ARI's fourth-quarter net earnings for the fourth quarter of 2013 were $24.4 million, or $1.14 per share, equal to the comparable quarter of 2012, the company said. Net earnings were affected by the $5.9 million ($3.8 million after-tax) loss from the sale of the company's investment in Amtek Railcar.
Revenue of $197.2 million was down 5% from the $20.7 million it logged in the year-ago period. The company said the decline was "due to a decrease in direct sale railcar shipments in the fourth quarter of 2013 compared to the fourth quarter of 2012, as a result of building more railcars for our lease fleet. This was partially offset by increased revenues for the railcar services and railcar leasing segments."
For the full year, ARI notched net earnings of $86.9 million, or $4.07 per share, compared to $63.8 million, or $2.99 per share, in 2012. Revenue in 2013 was $750.6 million, up from $711.7 million in 2012.
"We are pleased with another record performance during 2013," said President and CEO Jeff Hollister in a statement Wednesday, Feb. 19, 2014. "Operating earnings improved 24% compared to 2012 as we continue to benefit from strong tank railcar sales that have strong margins, and have generated operational leverage and efficiencies throughout 2013. We believe the hopper railcar market is beginning to recover, as demonstrated by orders we received during the fourth quarter.
"As of December 31, 2013, we had a backlog of approximately 8,560 railcars, of which approximately 2,330 were orders for railcars that will be subject to lease,"Hollister said. "During 2013, we increased our lease fleet by 1,860 railcars, to a total of 4,450 railcars. Our railcar leasing segment has become a significant contributor to our results and we continue to invest in its growth. We obtained additional financing in January 2014 to continue to grow this business."