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Financial Data of Business Segments | 6 Months Ended
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Jun. 30, 2023
Segment Reporting [Abstract] |
Financial Data of Business Segments | Financial Data of Business Segments The financial data presented below depicts the profitability, financial position, and capital expenditures of each of our business segments. We lease, operate, manage, and remarket long-lived, widely used assets, primarily in the rail market. We report our financial results through three primary business segments: Rail North America, Rail International, and Portfolio Management. Financial results for Trifleet Leasing are reported in the Other segment. Rail North America is composed of our operations in the United States, Canada, and Mexico. Rail North America primarily provides railcars pursuant to full-service leases under which it maintains the railcars, pays ad valorem taxes and insurance, and provides other ancillary services. Rail International is composed of our operations in Europe ("GATX Rail Europe" or "GRE"), India ("Rail India"), and until January 31, 2023, Rail Russia. GRE primarily leases railcars to customers throughout Europe pursuant to full-service leases under which it maintains the railcars and provides value-added services according to customer requirements. In the first quarter of 2023, we completed the sale of Rail Russia. See "Note 6. Asset Impairments and Assets Held for Sale" for further information. Portfolio Management is composed primarily of our ownership in the RRPF affiliates, a group of joint ventures with Rolls-Royce plc that lease aircraft spare engines, GEL, our direct ownership of aircraft spare engines that are leased or employed in engine capacity agreements, and the Specialized Gas Vessels. In the second quarter of 2023, GEL acquired nine aircraft spare engines for approximately $239 million, and GATX sold one of the Specialized Gas Vessels. GATX had previously sold one of the Specialized Gas Vessels in the first quarter of 2023 and two Specialized Gas Vessels in the third quarter of 2022. The one remaining vessel continues to be classified as held for sale as of June 30, 2023. See "Note 6. Asset Impairments and Assets Held for Sale" for further information. Other includes Trifleet Leasing operations, as well as selling, general and administrative expenses, income taxes, and certain other amounts not allocated to the segments. Segment profit is an internal performance measure used by the Chief Executive Officer to assess the profitability of each segment. Segment profit includes all revenues, expenses, pre-tax earnings from affiliates, and net gains on asset dispositions that are directly attributable to each segment. We allocate interest expense to the segments based on what we believe to be the appropriate risk-adjusted borrowing costs for each segment. Segment profit excludes selling, general and administrative expenses, income taxes, and certain other amounts not allocated to the segments. The following tables show certain segment data for each of our business segments (in millions):
| Rail North America |  | Rail International |  | Portfolio Management |  | Other |  | GATX Consolidated
Three Months Ended June 30, 2023 |  |  |  |  |  |  |  |
Revenues |  |  |  |  |  |  |  |  |
Lease revenue | $ | 218.9 |  |  | $ | 73.1 |  |  | $ | 8.1 |  |  | $ | 8.5 |  |  | $ | 308.6 |
Marine operating revenue | — |  |  | — |  |  | 2.0 |  |  | — |  |  | 2.0 |
Other revenue | 21.5 |  |  | 3.1 |  |  | 6.4 |  |  | 1.6 |  |  | 32.6 |
Total Revenues | 240.4 |  |  | 76.2 |  |  | 16.5 |  |  | 10.1 |  |  | 343.2 |
Expenses |  |  |  |  |  |  |  |  |
Maintenance expense | 66.8 |  |  | 14.6 |  |  | — |  |  | 0.9 |  |  | 82.3 |
Marine operating expense | — |  |  | — |  |  | 2.4 |  |  | — |  |  | 2.4 |
Depreciation expense | 66.1 |  |  | 16.6 |  |  | 6.1 |  |  | 3.3 |  |  | 92.1 |
Operating lease expense | 9.0 |  |  | — |  |  | — |  |  | — |  |  | 9.0 |
Other operating expense | 6.7 |  |  | 2.3 |  |  | 1.4 |  |  | 0.6 |  |  | 11.0 |
Total Expenses | 148.6 |  |  | 33.5 |  |  | 9.9 |  |  | 4.8 |  |  | 196.8 |
Other Income (Expense) |  |  |  |  |  |  |  |  |
Net gain on asset dispositions | 34.1 |  |  | 0.7 |  |  | 6.0 |  |  | 0.3 |  |  | 41.1 |
Interest expense (income), net | (44.5) |  |  | (13.5) |  |  | (6.5) |  |  | 0.8 |  |  | (63.7) |
Other (expense) income | (2.1) |  |  | (2.6) |  |  | 0.2 |  |  | (0.4) |  |  | (4.9) |
Share of affiliates' pre-tax earnings | — |  |  | — |  |  | 20.3 |  |  | — |  |  | 20.3 |
Segment profit | $ | 79.3 |  |  | $ | 27.3 |  |  | $ | 26.6 |  |  | $ | 6.0 |  |  | $ | 139.2 |
Less: |  |  |  |  |  |  |  |  |
Selling, general and administrative expense | 52.0 |
Income taxes (includes $6.3 related to affiliates' earnings) | 23.9 |
Net income | $ | 63.3 |
Net Gain on Asset Dispositions |  |  |  |  |  |  |  |  |
Asset Remarketing Income: |  |  |  |  |  |  |  |  |
Net gains on disposition of owned assets | $ | 30.7 |  |  | $ | 0.1 |  |  | $ | 5.9 |  |  | $ | 0.2 |  |  | $ | 36.9 |
Residual sharing income | 0.1 |  |  | — |  |  | 0.1 |  |  | — |  |  | 0.2 |
Non-remarketing net gains (1) | 3.3 |  |  | 0.6 |  |  | — |  |  | 0.1 |  |  | 4.0 |
| $ | 34.1 |  |  | $ | 0.7 |  |  | $ | 6.0 |  |  | $ | 0.3 |  |  | $ | 41.1 |
Capital Expenditures |  |  |  |  |  |  |  |  |
Portfolio investments and capital additions | $ | 161.3 |  |  | $ | 77.3 |  |  | $ | 239.0 |  |  | $ | 9.0 |  |  | $ | 486.6 |
Selected Balance Sheet Data at June 30, 2023 |  |  |  |  |  |
Investments in affiliated companies | $ | 0.4 |  |  | $ | — |  |  | $ | 611.3 |  |  | $ | — |  |  | $ | 611.7 |
Identifiable assets | $ | 6,680.2 |  |  | $ | 1,952.3 |  |  | $ | 1,371.6 |  |  | $ | 586.0 |  |  | $ | 10,590.1 |
_________ (1) Includes net gains (losses) from scrapping of railcars.
| Rail North America |  | Rail International |  | Portfolio Management |  | Other |  | GATX Consolidated
Three Months Ended June 30, 2022 |  |  |  |  |  |  |  |
Revenues |  |  |  |  |  |  |  |  |
Lease revenue | $ | 203.0 |  |  | $ | 66.5 |  |  | $ | 8.2 |  |  | $ | 7.2 |  |  | $ | 284.9 |
Marine operating revenue | — |  |  | — |  |  | 5.2 |  |  | — |  |  | 5.2 |
Other revenue | 18.8 |  |  | 1.9 |  |  | 0.1 |  |  | 1.8 |  |  | 22.6 |
Total Revenues | 221.8 |  |  | 68.4 |  |  | 13.5 |  |  | 9.0 |  |  | 312.7 |
Expenses |  |  |  |  |  |  |  |  |
Maintenance expense | 57.8 |  |  | 12.2 |  |  | — |  |  | 0.8 |  |  | 70.8 |
Marine operating expense | — |  |  | — |  |  | 3.9 |  |  | — |  |  | 3.9 |
Depreciation expense | 64.9 |  |  | 17.2 |  |  | 4.9 |  |  | 3.0 |  |  | 90.0 |
Operating lease expense | 9.0 |  |  | — |  |  | — |  |  | — |  |  | 9.0 |
Other operating expense | 5.9 |  |  | 2.1 |  |  | 0.6 |  |  | 0.7 |  |  | 9.3 |
Total Expenses | 137.6 |  |  | 31.5 |  |  | 9.4 |  |  | 4.5 |  |  | 183.0 |
Other Income (Expense) |  |  |  |  |  |  |  |  |
Net gain (loss) on asset dispositions | 5.1 |  |  | 1.4 |  |  | (30.8) |  |  | 0.1 |  |  | (24.2) |
Interest expense, net | (34.9) |  |  | (11.1) |  |  | (4.6) |  |  | (1.3) |  |  | (51.9) |
Other (expense) income | (1.3) |  |  | 1.1 |  |  | — |  |  | (11.1) |  |  | (11.3) |
Share of affiliates' pre-tax earnings | — |  |  | — |  |  | 15.6 |  |  | — |  |  | 15.6 |
Segment profit (loss) | $ | 53.1 |  |  | $ | 28.3 |  |  | $ | (15.7) |  |  | $ | (7.8) |  |  | $ | 57.9 |
Less: |  |  |  |  |  |  |  |  |
Selling, general and administrative expense | 47.9 |
Income taxes (includes $4.7 related to affiliates' earnings) | 7.4 |
Net income |  | $ | 2.6 |
Net Gain (Loss) on Asset Dispositions |  |  |  |  |  |  |  |  |
Asset Remarketing Income: |  |  |  |  |  |  |  |  |
Net gains on disposition of owned assets | $ | 1.2 |  |  | $ | 0.3 |  |  | $ | — |  |  | $ | 0.1 |  |  | $ | 1.6 |
Residual sharing income | 0.1 |  |  | — |  |  | 0.7 |  |  | — |  |  | 0.8 |
Non-remarketing net gains (1) | 3.8 |  |  | 1.1 |  |  | — |  |  | — |  |  | 4.9 |
Asset impairments | — |  |  | — |  |  | (31.5) |  |  | — |  |  | (31.5) |
| $ | 5.1 |  |  | $ | 1.4 |  |  | $ | (30.8) |  |  | $ | 0.1 |  |  | $ | (24.2) |
Capital Expenditures |  |  |  |  |  |  |  |  |
Portfolio investments and capital additions | $ | 253.7 |  |  | $ | 48.8 |  |  | $ | — |  |  | $ | 11.6 |  |  | $ | 314.1 |
Selected Balance Sheet Data at December 31, 2022 |  |  |  |  |  |
Investments in affiliated companies | $ | 0.8 |  |  | $ | — |  |  | $ | 574.3 |  |  | $ | — |  |  | $ | 575.1 |
Identifiable assets | $ | 6,445.7 |  |  | $ | 1,774.4 |  |  | $ | 1,106.6 |  |  | $ | 745.3 |  |  | $ | 10,072.0 |
_________ (1) Includes net gains (losses) from scrapping of railcars
| Rail North America |  | Rail International |  | Portfolio Management |  | Other |  | GATX Consolidated
Six Months Ended June 30, 2023 |  |  |  |  |  |  |  |  |
Revenues |  |  |  |  |  |  |  |  |
Lease revenue | $ | 434.0 |  |  | $ | 143.5 |  |  | $ | 16.4 |  |  | $ | 16.7 |  |  | $ | 610.6 |
Marine operating revenue | — |  |  | — |  |  | 5.5 |  |  | — |  |  | 5.5 |
Other revenue | 45.3 |  |  | 6.0 |  |  | 10.9 |  |  | 3.8 |  |  | 66.0 |
Total Revenues | 479.3 |  |  | 149.5 |  |  | 32.8 |  |  | 20.5 |  |  | 682.1 |
Expenses |  |  |  |  |  |  |  |  |
Maintenance expense | 133.7 |  |  | 30.5 |  |  | — |  |  | 2.0 |  |  | 166.2 |
Marine operating expense | — |  |  | — |  |  | 4.4 |  |  | — |  |  | 4.4 |
Depreciation expense | 131.6 |  |  | 32.3 |  |  | 11.5 |  |  | 6.5 |  |  | 181.9 |
Operating lease expense | 18.0 |  |  | — |  |  | — |  |  | — |  |  | 18.0 |
Other operating expense | 13.7 |  |  | 4.5 |  |  | 2.3 |  |  | 1.5 |  |  | 22.0 |
Total Expenses | 297.0 |  |  | 67.3 |  |  | 18.2 |  |  | 10.0 |  |  | 392.5 |
Other Income (Expense) |  |  |  |  |  |  |  |  |
Net gain on asset dispositions | 81.9 |  |  | 1.5 |  |  | 4.5 |  |  | 0.3 |  |  | 88.2 |
Interest (expense) income, net | (86.8) |  |  | (26.0) |  |  | (12.2) |  |  | 2.3 |  |  | (122.7) |
Other (expense) income | (2.5) |  |  | (6.9) |  |  | (0.3) |  |  | 0.8 |  |  | (8.9) |
Share of affiliates' pre-tax (losses) earnings | (0.4) |  |  | — |  |  | 48.3 |  |  | — |  |  | 47.9 |
Segment profit | $ | 174.5 |  |  | $ | 50.8 |  |  | $ | 54.9 |  |  | $ | 13.9 |  |  | $ | 294.1 |
Less: |  |  |  |  |  |  |  |  |
Selling, general and administrative expense | 102.4 |
Income taxes (includes $13.2 related to affiliates' earnings) | 51.0 |
Net income | $ | 140.7 |
Net Gain on Asset Dispositions |  |  |  |  |  |  |  |  |
Asset Remarketing Income: |  |  |  |  |  |  |  |  |
Net gains on disposition of owned assets | $ | 75.4 |  |  | $ | 0.5 |  |  | $ | 5.5 |  |  | $ | 0.2 |  |  | $ | 81.6 |
Residual sharing income | 0.2 |  |  | — |  |  | 0.2 |  |  | — |  |  | 0.4 |
Non-remarketing net gains (1) | 6.3 |  |  | 1.0 |  |  | — |  |  | 0.1 |  |  | 7.4 |
Asset impairments | — |  |  | — |  |  | (1.2) |  |  | — |  |  | (1.2) |
| $ | 81.9 |  |  | $ | 1.5 |  |  | $ | 4.5 |  |  | $ | 0.3 |  |  | $ | 88.2 |
Capital Expenditures |  |  |  |  |  |  |  |  |
Portfolio investments and capital additions | $ | 457.8 |  |  | $ | 158.4 |  |  | $ | 239.0 |  |  | $ | 18.4 |  |  | $ | 873.6 |
_________ (1) Includes net gains (losses) from scrapping of railcars.
| Rail North America |  | Rail International |  | Portfolio Management |  | Other |  | GATX Consolidated
Six Months Ended June 30, 2022 |  |  |  |  |  |  |  |
Revenues |  |  |  |  |  |  |  |  |
Lease revenue | $ | 403.7 |  |  | $ | 134.1 |  |  | $ | 16.5 |  |  | $ | 13.9 |  |  | $ | 568.2 |
Marine operating revenue | — |  |  | — |  |  | 11.4 |  |  | — |  |  | 11.4 |
Other revenue | 41.8 |  |  | 4.2 |  |  | 0.1 |  |  | 3.6 |  |  | 49.7 |
Total Revenues | 445.5 |  |  | 138.3 |  |  | 28.0 |  |  | 17.5 |  |  | 629.3 |
Expenses |  |  |  |  |  |  |  |  |
Maintenance expense | 117.7 |  |  | 26.2 |  |  | — |  |  | 1.5 |  |  | 145.4 |
Marine operating expense | — |  |  | — |  |  | 8.1 |  |  | — |  |  | 8.1 |
Depreciation expense | 128.4 |  |  | 35.2 |  |  | 9.9 |  |  | 6.0 |  |  | 179.5 |
Operating lease expense | 18.1 |  |  | — |  |  | — |  |  | — |  |  | 18.1 |
Other operating expense | 13.2 |  |  | 4.5 |  |  | 1.1 |  |  | 1.2 |  |  | 20.0 |
Total Expenses | 277.4 |  |  | 65.9 |  |  | 19.1 |  |  | 8.7 |  |  | 371.1 |
Other Income (Expense) |  |  |  |  |  |  |  |  |
Net gain (loss) on asset dispositions | 76.7 |  |  | 2.4 |  |  | (29.9) |  |  | 0.3 |  |  | 49.5 |
Interest expense, net | (69.3) |  |  | (22.3) |  |  | (9.3) |  |  | (2.2) |  |  | (103.1) |
Other (expense) income | (2.0) |  |  | 0.7 |  |  | (0.1) |  |  | (11.9) |  |  | (13.3) |
Share of affiliates' pre-tax earnings | — |  |  | — |  |  | 10.8 |  |  | — |  |  | 10.8 |
Segment profit (loss) | $ | 173.5 |  |  | $ | 53.2 |  |  | $ | (19.6) |  |  | $ | (5.0) |  |  | $ | 202.1 |
Less: |  |  |  |  |  |  |  |  |
Selling, general and administrative expense | 95.1 |
Income taxes (includes $3.5 related to affiliates' earnings) | 28.6 |
Net income |  | $ | 78.4 |
Net Gain (Loss) on Asset Dispositions |  |  |  |  |  |  |  |  |
Asset Remarketing Income: |  |  |  |  |  |  |  |  |
Net gains on disposition of owned assets | $ | 65.6 |  |  | $ | 0.7 |  |  | $ | — |  |  | $ | 0.2 |  |  | $ | 66.5 |
Residual sharing income | 2.1 |  |  | — |  |  | 1.6 |  |  | — |  |  | 3.7 |
Non-remarketing net gains (1) | 9.0 |  |  | 1.7 |  |  | — |  |  | 0.1 |  |  | 10.8 |
Asset impairments | — |  |  | — |  |  | (31.5) |  |  | — |  |  | (31.5) |
| $ | 76.7 |  |  | $ | 2.4 |  |  | $ | (29.9) |  |  | $ | 0.3 |  |  | $ | 49.5 |
Capital Expenditures |  |  |  |  |  |  |  |  |
Portfolio investments and capital additions | $ | 534.1 |  |  | $ | 127.7 |  |  | $ | — |  |  | $ | 22.7 |  |  | $ | 684.5 |
_________ (1) Includes net gains (losses) from scrapping of railcars.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-22 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-15 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-31 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-42 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 40 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-40 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//280/tableOfContent Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-26 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 34 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-34 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-41 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-21 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-21 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 + Details
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