GATX CORP

We generate a significant amount of cash from operating activities and investment portfolio proceeds. We also access domestic and international capital markets by issuing debt. We use these resources, along with available cash balances, to fulfill our debt, lease, and dividend obligations, to support our share repurchase programs, and to fund portfolio investments and capital additions. We primarily use cash from operations to fund daily operations. The timing of asset dispositions and changes in working capital impact cash flows from portfolio proceeds and operations. As a result, these cash flow components may vary materially from quarter to quarter and year to year.

As of March 31, 2026, we had an unrestricted cash balance of $740.9 million. We also have a $632 million, 5-year unsecured revolving credit facility in the United States that matures in 2030 and a $368 million, 3-year unsecured revolving credit facility in the United States that matures in 2028, both of which were fully available as of March 31, 2026. In addition, we have a €250 million, 3-year unsecured revolving credit facility in Europe that matures in 2027, of which €210 million was available as of March 31, 2026. At GABX, we have a $250 million 5-year unsecured revolving credit facility in the United States that matures in 2030, all of which was fully available as of March 31, 2026.

The following table shows our cash flows from operating, investing, and financing activities for the three months ended March 31 (in millions):

Net Cash Provided by Operating Activities

Net cash provided by operating activities for the three months ended March 31, 2026 increased $74.9 million compared to the same period in 2025. Comparability among reporting periods is impacted by the timing of changes in working capital items. Specifically, higher cash receipts from revenue and lower payments for operating leases were partially offset by higher payments for interest, income taxes, maintenance, and other operating expenses.

Net Cash Used in Investing Activities

The following table shows our principal sources and uses of cash flows from investing activities for the three months ended March 31 (in millions):

(1) Portfolio investments and capital additions primarily consist of purchases of operating assets and capitalized asset improvements. See the discussions of segment operating results sections in this Item for more detail.

(2) Portfolio proceeds primarily consist of proceeds from sales of operating assets.

(3) In 2026, we purchased 187 railcars that were previously on operating leases, compared to 802 railcars in 2025.

(4) Proceeds from sales of other assets were primarily related to railcar scrapping.

The increase in portfolio investments and capital additions of $4,223.7 million for the three months ended March 31, 2026 was primarily due to the acquisition of railcars and locomotives from Wells Fargo and the cost of other railcars acquired at Rail North America, partially offset by fewer railcars acquired at GRE. The timing of investments depends on purchase commitments, transaction opportunities, and market conditions.

Portfolio proceeds increased by $84.1 million for the three months ended March 31, 2026, primarily due to more railcars sold at Rail North America.

Net Cash Provided by Financing Activities

The following table shows our principal sources and uses of cash flows provided by financing activities for the three months ended March 31 (in millions):

(1) In the three months ended March 31, 2026, we repurchased 21,587 shares of common stock for $3.8 million. In the three months ended March 31, 2025, we repurchased 12,046 shares of common stock for $1.9 million. See Part II, Item 2 of this Quarterly Report on Form 10-Q for more information on share repurchases.

The following table shows the activity on our long-term debt principal in the three months ended March 31, 2026 (in millions):

(1) Issuances include $1,000.0 million at GABX. The cash proceeds were used for partial prepayment of the outstanding GABX term loan.

(2) Denominated in euros, but presented in U.S. dollars in this table.

(3) Denominated in Indian rupees, but presented in U.S. dollars in this table.

The following provides detail of the long-term debt issued in the three months ended March 31, 2026:

U.S. debt

•$500.0 million of 5-year unsecured 4.63% fixed rate debt at GABX, which is guaranteed by GATX.

•$500.0 million of 10-year unsecured 5.30% fixed rate debt at GABX, which is guaranteed by GATX.