Archive for February 21st, 2013
GE Transportation announced today that New Orleans Public Belt Railroad has signed an agreement to use the company’s software applications for railroad transportation management and railcar repair and maintenance.
Under the agreement, GE will provide both its RailConnect® Transportation Management System to support NOPB’s rail operations and the RailConnect Car Hire System, which will be used to manage accounting payables to automate car hire processing. GE said that the terminal switching railroad will also adopt its ExpressYard® software to manage railcar repair and maintenance.
“Migration to GE’s system represents a move to the most up-to-date, comprehensive, and integrated rail yard and railcar repair shop management system available,” said John Morrow, NOPB interim general manager, in a written statement. “GE’s solution is used by over 400 short line railroads across the United States, and the NOPB Railroad is pleased to be able to offer its capabilities to its customers.”
FreightCar America reported a net loss of $1.0 million, or -$.08 per diluted share, in the fourth quarter of 2012, compared with net income of $8.5 million, or $0.71 per diluted share, in the fourth quarter of 2011.
Quarterly revenue was $116.6 million, down 37.7% from $187.1 million in the same quarter in the previous year.
The manufacturing segment’s revenue in the fourth quarter was $109.3 million, falling from $179.2 million in the fourth quarter in 2011. Quarterly operating income for the segment was $6.5 million, dropping from $16.5 million in the fourth quarter of 2011.
Deliveries in the fourth quarter decreased to 1,308 railcars, including 528 new railcars and 780 rebuilt railcars. In 2011, 2,489 railcars delivered in the fourth quarter. There were 473 units ordered in the fourth quarter of 2012, compared with 4,481 units ordered in the fourth quarter of 2011. Total manufacturing backlog was 2,881 units in the fourth quarter of 2012, compared with 8,303 units in the fourth quarter of 2011.
Railcars under lease totaled $43.4 million at the end of the fourth quarter of 2012, compared with $51.0 million at the end of the third quarter of 2012. The decrease in railcars under lease reflects sales of leased railcars, the Chicago-based company said in a written statement.
For the full year of 2012, profit was $19.1 million, or $1.60 per share, compared with $4.9 million, or $0.41 per diluted share, in 2011. Annual revenue was $677.4 million, up from $487.0 million in 2011.
In 2012, the manufacturing segment’s revenue increased to $644.0 million in 2012 from $453.1 million in 2011. The gain in revenue was driven by higher railcar deliveries and higher average revenue per car, the company said. Operating income for the segment was $58.3 million, rising from $25.9 million in 2011. Railcar deliveries totaled 8,325 for 2012, up 35% from 6,188 railcars delivered in 2011.
Fourth quarter results were affected by a decrease in coal car demand and product line changeover costs at both of the railroad freight car manufacturer’s plants, although 2012 was still a good year, said Ed Whalen, president and CEO.
“As we look forward, 2013 will be a challenging year for our traditional coal car business, but the long-term need to replace the eastern coal car fleet remains,” Whalen added.
The company expects its 2013 unit deliveries to be between 4,000 and 6,000 units, according to the Stifel Nicolaus Transportation, Logistics and Equipment Research Group.
The company has also sub-leased about 25% of Navistar’s Cherokee, Ala., manufacturing facility to expand capacity. The first deliveries of new railcars from the facility are expected in the second half of 2013. When fully operational, it will have the capacity to build more than 7,000 railcars per year.
Norfolk Southern has named Jason T. Reiner named assistant vice president industrial development, effective March 1. He will succeed Newell M. Baker, who is retiring.
Baker, a civil engineering graduate of North Carolina State University, joined Norfolk Southern’s engineering department in 1973 and served in several positions of increasing responsibility, becoming assistant vice president industrial development in 2008.
Reiner, who began as a co-op student in the industrial development engineering department at Norfolk Southern (then Southern Railway) while attending Virginia Tech in 1978, joined the company’s engineering deparment upon graduation in 1982. He moved to the industrial development department in 1990 as a development engineer and became director industrial development in 2008. He will be based in Atlanta and will report to Robert E. Martinez, vice president business development.
“Newell has done an extraordinary job during his tenure as AVP, perhaps most prominently in achieving record back-to-back project growth for each of the five years during which he has held that job,” Martinez said Martinez. “I’ve no doubt, based on his experience and expertise, that Jason Reiner will attain a comparable level of accomplishment and keep NS industrial development as the benchmark in the rail industry.”
Trinity Industries reported its net income in 2012 was $253.7 million, up 74.1% from $145.7 million in 2011.
Net income attributable to Trinity stockholders was $255.2 million, or $3.19 per common diluted share, in 2012, compared with net income attributable to Trinity stockholders of $142.2 million, or $1.77 per common diluted share, in 2011.
Annual revenue rose 29.7% from $2.9 billion in 2011 to $3.8 billion in 2012.
The company’s net income in the fourth quarter of 2012 was $70.8 million, rising 24.4% from $56.9 million in the fourth quarter of 2011.
Net income attributable to Trinity stockholders was $71.3 million, or $0.90 per common diluted share, for the fourth quarter of 2012, compared with net income attributable to Trinity stockholders of $56.1 million, or $0.70 per common diluted share, in the fourth quarter of 2011.
Quarterly revenue was $1.0 billion, increasing 10.8 percent from $914.3 million in the same quarter in the previous year. Operating profit was $158.9 million, an increase of 14% compared with an operating profit of $139.5 million for the same quarter in the previous year.
Trinity’s Rail Group received orders for 5,620 new railcars during the fourth quarter, increasing the backlog to 31,990 units with a value of $3.7 billion. The unit shipped 4,960 railcars during the fourth quarter and 19,360 railcars during the full year.
The Railcar Leasing and Management Services Group reported leasing and management revenues in the fourth quarter of $132.6 million, up from $127.4 million in the same quarter of 2011. The company attributed the increase to continued growth in the lease fleet and higher rental rates. In addition, the business unit recognized revenue of $18.1 million in sales of railcars from the lease fleet during the fourth quarter, down from $29.2 million in the same quarter the year before.
“I am pleased with our strong financial results for the fourth quarter and our overall performance during 2012,” said Timothy R. Wallace, Trinity’s chairman, CEO and president, in a written statement.
“During 2013, we will continue to invest resources to position our company to pursue opportunities for infrastructure-related products that support the growing needs in the energy, chemical, transportation and construction industries,” Wallace said.