Wabash (NYSE: WNC), the innovation leader of connected solutions
for the transportation, logistics and distribution industries,
today reported results for the quarter and full year ended
December 31, 2023.
For the fourth quarter of 2023, net sales were
$596 million. Operating income was $61.1 million, or 10.3% of
sales. The Company's tax rate was lower than usual during the
fourth quarter primarily as a result of benefit from R&D tax
credits. Net income attributable to common stockholders was $50.4
million, or $1.07 per diluted share. For the full year 2023,
revenue totaled $2.5 billion with operating income of $311.9
million, or 12.3% of sales. Full year net income attributable to
common stockholders was $231.3 million, or $4.81 per diluted share.
The Company achieved annual records for sales, operating income and
EPS in 2023.
Operating EBITDA, a non-GAAP measure that
excludes the effects of certain items, for the fourth quarter of
2023 was $76.8 million, or 12.9% of net sales, and full year
operating EBITDA was $369.3 million, or 14.6% of net sales.
Total Company backlog as of December 31, 2023
was approximately $1.9 billion, which was steady compared to the
prior quarter. Backlog expected to be shipped within the following
12-months was $1.6 billion as of December 31, 2023 - a $100 million
increase from the prior quarter.
“During 2023 we’ve substantially exceeded the
financial performance in any year of the company’s history,"
explained Brent Yeagy, President and Chief Executive
Officer. "Beyond our financial accomplishments, I’m even more
excited about the strategic progress we made during 2023 and how it
positions us to generate stronger results going forward for our
employees, our customers and our other stakeholders. Our execution
is allowing us to achieve higher levels of financial performance
through all phases of the cycle and we are confident that when
market conditions strengthen for our customers, we will deliver
financial performance that exceeds 2023.”
Outlook
For the full year ending December 31, 2024,
the Company has issued guidance with sales in the range of $2.2
billion to $2.4 billion with a midpoint of $2.3 billion and
earnings per diluted share of $2.00 to $2.50 with a midpoint of
$2.25.
Mr. Yeagy continued, “While we expect a
moderation in 2024 financial performance relative to 2023, it’s
important to note that the midpoint of our 2024 EPS guidance would
still represent the 2nd best EPS generation in our company’s
history and would easily be the best results achieved during a year
of declining revenue. We're poised to demonstrate the company's
resilience through 2024 as our meaningful backlog and a strong
balance sheet give us confidence to continue at full speed with our
strategic growth initiatives.”
Business Segment Highlights
The table below is a summary of select segment
operating and financial results prior to the elimination of
intersegment sales for the fourth quarter of 2023 and 2022. A
complete disclosure of the results by individual segment is
included in the tables following this release.
|
|
|
|
|
|
|
Wabash National Corporation |
|
|
|
|
Three Months Ended
December 31, |
2023 |
|
2022 |
|
|
|
|
Units Shipped |
|
|
|
|
|
|
|
New trailers |
|
10,075 |
|
|
|
13,135 |
|
|
|
|
|
New truck bodies |
|
4,075 |
|
|
|
3,250 |
|
|
|
|
|
Used trailers |
|
35 |
|
|
|
15 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transportation Solutions |
|
Parts & Services |
Three Months Ended
December 31, |
2023 |
|
2022 |
|
2023 |
|
2022 |
|
(Unaudited, dollars in thousands) |
Net sales |
$ |
546,981 |
|
|
$ |
611,088 |
|
|
$ |
55,226 |
|
|
$ |
49,645 |
|
Gross profit |
$ |
94,766 |
|
|
$ |
83,326 |
|
|
$ |
13,457 |
|
|
$ |
11,271 |
|
Gross profit margin |
|
17.3 |
% |
|
|
13.6 |
% |
|
|
24.4 |
% |
|
|
22.7 |
% |
Income from operations |
$ |
74,593 |
|
|
$ |
66,998 |
|
|
$ |
10,145 |
|
|
$ |
7,899 |
|
Income from operations
margin |
|
13.6 |
% |
|
|
11.0 |
% |
|
|
18.4 |
% |
|
|
15.9 |
% |
Adjusted income from
operations |
$ |
74,593 |
|
|
$ |
66,998 |
|
|
$ |
10,145 |
|
|
$ |
7,899 |
|
Adjusted income from
operations margin |
|
13.6 |
% |
|
|
11.0 |
% |
|
|
18.4 |
% |
|
|
15.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transportation Solutions’ net sales for the
fourth quarter were $547.0 million, a decrease of 10.5% compared to
the prior year quarter. During the quarter, operating income was
$74.6 million, or 13.6% of sales.
Parts & Services' net sales for the fourth
quarter were $55.2 million, an increase of 11.2% compared to the
prior year quarter. Operating income was $10.1 million, or 18.4% of
sales during the quarter.
Non-GAAP Measures
In addition to disclosing financial results
calculated in accordance with United States generally accepted
accounting principles (GAAP), the financial information included in
this release contains non-GAAP financial measures, including
operating EBITDA, free cash flow, adjusted operating income and
margin, adjusted net income attributable to common stockholders,
adjusted diluted earnings per share, adjusted segment EBITDA, and
adjusted segment EBITDA margin. These non-GAAP measures should not
be considered a substitute for, or superior to, financial measures
and results calculated in accordance with GAAP, including net
income, and reconciliations to GAAP financial statements should be
carefully evaluated.
Operating EBITDA includes noncontrolling
interest & excludes loss from unconsolidated entity and is
defined as earnings before interest, taxes, depreciation,
amortization, stock-based compensation, impairment and other, net,
and other non-operating income and expense (including any loss on
debt extinguishment charges). Management believes providing
operating EBITDA is useful for investors to understand the
Company’s performance and results of operations period to period
with the exclusion of the items identified above. Management
believes the presentation of operating EBITDA, when combined with
the GAAP presentations of operating income and net income, is
beneficial to an investor’s understanding of the Company’s
operating performance. A reconciliation of operating EBITDA to net
income, the most comparable GAAP financial measure, is included in
the tables following this release.
Free cash flow is defined as net cash provided
by operating activities minus cash payments for capital
expenditures minus expenditures for revenue generating assets.
Management believes providing free cash flow is useful for
investors to understand the Company’s performance and results of
cash generation period to period with the exclusion of the item
identified above. Management believes the presentation of free cash
flow, when combined with the GAAP presentations of cash provided by
(used in) operating activities, is beneficial to an investor’s
understanding of the Company’s operating performance.
Adjusted operating income and margin, non-GAAP
financial measures, exclude certain costs, expenses, other charges,
gains or income that are included in the determination of operating
income under U.S. GAAP, but that management would not consider
important in evaluating the quality of the Company’s operating
results as they are not indicative of the Company’s core operating
results or may obscure trends useful in evaluating the Company’s
continuing activities. Accordingly, the Company presents adjusted
operating income and margin excluding these special items to help
investors evaluate our operating performance and trends in our
business consistent with how management evaluates such performance
and trends. Further, the Company presents adjusted operating income
and margin to provide investors with a better understanding of the
Company’s view of our results as compared to prior periods.
Adjusted operating income margin is calculated by dividing adjusted
operating income by total net sales. A reconciliation of adjusted
operating income to operating income, the most comparable GAAP
financial measure, is included in the tables following this
release. There are no adjustments for any period presented.
Adjusted net income attributable to common
stockholders and adjusted diluted earnings per share reflect
adjustments for non-cash impairment, debt transactions, and the
impact of sales and divestitures, and the related tax effects of
these adjustments. Management believes providing adjusted measures
and excluding certain items facilitates comparisons to the
Company’s prior year periods and, when combined with the GAAP
presentation of net income and diluted net income per share, is
beneficial to an investor’s understanding of the Company’s
performance. A reconciliation of adjusted net income attributable
to common stockholders and adjusted diluted earnings per share to
net income attributable to common stockholders and diluted earnings
per share, the most comparable GAAP financial measures, are
included in the tables following this release.
Adjusted segment EBITDA, a non-GAAP financial
measure, includes noncontrolling interest & excludes loss from
unconsolidated entity and is calculated by adding back segment
depreciation and amortization expense to segment operating income,
and excludes certain costs, expenses, other charges, gains or
income that are included in the determination of operating income
under GAAP, but that management would not consider important in
evaluating the quality of the Company’s segment operating results
as they are not indicative of each segment's core operating results
or may obscure trends useful in evaluating the segment's continuing
activities. Adjusted segment EBITDA Margin is calculated by
dividing Adjusted segment EBITDA by segment total net sales. A
reconciliation of adjusted segment EBITDA to income from
operations, the most comparable GAAP financial measure, is included
in the tables following this release.
Information reconciling any forward-looking
Operating EBITDA, Operating EBITDA Margin, Adjusted Operating
Income, Adjusted Operating Income Margin, Free Cash Flow, Adjusted
EBITDA Margin, and Adjusted EPS to GAAP financial measures is
unavailable to us without unreasonable effort. We cannot provide
reconciliations of the above noted forward looking non-GAAP
measures to GAAP financial measures because certain items required
for such reconciliations are outside of our control and/or cannot
be reasonably predicted. Preparation of such reconciliations would
require a forward-looking balance sheet, statement of income and
statement of cash flows, prepared in accordance with GAAP, and such
forward-looking financial statements are unavailable to us without
unreasonable effort.
Fourth Quarter 2023 Conference
Call
Wabash will discuss its results during its
quarterly investor conference call on Thursday, February 1,
beginning at 11:00 a.m. EST. The call and an accompanying
slide presentation will be accessible on the "Investors" section of
the Company’s website www.onewabash.com. The conference call will
also be accessible by dialing (888) 440-6928, conference ID
6579482. A replay of the call will be available on the site shortly
after the conclusion of the presentation.
About Wabash
Wabash (NYSE: WNC) is the visionary leader of
connected solutions for the transportation, logistics and
distribution industries that is Changing How the World Reaches
You®. Headquartered in Lafayette, Indiana, the company enables
customers to thrive by providing insight into tomorrow and
delivering pragmatic solutions today to move everything from first
to final mile. Wabash designs, manufactures, and services a diverse
range of products, including: dry freight and refrigerated
trailers, flatbed trailers, tank trailers, dry and refrigerated
truck bodies, structural composite panels and products, trailer
aerodynamic solutions, and specialty food grade processing
equipment. Learn more at www.onewabash.com.
Safe Harbor Statement
This press release contains certain
forward-looking statements as defined by the Private Securities
Litigation Reform Act of 1995. Forward-looking statements convey
the Company’s current expectations or forecasts of future events.
All statements contained in this press release other than
statements of historical fact are forward-looking statements. These
forward-looking statements include, among other things, all
statements regarding the Company’s outlook for trailer and truck
body shipments, backlog, expectations regarding demand levels for
trailers, truck bodies, non-trailer equipment and our other
diversified product offerings, pricing, profitability and earnings,
cash flow and liquidity, opportunity to capture higher margin
sales, new product innovations, our growth and diversification
strategies, our expectations for improved financial performance
during the course of the year and our expectations with regards to
capital allocation. These and the Company’s other forward-looking
statements are subject to certain risks and uncertainties that
could cause actual results to differ materially from those implied
by the forward-looking statements. Without limitation, these risks
and uncertainties include the highly cyclical nature of our
business, uncertain economic conditions including the possibility
that customer demand may not meet our expectations, our backlog may
not reflect future sales of our products, increased competition,
reliance on certain customers and corporate partnerships, risks of
customer pick-up delays, shortages and costs of raw materials
including the impact of tariffs or other international trade
developments, risks in implementing and sustaining improvements in
the Company’s manufacturing operations and cost containment,
dependence on industry trends and timing, supplier constraints,
labor costs and availability, customer acceptance of and reactions
to pricing changes, costs of indebtedness, and our ability to
execute on our long-term strategic plan. Readers should review and
consider the various disclosures made by the Company in this press
release and in the Company’s reports to its stockholders and
periodic reports on Forms 10-K and 10-Q.
|
WABASH NATIONAL CORPORATIONCONSOLIDATED
BALANCE SHEETS(Unaudited - dollars in thousands) |
|
|
December 31,2023 |
|
December 31,2022 |
Assets |
|
|
|
Current assets: |
|
|
|
Cash and cash equivalents |
$ |
179,271 |
|
|
$ |
58,245 |
|
Accounts receivable, net |
|
182,990 |
|
|
|
255,577 |
|
Inventories |
|
267,635 |
|
|
|
243,870 |
|
Prepaid expenses and other |
|
51,457 |
|
|
|
34,927 |
|
Total current assets |
|
681,353 |
|
|
|
592,619 |
|
Property, plant, and
equipment, net |
|
325,444 |
|
|
|
271,116 |
|
Goodwill |
|
188,409 |
|
|
|
188,434 |
|
Intangible assets, net |
|
86,418 |
|
|
|
99,231 |
|
Investment in unconsolidated
entity |
|
1,647 |
|
|
|
— |
|
Other assets |
|
79,543 |
|
|
|
52,123 |
|
Total assets |
$ |
1,362,814 |
|
|
$ |
1,203,523 |
|
Liabilities and Stockholders' Equity |
|
|
|
Current liabilities: |
|
|
|
Current portion of long-term debt |
$ |
— |
|
|
$ |
— |
|
Accounts payable |
|
156,608 |
|
|
|
189,141 |
|
Other accrued liabilities |
|
195,601 |
|
|
|
158,327 |
|
Total current liabilities |
|
352,209 |
|
|
|
347,468 |
|
Long-term debt |
|
396,465 |
|
|
|
395,818 |
|
Deferred income taxes |
|
17,013 |
|
|
|
27,758 |
|
Other non-current
liabilities |
|
47,028 |
|
|
|
34,354 |
|
Total liabilities |
|
812,715 |
|
|
|
805,398 |
|
Commitments and
contingencies |
|
|
|
Noncontrolling interest |
|
603 |
|
|
|
512 |
|
Wabash National Corporation
Stockholders' equity: |
|
|
|
Common stock, $0.01 par value: 200,000,000 shares authorized;
45,393,260 and 47,675,796 shares outstanding, respectively |
|
774 |
|
|
|
766 |
|
Additional paid-in capital |
|
677,886 |
|
|
|
665,941 |
|
Retained earnings |
|
403,923 |
|
|
|
188,241 |
|
Accumulated other comprehensive loss |
|
(428 |
) |
|
|
(882 |
) |
Treasury stock, at cost: 32,128,755 and 28,972,928 common shares,
respectively |
|
(532,659 |
) |
|
|
(456,453 |
) |
Total Wabash National Corporation stockholders' equity |
|
549,496 |
|
|
|
397,613 |
|
Total liabilities, noncontrolling interest, and equity |
$ |
1,362,814 |
|
|
$ |
1,203,523 |
|
|
|
|
|
|
|
|
|
WABASH NATIONAL CORPORATIONCONSOLIDATED
STATEMENTS OF OPERATIONS(Unaudited - dollars in thousands,
except per share amounts) |
|
|
Three Months EndedDecember
31, |
|
Twelve Months EndedDecember
31, |
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Net sales |
$ |
596,100 |
|
|
$ |
657,449 |
|
|
$ |
2,536,500 |
|
|
$ |
2,502,129 |
|
Cost of sales |
|
487,877 |
|
|
|
562,852 |
|
|
|
2,038,313 |
|
|
|
2,179,438 |
|
Gross profit |
|
108,223 |
|
|
|
94,597 |
|
|
|
498,187 |
|
|
|
322,691 |
|
General and administrative
expenses |
|
37,464 |
|
|
|
27,962 |
|
|
|
146,658 |
|
|
|
113,083 |
|
Selling expenses |
|
6,368 |
|
|
|
5,733 |
|
|
|
26,532 |
|
|
|
27,070 |
|
Amortization of intangible
assets |
|
3,203 |
|
|
|
3,185 |
|
|
|
12,813 |
|
|
|
15,211 |
|
Impairment and other, net |
|
86 |
|
|
|
(7 |
) |
|
|
235 |
|
|
|
685 |
|
Income from operations |
|
61,102 |
|
|
|
57,724 |
|
|
|
311,949 |
|
|
|
166,642 |
|
Other income (expense): |
|
|
|
|
|
|
|
Interest expense |
|
(4,941 |
) |
|
|
(5,184 |
) |
|
|
(19,854 |
) |
|
|
(20,525 |
) |
Other, net |
|
1,687 |
|
|
|
895 |
|
|
|
3,393 |
|
|
|
318 |
|
Other expense, net |
|
(3,254 |
) |
|
|
(4,289 |
) |
|
|
(16,461 |
) |
|
|
(20,207 |
) |
Loss from unconsolidated
entity |
|
(803 |
) |
|
|
— |
|
|
|
(803 |
) |
|
|
— |
|
Income before income tax |
|
57,045 |
|
|
|
53,435 |
|
|
|
294,685 |
|
|
|
146,435 |
|
Income tax expense |
|
6,541 |
|
|
|
11,834 |
|
|
|
62,830 |
|
|
|
33,665 |
|
Net income |
|
50,504 |
|
|
|
41,601 |
|
|
|
231,855 |
|
|
|
112,770 |
|
Net income attributable to
noncontrolling interest |
|
122 |
|
|
|
139 |
|
|
|
603 |
|
|
|
512 |
|
Net income attributable to
common stockholders |
$ |
50,382 |
|
|
$ |
41,462 |
|
|
$ |
231,252 |
|
|
$ |
112,258 |
|
|
|
|
|
|
|
|
|
Net income
attributable to common stockholders per share: |
|
|
|
|
|
|
|
Basic |
$ |
1.10 |
|
|
$ |
0.86 |
|
|
$ |
4.92 |
|
|
$ |
2.31 |
|
Diluted |
$ |
1.07 |
|
|
$ |
0.84 |
|
|
$ |
4.81 |
|
|
$ |
2.25 |
|
Weighted average
common shares outstanding (in thousands): |
|
|
|
|
|
|
|
Basic |
|
45,938 |
|
|
|
47,964 |
|
|
|
47,011 |
|
|
|
48,626 |
|
Diluted |
|
46,931 |
|
|
|
49,550 |
|
|
|
48,030 |
|
|
|
49,881 |
|
|
|
|
|
|
|
|
|
Dividends declared per
share |
$ |
0.08 |
|
|
$ |
0.08 |
|
|
$ |
0.32 |
|
|
$ |
0.32 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WABASH NATIONAL CORPORATIONCONSOLIDATED
STATEMENTS OF CASH FLOWS(Unaudited - dollars in
thousands) |
|
|
Year Ended December 31, |
|
|
2023 |
|
|
|
2022 |
|
Cash flows from operating activities: |
|
|
|
Net income |
$ |
231,855 |
|
|
$ |
112,770 |
|
Adjustments to reconcile net income to net cash provided by
operating activities: |
|
|
|
Depreciation |
|
32,507 |
|
|
|
31,758 |
|
Amortization of intangibles |
|
12,813 |
|
|
|
15,211 |
|
Net loss (gain) on sale of property, plant and equipment and
business divestiture |
|
235 |
|
|
|
(635 |
) |
Deferred income taxes |
|
(13,459 |
) |
|
|
(7,614 |
) |
Stock-based compensation |
|
11,799 |
|
|
|
9,746 |
|
Non-cash interest expense |
|
946 |
|
|
|
868 |
|
Equity in loss of unconsolidated entity |
|
803 |
|
|
|
— |
|
Impairment |
|
— |
|
|
|
1,339 |
|
Accounts receivable |
|
72,587 |
|
|
|
(79,066 |
) |
Inventories |
|
(23,765 |
) |
|
|
(6,249 |
) |
Prepaid expenses and other |
|
(10,727 |
) |
|
|
1,069 |
|
Accounts payable and accrued liabilities |
|
5,775 |
|
|
|
46,085 |
|
Other, net |
|
(1,878 |
) |
|
|
(1,198 |
) |
Net cash provided by operating activities |
|
319,491 |
|
|
|
124,084 |
|
Cash flows from investing activities: |
|
|
|
Cash payments for capital expenditures |
|
(98,093 |
) |
|
|
(57,086 |
) |
Expenditures for revenue generating assets |
|
(5,535 |
) |
|
|
— |
|
Proceeds from sale of assets |
|
154 |
|
|
|
1,781 |
|
Investment in unconsolidated entity |
|
(2,450 |
) |
|
|
— |
|
Net cash used in investing activities |
|
(105,924 |
) |
|
|
(55,305 |
) |
Cash flows from financing activities: |
|
|
|
Proceeds from exercise of stock options |
|
155 |
|
|
|
2,224 |
|
Dividends paid |
|
(15,861 |
) |
|
|
(16,020 |
) |
Borrowings under revolving credit facilities |
|
104,199 |
|
|
|
97,549 |
|
Payments under revolving credit facilities |
|
(104,199 |
) |
|
|
(130,584 |
) |
Principal payments under finance lease obligations |
|
— |
|
|
|
(59 |
) |
Debt issuance costs paid |
|
(117 |
) |
|
|
(1,137 |
) |
Stock repurchases |
|
(76,206 |
) |
|
|
(34,285 |
) |
Distribution to noncontrolling interest |
|
(512 |
) |
|
|
— |
|
Net cash used in financing activities |
|
(92,541 |
) |
|
|
(82,312 |
) |
Cash, cash equivalents, and restricted cash: |
|
|
|
Net decrease in cash, cash equivalents, and restricted cash |
|
121,026 |
|
|
|
(13,533 |
) |
Cash, cash equivalents, and restricted cash at beginning of
period |
|
58,245 |
|
|
|
71,778 |
|
Cash, cash equivalents, and restricted cash at end of period |
$ |
179,271 |
|
|
$ |
58,245 |
|
Supplemental disclosures of cash flow
information: |
|
|
|
Cash paid for interest |
$ |
18,938 |
|
|
$ |
20,131 |
|
Net cash paid for income taxes |
$ |
82,589 |
|
|
$ |
18,333 |
|
Period end balance of payables for property, plant, and
equipment |
$ |
11,662 |
|
|
$ |
18,809 |
|
|
|
|
|
|
|
|
|
WABASH NATIONAL CORPORATIONSEGMENTS AND
RELATED INFORMATION(Unaudited - dollars in thousands) |
|
|
|
Wabash National Corporation |
|
|
|
|
Three Months Ended December 31, |
|
2023 |
|
2022 |
|
|
|
|
Units Shipped |
|
|
|
|
|
|
|
|
New trailers |
|
|
10,075 |
|
|
13,135 |
|
|
|
|
New truck bodies |
|
|
4,075 |
|
|
3,250 |
|
|
|
|
Used trailers |
|
|
35 |
|
|
15 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31, |
|
Transportation Solutions |
|
Parts & Services |
|
Corporate andEliminations |
|
Consolidated |
2023 |
|
|
|
|
|
|
|
|
New trailers |
|
$ |
438,113 |
|
$ |
— |
|
$ |
(1,321 |
) |
|
$ |
436,792 |
Used trailers |
|
|
— |
|
|
2,582 |
|
|
— |
|
|
|
2,582 |
Components, parts and service |
|
|
— |
|
|
34,689 |
|
|
— |
|
|
|
34,689 |
Equipment and other |
|
|
108,868 |
|
|
17,955 |
|
|
(4,786 |
) |
|
|
122,037 |
Total net external sales |
|
$ |
546,981 |
|
$ |
55,226 |
|
$ |
(6,107 |
) |
|
$ |
596,100 |
Gross profit |
|
$ |
94,766 |
|
$ |
13,457 |
|
$ |
— |
|
|
$ |
108,223 |
Income (loss) from operations |
|
$ |
74,593 |
|
$ |
10,145 |
|
$ |
(23,636 |
) |
|
$ |
61,102 |
Adjusted income (loss) from operations1 |
|
$ |
74,593 |
|
$ |
10,145 |
|
$ |
(23,636 |
) |
|
$ |
61,102 |
|
|
|
|
|
|
|
|
|
2022 |
|
|
|
|
|
|
|
|
New trailers |
|
$ |
536,376 |
|
$ |
330 |
|
$ |
(313 |
) |
|
$ |
536,393 |
Used trailers |
|
|
— |
|
|
523 |
|
|
— |
|
|
|
523 |
Components, parts and service |
|
|
— |
|
|
34,554 |
|
|
— |
|
|
|
34,554 |
Equipment and other |
|
|
74,712 |
|
|
14,238 |
|
|
(2,971 |
) |
|
|
85,979 |
Total net external sales |
|
$ |
611,088 |
|
$ |
49,645 |
|
$ |
(3,284 |
) |
|
$ |
657,449 |
Gross profit |
|
$ |
83,326 |
|
$ |
11,271 |
|
$ |
— |
|
|
$ |
94,597 |
Income (loss) from operations |
|
$ |
66,998 |
|
$ |
7,899 |
|
$ |
(17,173 |
) |
|
$ |
57,724 |
Adjusted income (loss) from operations1 |
|
$ |
66,998 |
|
$ |
7,899 |
|
$ |
(17,173 |
) |
|
$ |
57,724 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Adjusted operating income (loss), a non-GAAP
financial measure, excludes certain costs, expenses, other charges,
gains or income that are included in the determination of operating
income (loss) under U.S. GAAP, but that management would not
consider important in evaluating the quality of the Company’s
operating results as they are not indicative of the Company’s core
operating results or may obscure trends useful in evaluating the
Company’s continuing activities. Accordingly, the Company presents
adjusted operating income (loss) excluding these special items to
help investors evaluate our operating performance and trends in our
business consistent with how management evaluates such performance
and trends. Further, the Company presents adjusted operating income
(loss) to provide investors with a better understanding of the
Company’s view of our results as compared to prior periods.
|
WABASH NATIONAL CORPORATIONSEGMENTS AND
RELATED INFORMATION(Unaudited - dollars in thousands) |
|
|
|
Wabash National Corporation |
|
|
|
|
Twelve Months Ended December 31, |
|
2023 |
|
2022 |
|
|
|
|
Units Shipped |
|
|
|
|
|
|
|
|
New trailers |
|
|
44,450 |
|
|
52,035 |
|
|
|
|
New truck bodies |
|
|
16,070 |
|
|
14,800 |
|
|
|
|
Used trailers |
|
|
90 |
|
|
95 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December 31, |
|
Transportation Solutions |
|
Parts & Services |
|
Corporate andEliminations |
|
Consolidated |
2023 |
|
|
|
|
|
|
|
|
New trailers |
|
$ |
1,924,700 |
|
$ |
— |
|
$ |
(5,901 |
) |
|
$ |
1,918,799 |
Used trailers |
|
|
— |
|
|
4,978 |
|
|
— |
|
|
|
4,978 |
Components, parts and service |
|
|
— |
|
|
148,256 |
|
|
— |
|
|
|
148,256 |
Equipment and other |
|
|
413,904 |
|
|
67,639 |
|
|
(17,076 |
) |
|
|
464,467 |
Total net external sales |
|
$ |
2,338,604 |
|
$ |
220,873 |
|
$ |
(22,977 |
) |
|
$ |
2,536,500 |
Gross profit |
|
$ |
439,864 |
|
$ |
58,323 |
|
$ |
— |
|
|
$ |
498,187 |
Income (loss) from operations |
|
$ |
366,928 |
|
$ |
44,649 |
|
$ |
(99,628 |
) |
|
$ |
311,949 |
Adjusted income (loss) from operations1 |
|
$ |
366,928 |
|
$ |
44,649 |
|
$ |
(99,628 |
) |
|
$ |
311,949 |
|
|
|
|
|
|
|
|
|
2022 |
|
|
|
|
|
|
|
|
New trailers |
|
$ |
2,012,428 |
|
$ |
1,722 |
|
$ |
(1,286 |
) |
|
$ |
2,012,864 |
Used trailers |
|
|
— |
|
|
2,905 |
|
|
— |
|
|
|
2,905 |
Components, parts and service |
|
|
— |
|
|
139,762 |
|
|
— |
|
|
|
139,762 |
Equipment and other |
|
|
308,486 |
|
|
49,087 |
|
|
(10,975 |
) |
|
|
346,598 |
Total net external sales |
|
$ |
2,320,914 |
|
$ |
193,476 |
|
$ |
(12,261 |
) |
|
$ |
2,502,129 |
Gross profit |
|
$ |
277,842 |
|
$ |
44,849 |
|
$ |
— |
|
|
$ |
322,691 |
Income (loss) from operations |
|
$ |
209,942 |
|
$ |
30,558 |
|
$ |
(73,858 |
) |
|
$ |
166,642 |
Adjusted income (loss) from operations1 |
|
$ |
209,942 |
|
$ |
30,558 |
|
$ |
(73,858 |
) |
|
$ |
166,642 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Adjusted operating income (loss), a non-GAAP
financial measure, excludes certain costs, expenses, other charges,
gains or income that are included in the determination of operating
income (loss) under U.S. GAAP, but that management would not
consider important in evaluating the quality of the Company’s
operating results as they are not indicative of the Company’s core
operating results or may obscure trends useful in evaluating the
Company’s continuing activities. Accordingly, the Company presents
adjusted operating income (loss) excluding these special items to
help investors evaluate our operating performance and trends in our
business consistent with how management evaluates such performance
and trends. Further, the Company presents adjusted operating income
(loss) to provide investors with a better understanding of the
Company’s view of our results as compared to prior periods.
|
WABASH NATIONAL CORPORATIONSEGMENT and
COMPANY FINANCIAL INFORMATION(Unaudited - dollars in
thousands) |
|
|
Three Months EndedDecember
31, |
|
Twelve Months EndedDecember
31, |
|
2023 |
|
2022 |
|
2023 |
|
2022 |
Transportation
Solutions |
|
|
|
|
|
|
|
Income from operations |
$ |
74,593 |
|
|
$ |
66,998 |
|
|
$ |
366,928 |
|
|
$ |
209,942 |
|
Adjustments: |
|
|
|
|
|
|
|
N/A |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Adjusted operating income |
|
74,593 |
|
|
|
66,998 |
|
|
|
366,928 |
|
|
|
209,942 |
|
Adjusted operating income margin |
|
13.6 |
% |
|
|
11.0 |
% |
|
|
15.7 |
% |
|
|
9.0 |
% |
|
|
|
|
|
|
|
|
Parts &
Services |
|
|
|
|
|
|
|
Income from operations |
|
10,145 |
|
|
|
7,899 |
|
|
|
44,649 |
|
|
|
30,558 |
|
Adjustments: |
|
|
|
|
|
|
|
N/A |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Adjusted operating income |
|
10,145 |
|
|
|
7,899 |
|
|
|
44,649 |
|
|
|
30,558 |
|
Adjusted operating income margin |
|
18.4 |
% |
|
|
15.9 |
% |
|
|
20.2 |
% |
|
|
15.8 |
% |
|
|
|
|
|
|
|
|
Corporate |
|
|
|
|
|
|
|
Loss from operations |
|
(23,636 |
) |
|
|
(17,173 |
) |
|
|
(99,628 |
) |
|
|
(73,858 |
) |
Adjustments: |
|
|
|
|
|
|
|
N/A |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Adjusted operating loss |
|
(23,636 |
) |
|
|
(17,173 |
) |
|
|
(99,628 |
) |
|
|
(73,858 |
) |
|
|
|
|
|
|
|
|
Consolidated |
|
|
|
|
|
|
|
Income from operations |
|
61,102 |
|
|
|
57,724 |
|
|
|
311,949 |
|
|
|
166,642 |
|
Adjustments: |
|
|
|
|
|
|
|
N/A |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Adjusted operating income |
$ |
61,102 |
|
|
$ |
57,724 |
|
|
$ |
311,949 |
|
|
$ |
166,642 |
|
Adjusted operating income margin |
|
10.3 |
% |
|
|
8.8 |
% |
|
|
12.3 |
% |
|
|
6.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Adjusted operating income (loss), a non-GAAP
financial measure, excludes certain costs, expenses, other charges,
gains or income that are included in the determination of operating
income (loss) under U.S. GAAP, but that management would not
consider important in evaluating the quality of the Company’s
operating results as they are not indicative of the Company’s core
operating results or may obscure trends useful in evaluating the
Company’s continuing activities. Accordingly, the Company presents
adjusted operating income (loss) excluding these special items to
help investors evaluate our operating performance and trends in our
business consistent with how management evaluates such performance
and trends. Further, the Company presents adjusted operating income
(loss) to provide investors with a better understanding of the
Company’s view of our results as compared to prior periods.
Adjusted operating income margin is calculated by dividing adjusted
operating income by total net sales. There are no adjustments for
any period presented.
|
WABASH NATIONAL CORPORATIONRECONCILIATION
OF GAAP FINANCIAL MEASURES TONON-GAAP FINANCIAL
MEASURES(Unaudited - dollars in thousands, except per
share amounts) |
|
Operating
EBITDA1: |
Three Months Ended December 31, |
|
Twelve Months Ended December 31, |
|
2023 |
|
2022 |
|
2023 |
|
2022 |
Net income |
$ |
50,504 |
|
|
$ |
41,601 |
|
|
$ |
231,855 |
|
|
$ |
112,770 |
|
Income tax expense |
|
6,541 |
|
|
|
11,834 |
|
|
|
62,830 |
|
|
|
33,665 |
|
Interest expense |
|
4,941 |
|
|
|
5,184 |
|
|
|
19,854 |
|
|
|
20,525 |
|
Depreciation and
amortization |
|
12,635 |
|
|
|
9,704 |
|
|
|
45,320 |
|
|
|
46,969 |
|
Stock-based compensation |
|
2,987 |
|
|
|
2,379 |
|
|
|
11,799 |
|
|
|
9,746 |
|
Impairment and other, net |
|
86 |
|
|
|
(7 |
) |
|
|
235 |
|
|
|
685 |
|
Other, net |
|
(1,687 |
) |
|
|
(895 |
) |
|
|
(3,393 |
) |
|
|
(318 |
) |
Loss from unconsolidated
entity |
|
803 |
|
|
|
— |
|
|
|
803 |
|
|
|
— |
|
Operating EBITDA |
$ |
76,810 |
|
|
$ |
69,800 |
|
|
$ |
369,303 |
|
|
$ |
224,042 |
|
Adjusted Net Income
Attributable to Common
Stockholders2: |
Three Months Ended December 31, |
|
Twelve Months Ended December 31, |
|
2023 |
|
2022 |
|
2023 |
|
2022 |
Net income attributable to common stockholders |
$ |
50,382 |
|
$ |
41,462 |
|
$ |
231,252 |
|
$ |
112,258 |
Adjustments: |
|
|
|
|
|
|
|
N/A |
|
— |
|
|
— |
|
|
— |
|
|
— |
Adjusted net income
attributable to common stockholders |
$ |
50,382 |
|
$ |
41,462 |
|
$ |
231,252 |
|
$ |
112,258 |
Adjusted Diluted
Earnings Per
Share2: |
Three Months Ended December 31, |
|
Twelve Months Ended December 31, |
|
2023 |
|
2022 |
|
2023 |
|
2022 |
Diluted earnings per share |
$ |
1.07 |
|
$ |
0.84 |
|
$ |
4.81 |
|
$ |
2.25 |
Adjustments: |
|
|
|
|
|
|
|
N/A |
|
— |
|
|
— |
|
|
— |
|
|
— |
Adjusted diluted earnings per
share |
$ |
1.07 |
|
$ |
0.84 |
|
$ |
4.81 |
|
$ |
2.25 |
|
|
|
|
|
|
|
|
Weighted average diluted
shares outstanding (in thousands) |
|
46,931 |
|
|
49,550 |
|
|
48,030 |
|
|
49,881 |
|
|
|
|
|
|
|
|
|
|
|
|
1 Operating EBITDA includes
noncontrolling interest & excludes loss from unconsolidated
entity and is defined as earnings before interest, taxes,
depreciation, amortization, stock-based compensation, impairment
and other, net, and other non-operating income and expense
(including any loss on debt extinguishment charges). Management
believes providing operating EBITDA is useful for investors to
understand the Company’s performance and results of operations
period to period with the exclusion of the items identified above.
Management believes the presentation of operating EBITDA, when
combined with the GAAP presentations of operating income and net
income, is beneficial to an investor’s understanding of the
Company’s operating performance.
2 Adjusted net income
attributable to common stockholders and adjusted diluted earnings
per share reflect no adjustments for any period presented.
|
WABASH NATIONAL CORPORATIONRECONCILIATION
OF FREE CASH FLOW1(Unaudited - dollars in
thousands) |
|
|
|
Twelve Months EndedDecember
31, |
|
2023 |
|
2022 |
Net cash provided by operating activities |
$ |
319,491 |
|
|
$ |
124,084 |
|
Cash payments for capital
expenditures |
|
(98,093 |
) |
|
|
(57,086 |
) |
Expenditures for revenue
generating assets |
|
(5,535 |
) |
|
|
— |
|
Free cash flow1 |
$ |
215,863 |
|
|
$ |
66,998 |
|
|
|
|
|
|
|
|
|
1 Free cash flow is defined as
net cash provided by operating activities minus cash payments for
capital expenditures minus expenditures for revenue generating
assets. Management believes providing free cash flow is useful for
investors to understand the Company’s performance and results of
cash generation period to period with the exclusion of the item
identified above. Management believes the presentation of free cash
flow, when combined with the GAAP presentations of cash provided by
(used in) operating activities, is beneficial to an investor’s
understanding of the Company’s operating performance.
|
WABASH NATIONAL CORPORATIONRECONCILIATION
OF ADJUSTED SEGMENT EBITDA1AND
ADJUSTED SEGMENT EBITDA MARGIN1(Unaudited
- dollars in thousands) |
|
|
Transportation Solutions |
|
Parts & Services |
Three Months Ended
December 31 |
2023 |
|
2022 |
|
2023 |
|
2022 |
Income from operations |
$ |
74,593 |
|
|
$ |
66,998 |
|
|
$ |
10,145 |
|
|
$ |
7,899 |
|
Depreciation and
amortization |
|
11,138 |
|
|
|
8,458 |
|
|
|
598 |
|
|
|
480 |
|
Impairment and other, net |
|
86 |
|
|
|
(1 |
) |
|
|
— |
|
|
|
(5 |
) |
Adjusted segment EBITDA |
$ |
85,817 |
|
|
$ |
75,455 |
|
|
$ |
10,743 |
|
|
$ |
8,374 |
|
|
|
|
|
|
|
|
|
Adjusted segment EBITDA
margin |
|
15.7 |
% |
|
|
12.3 |
% |
|
|
19.5 |
% |
|
|
16.9 |
% |
|
Transportation Solutions |
|
Parts & Services |
Twelve Months Ended
December 31 |
2023 |
|
2022 |
|
2023 |
|
2022 |
Income from operations |
$ |
366,928 |
|
|
$ |
209,942 |
|
|
$ |
44,649 |
|
|
$ |
30,558 |
|
Depreciation and
amortization |
|
40,443 |
|
|
|
41,187 |
|
|
|
2,201 |
|
|
|
2,717 |
|
Impairment and other, net |
|
235 |
|
|
|
(361 |
) |
|
|
— |
|
|
|
— |
|
Adjusted segment EBITDA |
$ |
407,606 |
|
|
$ |
250,768 |
|
|
$ |
46,850 |
|
|
$ |
33,275 |
|
|
|
|
|
|
|
|
|
Adjusted segment EBITDA
Margin |
|
17.4 |
% |
|
|
10.8 |
% |
|
|
21.2 |
% |
|
|
17.2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Adjusted segment EBITDA, a
non-GAAP financial measure, includes noncontrolling interest &
excludes loss from unconsolidated entity and is calculated by
adding back segment depreciation and amortization expense to
segment operating income, and excludes certain costs, expenses,
other charges, gains or income that are included in the
determination of operating income under GAAP, but that management
would not consider important in evaluating the quality of the
Company’s segment operating results as they are not indicative of
each segment's core operating results or may obscure trends useful
in evaluating the segment's continuing activities. Adjusted segment
EBITDA margin is calculated by dividing Adjusted segment EBITDA by
segment total net sales.
Media Contact:Dana
StelselDirector, Communications(765)
771-5766dana.stelsel@onewabash.com
Investor Relations:Ryan ReedVP, Corporate
Development, IR, and FP&A(765)
490-5664ryan.reed@onewabash.com
Wabash National (NYSE:WNC)
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