Ryder comparable EPS rises 21%, beats third-quarter estimates
Key Facts
Ryder reported comparable earnings per share from continuing operations of $4.33 in the third quarter of 2026, up 21% from the same period a year earlier, beating analyst estimates and management guidance. According to its official earnings release, the improvement reflected the execution of strategic initiatives and stronger used vehicle sales and rental operations. Analysts had estimated earnings of $4.15 per share ahead of the release, according to an earnings forecast table published by Kiplinger. The result also exceeded the upper end of Ryder's third-quarter guidance range of $4.00 to $4.20 per share, set when it reported second-quarter results. On a GAAP basis, earnings per share from continuing operations were $4.16, up 25% year on year. The company thus recorded earnings per share growth on both a GAAP and comparable basis, with the $4.33 figure remaining a non-GAAP measure.
Growth extended to revenue, with Ryder reporting total revenue of about $3.4 billion in the third quarter, according to its release. Revenue rose across all business segments alongside the improvement the company reported in operating results. Operating revenue, a non-GAAP measure, was about $2.8 billion for the same period. The company attributed the performance to growth in its contractual businesses in supply chain solutions and fleet management. In discussing operating drivers, management cited improvements in "used vehicle sales and rental," alongside the execution of strategic initiatives. It added that used vehicle prices and sales volumes exceeded its expectations, with improvements in both pricing and volume in that business.
Ryder provides logistics and outsourced transportation services in the United States, Canada and Mexico, according to the company's investor relations page. That geographic footprint links its business to transportation and supply chain activity in North America. Two upgrades of the stock to buy preceded the earnings release, according to a report published by Investing.com on the eve of the announcement. JPMorgan raised its rating to buy on October 5, 2026, followed by Citi on October 8. Both rating changes came before the third-quarter results and during the same month in which the company reported its actual performance and revised outlook for the rest of the year.
For the full year, Ryder raised its 2026 non-GAAP comparable earnings per share forecast to a range of $14.85 to $15.05, according to its third-quarter earnings release. The company had set the range at $14.40 to $14.80 when it reported second-quarter results. The revision puts the low end of the new forecast above the high end of the previous range, after third-quarter earnings exceeded management's estimates for that quarter. The higher outlook also included adjusted return on equity, which the company now expects to be between 18% and 19% for the full year. The annual forecast revisions thus covered both earnings per share and return on equity, alongside the changes the company announced to its rental fleet investment plans.
Ryder raised planned annual investment in its rental fleet to $500 million in 2026, an increase of $300 million from its previous estimate. The company said the additional investment was in preparation for an expected increase in rental demand. Meanwhile, it left its full-year free cash flow forecast unchanged at a range of $700 million to $800 million. The range was maintained alongside the increase in planned fleet investment allocations and the upward revision to annual earnings forecasts. For the fourth quarter of 2026, Ryder expects non-GAAP comparable earnings per share of between $4.25 and $4.45. That estimate forms part of the guidance the company announced for the remainder of the year following the release of its third-quarter results.