FX.co ★ Ryder System Boosts FY24 Earnings Outlook As Q1 Results Top Estimates

Ryder System, Inc. announced its financial results for the first quarter on Tuesday. Despite a growth in revenue, the logistics and transportation company experienced a drop in net earnings. As part of its summary report, the company revised its financial guidance for the full year of 2024 and provided an outlook for the second quarter.

For the financial year 2024, Ryder System now projects earnings to range from $10.95 to $11.70 per share. It expects comparable earnings to fall between $11.75 and $12.50 per share. This estimate is based on an anticipated total revenue growth of approximately 10 percent and identical growth in operating revenue.

This is a notable update from the company's earlier forecast, which predicted a larger earnings range, from $10.70 to $11.70 per share, and comparable earnings within the range of $11.50 to $12.50 per share. The previous forecast also anticipated a higher total and operating revenue growth of around 13 percent.

According to analysts surveyed by Thomson Reuters, they predict that Ryder System will achieve earnings of $11.69 per share, with a revenue growth of 10.80 percent equating to $13.05 billion for the year. It should be noted that these estimates usually exclude unique or special items.

Looking ahead to the second quarter, Ryder System incurs earnings to range from $2.58 to $2.78 per share and comparable earnings to range from $2.75 to $2.95 per share. For comparison, analysts on Wall Street are estimating earnings of $3.66 per share for the same period.

Reflecting on the first quarter results, Ryder's net earnings totaled $85 million, or $1.89 per share. This is a decrease from the previous year's first quarter results, which showed earnings of $139 million or $2.94 per share.

Subtracting special items, the comparable earnings from the company's continuing operation were $2.14 per share, compared to $2.81 per share in the same quarter of the previous year.

As for the first quarter revenue, it amounted to $3.10 billion, an increase from the same quarter last year which saw $2.95 billion. This surpassed analysts' estimates, who expected earnings of $1.71 per share on revenues of $3.06 billion for the quarter.