Ryder System has raised its full-year earnings outlook after reporting higher second-quarter revenue and earnings, supported by growth in its fleet management and supply chain businesses.
The company reported GAAP earnings per share (EPS) from continuing operations of US$3.40, up 8% year-on-year. Comparable EPS increased 12% to US$3.73. Total revenue rose 5% to US$3.3 billion, while operating revenue increased 3% to US$2.7 billion.
Ryder has increased its full-year comparable EPS guidance to US$14.40–14.80, up from its previous forecast, while maintaining its expectation of 3% operating revenue growth. The company also reaffirmed its forecast of US$2.7 billion in operating cash flow and US$700–800 million in free cash flow.
The Fleet Management Solutions (FMS) business recorded the strongest earnings growth. Revenue increased 6% to US$1.56 billion, while earnings before tax jumped 20% to US$150 million, supported by contractual business growth and stronger used vehicle sales.
Supply Chain Solutions (SCS) generated revenue of US$1.47 billion, up 8% year-on-year. Earnings before tax declined 7% to US$92 million, reflecting weaker automotive activity despite new business wins.
Revenue in Dedicated Transportation Solutions (DTS) slipped 1% to US$600 million, while earnings before tax fell 4% to US$36 million due to a lower fleet count and higher insurance costs.
Ryder said improving freight market conditions, stronger contractual sales activity and higher-than-expected used vehicle demand supported its decision to raise the full-year outlook.
