Excludes gains on insurance recoveries and other items outside of our core business operations

Revenue & Expenses

Visualization of income flow from segment revenue to net income