Trinity Industries Q3 2024 Filing

Ticker: TRN · Form: 10-Q · Filed: Oct 31, 2024 · CIK: 99780

Sentiment: neutral

Topics: 10-Q, financials, railroad-equipment

TL;DR

**TRIN Q3 FILING OUT: Financials and operations detailed for period ending 9/30/24.**

AI Summary

Trinity Industries Inc. reported its third-quarter results for the period ending September 30, 2024. The company's filing provides financial details and operational updates for the quarter. Specific financial figures and performance metrics are detailed within the report.

Why It Matters

This 10-Q filing provides investors and analysts with the latest financial performance and operational status of Trinity Industries, crucial for understanding the company's current health and future prospects.

Risk Assessment

Risk Level: medium — As a 10-Q filing, it contains detailed financial information which can reveal significant risks or opportunities, but it does not represent a major event like an acquisition or lawsuit.

Key Numbers

Key Players & Entities

FAQ

What is the primary business of Trinity Industries Inc. according to its SIC code?

Trinity Industries Inc. is classified under the SIC code RAILROAD EQUIPMENT [3743], indicating its primary business is in the railroad equipment industry.

On what date was this 10-Q filing submitted to the SEC?

This 10-Q filing was submitted on October 31, 2024.

What is the reporting period covered by this 10-Q filing?

The reporting period covered by this 10-Q filing is the third quarter of 2024, ending on September 30, 2024.

What is Trinity Industries Inc.'s fiscal year end date?

Trinity Industries Inc.'s fiscal year ends on December 31st.

Where is Trinity Industries Inc. headquartered?

Trinity Industries Inc. is headquartered at 14221 N Dallas Parkway, Suite 1100, Dallas, TX 75254.

Filing Stats: 5,014 words · 20 min read · ~17 pages · Grade level 6.2 · Accepted 2024-10-31 12:35:44

Key Financial Figures

Filing Documents

FINANCIAL INFORMATION

PART I FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements 3

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 35

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 53

Controls and Procedures

Item 4. Controls and Procedures 54

OTHER INFORMATION

PART II OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 55

Risk Factors

Item 1A. Risk Factors 55

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 55

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 55

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 55

Other Information

Item 5. Other Information 56

Exhibits

Item 6. Exhibits 57

SIGNATURES

SIGNATURES 58 2 Table of Contents PART I

Financial Statements

Item 1. Financial Statements Trinity Industries, Inc. and Subsidiaries Consolidated Statements of Operations (unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 (in millions, except per share amounts) Revenues: Manufacturing $ 509.6 $ 560.0 $ 1,595.8 $ 1,423.6 Leasing & Services 289.2 261.3 854.0 761.8 798.8 821.3 2,449.8 2,185.4 Operating costs: Cost of revenues: Manufacturing 460.7 523.0 1,442.8 1,349.0 Leasing & Services 168.6 156.5 493.8 470.2 629.3 679.5 1,936.6 1,819.2 Selling, engineering, and administrative expenses: Manufacturing 8.7 7.3 24.2 21.8 Leasing & Services 18.7 16.6 56.8 48.7 Corporate & other 33.1 25.2 93.1 82.8 60.5 49.1 174.1 153.3 Gains on dispositions of property: Lease portfolio sales 11.4 3.1 36.2 46.4 Other 2.0 4.4 4.2 6.8 13.4 7.5 40.4 53.2 Restructuring activities, net — — — ( 2.2 ) Total operating profit 122.4 100.2 379.5 268.3 Other (income) expense: Interest expense, net 67.4 68.8 206.6 197.8 Other, net ( 1.4 ) ( 0.9 ) ( 1.4 ) 2.0 66.0 67.9 205.2 199.8 Income from continuing operations before income taxes 56.4 32.3 174.3 68.5 Provision (benefit) for income taxes: Current 18.3 22.2 45.2 26.2 Deferred ( 2.7 ) ( 16.2 ) ( 1.5 ) ( 24.3 ) 15.6 6.0 43.7 1.9 Income from continuing operations 40.8 26.3 130.6 66.6 Loss from discontinued operations, net of benefit for income taxes of $ 1.7 , $ 0.7 , $ 3.5 , and $ 2.2 ( 5.3 ) ( 2.7 ) ( 11.3 ) ( 8.1 ) Net income 35.5 23.6 119.3 58.5 Net income attributable to noncontrolling interest 4.1 1.8 9.8 15.3 Net income attributable to Trinity Industries, Inc. $ 31.4 $ 21.8 $ 109.5 $ 43.2 Basic earnings per common share: Income from continuing operations $ 0.45 $ 0.30 $ 1.48 $ 0.63 Loss from discontinued operations ( 0.07 ) ( 0.03 ) ( 0.14 ) ( 0.10 ) Basic net income attributable to Trinity Industries, Inc. $ 0.38 $ 0.27 $ 1.34 $ 0.53 Diluted earnings per common share: Income from continuing operations $

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements (Unaudited) Note 1. Summary of Significant Accounting Policies Basis of Presentation The foregoing Consolidated Financial Statements are unaudited and have been prepared from the books and records of Trinity Industries, Inc. and Subsidiaries ("Trinity," "Company," "we," "our," or "us"), including the accounts of our wholly-owned subsidiaries and partially-owned subsidiaries, TRIP Rail Holdings LLC ("TRIP Holdings"), RIV 2013 Rail Holdings LLC ("RIV 2013"), and Trinity Global Ventures Limited ("Trinity Global Ventures"), in which we have a controlling interest. In our opinion, all normal and recurring adjustments necessary for a fair presentation of our financial position as of September 30, 2024, the results of operations for the three and nine months ended September 30, 2024 and 2023, and cash flows for the nine months ended September 30, 2024 and 2023 have been made in conformity with generally accepted accounting principles. All significant intercompany accounts and transactions have been eliminated. Certain prior year balances have been reclassified to conform to the 2024 presentation. Due to seasonal and other factors, the results of operations for the nine months ended September 30, 2024 may not be indicative of expected results of operations for the year ending December 31, 2024. These interim financial statements and notes are condensed as permitted by the instructions to Form 10-Q and should be read in conjunction with our audited Consolidated Financial Statements included in our Form 10-K for the year ended December 31, 2023. Our Reportable Segments Effective January 1, 2024, the Company modified its organizational structure to better leverage our maintenance services capabilities to support lease fleet optimization and to grow our services and parts businesses. The new structure resulted in a change to our reportable segments beginning in 2024. In connection with this organizational update, we aligned the

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