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Segment Information
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Segment Information Segment Information
We report our operating results in two reportable segments: (1) the Railcar Leasing and Services Group, which owns and operates a fleet of railcars and provides third-party fleet leasing, management, and administrative services; railcar maintenance and modification services; and other railcar logistics products and services; and (2) the Rail Products Group, which manufactures and sells railcars and related parts and components.
Effective January 1, 2024, the Company modified its organizational structure to better leverage our maintenance services capabilities to support lease fleet optimization and to grow our services and parts businesses. The new structure resulted in a change to our reportable segments beginning in 2024. In connection with this organizational update, we aligned the maintenance services business, which was previously reported in the Rail Products Group, to now be presented within our leasing business. This change aligns with the way in which our CODM assesses performance and allocates resources. Consequently, beginning January 1, 2024, we report our operating results in two reportable segments: (1) the Railcar Leasing and Services Group, formerly the Railcar Leasing and Management Services Group, and (2) the Rail Products Group. These changes had no impact to our previously reported consolidated results of operations, financial position, or cash flows. All prior period segment results set forth herein have been recast to reflect these changes and present results on a comparable basis.
Gains and losses from the sale of property, plant, and equipment are included in the operating profit of each respective segment. Our CODM regularly reviews the operating results of our reportable segments in order to assess performance and allocate resources. Our CODM does not consider restructuring activities when evaluating segment operating results; therefore, restructuring activities are not allocated to segment profit or loss.
Sales and related net profits ("deferred profit") from the Rail Products Group to the Leasing Group are recorded in the Rail Products Group and eliminated in consolidation. Sales between these groups are recorded at prices comparable to those charged to external customers, taking into consideration quantity, features, and production demand. Amortization of deferred profit on railcars sold to the Leasing Group is included in the operating profit of the Leasing Group, resulting in the recognition of depreciation expense based on our original manufacturing cost of the railcars. Lease portfolio sales are included in the Leasing Group, with related gains and losses computed based on the net book value of the original manufacturing cost of the railcars.
The financial information for these segments is shown in the tables below (in millions). We operate principally in North America.
Three Months Ended June 30, 2024
Railcar Leasing and Services GroupRail Products GroupEliminationsConsolidated Total
External revenue$280.5 $560.9 $— $841.4 
Intersegment revenue0.9 73.3 (74.2)— 
Total revenues$281.4 $634.2 $(74.2)$841.4 
Three Months Ended June 30, 2023
Railcar Leasing and Services GroupRail Products GroupEliminationsConsolidated Total
External revenue$267.8 $454.6 $— $722.4 
Intersegment revenue0.5 200.8 (201.3)— 
Total revenues$268.3 $655.4 $(201.3)$722.4 
Six Months Ended June 30, 2024
Railcar Leasing and Services GroupRail Products GroupEliminationsConsolidated Total
External revenue$564.8 $1,086.2 $— $1,651.0 
Intersegment revenue1.8 215.4 (217.2)— 
Total revenues$566.6 $1,301.6 $(217.2)$1,651.0 
Six Months Ended June 30, 2023
Railcar Leasing and Services GroupRail Products GroupEliminationsConsolidated Total
External revenue$500.5 $863.6 $— $1,364.1 
Intersegment revenue0.7 379.4 (380.1)— 
Total revenues$501.2 $1,243.0 $(380.1)$1,364.1 
The reconciliation of segment operating profit to consolidated net income is as follows:
 Three Months Ended
June 30,		Six Months Ended
June 30,
 2024202320242023
 (in millions)
Operating profit:
Railcar Leasing and Services Group$128.0 $116.1 $228.3 $200.7 
Rail Products Group50.4 24.3 94.2 48.4 
Segment Totals178.4 140.4 322.5 249.1 
Corporate and other(33.3)(31.6)(59.8)(57.6)
Restructuring activities, net— 1.8 — 2.2 
Eliminations(3.2)(11.5)(5.6)(25.6)
Consolidated operating profit141.9 99.1 257.1 168.1 
Other (income) expense66.7 68.2 139.2 131.9 
Provision (benefit) for income taxes17.1 7.4 28.1 (4.1)
Loss from discontinued operations, net of income taxes(1.7)(2.3)(6.0)(5.4)
Net income$56.4 $21.2 $83.8 $34.9