Slide 1: Q1 2024 Earnings Conference Call Supplemental Materials
Exhibit 99.3 TRINITY INDUSTRIES, INC. Q1 2024 – Earnings Conference Call Supplemental Materials May 1, 2024 – based on financial results as of March 31, 2024 Investor Contact: TrinityInvestorRelations@trin.net Website: www.trin.net DELIVERING GOODS for THE GOOD of ALL
Slide 2: Forward Looking Statements
Forward Looking Statements Some statements in this presentation, which are not historical facts, are “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements about Trinity's estimates, expectations, beliefs, intent
Slide 3: Key Messages from Q1-24 Conference Call
Key Messages from Q1-24 Conference Call Adjusted EPS from continuing operations of $0.33*, up $0.26 year over year Continued strength in lease rates; FLRD +34.7%, utilization 97.5% Revenue up 26% year over year, reflecting significantly stronger performance Raising full year EPS guidance to a range
Slide 4: Rail Market Update and Commercial Overview
Rail Market Update and Commercial Overview (1) (2) Rail Traffic is Improved YoY Overall Fleet Storage Rates are Low 750,000 35% 30% 625,000 25% 20% 500,000 15% 1 4 7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52 Jan-20 Sep-20 May-21 Jan-22 Sep-22 May-23 Jan-24 2021 2022 2023 2024 Five-Year Average St
Slide 5: Q1-24 Financial Results Summary – Year over Year
Q1-24 Financial Results Summary – Year over Year Q1-24 Revenue Q1-24 Cash Flow, Continuing Ops $810M $57M +26% $(46)M Q1-24 EPS, Q1-24 Adjusted Adjusted* Free Cash Flow* $0.33 $12M $+0.26 $(25)M * See appendix for reconciliation of non-GAAP measures DELIVERING GOODS for THE GOOD of ALL /// 5
Slide 6: Trinity Business Segment Performance Trends
Trinity Business Segment Performance Trends Leasing & Services Segment Revenue Drivers Leasing & Services Revenue and Operating Profit Margin (1) ◦ Fleet utilization of 97.5% $300 50% ◦ FLRD remains strong at +34.7% ◦ Revenue higher year over year due to a higher volume $200 40% (in millions) of rep
Slide 7: Strong Performance Trends and Key Highlights
Strong Performance Trends and Key Highlights Q1 2024 Financial Summary: Revenue Improved Year over Year Income Statement: $900 $1.00 • Total revenues of $810M reflect higher external railcar deliveries, improved lease rates, and a higher volume of external repairs (in millions) • Both GAAP and adjus
Slide 8: Healthy Balance Sheet Strategically Positioned for Opportunistic Deployment and Value Creation
Healthy Balance Sheet Strategically Positioned for Opportunistic Deployment and Value Creation LIQUIDITY DEBT STRUCTURE CAPITAL LEVERS Recourse Debt Unencumbered Railcars Cash & Equivalents $795M @ ~6.2% (1) $369M $119M Non-recourse Debt • Pledge to warehouse Revolver Availability $5.1B @ ~4.3% (1)
Slide 9: Management Outlook for Business Performance
Management Outlook for Business Performance FY 2024 Summary Detail Does not include sustainable railcar Industry Deliveries Approximately 40K conversions Deliveries to our lease fleet offset Net Fleet Investment $300M — $400M by secondary market sales Operating and Investments in automation, Adminis
Slide 10: Key Messages from Q1-24 Conference Call
Key Messages from Q1-24 Conference Call Adjusted EPS from continuing operations of $0.33*, up $0.26 year over year Continued strength in lease rates; FLRD +34.7%, utilization 97.5% Revenue up 26% year over year, reflecting significantly stronger performance Raising full year EPS guidance to a range
Slide 11: Trinity Q1-24 Earnings Conference Call Q&A
Trinity Q1-24 Earnings Conference Call Q&A DELIVERING GOODS for THE GOOD of ALL /// 11
Slide 12: Reconciliation: Adjusted Operating Results
Reconciliation: Adjusted Operating Results Three Months Ended March 31, 2024 (in millions, except per share amounts) Interest (1) GAAP expense, net Adjusted Operating profit $ 115.2 $ — $ 115.2 Income from continuing operations before income taxes $ 42.7 $ (0.4) $ 42.3 Provision (benefit) for income
Slide 13: Reconciliation: Walking Adjusted FCF Beyond Lease Investment
Reconciliation: Walking Adjusted FCF Beyond Lease Investment Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 (in millions) Net cash provided by operating activities – continuing operations $ 102.5 $ 37.8 $ 75.5 $ 93.2 $ 56.5 Proceeds from lease portfolio sales 56.7 129.0 60.1 136.0 24.2 Capital expenditures – operati
Slide 14: Reconciliation: Total Company Pre-Tax ROE
Reconciliation: Total Company Pre-Tax ROE LTM December 31, December 31, March 31, 2024 2023 2022 ($ in millions) Numerator: Income from continuing operations $ 154.9 $ 140.0 Provision (benefit) for income taxes 31.5 9.0 Income from continuing operations before income taxes 186.4 149.0 Net income att
Slide 15: Footnotes and Reconciliations
Footnotes and Reconciliations Slide 4 - Rail Market Update and Commercial Overview (1) Association of American Railroads (AAR) Weekly Railcar Loadings (2) AAR Rail Time Indicators – April 1, 2024 (3) Future Lease Rate Differential (FLRD) calculates the implied change in lease rates for railcar lease