Textainer Group Holdings Limited (NYSE: TGH) (“Textainer”, “the Company”, “we” and “our”), the world’s largest lessor of intermodal containers based on fleet size, reported fourth-quarter 2013 results.
“The fourth quarter marked the close of a solid year for Textainer. Total revenues for 2013 increased by 9 percent to $529 million. Even more impressively, lease rental income grew 15 percent quarter-to-quarter and 22 percent year-to-year. EBITDA increased 9 percent for the year, in line with our revenue growth,” commented Philip K. Brewer, President and Chief Executive Officer of Textainer. “Adjusted net income (1) for the quarter declined to $43.4 million primarily due to declines in both utilization and gains on container sales and an increase in depreciation. Adjusted net income (1) for the year was $175 million providing a return on equity of 17.3 percent”.
“We invested $950 million in containers for delivery in 2013. Our fleet size grew by 10 percent over the past year, marking an industry milestone as we are the first lessor with a 3 million TEU fleet,” continued Mr. Brewer.
- Continued our strong pace of expansion with $950 million of capex, including $752 million invested in new and used containers in 2013 following $198 million invested in new containers in the fourth quarter of 2012 for lease out in 2013;
- Invested $165 million in new and used containers already in 2014;
- Entered into a new contract with the US Department of Defense for the program management, leasing, transportation and repair of intermodal equipment; and
- Acquired 30,000 TEU of standard dry freight containers from our managed fleet in January 2014 for $35 million, increasing the owned percentage of the total fleet to approximately 77 percent, the highest percentage in Company history.
Key Financial Information (in thousands except for per share and TEU amounts):
|2013||2012||% Change||2013||2012||% Change|
|Income from operations||$||68,607||$||71,357||-3.9||%||$||281,055||$||278,447||0.9||%|
|Net income attributable to Textainer Group Holdings Limited common shareholders||$||45,545||$||60,573||-24.8||%||$||182,809||$||206,950||-11.7||%|
|Net income attributable to Textainer Group Holdings Limited common shareholders per diluted common share||$||0.80||$||1.07||-25.2||%||$||3.21||$||3.96||-18.9||%|
|Adjusted net income (1)||$||43,381||$||58,219||-25.5||%||$||175,029||$||201,199||-13.0||%|
|Adjusted net income per diluted common share (1)||$||0.76||$||1.03||-26.2||%||$||3.08||$||3.85||-20.0||%|
|Adjusted EBITDA (1)||$||108,566||$||114,908||-5.5||%||$||429,749||$||395,330||8.7||%|
|Average fleet utilization||93.9||%||96.7||%||-2.9||%||94.5||%||97.2||%||-2.8||%|
|Total fleet size at end of period (TEU)||3,040,454||2,775,034||9.6||%|
|Owned percentage of total fleet at end of period||75.6||%||72.7||%||4.0||%|
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