GATX Corporation Reports 2022 Third-Quarter Results
- Fleet utilization at Rail North America and Rail International remains above 99%
- Company expects to be at the upper end of the previously announced 2022 full-year earnings guidance range
- Investment volume totaled approximately $888 million year to date
CHICAGO–(BUSINESS WIRE)–GATX Corporation (NYSE:GATX) today reported 2022 third-quarter net income of $29.1 million, or $0.81 per diluted share, compared to net income of $40.1 million or $1.11 per diluted share in the third quarter of 2021. The 2022 third-quarter results include an impairment charge of $10.8 million, or $0.30 per diluted share, related to the Company’s decision to exit its rail business in Russia.
Net income for the first nine months of 2022 was $107.5 million, or $2.99 per diluted share, compared to $82.1 million, or $2.28 per diluted share, in the prior year period. The 2022 year-to-date results include net negative impacts of $55.2 million, or $1.54 per diluted share, from Tax Adjustments and Other Items. The 2021 year-to-date results included net negative impacts of $43.1 million, or $1.20 per diluted share, from Tax Adjustments and Other Items. Details related to these items are provided in the attached Supplemental Information under Tax Adjustments and Other Items.
“Demand for railcars remains strong across our global fleets,” said Robert C. Lyons, president and chief executive officer of GATX. “Fleet utilization at Rail North America remains high at 99.6% and our renewal success rate was 87.2% during the quarter. Absolute lease rates in North America increased sequentially for the ninth consecutive quarter, and the renewal lease rate change of GATX’s Lease Price Index was positive 37.5% with an average renewal term of 33 months. We recently announced a new committed railcar supply agreement, totaling a minimum of 15,000 railcars, which will enable us to continue serving our large and diverse customer base in North America.
“Rail International performed well during the quarter as Rail Europe and Rail India maintained high fleet utilization and continued to take delivery of new cars to meet robust customer demand. In Portfolio Management, the Rolls-Royce and Partners Finance affiliates continue to perform as expected. Global air passenger volume improved from a year ago but remains below pre-pandemic levels.”
Mr. Lyons added, “Despite a volatile macro environment, we continue to identify attractive long-term growth opportunities in our markets in addition to the signing of a new railcar supply agreement in North America. Our disciplined asset allocation strategy resulted in investment volume of $203.4 million in the quarter and $887.9 million year to date.”
Mr. Lyons concluded, “Based on year-to-date performance and our outlook for the remainder of the year, we expect our 2022 full-year earnings to be at the upper end of our previously announced guidance range of $5.60 to $6.00 per diluted share. This guidance excludes any impact from Tax Adjustments and Other Items.”
RAIL NORTH AMERICA
Rail North America reported segment profit of $64.3 million in the third quarter of 2022, compared to $66.5 million in the third quarter of 2021. Year to date, Rail North America reported segment profit of $237.8 million, compared to $209.8 million in the same period of 2021. Higher revenue in the third quarter of 2022 was offset primarily by lower remarketing income due to timing. Higher 2022 year-to-date results were predominantly driven by higher gains on asset dispositions.
At Sept. 30, 2022, Rail North America’s wholly owned fleet was composed of approximately 111,500 cars, including over 10,200 boxcars. The following fleet statistics and performance discussion exclude the boxcar fleet.
Fleet utilization was 99.6% at the end of the third quarter, compared to 99.4% at the end of the prior quarter and 99.2% at the end of the third quarter of 2021. During the third quarter, the renewal lease rate change of the GATX Lease Price Index (LPI) was positive 37.5%. This compares to positive 18.3% in the prior quarter and negative 8.1% in the third quarter of 2021. The average lease renewal term for all cars included in the LPI during the third quarter was 33 months, compared to 34 months in the prior quarter and 32 months in the third quarter of 2021. Rail North America’s investment volume during the third quarter was $142.5 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 $14.5 million in the third quarter of 2022, compared to $27.0 million in the third quarter of 2021. Year-to-date 2022, Rail International reported segment profit of $67.7 million, compared to $76.1 million for the same period of 2021. The third-quarter and year-to-date 2022 segment results include an impairment charge of $10.8 million related to the Company’s decision to exit its rail business in Russia. Compared to the prior year periods, results were favorably impacted by more railcars on lease and negatively impacted by changes in foreign currency exchange rates.
At Sept. 30, 2022, GATX Rail Europe’s (GRE) fleet consisted of over 27,700 cars. Utilization was 99.4%, compared to 99.9% at the end of the prior quarter and 98.1% at the end of the third quarter of 2021. Additional fleet statistics for GRE are provided on the last page of this press release.
PORTFOLIO MANAGEMENT
Portfolio Management reported segment profit of $11.2 million in the third quarter of 2022, compared to $6.2 million in the third quarter of 2021. Segment loss year-to-date 2022 was $8.4 million, compared to a segment profit of $24.5 million for the same period of 2021. Year-to-date 2022 results include an impairment charge of $31.5 million associated with the decision to sell five specialized gas vessels (recorded in the second quarter) and a net impairment charge recorded by the Rolls-Royce and Partners Finance affiliates (RRPF), of which GATX’s share is $15.3 million, related to aircraft spare engines in Russia (recorded in the first quarter). Favorable results in 2022 were driven by the performance at RRPF.
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 2022 third-quarter results. Call details are as follows:
Tuesday, Oct. 25, 2022
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), Oct. 25, 2022.
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 “Investor Relations” 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.
The following factors, in addition to those discussed in our other filings with the SEC, including our Form 10-K for the year ended December 31, 2021 and in any subsequent reports on Form 10-Q, could cause actual results to differ materially from our current expectations expressed in forward-looking statements:
|
|
|
|
GATX CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) (In millions, except per share data) |
|||||||||||||||
|
|
Three Months Ended September 30 |
|
Nine Months Ended September 30 |
||||||||||||
|
|
2022 |
|
2021 |
|
2022 |
|
2021 |
||||||||
|
Revenues |
|
|
|
|
|
|
|
||||||||
|
Lease revenue |
$ |
292.4 |
|
|
$ |
283.9 |
|
|
$ |
860.6 |
|
|
$ |
852.1 |
|
|
Marine operating revenue |
|
4.8 |
|
|
|
5.0 |
|
|
|
16.2 |
|
|
|
13.7 |
|
|
Other revenue |
|
23.8 |
|
|
|
24.6 |
|
|
|
73.5 |
|
|
|
70.6 |
|
|
Total Revenues |
|
321.0 |
|
|
|
313.5 |
|
|
|
950.3 |
|
|
|
936.4 |
|
|
Expenses |
|
|
|
|
|
|
|
||||||||
|
Maintenance expense |
|
75.9 |
|
|
|
74.2 |
|
|
|
221.3 |
|
|
|
225.1 |
|
|
Marine operating expense |
|
3.6 |
|
|
|
3.7 |
|
|
|
11.7 |
|
|
|
13.8 |
|
|
Depreciation expense |
|
88.7 |
|
|
|
91.1 |
|
|
|
268.2 |
|
|
|
271.2 |
|
|
Operating lease expense |
|
9.0 |
|
|
|
9.0 |
|
|
|
27.1 |
|
|
|
30.1 |
|
|
Other operating expense |
|
8.7 |
|
|
|
9.7 |
|
|
|
28.7 |
|
|
|
31.3 |
|
|
Selling, general and administrative expense |
|
47.6 |
|
|
|
45.9 |
|
|
|
142.7 |
|
|
|
140.8 |
|
|
Total Expenses |
|
233.5 |
|
|
|
233.6 |
|
|
|
699.7 |
|
|
|
712.3 |
|
|
Other Income (Expense) |
|
|
|
|
|
|
|
||||||||
|
Net gain on asset dispositions |
|
3.9 |
|
|
|
21.9 |
|
|
|
53.4 |
|
|
|
79.1 |
|
|
Interest expense, net |
|
(53.6 |
) |
|
|
(49.8 |
) |
|
|
(156.7 |
) |
|
|
(153.4 |
) |
|
Other expense |
|
(2.5 |
) |
|
|
(0.3 |
) |
|
|
(15.8 |
) |
|
|
(9.7 |
) |
|
Income before Income Taxes and Share of Affiliates’ Earnings |
|
35.3 |
|
|
|
51.7 |
|
|
|
131.5 |
|
|
|
140.1 |
|
|
Income taxes |
|
(13.7 |
) |
|
|
(14.4 |
) |
|
|
(38.8 |
) |
|
|
(36.4 |
) |
|
Share of affiliates’ earnings (losses), net of taxes |
|
7.5 |
|
|
|
2.8 |
|
|
|
14.8 |
|
|
|
(21.6 |
) |
|
Net Income |
$ |
29.1 |
|
|
$ |
40.1 |
|
|
$ |
107.5 |
|
|
$ |
82.1 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
Share Data |
|
|
|
|
|
|
|
||||||||
|
Basic earnings per share |
$ |
0.82 |
|
|
$ |
1.13 |
|
|
$ |
3.04 |
|
|
$ |
2.32 |
|
|
Average number of common shares |
|
35.2 |
|
|
|
35.5 |
|
|
|
35.4 |
|
|
|
35.4 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
Diluted earnings per share |
$ |
0.81 |
|
|
$ |
1.11 |
|
|
$ |
2.99 |
|
|
$ |
2.28 |
|
|
Average number of common shares and common share equivalents |
|
35.7 |
|
|
|
36.0 |
|
|
|
35.9 |
|
|
|
36.0 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
Dividends declared per common share |
$ |
0.52 |
|
|
$ |
0.50 |
|
|
$ |
1.56 |
|
|
$ |
1.50 |
|
|
GATX CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (In millions) |
|||||||
|
|
September 30 |
|
December 31 |
||||
|
|
2022 |
|
2021 |
||||
|
Assets |
|
|
|
||||
|
Cash and Cash Equivalents |
$ |
596.3 |
|
|
$ |
344.3 |
|
|
Restricted Cash |
|
0.3 |
|
|
|
0.2 |
|
|
Receivables |
|
|
|
||||
|
Rent and other receivables |
|
71.9 |
|
|
|
69.8 |
|
|
Finance leases (as lessor) |
|
102.1 |
|
|
|
100.2 |
|
|
Less: allowance for losses |
|
(6.0 |
) |
|
|
(6.2 |
) |
|
|
|
168.0 |
|
|
|
163.8 |
|
|
|
|
|
|
||||
|
Operating Assets and Facilities |
|
11,168.4 |
|
|
|
11,163.6 |
|
|
Less: allowance for depreciation |
|
(3,310.2 |
) |
|
|
(3,378.8 |
) |
|
|
|
7,858.2 |
|
|
|
7,784.8 |
|
|
Lease Assets (as lessee) |
|
|
|
||||
|
Right-of-use assets, net of accumulated depreciation |
|
246.4 |
|
|
|
270.7 |
|
|
Finance leases, net of accumulated depreciation |
|
— |
|
|
|
1.5 |
|
|
|
|
246.4 |
|
|
|
272.2 |
|
|
|
|
|
|
||||
|
Investments in Affiliated Companies |
|
604.3 |
|
|
|
588.4 |
|
|
Goodwill |
|
109.3 |
|
|
|
123.0 |
|
|
Other Assets ($46.9 million and $3.8 million related to assets held for sale) |
|
292.6 |
|
|
|
265.0 |
|
|
Total Assets |
$ |
9,875.4 |
|
|
$ |
9,541.7 |
|
|
|
|
|
|
||||
|
Liabilities and Shareholders’ Equity |
|
|
|
||||
|
Accounts Payable and Accrued Expenses |
$ |
184.5 |
|
|
$ |
215.8 |
|
|
Debt |
|
|
|
||||
|
Commercial paper and borrowings under bank credit facilities |
|
16.3 |
|
|
|
18.1 |
|
|
Recourse |
|
6,353.1 |
|
|
|
5,887.5 |
|
|
|
|
6,369.4 |
|
|
|
5,905.6 |
|
|
Lease Obligations (as lessee) |
|
|
|
||||
|
Operating leases |
|
259.0 |
|
|
|
286.2 |
|
|
Finance leases |
|
— |
|
|
|
1.5 |
|
|
|
|
259.0 |
|
|
|
287.7 |
|
|
|
|
|
|
||||
|
Deferred Income Taxes |
|
1,007.5 |
|
|
|
1,001.0 |
|
|
Other Liabilities |
|
114.5 |
|
|
|
112.4 |
|
|
Total Liabilities |
|
7,934.9 |
|
|
|
7,522.5 |
|
|
Total Shareholders’ Equity |
|
1,940.5 |
|
|
|
2,019.2 |
|
|
Total Liabilities and Shareholders’ Equity |
$ |
9,875.4 |
|
|
$ |
9,541.7 |
|
|
GATX CORPORATION AND SUBSIDIARIES SEGMENT DATA (UNAUDITED) Three Months Ended September 30, 2022 (In millions) |
|||||||||||||||||||
|
|
Rail |
|
Rail International |
|
Portfolio Management |
|
Other |
|
GATX Consolidated |
||||||||||
|
Revenues |
|
|
|
|
|
|
|
|
|
||||||||||
|
Lease revenue |
$ |
211.3 |
|
|
$ |
65.3 |
|
|
$ |
8.3 |
|
|
$ |
7.5 |
|
|
$ |
292.4 |
|
|
Marine operating revenue |
|
— |
|
|
|
— |
|
|
|
4.8 |
|
|
|
— |
|
|
|
4.8 |
|
|
Other revenue |
|
20.0 |
|
|
|
2.3 |
|
|
|
— |
|
|
|
1.5 |
|
|
|
23.8 |
|
|
Total Revenues |
|
231.3 |
|
|
|
67.6 |
|
|
|
13.1 |
|
|
|
9.0 |
|
|
|
321.0 |
|
|
Expenses |
|
|
|
|
|
|
|
|
|
||||||||||
|
Maintenance expense |
|
62.4 |
|
|
|
12.8 |
|
|
|
— |
|
|
|
0.7 |
|
|
|
75.9 |
|
|
Marine operating expense |
|
— |
|
|
|
— |
|
|
|
3.6 |
|
|
|
— |
|
|
|
3.6 |
|
|
Depreciation expense |
|
65.3 |
|
|
|
16.8 |
|
|
|
3.7 |
|
|
|
2.9 |
|
|
|
88.7 |
|
|
Operating lease expense |
|
9.0 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
9.0 |
|
|
Other operating expense |
|
6.0 |
|
|
|
1.5 |
|
|
|
0.6 |
|
|
|
0.6 |
|
|
|
8.7 |
|
|
Total Expenses |
|
142.7 |
|
|
|
31.1 |
|
|
|
7.9 |
|
|
|
4.2 |
|
|
|
185.9 |
|
|
Other Income (Expense) |
|
|
|
|
|
|
|
|
|
||||||||||
|
Net gain (loss) on asset dispositions |
|
13.3 |
|
|
|
(10.3 |
) |
|
|
0.8 |
|
|
|
0.1 |
|
|
|
3.9 |
|
|
Interest expense, net |
|
(36.5 |
) |
|
|
(11.2 |
) |
|
|
(4.6 |
) |
|
|
(1.3 |
) |
|
|
(53.6 |
) |
|
Other (expense) income |
|
(1.4 |
) |
|
|
(0.5 |
) |
|
|
0.1 |
|
|
|
(0.7 |
) |
|
|
(2.5 |
) |
|
Share of affiliates’ pre-tax earnings |
|
0.3 |
|
|
|
— |
|
|
|
9.7 |
|
|
|
— |
|
|
|
10.0 |
|
|
Segment profit |
$ |
64.3 |
|
|
$ |
14.5 |
|
|
$ |
11.2 |
|
|
$ |
2.9 |
|
|
$ |
92.9 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Selling, general and administrative expense |
|
47.6 |
|
||||||||||||||||
|
Income taxes (includes $2.5 related to affiliates’ earnings) |
|
16.2 |
|
||||||||||||||||
|
Net income |
$ |
29.1 |
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Selected Data: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Investment volume |
$ |
142.5 |
|
|
$ |
50.1 |
|
|
$ |
— |
|
|
$ |
10.8 |
|
|
$ |
203.4 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Net Gain (loss) on Asset Dispositions |
|
|
|
|
|
|
|
|
|
||||||||||
|
Asset Remarketing Income: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Net gains on disposition of owned assets |
$ |
8.8 |
|
|
$ |
0.3 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
9.1 |
|
|
Residual sharing income |
|
0.2 |
|
|
|
— |
|
|
|
0.8 |
|
|
|
— |
|
|
|
1.0 |
|
|
Non-remarketing net gains (1) |
|
4.3 |
|
|
|
0.2 |
|
|
|
— |
|
|
|
0.1 |
|
|
|
4.6 |
|
|
Asset impairments |
|
— |
|
|
|
(10.8 |
) |
|
|
— |
|
|
|
— |
|
|
|
(10.8 |
) |
|
|
$ |
13.3 |
|
|
$ |
(10.3 |
) |
|
$ |
0.8 |
|
|
$ |
0.1 |
|
|
$ |
3.9 |
|
|
__________ |
|
(1) Includes net gains (losses) from scrapping of railcars. |
|
GATX CORPORATION AND SUBSIDIARIES SEGMENT DATA (UNAUDITED) Three Months Ended September 30, 2021 (In millions) |
|||||||||||||||||||
|
|
Rail |
|
Rail International |
|
Portfolio Management |
|
Other |
|
GATX Consolidated |
||||||||||
|
Revenues |
|
|
|
|
|
|
|
|
|
||||||||||
|
Lease revenue |
$ |
200.4 |
|
|
$ |
68.8 |
|
|
$ |
8.2 |
|
|
$ |
6.5 |
|
|
$ |
283.9 |
|
|
Marine operating revenue |
|
— |
|
|
|
— |
|
|
|
5.0 |
|
|
|
— |
|
|
|
5.0 |
|
|
Other revenue |
|
19.4 |
|
|
|
2.7 |
|
|
|
0.1 |
|
|
|
2.4 |
|
|
|
24.6 |
|
|
Total Revenues |
|
219.8 |
|
|
|
71.5 |
|
|
|
13.3 |
|
|
|
8.9 |
|
|
|
313.5 |
|
|
Expenses |
|
|
|
|
|
|
|
|
|
||||||||||
|
Maintenance expense |
|
58.9 |
|
|
|
14.0 |
|
|
|
— |
|
|
|
1.3 |
|
|
|
74.2 |
|
|
Marine operating expense |
|
— |
|
|
|
— |
|
|
|
3.7 |
|
|
|
— |
|
|
|
3.7 |
|
|
Depreciation expense |
|
64.8 |
|
|
|
18.5 |
|
|
|
4.9 |
|
|
|
2.9 |
|
|
|
91.1 |
|
|
Operating lease expense |
|
9.0 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
9.0 |
|
|
Other operating expense |
|
6.6 |
|
|
|
1.8 |
|
|
|
0.6 |
|
|
|
0.7 |
|
|
|
9.7 |
|
|
Total Expenses |
|
139.3 |
|
|
|
34.3 |
|
|
|
9.2 |
|
|
|
4.9 |
|
|
|
187.7 |
|
|
Other Income (Expense) |
|
|
|
|
|
|
|
|
|
||||||||||
|
Net gain on asset dispositions |
|
20.2 |
|
|
|
0.9 |
|
|
|
0.6 |
|
|
|
0.2 |
|
|
|
21.9 |
|
|
Interest expense, net |
|
(32.9 |
) |
|
|
(10.9 |
) |
|
|
(4.5 |
) |
|
|
(1.5 |
) |
|
|
(49.8 |
) |
|
Other (expense) income |
|
(1.1 |
) |
|
|
(0.2 |
) |
|
|
2.0 |
|
|
|
(1.0 |
) |
|
|
(0.3 |
) |
|
Share of affiliates’ pre-tax (loss) earnings |
|
(0.2 |
) |
|
|
— |
|
|
|
4.0 |
|
|
|
— |
|
|
|
3.8 |
|
|
Segment profit |
$ |
66.5 |
|
|
$ |
27.0 |
|
|
$ |
6.2 |
|
|
$ |
1.7 |
|
|
$ |
101.4 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Selling, general and administrative expense |
|
45.9 |
|
||||||||||||||||
|
Income taxes (includes $1.0 related to affiliates’ earnings) |
|
15.4 |
|
||||||||||||||||
|
Net income |
$ |
40.1 |
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Selected Data: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Investment volume |
$ |
178.9 |
|
|
$ |
40.9 |
|
|
$ |
— |
|
|
$ |
10.0 |
|
|
$ |
229.8 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Net Gain on Asset Dispositions |
|
|
|
|
|
|
|
|
|
||||||||||
|
Asset Remarketing Income: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Net gains on disposition of owned assets |
$ |
14.4 |
|
|
$ |
0.3 |
|
|
$ |
— |
|
|
$ |
0.2 |
|
|
$ |
14.9 |
|
|
Residual sharing income |
|
0.2 |
|
|
|
— |
|
|
|
0.6 |
|
|
|
— |
|
|
|
0.8 |
|
|
Non-remarketing net gains (1) |
|
5.6 |
|
|
|
0.6 |
|
|
|
— |
|
|
|
— |
|
|
|
6.2 |
|
|
|
$ |
20.2 |
|
|
$ |
0.9 |
|
|
$ |
0.6 |
|
|
$ |
0.2 |
|
|
$ |
21.9 |
|
|
__________ |
|
(1) Includes net gains (losses) from scrapping of railcars. |
|
GATX CORPORATION AND SUBSIDIARIES SEGMENT DATA (UNAUDITED) Nine Months Ended September 30, 2022 (In millions) |
|||||||||||||||||||
|
|
Rail North America |
|
Rail International |
|
Portfolio Management |
|
Other |
|
GATX Consolidated |
||||||||||
|
Revenues |
|
|
|
|
|
|
|
|
|
||||||||||
|
Lease revenue |
$ |
615.0 |
|
|
$ |
199.4 |
|
|
$ |
24.8 |
|
|
$ |
21.4 |
|
|
$ |
860.6 |
|
|
Marine operating revenue |
|
— |
|
|
|
— |
|
|
|
16.2 |
|
|
|
— |
|
|
|
16.2 |
|
|
Other revenue |
|
61.8 |
|
|
|
6.5 |
|
|
|
0.1 |
|
|
|
5.1 |
|
|
|
73.5 |
|
|
Total Revenues |
|
676.8 |
|
|
|
205.9 |
|
|
|
41.1 |
|
|
|
26.5 |
|
|
|
950.3 |
|
|
Expenses |
|
|
|
|
|
|
|
|
|
||||||||||
|
Maintenance expense |
|
180.1 |
|
|
|
39.0 |
|
|
|
— |
|
|
|
2.2 |
|
|
|
221.3 |
|
|
Marine operating expense |
|
— |
|
|
|
— |
|
|
|
11.7 |
|
|
|
— |
|
|
|
11.7 |
|
|
Depreciation expense |
|
193.7 |
|
|
|
52.0 |
|
|
|
13.6 |
|
|
|
8.9 |
|
|
|
268.2 |
|
|
Operating lease expense |
|
27.1 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
27.1 |
|
|
Other operating expense |
|
19.2 |
|
|
|
6.0 |
|
|
|
1.7 |
|
|
|
1.8 |
|
|
|
28.7 |
|
|
Total Expenses |
|
420.1 |
|
|
|
97.0 |
|
|
|
27.0 |
|
|
|
12.9 |
|
|
|
557.0 |
|
|
Other Income (Expense) |
|
|
|
|
|
|
|
|
|
||||||||||
|
Net gain (loss) on asset dispositions |
|
90.0 |
|
|
|
(7.9 |
) |
|
|
(29.1 |
) |
|
|
0.4 |
|
|
|
53.4 |
|
|
Interest expense, net |
|
(105.8 |
) |
|
|
(33.5 |
) |
|
|
(13.9 |
) |
|
|
(3.5 |
) |
|
|
(156.7 |
) |
|
Other (expense) income |
|
(3.4 |
) |
|
|
0.2 |
|
|
|
— |
|
|
|
(12.6 |
) |
|
|
(15.8 |
) |
|
Share of affiliates’ pre-tax earnings |
|
0.3 |
|
|
|
— |
|
|
|
20.5 |
|
|
|
— |
|
|
|
20.8 |
|
|
Segment profit (loss) |
$ |
237.8 |
|
|
$ |
67.7 |
|
|
$ |
(8.4 |
) |
|
$ |
(2.1 |
) |
|
$ |
295.0 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Selling, general and administrative expense |
|
142.7 |
|
||||||||||||||||
|
Income taxes (includes $6.0 related to affiliates’ earnings) |
|
44.8 |
|
||||||||||||||||
|
Net income |
$ |
107.5 |
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Selected Data: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Investment volume |
$ |
676.6 |
|
|
$ |
177.8 |
|
|
$ |
— |
|
|
$ |
33.5 |
|
|
$ |
887.9 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Net Gain (loss) on Asset Dispositions |
|
|
|
|
|
|
|
|
|
||||||||||
|
Asset Remarketing Income: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Net gains on disposition of owned assets |
$ |
74.4 |
|
|
$ |
1.0 |
|
|
$ |
— |
|
|
$ |
0.2 |
|
|
$ |
75.6 |
|
|
Residual sharing income |
|
2.3 |
|
|
|
— |
|
|
|
2.4 |
|
|
|
— |
|
|
|
4.7 |
|
|
Non-remarketing net gains (1) |
|
13.3 |
|
|
|
1.9 |
|
|
|
— |
|
|
|
0.2 |
|
|
|
15.4 |
|
|
Asset impairments |
|
— |
|
|
|
(10.8 |
) |
|
|
(31.5 |
) |
|
|
— |
|
|
|
(42.3 |
) |
|
|
$ |
90.0 |
|
|
$ |
(7.9 |
) |
|
$ |
(29.1 |
) |
|
$ |
0.4 |
|
|
$ |
53.4 |
|
|
__________ |
|
(1) Includes net gains (losses) from scrapping of railcars. |
|
GATX CORPORATION AND SUBSIDIARIES SEGMENT DATA (UNAUDITED) Nine Months Ended September 30, 2021 (In millions) |
|||||||||||||||||||
|
|
Rail North America |
|
Rail International |
|
Portfolio Management |
|
Other |
|
GATX Consolidated |
||||||||||
|
Revenues |
|
|
|
|
|
|
|
|
|
||||||||||
|
Lease revenue |
$ |
611.4 |
|
|
$ |
204.7 |
|
|
$ |
19.8 |
|
|
$ |
16.2 |
|
|
$ |
852.1 |
|
|
Marine operating revenue |
|
— |
|
|
|
— |
|
|
|
13.7 |
|
|
|
— |
|
|
|
13.7 |
|
|
Other revenue |
|
56.4 |
|
|
|
7.9 |
|
|
|
0.5 |
|
|
|
5.8 |
|
|
|
70.6 |
|
|
Total Revenues |
|
667.8 |
|
|
|
212.6 |
|
|
|
34.0 |
|
|
|
22.0 |
|
|
|
936.4 |
|
|
Expenses |
|
|
|
|
|
|
|
|
|
||||||||||
|
Maintenance expense |
|
178.8 |
|
|
|
43.6 |
|
|
|
— |
|
|
|
2.7 |
|
|
|
225.1 |
|
|
Marine operating expense |
|
— |
|
|
|
— |
|
|
|
13.8 |
|
|
|
— |
|
|
|
13.8 |
|
|
Depreciation expense |
|
195.7 |
|
|
|
55.2 |
|
|
|
12.6 |
|
|
|
7.7 |
|
|
|
271.2 |
|
|
Operating lease expense |
|
30.1 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
30.1 |
|
|
Other operating expense |
|
22.6 |
|
|
|
5.5 |
|
|
|
1.2 |
|
|
|
2.0 |
|
|
|
31.3 |
|
|
Total Expenses |
|
427.2 |
|
|
|
104.3 |
|
|
|
27.6 |
|
|
|
12.4 |
|
|
|
571.5 |
|
|
Other Income (Expense) |
|
|
|
|
|
|
|
|
|
||||||||||
|
Net gain on asset dispositions |
|
74.8 |
|
|
|
2.0 |
|
|
|
1.7 |
|
|
|
0.6 |
|
|
|
79.1 |
|
|
Interest expense, net |
|
(102.5 |
) |
|
|
(34.2 |
) |
|
|
(12.0 |
) |
|
|
(4.7 |
) |
|
|
(153.4 |
) |
|
Other (expense) income |
|
(2.9 |
) |
|
|
— |
|
|
|
2.0 |
|
|
|
(8.8 |
) |
|
|
(9.7 |
) |
|
Share of affiliates’ pre-tax (loss) earnings |
|
(0.2 |
) |
|
|
— |
|
|
|
26.4 |
|
|
|
— |
|
|
|
26.2 |
|
|
Segment profit (loss) |
$ |
209.8 |
|
|
$ |
76.1 |
|
|
$ |
24.5 |
|
|
$ |
(3.3 |
) |
|
$ |
307.1 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Selling, general and administrative expense |
|
140.8 |
|
||||||||||||||||
|
Income taxes (includes $47.8 related to affiliates’ earnings) |
|
84.2 |
|
||||||||||||||||
|
Net income |
$ |
82.1 |
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Selected Data: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Investment volume |
$ |
394.4 |
|
|
$ |
126.1 |
|
|
$ |
353.0 |
|
|
$ |
19.7 |
|
|
$ |
893.2 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
Net Gain on Asset Dispositions |
|
|
|
|
|
|
|
|
|
||||||||||
|
Asset Remarketing Income: |
|
|
|
|
|
|
|
|
|
||||||||||
|
Net gains on disposition of owned assets |
$ |
62.2 |
|
|
$ |
0.7 |
|
|
$ |
— |
|
|
$ |
0.5 |
|
|
$ |
63.4 |
|
|
Residual sharing income |
|
0.8 |
|
|
|
— |
|
|
|
1.7 |
|
|
|
— |
|
|
|
2.5 |
|
|
Non-remarketing net gains (1) |
|
11.8 |
|
|
|
1.3 |
|
|
|
— |
|
|
|
0.1 |
|
|
|
13.2 |
|
|
|
$ |
74.8 |
|
|
$ |
2.0 |
|
|
$ |
1.7 |
|
|
$ |
0.6 |
|
|
$ |
79.1 |
|
Contacts
GATX Corporation
Shari Hellerman
Senior Director, Investor Relations, ESG, and External Communications
312-621-4285
shari.hellerman@gatx.com
(10/25/2022)