American Railcar Industries Q1 results

American Railcar Industries (ARI) has reported its first quarter 2017 financial results. Total consolidated revenues were $114.7m for the first quarter of 2017, a decrease of 35% when compared to $176.2m for the same period in 2016.

President and CEO, Jeff Hollister said: “Despite lower production levels due to continued softness in the North American railcar market, our manufacturing facilities continue to operate efficiently, which we attribute to our skilled workforce, our vertically integrated supply chain, and our flexible operations. In addition, our railcar leasing and railcar services segments continue to complement our core manufacturing business and provide us with supplemental streams of revenue, helping to partially offset the impact and current challenges of operating in a soft market for new railcars.

“As announced previously, the sale of our current lease fleet manager, American Railcar Leasing (ARL), is expected to close during the second quarter of 2017. Accordingly, we are working with ARL to transition the management of our lease fleet operations to be handled in-house. Our focus and commitment to the leasing business is shown by the continued increase in our lease fleet. This past quarter, over half our production and shipments were for lease. We continue to look for ways to partner with our customers by providing railcars for lease and direct sale and providing solutions to support their needs throughout the life cycle of the railcar.”

For full details visit www.americanrailcar.com

30th May 2017