Ryder System Q3 earnings top estimates, but shares fall 3% on weak guidance

NEW YORK - Ryder System Inc . (NYSE:R ) reported better-than-expected third quarter earnings on Thursday, but shares fell 3% after the company provided full-year guidance below analyst estimates.

The transportation and logistics company posted adjusted earnings per share of $3.44, beating the analyst consensus of $3.41. Revenue came in at $3.2 billion, slightly below expectations of $3.29 billion.

However, Ryder's full-year earnings guidance of $11.90 to $12.10 per share fell short of Wall Street's forecast of $12.13.

"Ryder's solid third-quarter performance reflects continued execution of our balanced growth strategy," said Ryder Chairman and CEO Robert Sanchez. "Earnings growth in our contractual lease, dedicated, and supply chain businesses remains the key driver of outperformance relative to prior cycles."

The company said its contractual businesses saw double-digit earnings growth, helping offset weaker conditions in used vehicle sales and rental. Rental power fleet utilization fell to 71% from 75% a year ago.

For the fourth quarter, Ryder expects earnings per share between $3.32 and $3.52. The company maintained its full-year revenue growth forecast of approximately 8%.

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Source: Investing.com