Trinity Industries Inc (TRN) 2023 Q1 法說會逐字稿

Good day, and welcome to the Trinity Industries First Quarter Ended 31st March 2023 Results Conference Call.

美好的一天，歡迎來到 Trinity Industries 第一季度結束於 2023 年 3 月 31 日的業績電話會議。

(Operator Instructions)

（操作員說明）

Please note, today's event is being recorded.

請注意，今天的活動正在錄製中。

Before we get started, let me remind you that today's conference call contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995 and include statements as to estimates, expectations, intentions and predictions of future financial performance. Statements that are not historical facts are forward-looking. Participants are directed to Trinity's Form 10-K and other SEC filings for a description of certain of the business issues and risks, a change in any of which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements.

在我們開始之前，讓我提醒您，今天的電話會議包含 1995 年《私人證券訴訟改革法案》定義的前瞻性陳述，包括對未來財務業績的估計、預期、意圖和預測的陳述。非歷史事實的陳述是前瞻性的。參與者被引導至 Trinity 的 10-K 表格和其他 SEC 文件，以了解某些業務問題和風險的描述，其中任何一個的變化都可能導致實際結果或結果與前瞻性陳述中表達的結果大不相同。

I would now like to turn the conference over to Leigh Mann, Vice President of Investor Relations. Please go ahead.

我現在想將會議轉交給投資者關係副總裁 Leigh Mann。請繼續。

Thank you, operator. Good morning, everyone. We appreciate you joining us for the company's First Quarter 2023 Financial Results Conference Call. Our prepared remarks will include comments from Jean Savage, Trinity's Chief Executive Officer and President; and Eric Marchetto, the company's Chief Financial Officer. We will hold a Q&A session following the prepared remarks from our leaders.

謝謝你，運營商。大家，早安。感謝您加入我們公司 2023 年第一季度財務業績電話會議。我們準備好的發言將包括 Trinity 首席執行官兼總裁 Jean Savage 的評論；和公司首席財務官 Eric Marchetto。我們將在領導人準備好的發言後舉行問答環節。

During the call today, we will reference slides highlighting key points of discussion as well as certain non-GAAP financial metrics. The reconciliations of the non-GAAP metrics to comparable GAAP measures are provided in the appendix of the supplemental slides, which are accessible on our Investor Relations website at www.trin.net. These slides are under the Events and Presentations portion of the website, along with the first quarter earnings conference call's webcast link.

在今天的電話會議中，我們將參考強調討論要點以及某些非 GAAP 財務指標的幻燈片。補充幻燈片的附錄中提供了非 GAAP 指標與可比較的 GAAP 指標的對賬，可在我們的投資者關係網站 www.trin.net 上訪問。這些幻燈片位於網站的“活動和演示”部分下，以及第一季度收益電話會議的網絡廣播鏈接。

A replay of today's call will be available after 10:30 a.m Eastern Time through midnight on May 9, 2023. Replay information is available under the Events and Presentations page on our Investor Relations website.

從東部時間上午 10 點 30 分到 2023 年 5 月 9 日午夜，將重播今天的電話會議。重播信息可在我們的投資者關係網站的“活動和演示”頁面下找到。

It is now my pleasure to turn the call over to Jean.

現在我很高興將電話轉給 Jean。

Thank you, Leigh Mann, and good morning, everyone. I'll start on Slide 3 to talk about our key messages from today's call, which we will expand on later in our prepared remarks. Our first quarter GAAP EPS from continuing operations was $0.09, and adjusted EPS from continuing operations was $0.07, up $0.04 year-over-year. We ended the quarter with our future lease rate differential, or FLRD, at 44.3%. The FLRD calculates the implied change in lease rates for railcar leases expiring over the next 4 quarters by applying the most recently transacted quarterly lease rate for each railcar type, and our lease fleet utilization improved this quarter to 98.2%, reinforcing that the railcar market remains tight.

謝謝你，Leigh Mann，大家早上好。我將從幻燈片 3 開始談論我們今天電話會議的關鍵信息，我們將在稍後的準備好的評論中對此進行擴展。我們第一季度來自持續經營的 GAAP 每股收益為 0.09 美元，來自持續經營的調整後每股收益為 0.07 美元，同比增長 0.04 美元。本季度末，我們的未來租賃利率差異 (FLRD) 為 44.3%。 FLRD 通過對每種軌道車類型應用最近交易的季度租賃率來計算未來 4 個季度到期的軌道車租賃的隱含變化，本季度我們的租賃車隊利用率提高到 98.2%，這進一步表明軌道車市場仍然存在緊的。

We are reconfirming our 2023 EPS guidance of $1.50 to $1.70. We are confident in our ability to achieve these results as we look forward in 2023. We expect to see segment operating margins up significantly as we take advantage of the operating leverage of the business, manufacturing backlog and strong railcar lease environment. And finally, in the first quarter, we completed our acquisition of RSI Logistics, a data-centric provider of proprietary rail logistics software and management solutions. I'll discuss this acquisition and how it fits into our digital strategy later in my prepared remarks.

我們再次確認 2023 年每股收益 1.50 美元至 1.70 美元的指引。展望 2023 年，我們對實現這些成果的能力充滿信心。隨著我們利用業務的運營槓桿、製造積壓和強大的軌道車租賃環境，我們預計分部營業利潤率將大幅上升。最後，在第一季度，我們完成了對 RSI Logistics 的收購，RSI Logistics 是一家以數據為中心的專有鐵路物流軟件和管理解決方案提供商。稍後我將在準備好的評論中討論此次收購以及它如何融入我們的數字戰略。

And now let's turn to Slide 4 for a market update. Starting on the top left, despite intermodal pulling down rail traffic, carloads are up almost 4% year-over-year. We're encouraged to see that rail service issues appear to be improving with higher train speeds and shorter dwell times. But overall performance still has room to improve. Near-shoring activities, trucking labor headwinds and heightened interest in ESG continue to foster pent-up demand for rail transportation. Even as railroad service continues to improve, the pent-up demand will continue to drive more rail volume despite uncertain macroeconomic conditions.

現在讓我們轉到幻燈片 4 了解市場更新。從左上角開始，儘管多式聯運拉低了鐵路交通，但載貨量同比增長了近 4%。我們很高興看到鐵路服務問題似乎隨著火車速度的提高和停留時間的縮短而得到改善。但整體表現仍有提升空間。近岸外包活動、卡車運輸勞動力的逆風以及對 ESG 的高度關注繼續促進對鐵路運輸被壓抑的需求。即使鐵路服務不斷改善，儘管宏觀經濟狀況不明朗，但被壓抑的需求仍將繼續推動更多的鐵路運量。

Moving to the top right graph, the continued railroad service headwinds are keeping populations of the North American railcar fleet out of storage. At the beginning of April, the AAR reported that more than 82% of the fleet was active, representing a meaningful month-over-month and year-over-year improvement. Covered hoppers, primarily for agricultural markets and open hoppers for construction materials, metals and coal have seen the greatest recent improvement. It's also worth noting that tank cars are at the lowest level of storage since this metric began in 2016.

移動到右上角的圖表，持續的鐵路服務逆風使北美鐵路車隊的人口無法存儲。 4 月初，AAR 報告稱，超過 82% 的機隊處於活躍狀態，這代表了有意義的月環比和同比改善。主要用於農產品市場的有蓋料斗和用於建築材料、金屬和煤炭的敞開式料斗最近有了最大的改進。還值得注意的是，自 2016 年開始使用該指標以來，油罐車的存儲量處於最低水平。

Moving to the bottom of this slide, positive commercial momentum continues for our lease fleet. I have already mentioned that our FLRD is above 44%, which is a significant step up from last quarter. What we find especially encouraging is that we see improvement in virtually all railcar types in our fleet. The highest increases are coming from our tank car fleet, which has lagged the freight car recovery in recent years. Our lease fleet utilization improved to 98.2%, and we remain optimistic about lease rate growth in the coming quarters given the tight existing railcar market, higher interest rates, and the current inflationary environment.

轉到這張幻燈片的底部，我們的租賃機隊繼續保持積極的商業勢頭。我已經提到我們的 FLRD 超過 44%，這比上一季度有了很大的進步。我們發現特別令人鼓舞的是，我們看到車隊中幾乎所有類型的軌道車都有所改善。增幅最高的是我們的油罐車車隊，近年來它的複蘇落後於貨車。我們的租賃車隊利用率提高到 98.2%，鑑於現有軌道車市場緊張、利率上升和當前的通脹環境，我們對未來幾個季度的租賃率增長保持樂觀。

Furthermore, as we lock in substantially higher lease rates, we are also increasing the term of the leases, which gives us confidence in longer-term revenue generation. We delivered 4,045 railcars in the quarter and received orders for 2,690. We exited the first quarter with a backlog of 30,915 railcars valued at $3.7 billion. Inquiry levels remain supportive of replacement level demand over the next several years, especially in several key railcar fleets, including covered hoppers, gondolas, auto racks and boxcars. We have been selective in our go-to-market strategy in order to maintain steady manufacturing performance through the cycle.

此外，由於我們鎖定了更高的租賃利率，我們也在延長租賃期限，這使我們對長期創收充滿信心。我們在本季度交付了 4,045 輛軌道車，並收到了 2,690 輛的訂單。我們在第一季度結束時積壓了 30,915 輛軌道車，價值 37 億美元。詢價水平在未來幾年內仍然支持更換水平的需求，特別是在幾個主要的軌道車車隊中，包括有蓋料斗、吊船、汽車架和棚車。為了在整個週期中保持穩定的製造性能，我們一直在選擇進入市場的策略。

Furthermore, this recovery has been supply-led, which has made for a stable market driven by replacement-level demand.

此外，這種複蘇是由供應主導的，這使得更換水平需求驅動的市場穩定。

Slide 5 shows the first quarter performance year-over-year. Our quarterly revenue of $642 million was up 36% compared to a year ago. And our first quarter adjusted EPS of $0.07 was up 133%. While our cash flow from continuing operations in the quarter of $103 million was up 260%, our adjusted free cash flow of $36 million was down 24%. Many moving pieces drove these numbers and the timing of railcar sales create variability in free cash flow. I want to start by talking about segment performance, and later, Eric will discuss cash flow.

幻燈片 5 顯示了第一季度的同比表現。我們的季度收入為 6.42 億美元，與一年前相比增長了 36%。我們第一季度調整後的每股收益為 0.07 美元，增長了 133%。雖然我們本季度來自持續經營的現金流量為 1.03 億美元，增長了 260%，但我們調整後的自由現金流量為 3600 萬美元，下降了 24%。許多移動部件推動了這些數字，而軌道車銷售的時機造成了自由現金流的可變性。我想先談談分部業績，稍後，Eric 將討論現金流。

Please turn with me to Slide 6 for segment results, starting at the top with the Leasing segment. Leasing segment revenue in the first quarter of $204 million reflects improved renewal rates and higher utilization. Our renewal success rate of 80% in the quarter increased utilization and the high FLRD are evidence that market rates are rising and customers are holding on to their railcars and understand the economics of a tight market with elevated interest rates and rising lease rates. Our FLRD has been positive for 7 consecutive quarters. And as we continue to raise lease rates, we expect continued revenue growth in this segment.

請和我一起轉到幻燈片 6 以獲取細分結果，從頂部的租賃細分開始。第一季度租賃部門的收入為 2.04 億美元，反映了續約率的提高和利用率的提高。我們本季度 80% 的更新成功率增加了利用率和高 FLRD 證明市場利率正在上升，客戶正在堅持他們的軌道車，並了解利率上升和租賃率上升的緊張市場的經濟性。我們的 FLRD 已連續 7 個季度為正。隨著我們繼續提高租賃費率，我們預計該部門的收入將持續增長。

Leasing and management operating profit margins were 35.4% in the first quarter. Margins were slightly down sequentially due to increased maintenance expense as well as depreciation expenses because of higher sustainable railcar conversion activity. Remember, sustainable railcar conversions are a cash-accretive action for Trinity as they extend the useful life of assets at attractive returns on invested capital. We expect leasing margins to improve as lease rates push upwards and these expenses stabilize.

第一季度租賃和管理營業利潤率為 35.4%。利潤率環比略有下降，原因是維護費用增加，以及因可持續軌道車轉換活動增加而導致的折舊費用增加。請記住，可持續的軌道車改造對 Trinity 來說是一項現金增值行動，因為它們以具有吸引力的投資回報率延長了資產的使用壽命。我們預計，隨著租賃利率的上升和這些費用的穩定，租賃利潤率將會提高。

In the Rail Products segment, quarterly revenue was slightly down sequentially due to a lower volume of deliveries compared to the fourth quarter. However, segment revenue was up 63% year-over-year, reflecting significantly higher deliveries and manufacturing. Our operating margins in the Rail Products segment came in at 4% in the first quarter, an improvement sequentially and year-over-year. However, these margins are still lower than we would like and reflect a challenging labor environment.

在鐵路產品領域，由於交付量低於第四季度，季度收入環比略有下降。然而，分部收入同比增長 63%，反映出交付量和製造量的顯著增加。我們在鐵路產品部門的營業利潤率在第一季度為 4%，環比和同比都有所提高。然而，這些利潤率仍然低於我們的預期，反映出充滿挑戰的勞動力環境。

The accelerating pace of hiring and onboarding has affected productivity given the volume of new employees and the need for training. While these issues, along with continued rail service and supply chain issues, continue to affect us through the first quarter, we see improvement across the board. We are optimistic that we are through the worst. All that to say, we expect to see operating margin improve substantially through the year and expect high single-digit margins in this segment.

考慮到新員工的數量和培訓需求，招聘和入職速度的加快影響了生產力。雖然這些問題以及持續的鐵路服務和供應鏈問題在第一季度繼續影響我們，但我們看到全面改善。我們樂觀地認為我們已經度過了最糟糕的時期。綜上所述，我們預計全年營業利潤率將大幅提高，並預計該領域的利潤率將達到高個位數。

Turning to Slide 7. We remain focused on our strategic initiatives. And this quarter, I want to highlight the work we're doing to improve the rail supply chain. As I mentioned at the top of the call, we completed our acquisition of RSI Logistics, a data-centric provider of proprietary software and logistics and terminal management solutions to the North American rail industry. We are excited about this acquisition and the capabilities it gives us. I want to step back and talk about our rail services journey and how this acquisition fits into the future state of our business. Please turn to Slide 8.

轉到幻燈片 7。我們仍然專注於我們的戰略舉措。本季度，我想強調我們為改善鐵路供應鏈所做的工作。正如我在電話會議開頭提到的，我們完成了對 RSI Logistics 的收購，RSI Logistics 是一家以數據為中心的專有軟件供應商，為北美鐵路行業提供物流和終端管理解決方案。我們對此次收購及其賦予我們的能力感到興奮。我想退後一步，談談我們的鐵路服務之旅，以及這次收購如何適應我們未來的業務狀況。請轉到幻燈片 8。

Our proprietary Trinsight platform was enhanced with our acquisition of Quasar last year. These businesses give us access and insight into unique data and analytics about railcars, including assets' health, shipment condition, location and yard management. The RSI Logistics acquisition added a full suite of logistics capabilities to our digital portfolio, including shipment execution software and services to efficiently manage rail logistics, transloading and warehousing solutions.

去年收購 Quasar 後，我們專有的 Trinsight 平台得到了增強。這些業務使我們能夠訪問和洞察有關軌道車的獨特數據和分析，包括資產健康狀況、裝運狀況、位置和堆場管理。對 RSI Logistics 的收購為我們的數字產品組合增加了全套物流功能，包括貨運執行軟件和服務，以有效管理鐵路物流、轉運和倉儲解決方案。

Our goal is to help our customers optimize their supply chain by making shipments more visible as data real time and easily accessible. We are creating an end-to-end platform to help our customers safely, efficiently and predictably bring their products from the port of origin to the point of use. We are working with industry leaders and channel partners toward broader network integration and optimization through initiatives like Rail Pulse. Customer feedback on the RSI acquisition has been very positive. Specifically, their transloading and turnkey rail logistics solutions are seen as leaders in the industry, giving our customers an enhanced offering all in one place.

我們的目標是幫助我們的客戶優化他們的供應鏈，使裝運數據更加實時可見且易於訪問。我們正在創建一個端到端平台，以幫助我們的客戶安全、高效且可預測地將他們的產品從原產港運送到使用地點。我們正在與行業領導者和渠道合作夥伴合作，通過 Rail Pulse 等舉措實現更廣泛的網絡整合和優化。客戶對 RSI 收購的反饋非常積極。具體來說，他們的轉運和交鑰匙鐵路物流解決方案被視為行業領導者，為我們的客戶提供一站式增強服務。

We look forward to continuing the integration of this business into Trinity as we work toward a better digital solution for rail shippers. Eric will talk about full year expectations in a minute, but I wanted to close by talking about some of the key themes we are seeing that keep us optimistic. We significantly ramped up hiring in the fourth quarter of 2022 and the first quarter of 2023, and are spending time training those employees. We believe labor has largely stabilized, and we expect substantial efficiency improvement with a more experienced employee base in the second half of the year.

我們期待著繼續將這項業務整合到 Trinity 中，因為我們致力於為鐵路托運人提供更好的數字解決方案。埃里克將在一分鐘內談論全年預期，但我想通過談論我們看到的一些讓我們保持樂觀的關鍵主題來結束。我們在 2022 年第四季度和 2023 年第一季度大幅增加了招聘，並花時間培訓這些員工。我們認為勞動力已經基本穩定，我們預計下半年隨著經驗豐富的員工基礎的出現，效率將大幅提高。

The rail services issues that plagued us in 2022, specifically around the border, have largely been resolved. And while there's still some variation in our supply chain, we have learned to operate through it and do not view this as a significant issue in the future.

2022 年困擾我們的鐵路服務問題，特別是在邊境附近，已基本得到解決。雖然我們的供應鏈仍然存在一些差異，但我們已經學會了通過它進行運營，並且不會將其視為未來的重大問題。

We expect revenue to improve on both sides of our business with higher deliveries and lease rates. We expect margin improvement on both sides of our business with better efficiency and moderated maintenance expenses. While our first quarter results were dampened, the fundamental strength in our industry is evident, and we are excited about the year ahead as those trends persist, and we see an easing of the headwinds.

我們預計，隨著交付和租賃率的提高，我們業務雙方的收入都會有所改善。我們預計，隨著效率的提高和維護費用的減少，我們業務雙方的利潤率都會提高。雖然我們第一季度的業績受到抑制，但我們行業的基本實力是顯而易見的，我們對未來一年感到興奮，因為這些趨勢持續存在，我們看到不利因素有所緩解。

And finally, since we last spoke in February, I'm proud to report that Trinity has released our 2022 annual report and will soon file our 2023 Corporate Social Responsibility report. Regarding our CSR report, we made progress as a company, and I wanted to preview a few highlights of the report with you today. First, we've achieved our third-party limited insurance of Scope 1 and Scope 2 greenhouse gas metrics. Also, for the first time, we are tying executive compensation to environmental metrics like year-over-year energy reduction and water usage.

最後，自從我們上次在 2 月份發言以來，我很自豪地宣布，Trinity 已經發布了我們的 2022 年年度報告，並將很快提交我們的 2023 年企業社會責任報告。關於我們的企業社會責任報告，我們作為一家公司取得了進步，今天我想和大家一起預覽報告的幾個亮點。首先，我們已經實現了範圍 1 和範圍 2 溫室氣體指標的第三方有限保險。此外，我們首次將高管薪酬與同比能源減少和用水量等環境指標掛鉤。

Diversity, equity and inclusion metrics will continue to be connected to compensation as well. Our CSR report has excellent information, and I encourage you to check it out and hold us accountable for continued improvement.

多樣性、公平性和包容性指標也將繼續與薪酬相關聯。我們的企業社會責任報告提供了極好的信息，我鼓勵您查看並讓我們對持續改進負責。

In terms of safety, we have reduced our nonfatal occupational injuries and illnesses by 27% over the last 3 years. I'm proud to say that by putting safety first and always focusing on continuous improvement, we are now 40% better than the industry.

在安全方面，我們在過去 3 年中將非致命性工傷和疾病減少了 27%。我很自豪地說，通過將安全放在首位並始終專注於持續改進，我們現在比行業好 40%。

And now I'll turn the call over to Eric to review our financial results.

現在我會把電話轉給埃里克來審查我們的財務業績。

Good morning, everyone. Please turn to Slide 9, where we will discuss consolidated financial results. In the first quarter, revenue of $642 million improved sequentially year-over-year due to higher external railcar deliveries and improved pricing. Our adjusted earnings per share of $0.07 was up year-over-year but down sequentially due to lower lease portfolio sales in the first quarter.

大家，早安。請轉到幻燈片 9，我們將在其中討論合併財務結果。第一季度，由於外部軌道車交付量增加和定價改善，收入同比增長 6.42 億美元。我們調整後的每股收益為 0.07 美元，同比增長，但由於第一季度租賃組合銷售額下降，環比下降。

Lease portfolio sales were $57 million in the first quarter with a gain of $14 million. Our earnings were aided by a 217% tax benefit. Several moving pieces affected our tax rate in the quarter, and I'll discuss those briefly. In our trip leasing subsidiary, we released stranded tax assets previously recorded in AOCI and recorded an income tax benefit of $11.9 million, $7.5 million of which relates to noncontrolling interest. This results in a net $4.4 million positive impact on net income.

第一季度租賃組合銷售額為 5700 萬美元，收益為 1400 萬美元。我們的收入得益於 217% 的稅收優惠。幾個變動因素影響了我們本季度的稅率，我將簡要討論這些。在我們的旅行租賃子公司中，我們釋放了之前記錄在 AOCI 中的滯留稅收資產，並記錄了 1190 萬美元的所得稅收益，其中 750 萬美元與非控股權益有關。這對淨收入產生了 440 萬美元的淨積極影響。

Our tax rate also benefited by a $4 million change in valuation allowances. These items were partially offset by a remeasurement of net-deferred tax liabilities due to the RSI acquisition, resulting in an increase in deferred tax expense of $3.2 million in the quarter.

我們的稅率也受益於 400 萬美元的估值津貼變化。由於收購 RSI，這些項目被重新計算淨遞延稅負債部分抵消，導致本季度遞延稅支出增加 320 萬美元。

Moving to the cash flow statement. Our cash flow from continued operations in the quarter was $103 million, and adjusted free cash flow was $36 million after investments and dividends. We did not repurchase any shares in the quarter, but paid $21 million in dividends. In terms of investing activity, our fleet additions totaled $192 million, including deliveries, modifications and secondary market additions, offset by lease portfolio sales of $57 million, bringing our net fleet investment in the quarter to $135 million.

轉到現金流量表。我們本季度來自持續經營的現金流為 1.03 億美元，調整後的自由現金流在扣除投資和股息後為 3600 萬美元。本季度我們沒有回購任何股票，但支付了 2100 萬美元的股息。在投資活動方面，我們的機隊增加總計 1.92 億美元，包括交付、改裝和二級市場增加，被 5700 萬美元的租賃組合銷售額所抵消，使我們本季度的機隊淨投資達到 1.35 億美元。

Lease portfolio sales were low in the quarter, and we expect this number to being fairly lumpy through the year, but we are on track for our net fleet investment full year guidance of $250 million to $350 million. Our investment of $7 million in manufacturing and general capital expenditures is also on pace for our full year guidance.

本季度的租賃組合銷售額較低，我們預計這一數字全年將相當不穩定，但我們有望實現 2.5 億美元至 3.5 億美元的全年淨機隊投資指導。我們在製造和一般資本支出方面的 700 萬美元投資也符合我們的全年指導目標。

Turning to Slide 10. We currently have liquidity of $451 million, which includes cash and equivalents, revolver availability and warehouse availability. In the first quarter, we amended our revolving credit facility to increase the total facility commitment from $450 million to $600 million to enhance our liquidity and flexibility.

轉到幻燈片 10。我們目前的流動資金為 4.51 億美元，其中包括現金和等價物、可用左輪手槍和可用倉庫。第一季度，我們修改了循環信貸額度，將總額度承諾從 4.5 億美元增加到 6 億美元，以增強我們的流動性和靈活性。

We are maintaining higher working capital, which will be necessary to support higher levels of deliveries and the current supply chain landscape. Higher interest rates have impacted our debt profile. Our debt remains approximately 80% fixed rate, but the impact of higher short-term rates, along with higher debt balances has increased our interest expense over the last year. In the first quarter, net interest expense of $62 million was up $19 million year-over-year, and we had headwinds to our earnings this year.

我們正在維持更高的營運資金，這對於支持更高水平的交付和當前的供應鍊格局是必要的。更高的利率影響了我們的債務狀況。我們的債務仍然保持大約 80% 的固定利率，但較高的短期利率以及較高的債務餘額的影響增加了我們去年的利息支出。第一季度，淨利息支出為 6200 萬美元，同比增長 1900 萬美元，我們今年的收益受到了不利影響。

And finally, our loan to value for the wholly owned lease portfolio is 65%, in line with our target range. I'll conclude my prepared remarks on Slide 11 with our outlook and guidance. Our outlook remains relatively unchanged from our fourth quarter call. We view North American industry deliveries in the range of 40,000 to 45,000 railcars, representing replacement-level demand. We expect a net lease fleet investment of $250 million to $350 million for the year, in line with our 3-year target. We expect manufacturing and general capital expenditures of $40 million to $50 million for the year, representing investments in safety, efficiency and automation. We expect to achieve our revised 3-year cash flow from operations target of $1.2 billion to $1.4 billion.

最後，我們全資租賃組合的貸款價值比為 65%，符合我們的目標範圍。我將以我們的展望和指導來結束我在幻燈片 11 上準備好的評論。我們的展望與我們第四季度的電話會議相比保持相對不變。我們認為北美工業交付量在 40,000 至 45,000 輛軌道車之間，代表更換級別的需求。我們預計今年的租賃車隊淨投資為 2.5 億美元至 3.5 億美元，符合我們的 3 年目標。我們預計今年的製造和一般資本支出為 4000 萬至 5000 萬美元，代表對安全、效率和自動化的投資。我們預計將實現修訂後的 3 年運營現金流目標 12 億美元至 14 億美元。

And finally, we are affirming our 2023 adjusted EPS from continued operations guidance of $1.50 to $1.70 per share. Given that we reported $0.07 in the first quarter, we believe that this guidance shows that we expect meaningful improvement in our Rail Group margins in the second half of the year and continued lease rate increases in the Leasing segment.

最後，我們確認 2023 年調整後的每股收益從 1.50 美元到 1.70 美元的持續運營指導。鑑於我們在第一季度報告了 0.07 美元，我們認為這一指導表明我們預計下半年我們的鐵路集團利潤率將有顯著改善，並且租賃部門的租賃費率將繼續上漲。

In conclusion, as we have increased deliveries over the last several quarters, we have not been able to achieve the necessary efficiency levels to get the margins we expect.

總之，由於我們在過去幾個季度增加了交付量，我們未能達到必要的效率水平來獲得我們預期的利潤率。

As more of our employees are onboarded and trained, we expect to see that efficiency improved and financial results to reflect that as the year progresses. As we said last quarter, improvement does not happen overnight, but the work we have done to attract, train and retain our workforce will be visible in our results as the year progresses, and we look forward to sharing our progress with you. And now operator, we are ready for the first question.

隨著越來越多的員工入職和接受培訓，我們希望隨著時間的推移，效率得到提高，財務業績也能反映出這一點。正如我們上個季度所說，改進不會在一夜之間發生，但隨著時間的推移，我們為吸引、培訓和留住員工所做的工作將體現在我們的成果中，我們期待與您分享我們的進展。現在接線員，我們準備好回答第一個問題了。

(Operator Instructions)

（操作員說明）

Our first question comes from the line of Justin Long from Stephens.

我們的第一個問題來自 Stephens 的 Justin Long。

Maybe to start with a question on Rail Products Group margins, Jean, I think you said that the guidance was for high single-digit margins. I wanted to clarify that, that was a full year 2023 guide. And if so, maybe you can help us think about the quarterly cadence.

也許首先要問一個關於鐵路產品集團利潤率的問題，Jean，我想你說過指導是針對高個位數的利潤率。我想澄清一下，這是一份 2023 年全年指南。如果是這樣，也許你可以幫助我們考慮季度節奏。

Eric, a moment ago, I think you made a comment that margins would improve in the second half. So I just wanted to understand, are you expecting sequential improvement in margins in the second quarter? And then maybe where we go in the second half in order to get to that high single-digit target?

埃里克，剛才，我想你說過下半年利潤率會提高。所以我只想了解，您是否預計第二季度利潤率會出現連續改善？然後也許我們在下半場去哪裡才能達到那個高的個位數目標？

Great question, Justin. Let me talk a little bit about the progression of the year to help you understand what we're seeing. So in the first half of the year, in Rail Product, we have 2/3 of the year's changeover occurring. First quarter, we had about 1/3 of those. So we also talked about being able to hire finally in the first quarter. That was really great. We have the people we need now to get the throughput we need, but it also presented the training headwinds. If you look at our top 2, our largest plants for manufacturing, 20% of the workforce has less than 6 months. Typically, they're in training for 3 months and then you're ramping on the efficiency for at least the next 3 months. So we expect to see that continue into the second quarter as some of those people will stay in training or getting up to speed.

好問題，賈斯汀。讓我談談今年的進展，以幫助您了解我們所看到的情況。因此，在今年上半年，在鐵路產品方面，我們有 2/3 的年度轉換發生。第一季度，我們有大約 1/3。所以我們也談到了最終能夠在第一季度進行招聘。那真的很棒。我們現在擁有所需的人員來獲得所需的吞吐量，但它也帶來了培訓阻力。如果你看看我們的前 2 大工廠，我們最大的製造工廠，20% 的員工的工作時間不到 6 個月。通常，他們會接受 3 個月的培訓，然後您至少會在接下來的 3 個月內提高效率。因此，我們預計這種情況會持續到第二季度，因為其中一些人將繼續接受培訓或加快速度。

In the first quarter, good news, we saw some rail service and supply chain improvements, which is great. We expect that to continue into the second quarter. And again, in the first half, we expect more cars to deliver into our fleet, and you'll see more of that in the second quarter.

在第一季度，好消息是，我們看到了一些鐵路服務和供應鏈的改善，這很好。我們預計這種情況將持續到第二季度。同樣，在上半年，我們預計會有更多汽車交付給我們的車隊，你會在第二季度看到更多。

Looking at the second half of the year in Rail Products, we're going to have the remaining 1/3 of the changeovers. And it's a few less in the third quarter than fourth, but fairly even there on that. We're also looking at -- to maintain better rail service, the supply chain continuing to improve and more importantly, that training complete and the efficiency still ramping up. So I would expect improvement through the year. I would expect the second half to be much greater than the first half.

看看今年下半年的鐵路產品，我們將進行剩餘 1/3 的轉換。第三季度比第四季度少一些，但在這一點上是相當的。我們也在關注——為了保持更好的鐵路服務，供應鏈不斷改進，更重要的是，培訓已經完成，效率仍在提高。所以我預計這一年會有所改善。我預計下半年會比上半年大得多。

Does that answer the question, Justin?

這能回答問題嗎，賈斯汀？

That's a lot of helpful detail. And given the first quarter was roughly 4%, to get to that high single-digit full year target, it suggests the exit rate might be above the high single digits? Is that fair?

這是很多有用的細節。考慮到第一季度約為 4%，要達到全年的高個位數目標，這表明退出率可能高於高個位數？這公平嗎？

So I would say with high single digits overall for the number that we're looking at to exit the year with.

因此，我想說的是，我們正在尋找退出這一年的數字總體上是高個位數。

Okay. Got it. And then maybe as my follow-up for Eric, there was a lot of noise on the tax rate, and you walked through some of the puts and takes there. But I guess, one, I'd like to know why you felt that should be included in the adjusted number? And then maybe any color you can give us on the tax rate going forward? And in addition to that, we love some thoughts on gains on sale going forward, too.

好的。知道了。然後也許作為我對埃里克的後續行動，有很多關於稅率的噪音，你走過一些看跌期權並在那裡接受。但我想，第一，我想知道為什麼您認為應該將其包含在調整後的數字中？然後，也許您可以就未來的稅率給我們任何顏色？除此之外，我們也喜歡對未來銷售收益的一些想法。

Yes. So Justin, I think we -- I didn't walk through all the pieces of the kind of 3 elements of it. And while those were not included in our forecast for the year, and our guidance, we did include them in our -- we did not adjust them out. We felt that they were related to our core business, and so we didn't adjust them out. In terms of -- and also note because a lot of that -- a lot of the benefit came out through minority interest and so the net impact for the quarter was not as great as the headline might indicate because of it coming out in minority interest.

是的。所以賈斯汀，我認為我們 - 我沒有遍歷它的 3 個元素的所有部分。雖然這些沒有包括在我們今年的預測和我們的指導中，但我們確實將它們包括在我們的 - 我們沒有調整它們。我們覺得它們與我們的核心業務有關，所以我們沒有調整它們。就 - 並且還要注意，因為其中很多 - 很多好處都是通過少數股東權益產生的，因此該季度的淨影響並不像標題所表明的那麼大，因為它來自少數股東權益.

In terms of car sales, so we had modest car sales in the first quarter. Reminder, we still have year 3 of our Wafra program in place, which likely will be in the second half of the year. The market for -- secondary market still remains relatively good. We're active in the market, both as buyers and sellers, and we see opportunities. We see opportunities both on the buy side and the sell side. And so I would characterize it as pretty healthy. You might think because of higher interest rates, that would have cooled off the market. I think what we see is that buyers are priced in future lease rate increases, and therefore, you're assuming that lease rate inflation continues. And so that has supported valuations recently that we have seen their support going forward.

在汽車銷售方面，第一季度我們的汽車銷售量不大。提醒一下，我們還有 Wafra 計劃的第 3 年，可能會在今年下半年進行。市場——二級市場仍然相對良好。我們在市場上很活躍，作為買家和賣家，我們看到了機會。我們在買方和賣方都看到了機會。所以我認為它非常健康。您可能會認為，由於更高的利率，市場會降溫。我認為我們看到的是買家在未來租賃利率上漲中定價，因此，你假設租賃利率通脹繼續。因此，這最近支持了估值，我們看到了他們對未來的支持。

Our next question comes from the line of Bascome Majors from Susquehanna.

我們的下一個問題來自 Susquehanna 的 Bascome Majors 系列。

You're talking about getting your labor force slowly up to speed and your desired productivity, but you're facing off against a moderately weakening railcar order environment. So I just wanted to walk through the contingency or the ability to avoid reducing the labor force in an environment where maybe railcar production needs to fall later this year or early next year and then having to go back and backfill yet again after the challenges of hiring in Northern Mexico over the last 2 or 3 quarters?

你在談論讓你的勞動力慢慢地提高速度和你想要的生產力，但你正面臨著適度疲軟的軌道車訂單環境。所以我只是想談談在今年晚些時候或明年初軌道車產量可能需要下降的環境中避免減少勞動力的意外情況或能力，然後在面臨招聘挑戰後不得不再次回填過去 2 或 3 個季度在北墨西哥？

So as we look at the workforce right now, Bascome, what we're seeing is we've got the majority of all of our space filled for this year, taking orders into next year. So the people we have will help us, one, reduce over time as they come in and they're more efficient so that lessens that headwind. And as we get them trained, we're still seeing inquiry levels consistent with our belief of replacement demand for the railcars that are going to be needed. So even though you might see some fluctuation, we don't believe you're going to see the high peaks and valleys that we've seen in previous cycles. We think this one is going to be a little flatter, which will help us maintain that workforce and not have to go through the cycle of retraining again.

因此，當我們現在查看員工隊伍時，Bascome，我們看到的是今年我們已經填補了大部分空間，並在明年接受訂單。因此，我們擁有的人員將幫助我們，一個，隨著時間的推移減少他們進來的時間，他們會更有效率，從而減少逆風。當我們對他們進行培訓時，我們仍然看到查詢水平與我們對將需要的軌道車的更換需求的信念一致。因此，即使您可能會看到一些波動，我們也不相信您會看到我們在之前的周期中看到的高峰和低谷。我們認為這個會更平坦一些，這將幫助我們維持勞動力，而不必再次經歷再培訓週期。

Okay. So it sounds like at least into early next year, you have very good visibility into a fairly steady production cadence?

好的。所以聽起來至少到明年初，您對相當穩定的生產節奏有很好的了解？

That's correct.

這是正確的。

And just to clarify Justin's question, the mid-single -- I'm sorry, the high single-digit margin comment, that was an exit rate and not a full year number. I just want to clarify there.

只是為了澄清賈斯汀的問題，中單 - 對不起，高個位數利潤評論，這是退出率而不是全年數字。我只是想澄清一下。

The full year is a high single-digit number. The exit rate will be stronger than the entry rate.

全年是一個高個位數。退出率將強於進入率。

Yes. Understood. And lastly, the lease rate differential number was considerably strong. I want to bring some more attention to that. You mentioned tank cars in the prepared remarks. Can you walk us through in a little more granular detail? How is that ramping up so quickly? How sustainable is that level of renewal price increases? And are there any quirks about the first quarter that really juiced that number versus where we should think that might settle in the second half of the year or something?

是的。明白了。最後，租賃利率差異相當大。我想引起更多關注。你在準備好的評論中提到了油罐車。您能詳細介紹一下嗎？怎麼漲得這麼快？續訂價格上漲水平的可持續性如何？第一季度是否有任何怪癖真正使這個數字與我們認為可能在下半年或其他什麼時候解決的地方相比？

Sure. So when we look at this recovery, it's really supply-driven. And we're seeing increases in interest rates, new car costs are higher, and we don't see that coming down anytime soon, the interest rates or even the car prices because it's really stabilized. So those will support the higher rates for longer. Some of the reasons we believe that is the FLRD at the 44.3%, the fact that the utilization went up to 98.2%, and the fact that our lease term actually extended in the first quarter.

當然。因此，當我們審視這種複蘇時，它確實是由供應驅動的。而且我們看到利率上升，新車成本更高，而且我們不會很快看到利率甚至汽車價格下降，因為它真的很穩定。因此，這些將支持更高的利率更長的時間。我們認為的部分原因是 FLRD 為 44.3%，利用率上升到 98.2%，以及我們的租期實際上在第一季度延長了。

In 2022, we averaged about 47 months and the first quarter of this year, it extended out to 61 months. So what's that telling us that market is still tight, that they still really want those cars that are out there existing. And when we look at new car prices as compared to our leased or existing cars, there's still a fraction on the lease pricing. So there's a lot of headroom between the new car price and that -- new price rate and the existing car rate.

2022 年，我們的平均時間約為 47 個月，而今年第一季度則延長至 61 個月。那麼這告訴我們市場仍然緊張，他們仍然真的想要那些現有的汽車。當我們將新車價格與租賃或現有汽車進行比較時，租賃價格仍有一小部分。因此，新車價格與新車價格和現有汽車價格之間存在很大差距。

Our next question comes from the line of Matt Elkott from TD Cowen.

我們的下一個問題來自 TD Cowen 的 Matt Elkott。

My first question is on demand environment. We saw some of the rails starting to do park locomotives, UNPs, parking, 100 CSX might do something similar. I know that the rails have, in past cycles, returned some railcars as well when they come off leases. Are you guys seeing any signs that the railroads might be contemplating similar steps with railcars as locomotives as their traffic remains stubbornly low?

我的第一個問題是隨需應變的環境。我們看到一些軌道開始做停車機車、UNP、停車，100 CSX 可能會做類似的事情。我知道，在過去的周期中，鐵路在租約到期時也會歸還一些有軌電車。你們是否看到任何跡象表明鐵路可能正在考慮將軌道車作為機車採取類似的措施，因為它們的交通量仍然很低？

Okay. Well, Matt, I'm going to start out with the non-intermodal volumes are still up year-over-year and really being driven with automotive, agriculture, energy still there. The headwinds are really the intermodal and chemical. I think you know that we are not exposed on the intermodal for our lease fleet at all and that is definitely helping us. We've not heard or seen actual request to return. We're actually still seeing very strong inquiries and the railroads are a big part of that.

好的。好吧，馬特，我要從非聯運量開始，但非聯運量仍在同比增長，而且確實受到汽車、農業和能源的推動。逆風實際上是多式聯運和化學。我想你知道我們根本沒有暴露在我們租賃車隊的多式聯運上，這無疑對我們有幫助。我們沒有聽到或看到實際的退貨請求。我們實際上仍然看到非常強烈的詢問，而鐵路是其中的重要組成部分。

That's helpful, Jean. And then just staying on the demand front, service is improving. I mean by many measures, it's still below 2019 levels, but it looks like it's heading in that direction, in the right direction for the rails. And I know that's a tailwind, that's a good thing for you guys long term, but we all know that in the intermediate term, it can be a headwind to equipment demand. You couple that with the fact that traffic in general is down, I mean, are you surprised that lease rates are holding up as well as they are? Just any kind of sense you have on what demand might look like going forward?

這很有幫助，讓。然後只停留在需求方面，服務正在改善。我的意思是，通過許多措施，它仍低於 2019 年的水平，但看起來它正朝著那個方向前進，朝著正確的方向前進。我知道這是順風，從長遠來看這對你們來說是件好事，但我們都知道，從中期來看，這可能對設備需求不利。您將其與總體交通量下降的事實相結合，我的意思是，您對租賃率保持現狀感到驚訝嗎？您對未來的需求有什麼看法？

Okay. What we still believe there's pent up demand for the rail traffic loads that want to go on to rail that have not been able to. We're encouraged by the railroads improving their overall service metrics. We're also encouraged. I don't know if you saw the trains magazine article that talked about incentives going in at NS, CSX and UP, with the shift towards growth.

好的。我們仍然相信，對鐵路交通負載的需求被壓抑了，這些負載想要繼續進行，但未能進行。我們對鐵路改善整體服務指標感到鼓舞。我們也深受鼓舞。我不知道您是否看過火車雜誌的文章，該文章談到了 NS、CSX 和 UP 的激勵措施，以及向增長的轉變。

I think you're hearing that talk a lot more, and we don't think that will come to fruition overnight, but we think that will help in the long term. And when you look at overall, the pricing for leasing, we're not surprised. Again when we look at the cost of a new car and what those rates will be, still a lot higher, a lot of headroom from the existing lease freight prices. So we expect that delta to continue to come down and those prices to get closer.

我認為您聽到的談話更多，我們認為這不會在一夜之間實現，但我們認為這將有助於長期發展。當您整體看租賃定價時，我們並不感到驚訝。同樣，當我們查看新車的成本以及這些費率時，仍然要高得多，與現有的租賃運費相比有很大的空間。因此，我們預計三角洲將繼續下降，而這些價格將越來越接近。

Okay. And one last follow-up on the secondary market front. I mean, I think, Eric, you talked about the market continuing to be strong. Given the liquidity issue in the banking sector and the banks trying to boost their balance sheets, do you think some of the bank-owned fleet, whether large or small, may be more likely to go for sale in the next couple of quarters?

好的。二級市場方面的最後一次跟進。我的意思是，我認為，埃里克，你談到了市場繼續強勁。鑑於銀行業的流動性問題以及銀行試圖增加資產負債表，您是否認為一些銀行擁有的船隊，無論大小，是否更有可能在未來幾個季度出售？

Matt, I don't know. There's certainly been rumors of deals in the market. At the end of the day, it comes down to you need a willing buyer and a willing seller. And I think when you look at those assets in the bank-owned portfolios, I think, generally, you're going to see those assets are improving and the yield on those assets are improving. So the need to -- the ability to wait it out is probably there because they're going to benefit from the same things we're talking about in terms of higher lease rates. And so I think it depends on what they decide to do. But in the meantime, I think they're going to benefit from higher yields on those assets.

馬特，我不知道。市場上肯定有交易傳聞。歸根結底，你需要一個願意的買家和一個願意的賣家。而且我認為，當你查看銀行擁有的投資組合中的這些資產時，我認為，一般來說，你會看到這些資產正在改善，這些資產的收益率也在提高。所以需要 - 等待它的能力可能存在，因為他們將從我們正在談論的更高租賃率方面的相同事情中受益。所以我認為這取決於他們決定做什麼。但與此同時，我認為他們將從這些資產的更高收益率中受益。

But do you guys have like a sweet spot as to how big of a fleet you might go -- you might be interested in? Or is there -- is size not necessary?

但是你們有沒有想過你們可能會去多大的艦隊——你們可能感興趣？還是有——尺寸不是必需的嗎？

We don't have any stated goals. I think we have scale. Our fleet of roughly 110,000 railcars on our balance sheet provides scale. And it comes down to allocating our capital and improving the returns of the business. I think when we've talked over the last several years about modest fleet growth, I think that's still what we're looking to do. If there was something that came along, that doesn't mean we're not interested. It's just that it's going to be at the right return.

我們沒有任何明確的目標。我認為我們有規模。我們資產負債表上約有 110,000 輛軌道車的車隊提供了規模。這歸結為分配我們的資本和提高業務回報。我認為，當我們在過去幾年中談到適度的船隊增長時，我認為這仍然是我們想要做的事情。如果有什麼事情發生了，那並不意味著我們不感興趣。只是它會在正確的回報。

(Operator Instructions)

（操作員說明）

Our next question comes from the line of Steve Barger from KeyBanc.

我們的下一個問題來自 KeyBanc 的 Steve Barger。

This is Jacob Moore on for Steve this morning. My first question, just as a sort of a follow-up to a previous question. We saw first quarter industry orders yesterday annualized around 33,000. So I'm just curious, as you sit here about a month in, how would you compare 2Q to date to 1Q in terms of order inquiry activity?

我是 Jacob Moore 今天早上為 Steve 做的。我的第一個問題，就像上一個問題的後續問題一樣。我們昨天看到第一季度的行業訂單年化約為 33,000。所以我很好奇，當你坐在這里大約一個月後，你如何比較 2Q to date 和 1Q 在訂單查詢活動方面？

So the inquiry activity still remains consistent with our belief of replacement demand. And a lot of that is driven by certain car types. And I will say that certain customers or some customers are delaying the decision to go ahead and place the order as they look at the macroeconomic uncertainty. But again, overall, the inquiries would support the replacement demand for us.

因此，詢價活動仍然與我們對更換需求的信念保持一致。其中很多是由某些車型驅動的。我要說的是，某些客戶或某些客戶在考慮宏觀經濟的不確定性時，正在推遲繼續下訂單的決定。但總的來說，詢價將支持我們的更換需求。

Okay. Got it. And then for the second question, going back to the Holden acquisition, if I read the 10-K correctly, there wasn't much in the way of physical assets in that acquisition, maybe some backlog. So my question is, what assets did you buy? And could you -- or would you be willing to provide us with trailing 12 months revenue and EBITDA?

好的。知道了。然後對於第二個問題，回到 Holden 的收購，如果我正確閱讀了 10-K，那次收購中沒有太多實物資產，可能是一些積壓。所以我的問題是，你買了什麼資產？你能——或者你願意向我們提供過去 12 個月的收入和 EBITDA 嗎？

So yes, Jacob, you're right. There are not a lot of assets on the business. That was a capital-light business that had some very attractive proprietary products supporting the auto rack market. In terms of breaking out individual performance, at this time, we're not going to break out the individual performance. It was a relatively small acquisition, but we think it's something that will complement our parts business and continue to grow. And as it becomes more meaningful, then we'll talk about it more going forward.

所以是的，雅各布，你是對的。業務上沒有很多資產。那是一家輕資本企業，擁有一些非常有吸引力的專有產品來支持汽車貨架市場。在爆發個人表現方面，這個時候，我們不打算爆發個人表現。這是一個相對較小的收購，但我們認為它將補充我們的零件業務並繼續增長。隨著它變得更有意義，我們將在未來更多地討論它。

Ladies and gentlemen, this concludes our question-and-answer session. I would like to turn the conference back over to Jean Savage for any closing remarks.

女士們，先生們，我們的問答環節到此結束。我想將會議轉回 Jean Savage 的閉幕詞。

Well, thank you, and thank you again, everyone, for joining us this morning. We believe 2023 is going to be a great year for Trinity, with significant improvements through the year in terms of revenue and operating profit in both our operating segments. We do have a talented and motivated workforce, and we look forward to sharing our progress with you through the year. Thank you again for your continued support.

好吧，謝謝大家，再次感謝大家今天早上加入我們。我們相信 2023 年對 Trinity 來說將是豐收的一年，我們兩個運營部門的收入和營業利潤在這一年都會有顯著改善。我們確實擁有一支才華橫溢、積極進取的員工隊伍，我們期待與您分享我們這一年的進步。再次感謝您一直以來的支持。

Thank you. The conference of Trinity Industries has now concluded. Thank you for attending today's presentation. You may now disconnect your lines.

謝謝。 Trinity Industries 的會議現已結束。感謝您參加今天的演講。您現在可以斷開線路。