Thu, May 1, 6:07 PM (22 days ago)
**Trinity Industries, Inc. (TRN) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $585.4 million, down 27.7% YoY due to lower external deliveries and sustainable railcar conversions. - **Operating Profit:** $99.8 million, a 13.4% decrease YoY, impacted by lower deliveries and workforce reductions in the Rail Products Group. - **Net Income:** $27.1 million, slightly down from $27.4 million in Q1 2024. - **Earnings per Share (EPS):** $0.26 diluted, down from $0.28 in Q1 2024. **Profit Margins:** - **Operating Margin:** 17.1%, down from 14.2% in Q1 2024. - **Net Margin:** 4.6%, slightly down from 3.4% in Q1 2024. **Cash Flow:** - **Operating Cash Flow:** $78.4 million, up from $56.5 million in Q1 2024. - **Investing Cash Flow:** -$91.6 million, improved from -$124.0 million in Q1 2024. - **Financing Cash Flow:** -$124.2 million, down from $71.8 million in Q1 2024. **Earnings Changes:** - **Income from Continuing Operations:** $29.0 million, down from $31.7 million in Q1 2024. - **Loss from Discontinued Operations:** -$1.9 million, improved from -$4.3 million in Q1 2024. **Quarterly Performance Discussion:** - **Revenue Decline:** Driven by lower external deliveries and sustainable railcar conversions in the Rail Products Group. - **Operating Profit Decline:** Due to lower deliveries and costs associated with workforce reductions. - **Cash Flow Improvement:** Operating cash flow increased, while investing cash flow improved but remained negative. **Trends & Uncertainties:** - **Cyclical Demand:** Demand for railcar products and services is correlated with North American industrial production. - **Supply Chain Disruptions:** Challenges in the global supply chain and transportation network may impact operations. - **Economic Uncertainty:** Macroeconomic factors and trade policies may affect demand and financial performance. **Future Operations Impact:** - **Capital Expenditures:** Anticipated net fleet investment of $300-$400 million for 2025. - **Debt Obligations:** Compliance with financial covenants related to leverage and interest coverage. - **Liquidity:** Total committed liquidity of $920.2 million, including cash, revolving credit facility, and warehouse loan facility.