Trinity Industries Shares Gain Post Q2 Results

• Trinity Industries Inc (NYSE: TRN) reported second-quarter FY22 revenue growth of 42.1% year-over-year to $416.8 million.

• Adjusted EPS improved to $0.14 from $0.08 in 2Q21, below the consensus of $0.15.

• Trinity reported Lease fleet utilization of 97.2% and Future Lease Rate Differential (FLRD) of positive 14.7% at quarter end.

• New railcar orders of 4,335 (-5.1% Y/Y) and railcar deliveries of 2,510 (+42.2% Y/Y); a book-to-bill ratio of 1.7x, and a backlog of $2.2 billion at quarter-end.

• Cash flow from continuing operations year-to-date was a net use of $(61) million, and total free cash flow after investments and dividends was $43 million.

• Operating profit increased 26.3% Y/Y to $73 million, and margin contracted by 220 bps to 17.5%.

• Adjusted EBITDA increased 15.7% Y/Y to $144.2 million, and margin fell by 790 bps to 34.6%.

• Trinity Industries had total committed liquidity of $420 million as of June 30, 2022. It held cash and equivalents of $306.5 million.

• "We continue to feel confident about the second half of the year and expect to see strengthening results across our business," said CEO Jean Savage.

• FY22 Outlook: Trinity Industries expects EPS of $0.90 - $1.10 (prior expectations $0.85 - $1.05), versus the consensus of $0.99.

• It expects Industry deliveries of 40,000 - 50,000 railcars, Net investment in the lease fleet of $425 million - $475 million, down from $450 million - $550 million.

• Price Action: TRN shares are trading higher by 3.58% at $24.90 on the last check Wednesday.

See more from Benzinga

• Waste Management Q2 Results Exceed Street Expectations

• Owens Corning Clocks 16% Sales Growth In Q2

Don't miss real-time alerts on your stocks - join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.