Ryder System Stock Earnings Reports

Ryder delivered a solid first quarter driven by better-than-expected used vehicle results and strong contractual performance across its transformed, more asset-light portfolio. Comparable EPS rose 3% to $2.54, return on equity was 17%, and first-quarter free cash flow was $273 million. Management raised full-year 2026 comparable EPS guidance to $14.05–$14.80 (prior year $12.92), kept ROE guidance at 17%–18%, and left free cash flow guidance at $700–$800 million. Ryder reiterated a $170 million multiyear strategic initiative program (launched 2024) with $100 million realized through 2025 and $70 million of incremental benefits expected in 2026; these initiatives (lease pricing, maintenance savings, Dedicated Flex changes, SCS footprint optimization) remain the primary drivers of near-term earnings improvement. Segment highlights: Fleet Management saw improved used vehicle pricing and rental sequential seasonality returning to normal (rental utilization ~68%); Supply Chain delivered record sales but EBT was down vs. an exceptionally strong prior year; Dedicated sales activity improved but revenue and EBT remain below prior year due to lower fleet counts. Capital and liquidity: Q1 lease capex $314M; full-year capex forecast ~$2.4B (lease capex ~$1.9B); expected used-vehicle proceeds ~$500M; Ryder projects ~3-year operating cash flow + proceeds of ~$10.5B, creating incremental debt capacity (~$3.5B) and ~ $14B available for capital deployment, with ~ $4.5B (~60% of market cap) flexible deployment capacity after replacements/dividends. Leverage is within target (about 2.69x). Management remains cautious on rental upside and used-vehicle momentum, modeling only ~$10M of near-term cyclical (upturn) benefit in 2026 while estimating up to ~$250M potential benefit at a future cycle peak.