Ryder System Q3 Revenues Fall, Despite Exceeding Earnings Estimates and Announcing Share Repurchase Programs

Q3 Revenue Marks 4% Year-on-Year Decline to $2.924 Billion, Missing Analyst Expectations, Amidst Challenging Freight Environment

Ryder System's Q3 FY23 revenue declined by 4% YoY, falling short of the analysts' consensus projections by nearly $61 million, leading to a decrease in shares with major revenue decline in Fleet Management Solutions.
The company reported an adjusted EPS of $3.58 in Q3, surpassing the analysts' consensus of $3.22, indicating a strong financial position despite lower revenues.
Ryder System announced two new share repurchase programs, authorizing up to 4 million shares of common stock, in a move expected to boost shareholder returns.
Despite the challenging economic environment, the company's strong Q3 performance led to increased 2023 earnings guidance, with a year-end adjusted EPS outlook raised to a range of $12.60-$12.85 from the previous range of $12.20-$12.70.
Ryder’s Q4 outlook forecasts adjusted EPS range of $2.60 - $2.85 which is lower than the consensus of $2.93, reflecting caution due to prevailing market uncertainties.