This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

CAI International's CEO Discusses Q1 2012 Results - Earnings Call Transcript

Demand for equipment in two and out of the United States also appears to be strengthening with throughput volume at the U.S. West coast port in March growing 7.4% compared to the same month in the prior year. Additional shipping capacity is being added to the Asia to U.S. trade resulting in more of our containers being utilized for that service.

As I mentioned, we believe demand for containers will be strong in 2012. Our view is that the current high utilization of worldwide lease fleet the limited capital budgets for purchase by shipping rights and limited new container production in the second half of 2011 along with an expected containerize trade growth of 7% forecast by Clarkson Research will result in a strong demand for containers and an increase in utilization particularly in the second half of 2012.

During the first quarter of 2012 we purchased and leased out approximately $54 million of containers. We have an additional $185 million of containers on order with manufacturers of which more than $100 million is committed to be on lease with customers during the second quarter of 2012.

We expect the remainder of our new equipment order to have lease opportunities over the next several weeks resulting in a year-to-date investment level being ahead of that achieved by us during the same period in 2011. We expect prices for containers being sold into the secondary market to be firm this year, due to the rising cost of new containers and high overall utilization of equipment, and we’re looking to increase prices in some higher demand locations.

I will conclude by restating that we have enjoyed strong revenue and earnings growth over the past several quarters with a relatively tight supply and factoring inventory, improved growth within the U.S. and Northern European economies and continued strong trade amongst less developed regions, we are expecting ongoing growth of our business in 2012.

Read the rest of this transcript for free on

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.99 0.00%
FB $102.01 0.00%
GOOG $682.40 0.00%
TSLA $151.04 0.00%
YHOO $27.04 0.00%


Chart of I:DJI
DOW 15,973.84 +313.66 2.00%
S&P 500 1,864.78 +35.70 1.95%
NASDAQ 4,337.5120 +70.6750 1.66%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs