Ryder System (R) Q1 2026 earnings summary

Executive summary

• Achieved sixth consecutive quarter of comparable EPS growth, with Q1 comparable EPS up 3% year-over-year to $2.54, aided by share repurchases and strong used vehicle sales in Fleet Management Solutions.

• Total revenue was $3.1 billion, flat year-over-year, while operating revenue increased 1% to $2.6 billion, driven by new business in Supply Chain Solutions and offset by lower Dedicated Transportation Solutions fleet count.

• ROE held steady at 17%, reflecting business model resilience during a freight cycle downturn.

• Over 90% of revenue generated from long-term contracts, supporting business model resilience.

• Strategic initiatives are on track to deliver $70 million in incremental benefits in 2026.

Financial highlights

• Comparable EPS for Q1: $2.54, up 3% year-over-year; diluted EPS from continuing operations up 2% to $2.34.

• Operating revenue reached $2.6 billion, up 1% year-over-year; total revenue was $3.1 billion, flat year-over-year.

• Free cash flow increased to $273 million from $259 million, primarily due to reduced capital expenditures.

• Return on equity at 17%, consistent with prior year.

• Debt-to-equity ratio increased to 269%, within the long-term target range.

Outlook and guidance

• Full-year 2026 comparable EPS forecast raised to $14.05–$14.80, up from prior guidance.

• 2026 ROE forecast unchanged at 17%–18%; free cash flow forecast of $700–$800 million.

• Second quarter comparable EPS forecasted at $3.50–$3.75; GAAP EPS guidance $3.20–$3.45.

• Operating revenue growth forecast remains at 3%, primarily driven by SCS.

• Expect $70 million in incremental benefits from strategic initiatives in 2026.