NYSE$R

Ryder System Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Reported significantly improved results in Fleet Management Solutions (FMS).

Ryder System, Inc. reported record fourth-quarter and full-year comparable earnings, driven by strong FMS results. The company generated a record ROE of 20.9% for the full year, reflecting strong demand and pricing in used vehicle sales and rental. Ryder intends to enter into a $300 million accelerated share repurchase program.

  • GAAP EPS from continuing operations was $3.36, compared to $0.48 in the prior year.
  • Comparable EPS (non-GAAP) from continuing operations was $3.52, compared to $0.83 in the prior year.
  • Total revenue reached $2.6 billion, up 17% year-over-year.
  • Operating revenue (non-GAAP) increased by 14% to $2.1 billion.

Headline financials

Total Revenue

$2.6B

Previous: $2.21B+17.5%
EPS (adj)

$3.52

Previous: $0.83+324.1%
Rental Utilization - Power

85.2%

Previous: 79.1%+7.7%
Net Income

$181M

Previous: $25.6M+607.4%
Operating Income

$236M

Previous: $23.3M+911.2%
Gross Profit

$499M

Previous: $392M+27.2%
Cash & Equivalents

$234M

Previous: $151M+54.7%
Total Assets

$13.8B

Previous: $12.9B+7.0%

Revenue & EPS history

Ryder · Revenue · Quarterly

$2.6B

Q4 2021+17.5%vs Q4 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Ryder · $3.07B total across 6 segments · Q1 2023

  • Supply Chain Solutions
    $1.2B+10.3%
  • ChoiceLease
    $776M
  • Dedicated Transportation
    $454M+6.8%
  • Commercial Rental
    $304M
  • SelectCare & Other
    $182M
  • Fuel Services
    $152M

Forward guidance

Ryder expects a strong used vehicle sales and rental environment to continue in 2022, slowly moderating in the second half of the year. The company plans to continue to benefit from its lease pricing initiative and expects its supply chain and dedicated businesses to achieve their high single-digit earnings targets in the second half of the year.

Tailwinds

  • Total revenue growth of approximately 10%.
  • Operating revenue growth (non-GAAP) of approximately 10%.
  • GAAP EPS forecast of $10.40 - $11.40.
  • Comparable EPS (non-GAAP) forecast of $11.00 - $12.00.
  • Net cash provided by operating activities from continuing operations forecast of approximately $2.3 billion.

Headwinds

  • Free cash flow (non-GAAP) forecast of $200 million - $300 million.
  • Capital expenditures of $2.7 billion - $2.8 billion.
  • Debt-to-equity of approximately 220%.
  • Tax rate in the high 20's.
  • Labor shortages and wage increases as well as automotive supply chain disruptions

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 Q4 2021

Historical avgQ4 2021

-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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