GATX Corporation (NYSE:GATX) Q4 2023 Earnings Conference Call January 23, 2024 11:00 AM ET

Company Participants

Shari Hellerman - Head, IR

Robert Lyons - President & CEO

Paul Titterton - EVP & President of Rail North America

Tom Ellman - EVP & CFO

Conference Call Participants

Justin Long - Stephens

Matt Elkott - TD Cowen

Allison Poliniak - Wells Fargo

Bascome Majors - Susquehanna

Justin Bergner - Gabelli Funds

Brendan McCarthy - Sidoti

Operator

Hello, and welcome to the GATX 2023 Fourth Quarter Earnings Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. [Operator Instructions]

I will now turn the conference over to Shari Hellerman, Head of Investor Relations. Please go ahead.

Shari Hellerman

Thank you, Sarah. Good morning, and thank you for joining GATX's fourth quarter and 2023 year-end earnings conference call. I'm joined today by Bob Lyons, President and Chief Executive Officer; Tom Ellman, Executive Vice President and Chief Financial Officer, and Paul Titterton, Executive Vice President and President of Rail North America.

As a reminder, some of the information you'll hear during our discussion today will consist of forward-looking statements. Actual results or trends could differ materially from those statements or forecasts. For more information, please refer to the risk factors included in our earnings release and those discussed in GATX's Form 10-K for 2022 and in our other filings for the SEC. GATX assumes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances.

I'll provide a quick overview of our 2023 fourth quarter and full year results. And then I'll turn it over to Bob for additional commentary on 2023, as well as our outlook for 2024. After that, we'll open the call up for questions.

Earlier today, GATX reported 2023 fourth quarter net income of $66 million or $1.81 per diluted share. This compares to 2022 fourth quarter net income of $48.4 million or $1.36 per diluted share. The 2023 fourth quarter results include a net positive impact from tax adjustments and other items of $0.07 per diluted share. The 2022 fourth quarter results include a net negative impact from tax adjustments and other items of $0.18 per diluted share.

For the full year 2023, GATX reported net income of $259.2 million or $7.12 per diluted share. This compares to net income of $155.9 million or $4.35 per diluted share in 2022. The 2023 full year results include a net positive impact from tax adjustments and other items of $0.05 per diluted share. The 2022 full year results include a net negative impact from tax adjustments and other items of $1.72 per diluted share. These items are detailed in the supplemental information section of our earnings release.