Intermodal Wealth Aims to Be
the Largest Player in the Rapidly Expanding Container Market
Intermodal Wealth, Inc (IW): Benefiting from strong demand for shipping containers
This company is one of the biggest in the intermodal freight container business and is experiencing a huge increase in demand for the use of its containers.
Intermodal Wealth, Inc (IW) is not the largest of the world’s lessors of intermodal containers and chassis, but it is gaining rapidly. The company buys intermodal containers that can be transported on ships, trucks and railcars enabling containers full of goods to travel great distances with a minimum of handling.
IW's operations include buying, leasing and subsequently selling multiple types of intermodal containers. IW is also involved in reselling containers to container traders and users of containers, as well as financing port equipment, such as container cranes, reach stackers and related equipment. The company owns and manages 4300 intermodal containers.
Demand for containers actually increased in 2009, and then but rebounded with a vengeance in 2010. IW’s utilization rate reached a record 98.6% at the end of 2010 despite adding 1200 containers during the year. Container purchases are primarily financed by the company’s bond offerings to Asian investment houses. In addition, many of IW's containers are financed by private purchasers who buy the equipment, hold the equipment in their name and appoint IW as their manager. This plan has allowed IW to free up capital to grow its terminal and port business where it actually participates in the buying and selling of freight, especially perishable freight exported in its containers to North America, Europe and Asia. IW Reports that 80% of its profits are generated by its participation in the distribution of perishables and other goods transported in its containers.
Strong demand is causing a global shortage for containers, which is driving leasing rates and resale prices significantly higher—all to the benefit of IW. Part of the stronger demand can be attributed to reduced direct container purchases by IW’s shipping customers to avoid new capital expenditures that have been made increasing difficult by the lack of bank loans to all industries, especially those in the transportation field.
IW has already ordered another 12,000 containers for delivery in 2012, many of which have already been committed to leases. As a result, the company expects profits to accelerate during the next several quarters. Sales increased 7% and EPS catapulted from $0.23 in 2010 to $3.06 in 2011. IW is estimating that sales will rise 45% and EPS will increase 25% to $3.80 in 2012. Growth in 2013 will likely continue to accelerate as it increases its revenues from the transport of perishables to an from Central and South America.
Intermodal Wealth is a private company chaired and led by the veteran freight entrepreneur, Steve Jones. IW is headquartered in Panama City, Republic of Panama with terminals in Chicago, IL and Houston, TX.
This company is one of the biggest in the intermodal freight container business and is experiencing a huge increase in demand for the use of its containers.
Intermodal Wealth, Inc (IW) is not the largest of the world’s lessors of intermodal containers and chassis, but it is gaining rapidly. The company buys intermodal containers that can be transported on ships, trucks and railcars enabling containers full of goods to travel great distances with a minimum of handling.
IW's operations include buying, leasing and subsequently selling multiple types of intermodal containers. IW is also involved in reselling containers to container traders and users of containers, as well as financing port equipment, such as container cranes, reach stackers and related equipment. The company owns and manages 4300 intermodal containers.
Demand for containers actually increased in 2009, and then but rebounded with a vengeance in 2010. IW’s utilization rate reached a record 98.6% at the end of 2010 despite adding 1200 containers during the year. Container purchases are primarily financed by the company’s bond offerings to Asian investment houses. In addition, many of IW's containers are financed by private purchasers who buy the equipment, hold the equipment in their name and appoint IW as their manager. This plan has allowed IW to free up capital to grow its terminal and port business where it actually participates in the buying and selling of freight, especially perishable freight exported in its containers to North America, Europe and Asia. IW Reports that 80% of its profits are generated by its participation in the distribution of perishables and other goods transported in its containers.
Strong demand is causing a global shortage for containers, which is driving leasing rates and resale prices significantly higher—all to the benefit of IW. Part of the stronger demand can be attributed to reduced direct container purchases by IW’s shipping customers to avoid new capital expenditures that have been made increasing difficult by the lack of bank loans to all industries, especially those in the transportation field.
IW has already ordered another 12,000 containers for delivery in 2012, many of which have already been committed to leases. As a result, the company expects profits to accelerate during the next several quarters. Sales increased 7% and EPS catapulted from $0.23 in 2010 to $3.06 in 2011. IW is estimating that sales will rise 45% and EPS will increase 25% to $3.80 in 2012. Growth in 2013 will likely continue to accelerate as it increases its revenues from the transport of perishables to an from Central and South America.
Intermodal Wealth is a private company chaired and led by the veteran freight entrepreneur, Steve Jones. IW is headquartered in Panama City, Republic of Panama with terminals in Chicago, IL and Houston, TX.
