Key Financial Information (in thousands except for per share and TEU amounts) and Business Highlights:
QTD |
Full-Year |
||||||||||||||
Q4 2019 |
Q3 2019 |
2019 |
2018 |
||||||||||||
Lease rental income (1) |
$ |
151,555 |
$ |
155,848 |
$ |
619,760 |
$ |
612,704 |
|||||||
Gain on sale of owned fleet containers, net |
$ |
3,134 |
$ |
6,092 |
$ |
21,397 |
$ |
36,071 |
|||||||
Income from operations |
$ |
64,579 |
$ |
53,487 |
$ |
222,684 |
$ |
194,426 |
|||||||
Net income attributable to Textainer Group Holdings Limited common shareholders |
$ |
28,782 |
$ |
10,578 |
$ |
56,724 |
$ |
50,378 |
|||||||
Net income attributable to Textainer Group Holdings Limited common shareholders per diluted common share |
$ |
0.50 |
$ |
0.18 |
$ |
0.99 |
$ |
0.88 |
|||||||
Adjusted net income (2) |
$ |
10,977 |
$ |
12,950 |
$ |
55,375 |
$ |
51,471 |
|||||||
Adjusted net income per diluted common share (2) |
$ |
0.19 |
$ |
0.22 |
$ |
0.96 |
$ |
0.90 |
|||||||
Adjusted EBITDA (2) |
$ |
113,187 |
$ |
118,254 |
$ |
464,315 |
$ |
443,090 |
|||||||
Average fleet utilization |
96.4 |
% |
97.3 |
% |
97.4 |
% |
98.1 |
% |
|||||||
Total fleet size at end of period (TEU) |
3,500,812 |
3,557,466 |
3,500,812 |
3,354,724 |
|||||||||||
Owned percentage of total fleet at end of period |
85.4 |
% |
80.7 |
% |
85.4 |
% |
78.9 |
% |
(1) |
"Lease rental income" includes both owned and managed fleet lease rental income. Q3 2019 amount has been adjusted to include a $1,183 reclassification from trading container sales proceeds, with no effect on the income from operations, net income and adjusted net income. |
(2) |
"Adjusted net income" and "Adjusted EBITDA" are Non-GAAP Measures that are reconciled to GAAP measures in section "Reconciliation of GAAP financial measures to non-GAAP financial measures" below. Section "Reconciliation of GAAP financial measures to non-GAAP financial measures" provides certain qualifications and limitations on the use of Non-GAAP Measures. |
- Net income of
$28.8 million for the fourth quarter and$56.7 million for the full year. These figures include a$14.0 million gain recorded during the fourth quarter related to a cash distribution from theHanjin bankruptcy estate; - Adjusted net income of
$11.0 million for the fourth quarter, or$0.19 per diluted common share, as compared to$13.0 million , or$0.22 per diluted common share in the third quarter of 2019. Adjusted net income of$55.4 million for the full year, or$0.96 per diluted common share, as compared to$51.5 million , or$0.90 per diluted common share in the prior year; - Adjusted EBITDA of
$113.2 million for the fourth quarter, as compared to$118.3 million in the third quarter of 2019. Adjusted EBITDA of$464.3 million for the full year, as compared to$443.1 million in the prior year; - Utilization averaged 96.4% for the fourth quarter, as compared to 97.3% for the third quarter of 2019. Utilization averaged 97.4% for the full year, as compared to 98.1% for the prior year;
- Container investments of approximately
$28 million during the fourth quarter, for a total of$739 million for the full year. In addition, we also acquired a container investment company namedLeased Assets Pool Company Limited ("LAPCO ") onDecember 31, 2019 .LAPCO's assets consisted primarily of approximately 165,000 TEU of containers previously part of our managed fleet; - Repurchased approximately 638,000 shares and 879,000 shares of common stock during the fourth quarter and the full year, respectively, under the share repurchase program authorized on
August 29, 2019 ; and - Commenced a secondary, or dual, listing of
Textainer's common shares on the Main Board of theJohannesburg Stock Exchange ("JSE") onDecember 11, 2019 .
"
Ghesquiere continued, "While we are pleased with our performance for the year, our fourth quarter results reflect the continued atypical lull in market activity. Accordingly, fourth quarter lease rental income of
Ghesquiere concluded, "We believe the market is poised to turnaround in the second half of the year, driven by an expected return of seasonal demand, as most elements of our business remain positive. Favorable fundamentals include low turn-in activity, high utilization, reasonable inventory levels, and a recent increase in container prices. We remain focused on improving our business to be best-in-class through our cost control initiatives and other efficiency investments such as improvements in our IT systems and continued optimization of our capital structure."
Fourth-Quarter and Full-Year Results
Lease rental income decreased
Trading container margin increased
Gain on sale of owned fleet containers, net, decreased
Direct container expense – owned fleet was flat from the third quarter of 2019 in spite of a slight decrease in utilization. Direct container expense – owned fleet for the year decreased
Depreciation expense decreased
General and administrative expense was flat from the third quarter of 2019. General and administrative expense for the year decreased
Bad debt recovery was
Gain on insurance recovery and legal settlement for 2019 and 2018 amounted to
Gain on settlement of pre-existing management agreement for 2019 amounted to
Interest expense decreased
Unrealized gain (loss) on derivative instruments, net, was a gain of
Conference Call and Webcast
A conference call to discuss the financial results for the fourth quarter and full year 2019 will be held at
About
Important Cautionary Information Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of U.S. securities laws. Forward-looking statements include statements that are not statements of historical facts and may relate to, but are not limited to, expectations or estimates of future operating results or financial performance, capital expenditures, introduction of new products, regulatory compliance, plans for growth and future operations, as well as assumptions relating to the foregoing. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "could," "expect," "plan," "anticipate," "believe," "estimate," "predict," "intend," "potential," "continue" or the negative of these terms or other similar terminology. Readers are cautioned that these forward-looking statements involve risks and uncertainties, are only predictions and may differ materially from actual future events or results. These risks and uncertainties include, without limitation, the following items that could materially and negatively impact our business, results of operations, cash flows, financial condition and future prospects: expectation of future market activity; market turnaround with organic demand; impact of political and economic factors and international trade; our future financial flexibility; and other risks and uncertainties, including those set forth in
Investor Relations
Phone: +1 (415) 658-8333
ir@textainer.com
TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES |
|||||||||||||||||||||||||||||||
Condensed Consolidated Statements of Comprehensive Income |
|||||||||||||||||||||||||||||||
Three Months and Years Ended December 31, 2019 and 2018 |
|||||||||||||||||||||||||||||||
(Unaudited) |
|||||||||||||||||||||||||||||||
(All currency expressed in United States dollars in thousands, except per share amounts) |
|||||||||||||||||||||||||||||||
Three Months Ended December 31, |
Years Ended December 31, |
||||||||||||||||||||||||||||||
2019 |
2018 |
2019 |
2018 |
||||||||||||||||||||||||||||
Revenue: |
|||||||||||||||||||||||||||||||
Lease rental income - owned fleet |
$ |
127,304 |
$ |
129,723 |
$ |
517,859 |
$ |
501,362 |
|||||||||||||||||||||||
Lease rental income - managed fleet |
24,251 |
27,392 |
101,901 |
111,342 |
|||||||||||||||||||||||||||
Lease rental income |
151,555 |
157,115 |
619,760 |
612,704 |
|||||||||||||||||||||||||||
Management fees - non-leasing |
1,767 |
2,250 |
7,590 |
8,529 |
|||||||||||||||||||||||||||
Trading container sales proceeds |
20,959 |
6,887 |
58,734 |
19,568 |
|||||||||||||||||||||||||||
Cost of trading containers sold |
(18,965) |
(5,583) |
(51,336) |
(16,118) |
|||||||||||||||||||||||||||
Trading container margin |
1,994 |
1,304 |
7,398 |
3,450 |
|||||||||||||||||||||||||||
Gain on sale of owned fleet containers, net |
3,134 |
9,591 |
21,397 |
36,071 |
|||||||||||||||||||||||||||
Operating expenses: |
|||||||||||||||||||||||||||||||
Direct container expense - owned fleet (a) |
11,760 |
12,740 |
45,831 |
53,845 |
|||||||||||||||||||||||||||
Distribution expense to managed fleet container investors |
22,323 |
25,341 |
93,858 |
102,992 |
|||||||||||||||||||||||||||
Depreciation expense (b) |
66,129 |
64,801 |
260,372 |
249,500 |
|||||||||||||||||||||||||||
Container lessee default expense, net (a) |
149 |
6,943 |
7,867 |
17,948 |
|||||||||||||||||||||||||||
Amortization expense |
517 |
502 |
2,093 |
3,721 |
|||||||||||||||||||||||||||
General and administrative expense |
9,504 |
10,652 |
38,142 |
44,317 |
|||||||||||||||||||||||||||
Bad debt (recovery) expense, net |
(648) |
1,639 |
2,002 |
2,697 |
|||||||||||||||||||||||||||
Gain on insurance recovery and legal settlement |
(14,040) |
(8,692) |
(14,881) |
(8,692) |
|||||||||||||||||||||||||||
Gain on settlement of pre-existing management agreement |
(1,823) |
- |
(1,823) |
- |
|||||||||||||||||||||||||||
Total operating expenses |
93,871 |
113,926 |
433,461 |
466,328 |
|||||||||||||||||||||||||||
Income from operations |
64,579 |
56,334 |
222,684 |
194,426 |
|||||||||||||||||||||||||||
Other (expense) income: |
|||||||||||||||||||||||||||||||
Interest expense |
(37,486) |
(36,589) |
(153,185) |
(138,427) |
|||||||||||||||||||||||||||
Write-off of unamortized deferred debt issuance costs |
— |
— |
— |
(881) |
|||||||||||||||||||||||||||
Interest income |
458 |
556 |
2,505 |
1,709 |
|||||||||||||||||||||||||||
Realized (loss) gain on derivative instruments, net |
(763) |
1,287 |
1,946 |
5,238 |
|||||||||||||||||||||||||||
Unrealized gain (loss) on derivative instruments, net |
2,873 |
(8,038) |
(15,442) |
(5,790) |
|||||||||||||||||||||||||||
Other, net |
6 |
1 |
(4) |
— |
|||||||||||||||||||||||||||
Net other expense |
(34,912) |
(42,783) |
(164,180) |
(138,151) |
|||||||||||||||||||||||||||
Income before income tax and noncontrolling interests |
29,667 |
13,551 |
58,504 |
56,275 |
|||||||||||||||||||||||||||
Income tax expense |
(478) |
(763) |
(1,948) |
(2,025) |
|||||||||||||||||||||||||||
Net income |
29,189 |
12,788 |
56,556 |
54,250 |
|||||||||||||||||||||||||||
Less: Net (income) loss attributable to the noncontrolling interests |
(407) |
(547) |
168 |
(3,872) |
|||||||||||||||||||||||||||
Net income attributable to Textainer Group Holdings Limited common shareholders |
$ |
28,782 |
$ |
12,241 |
$ |
56,724 |
$ |
50,378 |
|||||||||||||||||||||||
Net income attributable to Textainer Group Holdings Limited common shareholders per share: |
|||||||||||||||||||||||||||||||
Basic |
$ |
0.51 |
$ |
0.21 |
$ |
0.99 |
$ |
0.88 |
|||||||||||||||||||||||
Diluted |
$ |
0.50 |
$ |
0.21 |
$ |
0.99 |
$ |
0.88 |
|||||||||||||||||||||||
Weighted average shares outstanding (in thousands): |
|||||||||||||||||||||||||||||||
Basic |
56,923 |
57,363 |
57,349 |
57,200 |
|||||||||||||||||||||||||||
Diluted |
57,070 |
57,511 |
57,459 |
57,487 |
|||||||||||||||||||||||||||
Other comprehensive income (loss): |
|||||||||||||||||||||||||||||||
Change in derivative instruments designated as cash flow hedges |
(124) |
— |
(124) |
— |
|||||||||||||||||||||||||||
Reclassification of realized gain on derivative instruments designated as cash flow hedges |
7 |
— |
7 |
— |
|||||||||||||||||||||||||||
Foreign currency translation adjustments |
94 |
(45) |
42 |
(127) |
|||||||||||||||||||||||||||
Comprehensive income |
29,166 |
12,743 |
56,481 |
54,123 |
|||||||||||||||||||||||||||
Comprehensive (income) loss attributable to the noncontrolling interests |
(407) |
(547) |
168 |
(3,872) |
|||||||||||||||||||||||||||
Comprehensive income attributable to Textainer Group Holdings Limited common shareholders |
$ |
28,759 |
$ |
12,196 |
$ |
56,649 |
$ |
50,251 |
(a) |
Amounts for container write-off and container recovery costs from lessee default for the periods ended December 31, 2018 have been reclassified out of the previously reported line item "container impairment" and "direct container expense – owned fleet", respectively, and included within "container lessee default expense, net" to conform with the 2019 presentation. |
(b) |
Amounts to write-down the carrying value of containers held for sale to their estimated fair value less costs to sell for the periods ended December 31, 2018 have been reclassified out of the previously reported line item "container impairment" and included within "depreciation expense" to conform with the 2019 presentation. |
TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES |
|||||||
Condensed Consolidated Balance Sheets |
|||||||
December 31, 2019 and 2018 |
|||||||
(Unaudited) |
|||||||
(All currency expressed in United States dollars in thousands) |
|||||||
2019 |
2018 |
||||||
Assets |
|||||||
Current assets: |
|||||||
Cash and cash equivalents |
$ |
180,552 |
$ |
137,298 |
|||
Accounts receivable, net of allowance for doubtful accounts of $6,299 and $5,729, respectively |
109,384 |
134,225 |
|||||
Net investment in direct financing and sales-type leases |
40,940 |
39,270 |
|||||
Container leaseback financing receivable |
20,547 |
- |
|||||
Trading containers |
11,330 |
40,852 |
|||||
Containers held for sale |
41,884 |
21,874 |
|||||
Prepaid expenses and other current assets |
14,816 |
23,139 |
|||||
Due from affiliates, net |
1,880 |
1,692 |
|||||
Total current assets |
421,333 |
398,350 |
|||||
Restricted cash |
97,353 |
87,630 |
|||||
Containers, net of accumulated depreciation of $1,443,167 and $1,322,221, respectively |
4,156,151 |
4,134,016 |
|||||
Net investment in direct financing and sales-type leases |
254,363 |
127,790 |
|||||
Container leaseback financing receivable |
251,111 |
- |
|||||
Fixed assets, net of accumulated depreciation of $12,266 and $11,525, respectively |
1,128 |
2,066 |
|||||
Intangible assets, net of accumulated amortization of $45,359 and $43,266, respectively |
5,291 |
7,384 |
|||||
Derivative instruments |
135 |
5,555 |
|||||
Deferred taxes |
1,388 |
2,087 |
|||||
Other assets |
14,364 |
3,891 |
|||||
Total assets |
$ |
5,202,617 |
$ |
4,768,769 |
|||
Liabilities and Equity |
|||||||
Current liabilities: |
|||||||
Accounts payable and accrued expenses |
$ |
23,404 |
$ |
27,297 |
|||
Container contracts payable |
9,394 |
42,710 |
|||||
Other liabilities |
2,636 |
219 |
|||||
Due to container investors, net |
21,978 |
30,672 |
|||||
Debt, net of unamortized deferred financing costs of $8,120 and $5,738, respectively |
213,863 |
191,689 |
|||||
Total current liabilities |
271,275 |
292,587 |
|||||
Debt, net of unamortized deferred financing costs of $21,446 and $22,248, respectively |
3,583,866 |
3,218,138 |
|||||
Derivative instruments |
13,778 |
3,639 |
|||||
Income tax payable |
9,909 |
9,570 |
|||||
Deferred taxes |
7,789 |
7,039 |
|||||
Other liabilities |
30,355 |
1,805 |
|||||
Total liabilities |
3,916,972 |
3,532,778 |
|||||
Equity: |
|||||||
Textainer Group Holdings Limited shareholders' equity: |
|||||||
Common shares, $0.01 par value. Authorized 140,000,000 shares; 58,326,555 shares issued and 56,817,918 shares outstanding at 2019; 58,032,164 shares issued and 57,402,164 shares outstanding at 2018 |
583 |
581 |
|||||
Treasury shares, at cost, 1,508,637 shares and 630,000 shares, respectively |
(17,746) |
(9,149) |
|||||
Additional paid-in capital |
410,595 |
406,083 |
|||||
Accumulated other comprehensive loss |
(511) |
(436) |
|||||
Retained earnings |
866,458 |
809,734 |
|||||
Total Textainer Group Holdings Limited shareholders' equity |
1,259,379 |
1,206,813 |
|||||
Noncontrolling interests |
26,266 |
29,178 |
|||||
Total equity |
1,285,645 |
1,235,991 |
|||||
Total liabilities and equity |
$ |
5,202,617 |
$ |
4,768,769 |
TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES |
|||||||
Condensed Consolidated Statements of Cash Flows |
|||||||
Years Ended December 31, 2019 and 2018 |
|||||||
(Unaudited) |
|||||||
(All currency expressed in United States dollars in thousands) |
|||||||
2019 |
2018 |
||||||
Cash flows from operating activities: |
|||||||
Net income |
$ |
56,556 |
$ |
54,250 |
|||
Adjustments to reconcile net income to net cash provided by operating activities: |
|||||||
Depreciation expense (a) |
260,372 |
249,500 |
|||||
Container write-down from lessee default, net (b) |
7,179 |
12,980 |
|||||
Bad debt expense, net |
2,002 |
2,697 |
|||||
Unrealized loss on derivative instruments, net |
15,442 |
5,790 |
|||||
Amortization and write-off of unamortized deferred debt issuance costs and accretion of bond discounts |
7,953 |
9,531 |
|||||
Amortization of intangible assets |
2,093 |
3,721 |
|||||
Gain on sale of owned fleet containers, net |
(21,397) |
(36,071) |
|||||
Gain on insurance recovery and legal settlement |
— |
(8,692) |
|||||
Gain on settlement of pre-existing management agreement |
(1,823) |
— |
|||||
Share-based compensation expense |
4,388 |
7,355 |
|||||
Changes in operating assets and liabilities |
95,780 |
15,058 |
|||||
Total adjustments |
371,989 |
261,869 |
|||||
Net cash provided by operating activities |
428,545 |
316,119 |
|||||
Cash flows from investing activities: |
|||||||
Purchase of containers and fixed assets |
(466,993) |
(854,383) |
|||||
Payment for TW Container Leasing, Ltd. capital restructuring |
— |
(29,658) |
|||||
Payment for Leased Assets Pool Company Limited, net of cash acquired |
(171,841) |
— |
|||||
Payments on container leaseback financing receivable |
(281,445) |
— |
|||||
Receipt of principal payments on container leaseback financing receivable |
7,745 |
— |
|||||
Proceeds from sale of containers and fixed assets |
150,742 |
147,254 |
|||||
Net cash used in investing activities |
(761,792) |
(736,787) |
|||||
Cash flows from financing activities: |
|||||||
Proceeds from debt |
1,439,223 |
2,029,025 |
|||||
Principal payments on debt |
(1,049,857) |
(1,608,753) |
|||||
Proceeds from container leaseback financing liability, net |
17,448 |
— |
|||||
Purchase of treasury shares |
(8,597) |
— |
|||||
Debt issuance costs |
(9,417) |
(10,252) |
|||||
Dividends paid to noncontrolling interest |
(2,744) |
(1,996) |
|||||
Issuance of common shares upon exercise of share options |
126 |
130 |
|||||
Net cash provided by financing activities |
386,182 |
408,154 |
|||||
Effect of exchange rate changes |
42 |
(127) |
|||||
Net increase (decrease) in cash, cash equivalents and restricted cash |
52,977 |
(12,641) |
|||||
Cash, cash equivalents and restricted cash, beginning of the year |
224,928 |
237,569 |
|||||
Cash, cash equivalents and restricted cash, end of the year |
$ |
277,905 |
$ |
224,928 |
(a) |
Amount to write-down the carrying value of containers held for sale to their estimated fair value less costs to sell for the year ended December 31, 2018 has been reclassified out of the previously reported line item "container impairment" and included within "depreciation expense" to conform with the 2019 presentation. |
(b) |
Amounts for container write-off and container recovery costs from lessee default for the year ended 31, 2018 has been reclassified out of the previously reported line item "container impairment" and "direct container expense – owned fleet" and included within "container lessee default expense, net" to conform with the 2019 presentation. |
TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES
Reconciliation of GAAP financial measures to non-GAAP financial measures
Three Months and Years Ended December 31, 2019 and 2018
(Unaudited)
(All currency expressed in
The following is a reconciliation of certain U.S. generally accepted accounting principles ("GAAP") measures to non-GAAP financial measures (such items listed in (a) to (c) below and defined as "Non-GAAP Measures") for the three months and years ended December 31, 2019 and 2018, including:
(a) |
net income attributable to Textainer Group Holdings Limited common shareholders to adjusted EBITDA (defined as net income attributable to Textainer Group Holdings Limited common shareholders before interest income and expense, write-off of unamortized deferred debt issuance costs, realized loss (gain) on derivative instruments, net, unrealized (gain) loss on derivative instruments, net, costs associated with departing senior executives, gain on insurance recovery and legal settlement, gain on settlement of pre-existing management agreement, income tax expense, net income attributable to the noncontrolling interests ("NCI"), depreciation expense, container write-off from lessee default, amortization expense and the related impact of reconciling items on net income attributable to the NCI); |
(b) |
net income attributable to Textainer Group Holdings Limited common shareholders to adjusted net income (defined as net income attributable to Textainer Group Holdings Limited common shareholders before the write-off of unamortized deferred debt issuance costs, unrealized (gain) loss on derivative instruments, net, costs associated with departing senior executives, gain on insurance recovery and legal settlement, gain on settlement of pre-existing management agreement, the related impact of reconciling items on income tax expense and net income attributable to the NCI); and |
(c) |
net income attributable to Textainer Group Holdings Limited common shareholders to headline earnings (defined as net income attributable to Textainer Group Holdings Limited common shareholders before the container impairment to write down the carrying value of containers held for sale to their estimated fair value less costs to sell and for container write-off from lessee default, costs associated with departing senior executives, gain on insurance recovery and legal settlement, gain on settlement of pre-existing management agreement, the related impact of reconciling items on income tax expense and net income attributable to the NCI). Headline earnings and headline earnings per basic and dilute common share is calculated from net income which has been determined based on GAAP. |
The inclusion of headline earnings in this press release is a requirement of our listing on the JSE. |
Non-GAAP Measures are not financial measures calculated in accordance with GAAP and should not be considered as an alternative to net income, income from operations or any other performance measures derived in accordance with GAAP or as an alternative to cash flows from operating activities as a measure of our liquidity. Non-GAAP Measures are presented solely as supplemental disclosures. Management believes that adjusted EBITDA may be a useful performance measure that is widely used within our industry and adjusted net income may be a useful performance measure because
Management also believes that adjusted net income and adjusted net income per diluted common share are useful in evaluating our operating performance because unrealized (gain) loss on derivative instruments, net, is a noncash, non-operating item. We believe Non-GAAP Measures provide useful information on our earnings from ongoing operations. We believe that adjusted EBITDA provides useful information on our ability to service our long-term debt and other fixed obligations and on our ability to fund our expected growth with internally generated funds. Non-GAAP Measures have limitations as analytical tools, and you should not consider either of them in isolation, or as a substitute for analysis of our operating results or cash flows as reported under GAAP. Some of these limitations are:
- They do not reflect our cash expenditures, or future requirements, for capital expenditures or contractual commitments;
- They do not reflect changes in, or cash requirements for, our working capital needs;
- Adjusted EBITDA does not reflect interest expense or cash requirements necessary to service interest or principal payments on our debt;
- Although depreciation expense and container impairment are a noncash charge, the assets being depreciated may be replaced in the future, and neither adjusted EBITDA, adjusted net income or adjusted net income per diluted common share reflects any cash requirements for such replacements;
- They are not adjusted for all noncash income or expense items that are reflected in our statements of cash flows; and
- Other companies in our industry may calculate these measures differently than we do, limiting their usefulness as comparative measures.
Three Months Ended |
Years Ended |
||||||||||||||
December 31, |
December 31, |
||||||||||||||
2019 |
2018 |
2019 |
2018 |
||||||||||||
(Dollars in thousands) |
(Dollars in thousands) |
||||||||||||||
(Unaudited) |
(Unaudited) |
||||||||||||||
Reconciliation of adjusted net income: |
|||||||||||||||
Net income attributable to Textainer Group Holdings Limited common shareholders |
$ |
28,782 |
$ |
12,241 |
$ |
56,724 |
$ |
50,378 |
|||||||
Adjustments: |
|||||||||||||||
Write-off of unamortized deferred debt issuance costs |
— |
— |
— |
881 |
|||||||||||
Unrealized (gain) loss on derivative instruments, net |
(2,873) |
8,038 |
15,442 |
5,790 |
|||||||||||
Costs associated with departing senior executives |
— |
— |
— |
2,368 |
|||||||||||
Gain on insurance recovery and legal settlement |
(14,040) |
(8,692) |
(14,881) |
(8,692) |
|||||||||||
Gain on settlement of pre-existing management agreement |
(1,823) |
— |
(1,823) |
— |
|||||||||||
Impact of reconciling items on income tax expense (benefit) |
551 |
6 |
378 |
(478) |
|||||||||||
Impact of reconciling items on net income (loss) attributable to the noncontrolling interests |
380 |
324 |
(465) |
1,224 |
|||||||||||
Adjusted net income |
$ |
10,977 |
$ |
11,917 |
$ |
55,375 |
$ |
51,471 |
|||||||
Adjusted net income per diluted common share |
$ |
0.19 |
$ |
0.21 |
$ |
0.96 |
$ |
0.90 |
Three Months Ended |
Years Ended |
|||||||||||||||
December 31, |
December 31, |
|||||||||||||||
2019 |
2018 |
2019 |
2018 |
|||||||||||||
(Dollars in thousands) |
(Dollars in thousands) |
|||||||||||||||
(Unaudited) |
(Unaudited) |
|||||||||||||||
Reconciliation of adjusted EBITDA: |
||||||||||||||||
Net income attributable to Textainer Group Holdings Limited common shareholders |
$ |
28,782 |
$ |
12,241 |
$ |
56,724 |
$ |
50,378 |
||||||||
Adjustments: |
||||||||||||||||
Interest income |
(458) |
(556) |
(2,505) |
(1,709) |
||||||||||||
Interest expense |
37,486 |
36,589 |
153,185 |
138,427 |
||||||||||||
Write-off of unamortized deferred debt issuance costs |
— |
— |
— |
881 |
||||||||||||
Realized loss (gain) on derivative instruments, net |
763 |
(1,287) |
(1,946) |
(5,238) |
||||||||||||
Unrealized (gain) loss on derivative instruments, net |
(2,873) |
8,038 |
15,442 |
5,790 |
||||||||||||
Costs associated with departing senior executives |
— |
— |
— |
2,368 |
||||||||||||
Gain on insurance recovery and legal settlement |
(14,040) |
(8,692) |
(14,881) |
(8,692) |
||||||||||||
Gain on settlement of pre-existing management agreement |
(1,823) |
— |
(1,823) |
— |
||||||||||||
Income tax expense |
478 |
763 |
1,948 |
2,025 |
||||||||||||
Net income (loss) attributable to the noncontrolling interests |
407 |
547 |
(168) |
3,872 |
||||||||||||
Depreciation expense |
66,129 |
64,801 |
260,372 |
249,500 |
||||||||||||
Container write-off from lessee default, net |
25 |
4,554 |
7,179 |
12,980 |
||||||||||||
Amortization expense |
517 |
502 |
2,093 |
3,721 |
||||||||||||
Impact of reconciling items on net income (loss) attributable to the noncontrolling interests |
(2,206) |
(2,500) |
(11,305) |
(11,213) |
||||||||||||
Adjusted EBITDA |
$ |
113,187 |
$ |
115,000 |
$ |
464,315 |
$ |
443,090 |
Three Months Ended |
Years Ended |
|||||||||||||
December 31, |
December 31, |
|||||||||||||
2019 |
2018 |
2019 |
2018 |
|||||||||||
(Dollars in thousands) |
(Dollars in thousands) |
|||||||||||||
(Unaudited) |
(Unaudited) |
|||||||||||||
Reconciliation of headline earnings: |
||||||||||||||
Net income attributable to Textainer Group Holdings Limited common shareholders |
$ |
28,782 |
$ |
12,241 |
$ |
56,724 |
$ |
50,378 |
||||||
Adjustments: |
||||||||||||||
Container impairment |
4,348 |
8,221 |
21,417 |
26,775 |
||||||||||
Costs associated with departing senior executives |
— |
— |
— |
2,368 |
||||||||||
Gain on insurance recovery and legal settlement |
(14,040) |
(8,692) |
(14,881) |
(8,692) |
||||||||||
Gain on settlement of pre-existing management agreement |
(1,823) |
— |
(1,823) |
— |
||||||||||
Impact of reconciling items on income tax expense |
477 |
5 |
319 |
(670) |
||||||||||
Impact of reconciling items attributable to the noncontrolling interests |
100 |
682 |
(363) |
112 |
||||||||||
Headline earnings |
$ |
17,844 |
$ |
12,457 |
$ |
61,393 |
$ |
70,271 |
||||||
Headline earnings per basic common share |
$ |
0.31 |
$ |
0.22 |
$ |
1.07 |
$ |
1.23 |
||||||
Headline earnings per diluted common share |
$ |
0.31 |
$ |
0.22 |
$ |
1.07 |
$ |
1.22 |
View original content:http://www.prnewswire.com/news-releases/textainer-group-holdings-limited-reports-fourth-quarter-and-full-year-2019-results-301003222.html
SOURCE