NYSE$R

Ryder System Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Ryder's Q3 2022 earnings reflect growth in all three business segments, driven by strong performance in used vehicle sales and rental, as well as pricing adjustments and new business in supply chain and dedicated transportation solutions.

Ryder reported record third-quarter earnings, with total revenue of $3.0 billion, up 23% year-over-year, and GAAP EPS from continuing operations of $4.82, compared to $2.58 in the prior year. The company's strong performance was driven by growth in all three business segments and benefits from initiatives to increase long-term returns.

  • Total revenue increased by 23% and operating revenue increased by 18%, reflecting organic revenue growth in all business segments and SCS acquisitions.
  • GAAP EPS from continuing operations was $4.82, compared to $2.58 in the prior year.
  • The company increased its full-year 2022 GAAP EPS forecast to $16.40 - $16.60 from $14.45 - $14.95.
  • Ryder completed its $300 million accelerated share repurchase program in September 2022.

Headline financials

Total Revenue

$3.04B

Previous: $2.46B+23.4%
EPS (adj)

$4.45

Previous: $2.55+74.5%
Rental Utilization - Power

83.2%

Previous: 82.8%+0.5%
SelectCare Avg Fleet

55.8K

Previous: 53.9K+3.5%
Free Cash Flow

$246M

Previous: $138M+78.2%
Net Income

$246M

Previous: $138M+78.2%
Operating Income

$2.71B

Previous: $2.21B+22.6%
Gross Profit

$3.04B

Previous: $2.46B+23.4%
Cash & Equivalents

$456M

Previous: $203M+125.1%
Total Assets

$14.5B

Previous: $12.9B+12.4%

Revenue & EPS history

Ryder · Revenue · Quarterly

$3.04B

Q3 2022+23.4%vs Q3 2021
Beat estimate in 3 of 15 quarters(20%)
ActualEstimate

Revenue by segment

Ryder · $3.24B total across 6 segments · Q3 2022

  • Supply Chain Solutions
    $1.21B+50.4%
  • ChoiceLease
    $791M-1.1%
  • Dedicated Transportation
    $454M+19.4%
  • Commercial Rental
    $350M+16.3%
  • Fuel Services
    $279M+47.6%
  • SelectCare & Other
    $163M+10.2%

Forward guidance

Ryder has increased its 2022 ROE and comparable EPS forecasts to reflect improved rental and used vehicle sales performance and remains confident in its outlook for continued strong core earnings. The company has increased its most recent free cash flow forecast for full year 2022 to $800 - $900 million due to higher proceeds from used vehicle sales.

Tailwinds

  • Total Revenue Growth ~23%
  • Operating Revenue Growth (non-GAAP) ~18%
  • FY22 GAAP EPS $16.40 - $16.60
  • FY22 Comparable EPS (non-GAAP) $15.65 - $15.85
  • ROE 26% - 27%

Headwinds

  • 4Q22 GAAP EPS $3.53 - $3.73
  • 4Q22 Comparable EPS (non-GAAP) $3.18 - $3.38
  • Net Cash from Operating Activities from Continuing Operations ~$2.3B
  • Free Cash Flow (non-GAAP) $800M - $900M
  • ROE —

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-0.5%

Avg return

Earnings day

-1.6%

Avg return

5 days after

+0.5%

Avg return

30 days after

52%

36 / 69 earnings

Positive

+15.3%

Q1 2020

Best reaction

-20.1%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.7%+8.8%+7.1%
Q4 2025+2.4%+0.7%-11.4%
Q3 2025-12.2%-7.6%-8.0%
Q2 2025-0.8%-1.2%+2.1%
Q1 2025-1.9%+0.1%+8.2%
Q4 2024+3.0%+5.2%-11.1%
Q3 2024-3.6%+0.1%+14.2%
Q2 2024+1.8%+7.3%+9.5%
Q1 2024+12.1%+11.9%+10.5%
Q4 2023-7.6%-9.5%-5.2%
Q3 2023-4.9%-3.0%+9.8%
Q2 2023+8.4%+11.3%+5.6%
Q1 2023-6.4%-3.8%-4.1%
Q4 2022+1.9%+1.8%-14.2%
Q3 2022+9.9%+7.9%+28.7%
Q2 2022+4.4%+4.3%+8.4%
Q1 2022+4.4%+4.5%+17.9%
Q4 2021+2.7%+2.8%+10.1%
Q3 2021-4.8%-5.0%-6.2%
Q2 2021+4.5%+2.5%+9.9%
Q1 2021+6.7%+4.5%+6.5%
Q4 2020-6.2%-7.5%+11.9%
Q3 2020+1.4%-1.2%+21.0%
Q2 2020-10.8%-14.4%-1.3%
Q1 2020+15.3%+6.8%+11.6%
Q4 2019-20.1%-23.4%-38.5%
Q3 2019-12.1%-8.9%-3.3%
Q2 2019-10.2%-15.9%-19.3%
Q1 2019-7.5%-2.8%-20.2%
Q4 2018+6.5%+5.8%+0.7%
Q3 2018-10.3%-9.3%-12.1%
Q2 2018+7.3%+5.0%+6.3%
Q1 2018-9.1%-9.3%-6.9%
Q4 2017-11.4%-11.8%-11.3%
Q3 2017-1.7%+1.6%-6.5%
Q2 2017-0.5%-1.1%+1.0%
Q1 2017-14.1%-14.3%-15.7%
Q4 2016-4.9%-4.5%-1.3%
Q3 2016+5.6%+5.2%+22.9%
Q2 2016-5.9%-6.6%-8.0%
Q1 2016+9.5%
Q4 2015-5.0%
Q3 2015-2.3%
Q2 2015-5.8%
Q1 2015+2.9%
Q4 2014+5.3%
Q3 2014-3.2%
Q2 2014+1.3%
Q1 2014+2.1%
Q4 2013+0.1%
Q3 2013+3.7%
Q2 2013-2.2%
Q1 2013-0.6%
Q4 2012+6.7%
Q3 2012+2.7%
Q2 2012+8.2%
Q1 2012+1.2%
Q4 2008+0.4%
Q4 2011+0.4%
Q3 2011+9.5%
Q4 2010-0.9%
Q2 2011-0.9%
Q1 2010+6.2%
Q1 2011+1.0%
Q3 2009-2.7%
Q3 2010-2.7%
Q4 2009+0.6%
Q2 2009+0.6%
Q2 2010+0.6%

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