Ryder System reported second quarter 2026 results, marking its seventh consecutive quarter of comparable earnings per share growth. Chief executive officer John Diez attributed the performance to consistent execution of strategic initiatives and improving used vehicle market conditions. The company remains on track to achieve $70 million in benefits from strategic initiatives during 2026. Fleet Management Solutions saw earnings growth driven by strong contractual business performance and better used vehicle sales results, with used truck and tractor pricing increasing 6% and 3%, respectively, from the prior year. Ryder generated $1.3 billion in net cash from operating activities and $684 million in free cash flow. The company maintained a debt-to-equity ratio of 259%, within its long-term target range of 250% to 300%. Since 2021, Ryder has repurchased 26% of shares outstanding and increased its quarterly dividend by 74%.

Ryder reported first-quarter results bolstered by strong used tractor sales, which rose 6% year-on-year despite a 5% decline in truck pricing. The company sold 9,500 vehicles in the quarter, matching the prior year's volume, with tractor sales offsetting weaker truck performance. Non-GAAP earnings per share of $2.54 beat consensus forecasts by 27 cents, whilst revenue of $3.13 billion came in $10 million short of expectations. GAAP net earnings rose to $2.33 per share from $2.27 a year earlier, and free cash flow increased to $273 million from $259 million. Performance varied across segments. Fleet Management Solutions saw revenue rise 1% to $1.46 billion, whilst Supply Chain Systems revenue grew 2% to $1.36 billion but earnings before taxes fell 17%. Dedicated Transportation Services declined 8% to $553 million.

Ryder, a commercial rental vehicle and delivery company, will report Q1 earnings on Thursday before the market opens. The company missed revenue expectations last quarter, reporting $3.18 billion in revenues, flat year on year. For the upcoming quarter, analysts expect Ryder's revenue to remain flat year on year, down from the 1.1% growth recorded in the same quarter last year. Most analysts covering the company have reconfirmed their estimates over the past 30 days. Ryder's share price has risen 16.4% over the last month, outperforming the transportation and logistics segment's average gain of 11.2%. The stock currently trades at $231.04, slightly above the average analyst price target of $228.56.