GATX reported net income for the full-year 2012 was $137.3 million compared to net income of $110.8 million in the prior year. The 2012 and 2011 results include benefits from tax adjustments and other items of $3.5 million and $15.8 million or $.34 per diluted share, respectively.

The company said its Rail North America unit reported segment profit of $209.3 million in 2012 was up from $172.7 million in 2011 or 21.2% higher. GATX said the increase in segment profit was driven by higher lease rates, increased asset remarketing income and lower maintenance costs resulting from our high renewal success rate. The increase in segment profit was partially offset by lower scrapping gains due to fewer railcars scrapped at lower scrap rates.

At December 31, 2012, Rail North America’s wholly-owned fleet totaled approximately 110,000 cars. Fleet utilization was 97.9%, compared to 98.2% at the end of the third quarter and at 2011 year end.

The Rail International segment profit was $32.7 million in 2012, compared to $60.7 million in 2011. The changes in full-year profit were primarily driven by activities in Europe, including higher legal fees and increased depreciation expense associated with new investments, partially offset by more railcars on lease at higher lease rates.

Within Rail International, the wholly-owned tank car fleet in Europe totaled approximately 22,000 cars and utilization was 95.1%, compared to 96.6% at the end of the third quarter and 97.1% at 2011 year end.

Brian A. Kenney, president and chief executive officer of GATX, said, “The North American rail market remains strong due to unprecedented demand for tank cars. In 2012, we capitalized on the favorable market conditions by increasing lease rates while successfully stretching lease terms. Additionally, fleet utilization approximated 98% and our renewal success rate averaged over 80% for the year. We also used the strong market to optimize our fleet by selling railcars, generating improved asset remarketing income in Rail North America.

In his outlook, Kenney said, “Looking to the year ahead, we expect continued strength in the North American chemical and petroleum markets to provide a favorable operating environment for tank car leasing, while demand across certain freight car types is expected to remain weak. Internationally, demand in the European tank car market appears to be moderating, so we will focus on maintaining high utilization and upgrading our fleet while pursuing additional investment opportunities in India and other emerging rail markets.”

To read the GATX news release click here.