The following is a summary of the Ryder System, Inc. (R) Q1 2024 Earnings Call Transcript:
Financial Performance:
Ryder System reported Q1 operating revenue of $2.5 billion, up 6% from the prior year.
Earnings per share were $2.14 in Q1, a decrease from $2.81 in the prior year due to weaker market conditions in used vehicle sales and rental.
The full year 2024 forecast for free cash flow has been revised from negative $275 million to $375 million to a slightly better negative $175 million to $275 million.
Fleet Management Solutions operating revenue saw a decrease of 1%, affected by low rental demand, partially offset by higher ChoiceLease revenue.
The full year 2024 earnings per share forecast range has been raised to $11.75 to $12.50.
Operating cash flow for 2024's full year forecast remains at $2.4 billion.
Business Progress:
Recent acquisitions, including Cardinal Logistics and Impact Fulfillment Services, have enhanced Ryder System's profitability growth.
The company is focused on benefiting from the cycle upturn with opportunities to increase demand in rental and used vehicle sales as freight conditions improve.
Ryder System continues to invest in organic growth and strategic acquisitions.
The company plans to grow the rental fleet in anticipation of a cyclical upturn.
Preparations are underway for a potential pre-buy market surge in 2025 and 2026 after a cyclical downturn. It expects improvements in the auto sector and industrial volume with smaller benefits expected in the e-commerce omnichannel market.
More details: Ryder System IR
Tips: This article is generated by AI. The accuracy of the content can not be fully guaranteed. For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.