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It broke through the first resistance. The big one is currently at $25.70. I'm still going to wait a tad, but I do like what I'm seeing. However I still think it's worth it to wait. If it does break through, it has enough upside for me.
Resistance has now become irrelevant.
ValueAct Capital beneficially owns 10,396,000 shares (7/18/16)
Controls 6.8 percent.
Total cost $201,280,721.89 or $19.36 per share.
https://www.sec.gov/Archives/$201,280,721.89edgar/data/99780/000141881216000161/trn13d072816.txt
Investor Presentation (7/26/16)
https://www.sec.gov/Archives/edgar/data/99780/000009978016000255/trninvestorpresentation0.htm
It is currently bumping resistance. For my money, I think there is plenty of time to buy this if they win their suit. I'd rather wait to see it get above $25.50 or so. If all goes well, there's plenty of time to make money on this stock, if it doesn't, I don't know where you'd want to own it.
Trinity Fifth Circuit Court of Appeals Reply Brief (7/21/16)
http://etplusfacts.com/docs/default-source/pdfs/reply-brief-of-appellants023a6e494c2d68458196ff00006abc2d.pdf?sfvrsn=4
Trinity Industries, Inc. Announces Second Quarter 2016 Results (7/21/16)
DALLAS--(BUSINESS WIRE)--Trinity Industries, Inc. (NYSE:TRN) today announced earnings results for the three and six months ended June 30, 2016, including the following significant highlights:
Quarterly revenues and net income of $1.2 billion and $94.6 million, respectively
• Quarterly earnings per common diluted share of $0.62 per share
• Receipt of $940 million order for the manufacture of wind towers expected to deliver during a three-year period beginning in 2017
• Anticipated full year 2016 earnings of between $2.00 and $2.30 per common diluted share
Consolidated Results
Trinity Industries, Inc. reported net income attributable to Trinity stockholders of $94.6 million, or $0.62 per common diluted share, for the second quarter ended June 30, 2016. Net income for the same quarter of 2015 was $212.0 million, or $1.33 per common diluted share. Revenues for the second quarter of 2016 totaled $1.18 billion compared to revenues of $1.68 billion for the same quarter of 2015.
"Trinity’s consolidated second quarter financial results are in line with our expectations and continue to reflect the Company’s ability to make orderly transitions when market conditions shift," said Timothy R. Wallace, Trinity's Chairman, CEO, and President. "The current level of uncertainty in the industrial economy is continuing to impact the pace of new order volumes in some of our businesses. We remain highly focused on repositioning, streamlining, and aligning our manufacturing operations with current demand levels."
Mr. Wallace added, "I am pleased with the $940 million wind tower order we received during the second quarter, which brings our backlog in this business to over $1.1 billion. The level of demand for our wind towers is favorable, and our backlog now extends through 2019, partially offsetting some of the uncertainty in other areas of our business."
Business Group Results
In the second quarter of 2016, the Rail Group reported revenues of $693.2 million compared to revenues of $1,110.3 million in the second quarter of 2015. Operating profit for the Rail Group was $88.8 million in the second quarter of 2016 compared to operating profit of $227.7 million in the second quarter of 2015. The decrease in revenues and profit was primarily due to lower railcar deliveries and changes in product mix. The Rail Group shipped 6,065 railcars and received orders for 2,910 railcars during the second quarter. The Rail Group had a backlog of $4.29 billion as of June 30, 2016, representing 40,205 railcars, compared to a backlog of $4.72 billion as of March 31, 2016, representing 43,360 railcars. At the end of the second quarter, the Rail Group's orders extended into 2020. The order and backlog figures for the second quarter of 2016 reflect a cancellation of 50 railcars resulting from a customer bankruptcy.
The Railcar Leasing and Management Services Group reported total revenues of $296.6 million in the second quarter of 2016 compared to total revenues of $238.1 million in the same quarter of 2015. Included in the total revenues for the Group were leasing and management operating revenues of $178.5 million, which were substantially unchanged from the second quarter of 2015, as well as revenues of $118.1 million from sales of railcars from the lease fleet owned for one year or less compared to $59.9 million in the second quarter of 2015. Total proceeds from the sale of leased railcars from the lease fleet, including the sale of railcars owned for more than one year that are not included in revenue, were $149.1 million for the second quarter compared with $148.8 million in the second quarter of 2015. Operating profit for this Group was $117.7 million in the second quarter of 2016 compared to operating profit of $137.7 million in the second quarter of 2015. The decrease in operating profit was primarily due to higher maintenance expense for the lease fleet and lower profit from the sales of leased railcars. Supplemental information for the Leasing Group is provided in the accompanying tables.
The Inland Barge Group reported revenues of $118.3 million for the second quarter of 2016 compared to revenues of $187.8 million in the second quarter of 2015. Operating profit for this Group was $14.3 million in the second quarter of 2016 compared to $40.7 million in the second quarter of 2015. The decrease in revenues and operating profit compared to the same quarter last year was primarily due to lower tank barge deliveries. As of June 30, 2016, the Inland Barge Group had a backlog of $251.0 million compared to a backlog of $318.7 million as of March 31, 2016.
The Energy Equipment Group reported revenues of $240.6 million in the second quarter of 2016 compared to revenues of $281.9 million in the same quarter of 2015. The decrease in revenues compared to the same quarter last year was due to lower delivery volumes in the utility structures business and other product lines partially offset by higher delivery volumes in the wind towers business. Operating profit for the second quarter of 2016 was $34.9 million compared to $36.3 million in the same quarter last year primarily due to lower profit from our utility structures and other businesses partially offset by higher profit in our wind towers business. With the previously announced wind tower order of $940 million, the backlog for wind towers as of June 30, 2016 was $1.1 billion compared to a backlog of $263.4 million as of March 31, 2016.
The Construction Products Group reported revenues of $145.8 million in the second quarter of 2016 compared to revenues of $151.3 million in the second quarter of 2015. Operating profit for the second quarter of 2016 was $21.5 million compared to operating profit of $21.3 million in the second quarter of 2015. Revenues decreased compared to the same quarter last year primarily as a result of the sale of the assets of the Group's galvanizing business in June 2015. Operating profit for the Group was substantially unchanged in the second quarter of 2016 as improved manufacturing efficiencies in our Highway Products business were primarily offset by the $7.8 million gain from the sale of assets of the Group's galvanizing business reported in the second quarter of 2015.
Cash and Liquidity
At June 30, 2016, the Company had cash, cash equivalents, and short-term marketable securities of $814.0 million. When combined with capacity under committed credit facilities, the Company had approximately $2.1 billion of available liquidity at the end of the second quarter.
Share Repurchase
There were no shares repurchased during the second quarter of 2016 under the Company's current share repurchase authorization. Year to date, the Company repurchased 2,070,600 shares of common stock at a cost of $34.7 million leaving $215.4 million remaining under its current authorization through December 31, 2017.
Earnings Guidance for 2016
For the full year of 2016, the Company anticipates earnings per common diluted share of between $2.00 and $2.30, unchanged from its previous guidance. Actual results in 2016 may differ from present expectations and could be impacted by a number of factors including, among others, fluctuations in prices of commodities that our customers produce and transport; expenses related to current and potential litigation; the operating leverage and efficiencies that can be achieved by the Company's manufacturing businesses; the costs associated with aligning manufacturing production capacity with demand; the level of sales and profitability of manufacturing railcars; the level of profitability associated with the sales of leased railcars; the dilutive impact of the convertible notes related to changes in the Company's stock price; and the impact of weather conditions on our operations and delivery schedules.
Conference Call
Trinity will hold a conference call at 11:00 a.m. Eastern on July 22, 2016 to discuss its second quarter results. To listen to the call, please visit the Investor Relations section of the Trinity Industries website, www.trin.net and select the Conference Calls menu link. An audio replay may be accessed through the Company’s website or by dialing (402) 220-0682 until 11:59 p.m. Eastern on July 29, 2016.
Company Description
Trinity Industries, Inc., headquartered in Dallas, Texas, is a diversified industrial company that owns market-leading businesses providing products and services to the energy, transportation, chemical, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.
[tables deleted]
http://www.businesswire.com/news/home/20160721006341/en/Trinity-Industries-Announces-Quarter-2016-Results
So the civil suits are still in appeal.
Trinity Industries and FHWA enter into Administrative Settlement and Compliance Agreement (6/10/16)
Trinity Industries, Inc. Announces New $940 Million Wind Tower Order (5/25/16)
DALLAS--(BUSINESS WIRE)--Today, Trinity Industries, Inc. (NYSE: TRN) announced that its wholly-owned subsidiary, Trinity Structural Towers, Inc. (“TSTI”), has received an order to manufacture $940 million of wind towers. TSTI expects to deliver the wind towers over a three-year period beginning in 2017.
“We are pleased to be awarded this long-term order that extends the backlog for our wind towers business through 2019,” said William A. McWhirter II, Trinity’s Senior Vice President and Group President. “The talent and dedicated efforts of our business leadership team was instrumental in obtaining this attractive order.”
“TSTI’s employees exemplify the spirit of Trinity Craftmanship, which is at the core of everything we do,” said Kerry S. Cole, Trinity Structural Towers’ President. “We are extremely proud of our industry-leading position and the superior products and services our TSTI team delivers each and every day.”
Results for the Company’s wind towers business are reported in the Energy Equipment Group. As of March 31, 2016, the backlog for wind towers was $263.4 million.
Trinity Industries, Inc., headquartered in Dallas, Texas, is a diversified industrial company that owns market-leading businesses, which provide products and services to the energy, transportation, chemical, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.
http://www.businesswire.com/news/home/20160525006400/en/Trinity-Industries-Announces-940-Million-Wind-Tower
Well I'm certainly counting on you being right
All nine suits are stayed, pending the Fifth Circuit's ruling in the False Claims Act appeal.
Didn't they already lose in Texas and now other States are following suit? ....literally
Judgement could be reversed or a new trial ordered.
Support is lining up:
• Texas, Alabama, Arkansas, Colorado, Indiana, Louisiana, Nevada, Oklahoma, South Carolina, Utah and Wisconsin Fifth Circuit Court of Appeals Amicus Curiae Brief in Support of Appellants
• National Association of Manufacturers, U.S. Chamber of Commerce and American Tort Reform Association Fifth Circuit Court of Appeals Amicus Curiae Brief in Support of Appellants
• Mothers Against Drunk Driving Fifth Circuit Court of Appeals Amicus Curiae Brief in Support of Appellants
• Former U.S. Department of Justice Officials Fifth Circuit Court of Appeals Amicus Curiae Brief in Support of Appellants
• Cato Institute Fifth Circuit Court of Appeals Amicus Curiae Brief in Support of Appellants
• Washington Legal Foundation Fifth Circuit Court of Appeals Amicus Curiae Brief in Support of Appellants
I am personally expecting a new trial.
The shares repurchased is great news.
The earnings drops and continued lawsuits, not so much.
Shares repurchased at average cost of $16.76 per share.
Trinity Industries, Inc. Announces First Quarter 2016 Results (4/21/16)
DALLAS--(BUSINESS WIRE)--Trinity Industries, Inc. (NYSE:TRN) today announced earnings results for the first quarter ended March 31, 2016, including the following significant highlights:
• Quarterly revenues and net income of $1.2 billion and $97.2 million, respectively
• Quarterly earnings per common diluted share of $0.64, including $0.03 per common diluted share related to sales of leased railcars
• Company repurchases approximately 2.1 million shares of common stock at a cost of $34.7 million under its share repurchase authorization during the quarter
• Company now anticipates full year 2016 earnings of between $2.00 and $2.30 per common diluted share
Consolidated Results
Trinity Industries, Inc. reported net income attributable to Trinity stockholders of $97.2 million, or $0.64 per common diluted share, for the first quarter ended March 31, 2016. Net income for the same quarter of 2015 was $180.2 million, or $1.13 per common diluted share. Revenues for the first quarter of 2016 totaled $1.19 billion compared to revenues of $1.63 billion for the same quarter of 2015.
“Trinity's first quarter financial results reflect the deterioration in demand for a number of our products,” said Timothy R. Wallace, Trinity’s Chairman, CEO and President. “Even though our financial results declined quarter over quarter and year over year, I am pleased with our Company's ability to make orderly transitions when market conditions shift. Our people did a good job transitioning from high production levels in the fourth quarter to much lower levels in the first quarter.”
Mr. Wallace added, “We are continuing to reposition and streamline our operations based on current demand levels. Trinity is a much stronger company today than in previous market downturns.”
Business Group Results
In the first quarter of 2016, the Rail Group reported revenues of $846.9 million compared to revenues of $1,144.5 million in the first quarter of 2015. Operating profit for the Rail Group was $157.2 million in the first quarter of 2016 compared to operating profit of $212.7 million in the first quarter of 2015. The decrease in revenues and profit was primarily due to lower deliveries and changes in product mix. The Rail Group shipped 7,145 railcars and received orders for 1,620 railcars during the first quarter. The Rail Group had a backlog of $4.72 billion as of March 31, 2016, representing 43,360 railcars, compared to a backlog of $5.40 billion as of December 31, 2015, representing 48,885 railcars. At the end of the first quarter, the backlog of railcar orders extends into 2020.
The Railcar Leasing and Management Services Group ("Leasing Group") reported leasing and management revenues of $170.5 million in the first quarter of 2016 compared to $166.1 million in the first quarter of 2015 primarily due to net fleet additions. In addition, the Group recognized revenues of $8.0 million during the first quarter from sales of railcars from the lease fleet owned for one year or less compared to $78.7 million in the first quarter of 2015. Proceeds from the sale of railcars from the lease fleet owned for more than one year at the time of sale are not included in revenue and totaled $6.7 million in the first quarter of 2016 and $78.5 million in the first quarter of 2015. Operating profit for this Group was $74.2 million in the first quarter of 2016 compared to operating profit of $122.8 million in the first quarter of 2015. The decrease in operating profit was primarily due to a decrease in the volume of sales of railcars from the lease fleet and higher maintenance expense. Supplemental information for the Leasing Group is provided in the accompanying tables.
The Inland Barge Group reported revenues of $110.8 million for the first quarter of 2016 compared to revenues of $153.1 million in the first quarter of 2015. Operating profit for this Group was $12.6 million in the first quarter of 2016 compared to $27.5 million in the first quarter of 2015. The decrease in revenues and operating profit compared to the same quarter last year was primarily due to lower tank barge deliveries. As of March 31, 2016, the Inland Barge Group had a backlog of $318.7 million compared to a backlog of $416.0 million as of December 31, 2015.
The Energy Equipment Group reported revenues of $273.4 million in the first quarter of 2016 compared to revenues of $300.1 million in the same quarter of 2015. Operating profit for the first quarter of 2016 increased slightly to $37.4 million compared to $37.2 million in the same quarter last year. The decrease in revenues compared to the same quarter last year was due to lower delivery volumes in the utility structures business and other product lines partially offset by higher delivery volumes in the wind towers business. The backlog for wind towers as of March 31, 2016 was $263.4 million compared to a backlog of $371.3 million as of December 31, 2015.
Revenues in the Construction Products Group were $124.9 million in the first quarter of 2016 compared to revenues of $112.8 million in the first quarter of 2015. The Group recorded an operating profit of $15.9 million in the first quarter of 2016 compared to an operating profit of $8.3 million in the first quarter of 2015. Revenues and operating profit increased compared to the same quarter last year primarily as a result of higher delivery volumes in both the Aggregates and Highway Products businesses.
Cash and Liquidity
At March 31, 2016, the Company had cash, cash equivalents, and short-term marketable securities of $835.6 million. When combined with capacity under committed credit facilities, the Company had approximately $2.1 billion of available liquidity at the end of the first quarter.
Share Repurchase
The Company repurchased 2,070,600 shares of common stock at a cost of $34.7 million under its share repurchase authorization during the quarter, leaving $215.4 million remaining under its current authorization through December 31, 2017.
Earnings Guidance for 2016
For the full year of 2016, the Company anticipates earnings per common diluted share of between $2.00 and $2.30 compared to its previous guidance of between $2.00 and $2.40 per share. The Company’s 2016 earnings guidance is based on the assumption that current market conditions will continue throughout the year. The reduction in the upper end of the earnings guidance range is due to a lower expected level of sales of leased railcars than previously provided.
The Company's current earnings guidance incorporates the sales of between $300 million and $400 million of leased railcars during 2016 compared to its previous guidance of approximately $500 million. In the current market environment, the Company is closely evaluating the current returns it may earn from selling portfolios of leased railcars compared to retaining the leased railcars in its wholly-owned lease fleet. During the first quarter, proceeds from the sales of leased railcars totaled $22.8 million and resulted in $0.03 per common diluted share of earnings.
Actual results in 2016 may differ from present expectations and could be impacted by a number of factors including, among others, fluctuations in prices of commodities that our customers produce and transport; expenses related to current and potential litigation; the operating leverage and efficiencies that can be achieved by the Company's manufacturing businesses; the costs associated with aligning manufacturing production capacity with demand; the level of sales and profitability of manufacturing railcars; the level of profitability associated with the sales of leased railcars; the dilutive impact of the convertible notes related to changes in the Company's stock price; and the impact of weather conditions on our operations and delivery schedules.
Conference Call
Trinity will hold a conference call at 11:00 a.m. Eastern on April 22, 2016 to discuss its first quarter results. To listen to the call, please visit the Investor Relations section of the Trinity Industries website, www.trin.net and select the Conference Calls menu link. An audio replay may be accessed through the Company’s website or by dialing (402) 220-7220 until 11:59 p.m. Eastern on April 29, 2016.
Trinity Industries, Inc., headquartered in Dallas, Texas, is a diversified industrial company that owns market-leading businesses providing products and services to the energy, transportation, chemical, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.
http://www.businesswire.com/news/home/20160421006652/en/Trinity-Industries-Announces-Quarter-2016-Results
Trinity Industries, Inc. Declares Quarterly Dividend (3/10/16)
DALLAS--(BUSINESS WIRE)--Trinity Industries, Inc. (NYSE:TRN) has declared a quarterly dividend of 11 cents per share on its $0.01 par value common stock. The quarterly cash dividend, representing Trinity’s 208th consecutively paid dividend, is payable April 29, 2016 to stockholders of record on April 15, 2016.
Trinity Industries, Inc., headquartered in Dallas, Texas, is a diversified industrial company that owns market-leading businesses providing products and services to the energy, transportation, chemical, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.
http://www.businesswire.com/news/home/20160310006542/en/Trinity-Industries-Declares-Quarterly-Dividend
It is a long way from forming an uptrend. Holler when it gets above $28
Nice pop up today so far looking good .
We can talk about this all we want, however I tend to find Wall Street knows stuff we do not. The stock has dropped way too far for this to be just fear selling. Something is up. And it ain't good.
I was just listening to a guy on CNBC saying if they had to liquidate assets, you'd have cash left over. Again, something is up.
I've seen the difference they made in the guard rail and I'm familiar with the evidence. It's not a false claim. Now, as to whether or not the appeal gets overturned I couldn't say.
I don't have an irrational mind I can't answer that. Once these things start they build momentum. All I know is at some point Wall St. will take a look at this earnings report and see what we see - A very healthy viable multi-billion dollar business selling at a P/E of 3... r u kidding me!
Mr. Market rushes in the door just like he rushes out. When that will happen I don't know but rest assured it will. The never ending search for value marches on and days like this will be long forgotten.
From the Conference Call (2/19/16)
Trinity Industries, Inc.
Earnings Release Conference Call
Comments of S. Theis Rice
Senior Vice President and Chief Legal Officer
2015 10-K Release
February 19, 2016
S. Theis Rice:
Thank you Gail and good morning everyone.
In my comments today I will refer to Trinity Industries and Trinity Highway Products together as Trinity. As previously reported, Trinity has appealed to the Fifth Circuit the June 2015 False Claims Act judgment involving the ET Plus® guardrail end terminal system. We will file our opening brief next month with full briefing by the parties to follow. We expect the Fifth Circuit will not issue a ruling in this case earlier than late 2016.
I would like to reiterate a few points related to this appeal: First, Trinity believes strongly in its appellate arguments; we are confident that no fraud was committed; and we believe there are strong legal grounds for the Fifth Circuit to overturn the judgment. Second, we stand 100 percent behind our product – the ET Plus® System – and we are selling it today. In the fall of 2015, after completing what the Federal Highway Administration termed the most thorough evaluation of a roadside device ever conducted, the FHWA reconfirmed yet again that the ET Plus® Systems in use today on the nation’s roadways meet all federal testing criteria and performance evaluation standards and that the system has been, and remains, fully eligible for federal-aid reimbursement.
We have also previously reported that the Commonwealth of Virginia has intervened in a state court action under the Virginia Fraud Against Taxpayers Act filed by the same party who filed the federal False Claims Act case. In an order entered by the Virginia court on January 27, 2016, the Commonwealth’s case was stayed pending resolution of the federal False Claims Act case currently on appeal.
The same party who filed the federal False Claims Act case and the Virginia case has also filed six other, state false claims act cases under each state’s law. Each of these six states has declined to intervene in or join the case filed in their state and all six cases are currently stayed.1
Please refer to www.etplusfacts.com/virginia for more information on the Virginia litigation.
1 Indiana; Delaware; Iowa; Rhode Island; Tennessee; Minnesota
So you think it's going lower?
I don't jump in the middle of a riot which is what you have going on here today and I wouldn't advise anyone else to do it however I do think it wise to be poised to add very soon.
Marker;
Trinity Industries, (TRN)
$15.83 down -5.29 (-25.05%)
Volume: 13,320,589
My understand is that several states will be suing TRN. Perhaps bankruptcy is in their future.
NSC is a railroad, not a industrial manufacturing company. Transportation stocks are doing well today.
GMT is the global leader in railcar leasing and world's largest lessor of tank cars. Shareholders are suffering today. I have been one for more than two decades.
The world is in a "unofficial" recession. Capital budgets are being slashed. This impacts companies in the industrial sectors from AA to X.
LOL! That was a silly answer. I see it is still dropping. Now I'm really worried about the shares I already have
possibly. yes.
So you are loading up today?
Mr. Market can do blind irrational selling real well. This is a complete overreaction in the face of what I consider a stellar earnings report.
Marker:
Trinity Industries, (TRN)
$16.037 down -5.083 (-24.07%)
Volume: 12,316,553
*Its times like this that create future short squeezes.
$NSC headed up in price.
The point is, stocks don't have 3 P/E's any more. Too much value there, and a 2.6% dividend to go with it? So the stock should be rising, not tanking.
Again, something wrong here.
Not just here. Every industrial manufacturer will face a difficult 2016.
Competitor GBX is also down sharply today.
Surely you can see that something is wrong here.
P/E of 3 just isn't right.
Record earnings per common diluted share of $5.08, up 21% year-over-year.
Guidance has been lowered dramatically for 2016.
Totally missed on earnings! As much as this stock seems like a no brainer buy, I still think future lawsuits makes it one worth watching and not adding to.
Trinity Industries, Inc. Announces Strong Fourth Quarter and Record Full Year 2015 Results (2/18/16)
DALLAS--(BUSINESS WIRE)--Trinity Industries, Inc. (NYSE:TRN) today announced earnings results for the fourth quarter ended December 31, 2015, including the following significant highlights:
Fourth Quarter 2015
• Earnings per common diluted share of $1.30, up 51% year-over-year
• Record operating margin for the Rail Group of 23.6% with record deliveries of 8,835 railcars
• Company completes sales of $479.5 million of leased railcars
• New institutional investor fund was formed, expanding the
railcar investment vehicle ("RIV") platform
• Inland Barge Group receives orders with a value of $190.1 million
Full Year 2015
• Record consolidated revenues of $6.4 billion
• Record railcar deliveries of 34,295
• Record earnings per common diluted share of $5.08, up 21% year-over-year
• Backlog commitments in Rail, Inland Barge, and Energy Equipment Groups valued at $6.2 billion
• Company completes sales of $1.2 billion of leased railcars
• Liquidity position of $2.1 billion, including cash, marketable
securities and available credit facilities
Consolidated Results
Trinity Industries, Inc. reported net income attributable to Trinity stockholders of $200.0 million, or $1.30 per common diluted share, for the fourth quarter ended December 31, 2015. Net income for the same quarter of 2014 was $138.2 million, or $0.86 per common diluted share. Revenues for the fourth quarter of 2015 totaled $1.55 billion compared to revenues of $1.66 billion for the same quarter of 2014.
For the year ended December 31, 2015, the Company reported record net income attributable to Trinity stockholders of $796.5 million, or $5.08 per common diluted share. In 2014, the Company reported net income of $678.2 million, or $4.19 per common diluted share. Revenues for the year ended December 31, 2015 were $6.39 billion, a 4% increase compared to revenues of $6.17 billion in 2014.
“During 2015, Trinity reported its third consecutive year of record revenues, operating profit, and earnings per common diluted share. We utilized the strengths of our integrated business model and the capabilities and expertise of our dedicated employees to achieve these impressive results,” said Timothy R. Wallace, Trinity’s Chairman, CEO and President.
Mr. Wallace added, “I am pleased that during the fourth quarter we expanded the RIV platform, selling approximately $335 million of leased railcars to a new institutional investor fund. We believe the RIV platform provides Trinity with a high degree of financial flexibility and contributes additional income through the profits recognized at sale and, in addition, management fees earned over the longer term.”
Mr. Wallace concluded, “Our outlook for 2016 reflects the weakening in the industrial economy that began broadly impacting our businesses late last summer. In this environment, we are placing a high priority on cost containment and various initiatives to enhance our performance. We will continue to reposition and streamline our manufacturing operations as business conditions fluctuate.”
Business Group Results
In the fourth quarter of 2015, the Rail Group reported revenues and record operating profit of approximately $1.13 billion and $267.9 million, respectively, resulting in year-over-year increases compared to the fourth quarter of 2014 of 6% and 38%, respectively. The increases in revenues and profit were due primarily to higher deliveries, improved pricing, and increased operating efficiencies partially offset by product mix changes. The Rail Group shipped a record 8,835 railcars and received orders for 2,455 railcars during the fourth quarter. The Rail Group had a backlog of $5.40 billion as of December 31, 2015, representing 48,885 railcars, compared to a backlog of $6.25 billion as of September 30, 2015, representing 55,265 railcars. At the end of the fourth quarter, the backlog of railcar orders extends into 2020.
The Railcar Leasing and Management Services Group ("Leasing Group") reported leasing and management revenues of $179.0 million in the fourth quarter of 2015 compared to $162.8 million in the fourth quarter of 2014 due to higher average rental rates and net fleet additions. In addition, the Group recognized revenue of $193.7 million during the fourth quarter from sales of railcars from the lease fleet owned for one year or less compared to $75.2 million in the fourth quarter of 2014. Operating profit for this Group was $187.5 million in the fourth quarter of 2015 compared to operating profit of $96.6 million in the fourth quarter of 2014 due to higher leasing and management operating profit and higher operating profit from sales of railcars from the lease fleet.
In total, Trinity sold $479.5 million of leased railcars to third parties during the fourth quarter, of which $84.7 million were reported in the Rail Group. Trinity's fourth quarter results included $0.58 per common diluted share related to sales of leased railcars compared to $0.14 per share of leased railcar sales in the same quarter last year. Supplemental information for the Leasing Group is provided in the accompanying tables.
The Inland Barge Group reported revenues of $147.2 million for the fourth quarter of 2015 compared to revenues of $167.8 million in the fourth quarter of 2014. Operating profit for this Group was $20.7 million in the fourth quarter of 2015 compared to $25.8 million in the fourth quarter of 2014. The decrease in revenues compared to the same quarter last year was primarily due to lower tank barge deliveries partially offset by higher delivery volumes of hopper barges. The Inland Barge Group received orders of $190.1 million during the quarter, and as of December 31, 2015 had a backlog of $416.0 million compared to a backlog of $373.1 million as of September 30, 2015.
The Energy Equipment Group reported revenues of $242.2 million in the fourth quarter of 2015 compared to revenues of $284.4 million in the same quarter of 2014. Operating profit for the fourth quarter of 2015 increased to $32.6 million compared to $26.9 million in the same quarter last year. The decrease in revenues compared to the same quarter last year was due to lower delivery volumes while the increase in operating profit was due primarily to improved manufacturing efficiencies. The backlog for structural wind towers as of December 31, 2015 was $371.3 million compared to a backlog of $424.4 million as of September 30, 2015.
Revenues in the Construction Products Group were $113.7 million in the fourth quarter of 2015 compared to revenues of $116.5 million in the fourth quarter of 2014. The Group recorded an operating profit of $5.0 million in the fourth quarter of 2015 compared to an operating loss of $0.3 million in the fourth quarter of 2014. Revenues decreased compared to the same quarter last year primarily as a result of lower delivery volumes in our Highway Products business and the divestiture of our galvanizing business partially offset by higher delivery volumes in our Aggregates business. Operating profit increased compared to the same quarter of 2014 due to improved manufacturing efficiencies.
Cash and Liquidity
At December 31, 2015, the Company had cash, cash equivalents, and short-term marketable securities of $870.9 million. When combined with capacity under committed credit facilities, the Company had approximately $2.12 billion of available liquidity at the end of the fourth quarter.
Share Repurchase
In December 2015, the Company’s Board of Directors renewed its $250 million share repurchase program effective January 1, 2016 through December 31, 2017. The new program replaced the previous program which expired on December 31, 2015. The Company repurchased 3.9 million shares at a cost of $115.0 million during the full year 2015. No shares were repurchased during the fourth quarter of 2015.
Earnings Guidance for 2016
For the full year of 2016, the Company anticipates earnings per common diluted share of between $2.00 and $2.40. The Company’s 2016 earnings guidance assumes the current weak market conditions will continue throughout the year.
For the Rail Group, annual deliveries in 2016 are now expected to be approximately 27,000 railcars, reflecting the delivery of firm backlog and a lower anticipated level of new orders. The Group expects revenues of approximately $3.1 billion with an operating margin of approximately 15% in 2016. This guidance reflects a change in product mix and pricing compared to 2015 for the Group’s 2016 railcar deliveries; a decrease in operating leverage related to an approximate 20% reduction in expected volumes; and costs associated with aligning the Group’s production footprint with demand.
In 2016, the Company expects to record revenue eliminations associated with railcars sold to the Leasing Group of approximately $1.1 billion with profit deferrals of approximately $215 million.
The Leasing Group expects revenues and profit from leasing and management operations in 2016 of approximately $700 million and $300 million, respectively.
The Company expects to continue expanding the RIV platform in 2016. Proceeds from the sale of leased railcars are expected to be approximately $500 million with a profit of approximately $100 million.
In 2016, the Inland Barge Group expects revenues of approximately $445 million with an operating margin of approximately 10%. The expected decrease in revenues and operating margin from 2015 reflects a lower level of demand; a change in product mix; and the competitive pricing environment.
The Company will provide additional details pertaining to its 2016 guidance during its conference call tomorrow.
Actual results in 2016 may differ from present expectations and could be impacted by a number of factors including, among others, fluctuations in prices of commodities that our customers produce and transport; expenses related to current and potential litigation; the operating leverage and efficiencies that can be achieved by the Company's manufacturing businesses; the costs associated with aligning manufacturing production capacity with demand; the level of sales and profitability of railcars; the level of profitability resulting from sales of leased railcars; the dilutive impact of the convertible notes related to changes in the Company's stock price; and the impact of weather conditions on our operations and delivery schedules.
Conference Call
Trinity will hold a conference call at 11:00 a.m. Eastern on February 19, 2016 to discuss its fourth quarter and full year results. To listen to the call, please visit the Investor Relations section of the Trinity Industries website, www.trin.net and select the Conference Calls menu link. An audio replay may be accessed through the Company’s website or by dialing (402) 220-2686 until 11:59 p.m. Eastern on February 26, 2016.
Trinity Industries, Inc., headquartered in Dallas, Texas, is a diversified industrial company that owns market-leading businesses providing products and services to the energy, transportation, chemical, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.
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http://www.businesswire.com/news/home/20160218006585/en/Trinity-Industries-Announces-Strong-Fourth-Quarter-Record
Rail leasing, barges, energy equipment.... that description alone must scare 95% of investors from even reading more. A rough place to be right now
I'd feel a lot better if it got above $27.50
Just leave it up to Trinity.
I would love to find the right time to add shares here, but am seeing no support whatsoever.
Trinity Industries, Inc. Renews $250 Million Share Repurchase Program and Declares Quarterly Dividend (12/10/15)
DALLAS--(BUSINESS WIRE)--Trinity Industries, Inc. (NYSE:TRN) (“Trinity”) today announced that its Board of Directors has renewed its $250 million share repurchase program effective January 1, 2016 through December 31, 2017. The program replaces Trinity’s current share repurchase program of the same amount that will expire on December 31, 2015.
Trinity has also declared a quarterly dividend of 11 cents per share on its $0.01 par value common stock. The quarterly cash dividend, representing Trinity’s 207th consecutively paid dividend, is payable January 29, 2016 to stockholders of record on January 15, 2016.
Trinity Industries, Inc., headquartered in Dallas, Texas, is a diversified industrial company that owns market-leading businesses providing products and services to the energy, transportation, chemical, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.
http://www.businesswire.com/news/home/20151210006330/en/Trinity-Industries-Renews-250-Million-Share-Repurchase
Trinity Industries: An Extremely Undervalued Stock (10/29/15)
http://seekingalpha.com/article/3617486-trinity-industries-an-extremely-undervalued-stock
Attributable to Jeff Eller, Trinity Highway Spokesperson (10/23/15)
Legal Update on the ET Plus® System (10/23/15)
http://www.etplusfacts.com/docs/default-source/default-document-library/trinity-highway-products-legal-statement-on-3rd-quarter-2015-earnings-conference-call-(october-23-2015).pdf?sfvrsn=2
Why Trinity Industries Inc's Shares Popped 16% Today (10/23/15)
An earnings beat shows that this company may be a great deal for investors.
What: Shares of industrial supplier Trinity Industries Inc (NYSE:TRN) popped as much as 16% today after it reported earnings. Soon after the peak, the stock lost more than half of its gain and is trading 5% higher as of this writing.
So what: Third-quarter revenue fell slightly but net income jumped 37% to $204.3 million, or $1.31 per share. Analysts were only expecting earnings of $1.16 per share.
Management is also confident about the company's future, increasing full-year earnings guidance from $4.45-$4.75 per share to $4.65-$4.75 per share.
Now what: As industries like energy and construction suffer, Trinity has been able to lean on its diverse business to maintain profitability. The Rail Group and Railcar Leasing and Management Services Group had top-line growth of 8% and 12%, respectively. Given Trinity's ability to maintain profits in this turbulent economy, I think the forward P/E ratio of 7 is a steal for investors today.
http://www.fool.com/investing/general/2015/10/23/why-trinity-industries-incs-shares-popped-16-today.aspx
Trinity Industries, Inc. Announces Strong Third Quarter 2015 Results and Increases Annual Guidance (10/22/15)
DALLAS--(BUSINESS WIRE)--Trinity Industries, Inc. (NYSE:TRN) today announced earnings results for the third quarter ended September 30, 2015, including the following significant highlights:
• Third quarter earnings per common diluted share of $1.31 compared to $0.91 for the third quarter of 2014, a 44% increase year-over-year
• Increased earnings guidance for the Company for full year 2015 to between $4.65 and $4.90 per common diluted share compared to previous guidance of between $4.45 and $4.75 per share
• A record operating margin for the Rail Group during the third quarter of 20.8% compared to 18.7% last year
• Record operating profit of $44.8 million for the Energy Equipment Group during the third quarter
Consolidated Results
Trinity Industries, Inc. reported net income attributable to Trinity stockholders of $204.3 million, or $1.31 per common diluted share. Net income for the same quarter of 2014 was $149.4 million, or $0.91 per common diluted share. Revenues for the third quarter of 2015 totaled $1.54 billion compared to revenues of $1.56 billion for the same quarter of 2014.
“During the third quarter, Trinity maintained its positive momentum generating high quality results that led to 37% year-over-year growth in our net income,” said Timothy R. Wallace, Trinity’s Chairman, CEO, and President. “Our performance continues to reflect the strength of our diversified industrial business model and our ability to shift our resources to meet our customers' needs.”
Mr. Wallace added, “An increased level of uncertainty in the macro-economic environment tempered the pace of new order volumes in our businesses during the third quarter. I am confident in our Company’s ability to respond to shifts in market demand.”
Business Group Results
In the third quarter of 2015, the Rail Group reported revenues and operating profit of approximately $1.07 billion and $223.3 million, respectively, resulting in year-over-year increases compared to the third quarter of 2014 of 8% and 20%, respectively. The increases in revenues and profit were due primarily to higher deliveries, improved pricing, and increased operating efficiencies partially offset by product mix changes. The Rail Group shipped 8,220 railcars and received orders for 3,655 railcars during the third quarter. The Rail Group had a backlog of $6.25 billion as of September 30, 2015, representing 55,265 railcars, compared to a backlog of $6.90 billion as of June 30, 2015, representing 59,830 railcars. At the end of the third quarter, the backlog of railcar orders extends into 2020.
During the third quarter of 2015, the Railcar Leasing and Management Services Group reported leasing and management revenues of $176.6 million compared to $158.3 million in the third quarter of 2014 due to higher average rental rates and net fleet additions. In addition, the Group recognized revenue of $72.6 million from sales of railcars from the lease fleet owned for less than a year during the third quarter compared to $47.4 million in the third quarter of 2014. Operating profit for this Group was $158.2 million in the third quarter of 2015 compared to operating profit of $87.0 million in the third quarter of 2014 due to higher leasing and management operating profit and higher operating profit from sales of railcars from the lease fleet. Supplemental information for the Railcar Leasing and Management Services Group is provided in the following tables.
During the third quarter, the Company sold $267.3 million of leased railcars to Element Financial Corporation ("Element") under a strategic alliance launched in 2013. Since the fourth quarter of 2013 when the alliance was announced, the Company has completed $1.60 billion of leased railcar sales to Element. On October 14th, the Company and Element announced a $1 billion extension of the alliance through December 2019. The Company's third quarter results included $0.39 per common diluted share related to sales of leased railcars to Element and other third parties compared to $0.13 per share in the same quarter last year.
The Inland Barge Group reported revenues of $164.8 million for the third quarter of 2015 compared to revenues of $168.4 million in the third quarter of 2014. Operating profit for this Group was $28.1 million in the third quarter of 2015 compared to $31.0 million in the third quarter of 2014. The slight decrease in revenues compared to the same quarter last year was primarily due to the mix of tank barges partially offset by higher delivery volumes of hopper barges. The Inland Barge Group received orders of $83.9 million during the quarter, and as of September 30, 2015 had a backlog of $373.1 million compared to a backlog of $454.0 million as of June 30, 2015.
The Energy Equipment Group reported revenues of $289.5 million in the third quarter of 2015 compared to revenues of $269.7 million in the same quarter of 2014. Operating profit for the third quarter of 2015 increased to a record $44.8 million compared to $30.0 million in the same quarter last year. The increases in revenues and operating profit compared to the same quarter last year were due primarily to an acquisition completed in the third quarter of 2014. The backlog for structural wind towers as of September 30, 2015 was $424.4 million compared to a backlog of $502.6 million as of June 30, 2015. At the end of the third quarter, the backlog of structural wind tower orders extends through 2016.
Revenues in the Construction Products Group were $154.8 million in the third quarter of 2015 compared to revenues of $170.4 million in the third quarter of 2014. The Group recorded an operating profit of $19.9 million in the third quarter of 2015 compared to an operating profit of $21.6 million in the third quarter of 2014. Revenues and operating profit decreased compared to the same quarter last year primarily as a result of lower delivery volumes in our Highway Products business partially offset by higher delivery volumes in our Aggregates business.
Cash and Liquidity
At September 30, 2015, the Company had cash and cash equivalents of $677.8 million. When combined with capacity under committed credit facilities, the Company had approximately $1.89 billion of available liquidity at the end of the third quarter.
Share Repurchase
The Company repurchased 1,556,516 shares of common stock at a cost of $40.0 million under its share repurchase authorization during the quarter, leaving $103.6 million remaining under its current authorization through December 31, 2015.
Earnings Outlook
The Company's earnings guidance for the fourth quarter is between $0.87 and $1.12 per common diluted share. This results in full year 2015 earnings guidance of between $4.65 and $4.90 per common diluted share compared to previous earnings guidance of $4.45 to $4.75 per share. The Company's earnings guidance compares to fourth quarter and full year 2014 earnings per common diluted share of $0.86 and $4.19, respectively. The 2015 earnings guidance assumes an annual weighted average diluted share count of 153 million shares, which includes 2.1 million shares from the convertible notes. The dilutive impact of the convertible notes reduces full year 2015 earnings per share by approximately $0.06 per share.
Actual results in 2015 may differ from present expectations and could be impacted by a number of factors including, among others, fluctuations in prices of commodities that our customers produce and transport; expenses related to current and potential litigation involving our Highway Products business; the operating leverage and efficiencies that can be achieved by the Company's manufacturing businesses; the level of sales and profitability of railcars; the level of profitability resulting from sales of leased railcars; the dilutive impact of the convertible notes related to changes in the Company's stock price; and the impact of weather conditions on our operations and delivery schedules.
Conference Call
Trinity will hold a conference call at 11:00 a.m. Eastern on October 23, 2015 to discuss its third quarter results. To listen to the call, please visit the Investor Relations section of the Trinity Industries website, www.trin.net and select the Conference Calls menu link. An audio replay may be accessed through the Company’s website or by dialing (402) 220-0116 until 11:59 p.m. Eastern on October 30, 2015.
Trinity Industries, Inc., headquartered in Dallas, Texas, is a diversified industrial company that owns market-leading businesses providing products and services to the energy, transportation, chemical, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.
http://www.businesswire.com/news/home/20151022006464/en/Trinity-Industries-Announces-Strong-Quarter-2015-Results
Trinity Industries, Inc. Announces $1 Billion Extension of Strategic Railcar Alliance with Element Financial Corporation (10/14/15)
DALLAS--(BUSINESS WIRE)--Today, Trinity Industries, Inc. (NYSE: TRN), through its wholly-owned subsidiary, TrinityRail Asset Management Company, LLC (“TRAMCo”) announced the extension of its strategic railcar alliance with Element Financial Corporation (TSX:EFN) (“Element”), one of North America's leading equipment finance companies. Under the extended alliance, Element is expected to acquire up to an additional $1 billion of leased railcars during the period of 2016 through 2019.
Similar to past purchases by Element under the existing alliance, the portfolio is expected to consist of new railcars from Trinity’s leased railcar backlog and existing leased railcars from the Trinity Industries Leasing Company (“TILC”) fleet; the portfolio may also include secondary market purchases of leased railcars identified by Trinity and Element. TILC will continue to act as exclusive servicer for the leased railcars purchased by Element under the alliance, maintaining its relationship with the individual lessees, and receive management fees accordingly.
At this time, the amount of expected sales to Element in each year of the extended alliance has not been determined. Consistent with the existing alliance, sales are expected to be reported in both the Rail and Leasing and Management Services Groups. Macquarie Capital advised Trinity on this alliance.
“We believe the long-term extension of our successful alliance with Element further strengthens our unique railcar investment vehicle platform,” said D. Stephen Menzies, Trinity Industries, Inc. Senior Vice President and the Group President responsible for Trinity’s railcar manufacturing and leasing businesses. “In recent years, the addition of institutional investors and strategic partners, like Element, enhance our financial flexibility to further grow our managed lease fleet,” added Mr. Menzies.
Trinity Industries, Inc., headquartered in Dallas, Texas, is a diversified industrial company that owns market-leading businesses, which provide products and services to the energy, transportation, chemical, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.
http://www.businesswire.com/news/home/20151014005809/en/Trinity-Industries-Announces-1-Billion-Extension-Strategic#.Vh5LPm-FPIU
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Trinity Industries Inc.
2525 Stemmons Freeway
Dallas, TX 75207-2401
Phone: 214-631-4420
Fax: 214-589-8824
Trinity Industries, Inc., through its subsidiaries, provides various products and services for the industrial, energy, transportation, and construction sectors primarily in the United States. Its Rail group manufactures and sells railcars and component parts, such as auto carrier cars, box cars, gondola cars, hopper cars, intermodal cars, specialty cars, and tank cars. This group also offers railcar parts used in manufacturing and repairing railcars, such as auto carrier doors and accessories, discharge gates, yokes, couplers, axles, and hitches. It serves customers, including railroads, leasing companies, and shippers of products, such as utilities, petrochemical companies, grain shippers, and major construction and industrial companies. The company's Railcar Leasing and Management Services group leases tank cars and freight cars, as well as provides management services. Its Construction Products group produces concrete, aggregates, and asphalt; manufactures highway products, as well as beams and girders used in highway bridge construction; and distributes construction aggregates, such as crushed stone, sand and gravel, asphalt rock, and recycled concrete. This group serves customers, such as contractors and subcontractors in the construction and foundation industry. The company's Inland Barge group offers various inland barges and fiberglass barge covers; dry cargo barges, including deck barges, and open or covered hopper barges that transport various commodities, such as grain, coal, and aggregates; and tank barges used to transport liquid products. Its Energy Equipment group manufactures tank containers and tank heads for pressure vessels, propane tanks, and structural wind towers. The company was founded in 1933 and is headquartered in Dallas, Texas.
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