NYSE$R

Ryder System Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Ryder reported strong Q4 2023 results driven by its balanced growth strategy in a challenging freight environment.

Ryder's Q4 2023 results showed a GAAP EPS of $2.74 compared to $4.06 in the prior year, and a comparable EPS (non-GAAP) of $2.95 compared to $3.89 in the prior year. Total revenue was $3.0 billion, slightly down from $3.1 billion in the prior year. The company's performance reflects weaker market conditions in used vehicle sales and rental, offset by improved Supply Chain Solutions results.

  • GAAP EPS from continuing operations was $2.74, compared to $4.06 in the prior year.
  • Comparable EPS (non-GAAP) from continuing operations was $2.95, compared to $3.89 in the prior year.
  • Total revenue reached $3.0 billion, a slight decrease from $3.1 billion in the prior year.
  • Operating revenue (non-GAAP) increased to $2.4 billion, up 2% year-over-year.

Headline financials

Total Revenue

$3.02B

Previous: $3.09B-2.1%
EPS (adj)

$2.95

Previous: $3.89-24.2%
Net Income

$124M

Previous: $206M-39.8%
Operating Income

$199M

Previous: $289M-31.1%
Gross Profit

$590M

Previous: $692M-14.7%

Revenue & EPS history

Ryder · Revenue · Quarterly

$3.02B

Q4 2023-2.1%vs Q4 2022
Beat estimate in 3 of 15 quarters(20%)
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 to generate ROE in the mid-teens and anticipates earnings growth in its contractual lease, dedicated, and supply chain businesses for 2024.

Tailwinds

  • Contractual lease, dedicated, and supply chain businesses are expected to deliver earnings growth.
  • All businesses remain well-positioned to benefit from the cycle upturn.
  • Expect to generate ROE in the mid-teens.
  • Operating revenue is expected to increase by approximately 13%, including recent acquisitions.
  • Net cash provided by operating activities from continuing operations of $2.4 billion.

Headwinds

  • First quarter is expected to represent the most challenging year-over-year comparison.
  • Free cash flow (non-GAAP) of negative $275 - $375 million.
  • Capital Expenditures ~$3.3B
  • Debt-to-Equity ~240%
  • Historically the first quarter has been our lowest earnings quarter

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 2023

Historical avgQ4 2023

-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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