NYSE$TRN

Trinity Industries Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Reported year over year growth in full year revenues, operating profit, and EPS from continuing operations and generated full year operating and free cash flow before leasing investment.

Trinity Industries, Inc. reported Q4 2019 revenues of $850.7 million, a 15.7% increase year-over-year. EPS was $0.18, a 5% decrease year-over-year. Adjusted EPS increased 35% year over year to $0.35.

  • Quarterly total company revenues of $850.7 million, reflecting growth of 15.7% year over year
  • Quarterly earnings from continuing operations per common diluted share (EPS) of $0.18, a decrease of 5% year over year
  • Growth of the wholly-owned and partially-owned lease fleet to 103,705 units, with lease fleet utilization of 96.0% at quarter-end
  • Rail Products Group quarterly revenues of $887.6 million and an 11.0% operating profit margin

Headline financials

Total Revenue

$851M

Previous: $735M+15.7%
EPS (adj)

$0.35

Previous: $0.26+34.6%
Fleet Utilization

96.0%

No prior period
Railcar Deliveries

6.9K

No prior period
New Railcar Orders

2.6K

No prior period
Capital Expenditures

$33.7M

Previous: -$25.7M+231.1%
Free Cash Flow

$196M

Previous: $84.9M+130.7%
Net Income

$21.5M

Previous: $26.9M-20.1%
Operating Income

$97.2M

Previous: $89.8M+8.2%
Gross Profit

$176M

Previous: $145M+21.8%
Cash & Equivalents

$166M

Previous: $179M-7.3%
Total Assets

$8.7B

Previous: $7.99B+8.9%
Stock-Based Comp

$7.8M

Previous: -$100K+7900.0%

Revenue & EPS history

Trinity · Revenue · Quarterly

$851M

Q4 2019+15.7%vs Q4 2018
Beat estimate in 6 of 16 quarters(38%)
ActualEstimate

Revenue by segment

Trinity · $1.2B total across 2 segments · Q4 2019

  • Rail Products
    $888M
  • Railcar Leasing and Services
    $313M

Forward guidance

For the full year 2020, the Company is projecting earnings per common diluted share of between $1.15 and $1.35 and top line revenues of between $2.5 billion and $2.7 billion.

Tailwinds

  • Continued progress on its cost and balance sheet optimization initiatives

Headwinds

  • Guidance does not include the effect of any charges or gains associated with restructuring activities, pension plan termination charges, or other items outside the normal course of our core business operations.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2019

Historical avgQ4 2019

-0.6%

Avg return

Earnings day

-1.6%

Avg return

5 days after

-0.2%

Avg return

30 days after

46%

31 / 67 earnings

Positive

+19.1%

Q2 2012

Best reaction

-25.4%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+6.0%+16.6%+5.2%
Q3 2025-2.7%-6.2%-4.7%
Q1 2025-2.9%-1.9%+2.5%
Q4 2024-8.3%-10.0%-14.1%
Q3 2024-8.8%-5.4%+5.5%
Q2 2024+2.8%+1.5%-0.2%
Q1 2024+15.5%+17.3%+20.9%
Q4 2023-7.3%-7.4%-0.5%
Q3 2023+15.9%+13.7%+23.8%
Q2 2023+2.5%-1.9%-4.4%
Q1 2023-8.7%-9.7%-9.9%
Q4 2022-9.6%-5.5%-19.4%
Q3 2022+7.4%+20.1%+30.1%
Q2 2022+6.0%+7.7%+7.3%
Q1 2022-7.0%-11.1%-18.4%
Q4 2021-5.8%-5.5%+9.7%
Q3 2021+0.5%-2.1%-6.0%
Q2 2021-0.8%+0.0%+5.9%
Q1 2021-2.9%-1.8%-0.5%
Q4 2020-2.8%+2.2%-10.2%
Q3 2020-5.7%-7.3%+0.8%
Q2 2020-7.7%-8.5%-4.9%
Q1 2020+10.4%+4.1%+14.3%
Q4 2019+5.7%-1.0%-26.6%
Q3 2019+1.1%+6.2%+15.0%
Q2 2019-9.1%-5.9%-19.2%
Q1 2019-11.5%-9.5%-13.9%
Q4 2018-2.3%-6.6%-18.1%
Q3 2018-18.3%-23.3%-13.8%
Q2 2018+1.6%+2.1%-0.1%
Q1 2018-0.1%+0.4%+11.0%
Q4 2017-1.4%-6.1%-9.9%
Q3 2017-8.2%-7.8%-1.0%
Q2 2017-3.4%-1.8%+2.9%
Q1 2017+3.0%+0.5%-2.6%
Q4 2016+1.2%-3.8%-4.0%
Q3 2016-2.4%-4.8%+22.0%
Q2 2016+4.2%+1.0%+17.0%
Q1 2016+4.0%
Q4 2015-25.4%
Q3 2015+4.6%
Q2 2015+4.6%
Q1 2015-12.5%
Q4 2014+6.8%
Q3 2014-2.1%
Q2 2014+1.5%
Q1 2014+4.8%
Q4 2013+10.4%
Q3 2013+7.3%
Q2 2013+6.2%
Q1 2013-3.3%
Q4 2012-3.6%
Q3 2012-3.9%
Q2 2012+19.1%
Q1 2012+1.6%
Q4 2011+5.1%
Q4 2010+4.2%
Q3 2011+4.2%
Q2 2011-13.8%
Q1 2010-4.1%
Q1 2011+6.6%
Q4 2008+2.6%
Q3 2009-3.2%
Q3 2010-3.2%
Q2 2010-1.7%
Q4 2009-1.7%
Q2 2009-1.7%

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