2023-07-26 09:13:22 ET
Ryder System ( NYSE: R ) bumped its forecasts higher for 2023 after reporting mixed second quarter results. Shares were little changed before the open on Wednesday.
The transportation company said comparable non-GAAP EPS for the full year is not expected at between $12.20 and $12.70 up from a previous forecast of $11.30 to $12.05. Adjusted ROE is expected at 17% to 19%, up from 16% to 18%.
Ryder's non-GAAP EPS of $3.61 beat by $0.72, while revenue of $2.88B missed by $170M for the second quarter.
"Our strong second-quarter results and increased full-year earnings guidance demonstrate the progress made on our balanced growth strategy to de-risk the business model, enhance returns and drive profitable growth," Ryder C Robert Sanchez said in a statement.
"Achieving these results against a backdrop of weakening freight conditions and declining used vehicle prices highlights the effectiveness of our transformative changes."
Sanchez noted the company has a strong balance sheet to support organic growth, pursue strategic acquisitions and return capital to shareholders.
On the downside, R reported operating revenue (non-GAAP) growth for the year forecast at 2%, down from a prior forecast of 4%, reflecting lower rental demand and volumes in the omnichannel retail vertical.
R has two Strong Buy ratings from Wall Street analysts, one Buy and four Holds.
Shares are up 11% for 2023.
More on Ryder:
- Megatrend-Oriented Growth Supports Ryder System
- Ryder Non-GAAP EPS of $3.61 beats by $0.72, revenue of $2.88B misses by $170M
- Ryder raises quarterly dividend by 14.5% to $0.71
- Seeking Alpha's quant ratings on R
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Ryder System boosts 2023 forecasts, reports mixed Q2 earnings