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Ryder Q4 Earnings Miss Estimates, Increase Year Over Year
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Key Takeaways
Ryder's fourth-quarter 2025 EPS of $3.59 miss estimates but rose 4.1% year over year.
Revenues of $3.17B missed estimates and edged down 0.4% from last year.
For 2026, Ryder now expects adjusted EPS in the range of $13.45-$14.45.
Ryder System, Inc. (R - Free Report) ) reported disappointing fourth-quarter 2025 results wherein the company’s earnings and revenues missed the Zacks Consensus Estimate.
Quarterly earnings per share of $3.59 missed the Zacks Consensus Estimate of $3.66 but improved 4.1% year over year, reflecting share repurchases. The reported figure lies within the guided range of $3.50-$3.70.
Total revenues of $3.17 billion lagged the Zacks Consensus Estimate of $3.24 billion and fell 0.4% year over year. Operating revenues (adjusted) of $2.62 billion, up 0.4% year over year.
Ryder System, Inc. Price, Consensus and EPS Surprise
Ryder chairman and chief executive officer, Robert Sanchez, stated, ""Fourth quarter results represented our fifth consecutive quarter of earnings-per-share growth and were in line with our expectations. SCS and DTS continued to generate pre-tax earnings as a percent of operating revenue at their high single-digit target. In FMS, momentum from our lease pricing and maintenance cost savings initiatives continued to deliver solid quality of earnings despite used vehicle sales and rental market conditions.”
Segmental Results
Fleet Management Solutions: Total revenues of $1.46 billion inched down 1% year over year, reflecting lower operating and fuel revenue. Operating revenues totaled $1.29 billion, down 1% on a year-over-year basis, reflecting impact of weaker rental demand.
Supply-Chain Solutions: Total revenues of $1.38 billion inched up 3% year over year, reflecting increased operating revenues and subcontracted transportation costs passed through to customers. Operating revenues rose 3% year over year to $1.03 billion, owing tonew business and volumes in omnichannel retail.
Dedicated Transportation Solutions: Total revenues of $565 million and operating revenues of $452 million declined 8% and 4%, year over year, respectively, owing to decreased subcontracted transportation costs and lower fleet count reflecting prolonged freight market downturn.
Liquidity
Ryder exited the fourth quarter with cash and cash equivalents of $198 million compared with $189 million at the end of the prior quarter. R’s total debt (including the current portion) was $7.64 billion at the fourth-quarter end compared with $7.85 billion at the end of the prior quarter.
R’s Outlook
For 2026, Ryder now expects adjusted earnings per share in the range of $13.45-$14.45. The Zacks Consensus Estimate of $14.29 lies within the guidance.
Management anticipates total revenues to increase by 1%. Operating revenues (adjusted) are expected to increase 3%.
Adjusted ROE (return on equity) is expected to be 17-18%. Net cash from operating activities is still projected to be $2.7 billion. Adjusted free cash flow is expected to be in the range of $700 million-$800 million. Capital expenditure is still estimated to be $2.4 billion.
Delta Air Lines (DAL - Free Report) reported fourth-quarter 2025 earnings (excluding 31 cents from non-recurring items) of $1.55 per share, which beat the Zacks Consensus Estimate of $1.53. Earnings decreased 16.22% on a year-over-year basis due to high labor costs.
Revenues in the December-end quarter were $16 billion, beating the Zacks Consensus Estimate of $15.63 billion and increasing 2.9% on a year-over-year basis. Adjusted operating revenues (excluding third-party refinery sales) increased 1.2% year over year to $14.6 billion. Revenue growth was impacted by about 2 points due to the government shutdown, mainly in the domestic segment, consistent with the company's disclosure last month.
J.B. Hunt Transport Services, Inc. (JBHT) reported fourth-quarter 2025 earnings of $1.90 per share, which surpassed the Zacks Consensus Estimate of $1.81 and improved 24.2% year over year.
Total operating revenues of $3.09 billion lagged the Zacks Consensus Estimate of $3.12 billion and were down 1.6% year over year. JBHT’s fourth-quarter revenue performance was hurt by a 2% and 4% decline in revenue per load excluding fuel surcharge revenue in Intermodal (JBI) and Truckload (JBT), respectively, a 1% decrease in average trucks in Dedicated Contract Services (DCS), and a 7% and 2% decline in load volume in Integrated Capacity Solutions (ICS) and JBI, respectively. The decrease in revenue, excluding fuel surcharge revenue, was partially offset by a 15% increase in volume in JBT, a 1% uptick in productivity, excluding fuel surcharge revenue, in DCS, and an increase in revenue per load in ICS. Total operating revenue, excluding fuel surcharge revenue, decreased 2% year over year.
United Airlines Holdings, Inc. (UAL - Free Report) reported solid fourth-quarter 2025 results wherein the company’s earnings and revenues beat the Zacks Consensus Estimate.
UAL's fourth-quarter 2025 adjusted earnings per share (excluding 9 cents from non-recurring items) of $3.10 surpassed the Zacks Consensus Estimate of $2.98 but declined 4.9% on a year-over-year basis. The reported figure lies within the guided range of $3.00-$3.50.
Operating revenues of $15.4 billion outpaced the Zacks Consensus Estimate marginally by 0.1% and increased 4.8% year over year. Passenger revenues (which accounted for 90.4% of the top line) increased 4.9% year over year to $13.9 billion. UAL flights transported 45,679 passengers in the fourth quarter, up 3% year over year.
Cargo revenues fell 6% year over year to $490 million. Revenues from other sources rose 9.1% year over year to $981 million.
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Ryder Q4 Earnings Miss Estimates, Increase Year Over Year
Key Takeaways
Ryder System, Inc. (R - Free Report) ) reported disappointing fourth-quarter 2025 results wherein the company’s earnings and revenues missed the Zacks Consensus Estimate.
Quarterly earnings per share of $3.59 missed the Zacks Consensus Estimate of $3.66 but improved 4.1% year over year, reflecting share repurchases. The reported figure lies within the guided range of $3.50-$3.70.
Total revenues of $3.17 billion lagged the Zacks Consensus Estimate of $3.24 billion and fell 0.4% year over year. Operating revenues (adjusted) of $2.62 billion, up 0.4% year over year.
Ryder System, Inc. Price, Consensus and EPS Surprise
Ryder System, Inc. price-consensus-eps-surprise-chart | Ryder System, Inc. Quote
Ryder chairman and chief executive officer, Robert Sanchez, stated, ""Fourth quarter results represented our fifth consecutive quarter of earnings-per-share growth and were in line with our expectations. SCS and DTS continued to generate pre-tax earnings as a percent of operating revenue at their high single-digit target. In FMS, momentum from our lease pricing and maintenance cost savings initiatives continued to deliver solid quality of earnings despite used vehicle sales and rental market conditions.”
Segmental Results
Fleet Management Solutions: Total revenues of $1.46 billion inched down 1% year over year, reflecting lower operating and fuel revenue. Operating revenues totaled $1.29 billion, down 1% on a year-over-year basis, reflecting impact of weaker rental demand.
Supply-Chain Solutions: Total revenues of $1.38 billion inched up 3% year over year, reflecting increased operating revenues and subcontracted transportation costs passed through to customers. Operating revenues rose 3% year over year to $1.03 billion, owing tonew business and volumes in omnichannel retail.
Dedicated Transportation Solutions: Total revenues of $565 million and operating revenues of $452 million declined 8% and 4%, year over year, respectively, owing to decreased subcontracted transportation costs and lower fleet count reflecting prolonged freight market downturn.
Liquidity
Ryder exited the fourth quarter with cash and cash equivalents of $198 million compared with $189 million at the end of the prior quarter. R’s total debt (including the current portion) was $7.64 billion at the fourth-quarter end compared with $7.85 billion at the end of the prior quarter.
R’s Outlook
For 2026, Ryder now expects adjusted earnings per share in the range of $13.45-$14.45. The Zacks Consensus Estimate of $14.29 lies within the guidance.
Management anticipates total revenues to increase by 1%. Operating revenues (adjusted) are expected to increase 3%.
Adjusted ROE (return on equity) is expected to be 17-18%. Net cash from operating activities is still projected to be $2.7 billion. Adjusted free cash flow is expected to be in the range of $700 million-$800 million. Capital expenditure is still estimated to be $2.4 billion.
Currently, Ryder carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Q4 Performances of Other Transportation Companies
Delta Air Lines (DAL - Free Report) reported fourth-quarter 2025 earnings (excluding 31 cents from non-recurring items) of $1.55 per share, which beat the Zacks Consensus Estimate of $1.53. Earnings decreased 16.22% on a year-over-year basis due to high labor costs.
Revenues in the December-end quarter were $16 billion, beating the Zacks Consensus Estimate of $15.63 billion and increasing 2.9% on a year-over-year basis. Adjusted operating revenues (excluding third-party refinery sales) increased 1.2% year over year to $14.6 billion. Revenue growth was impacted by about 2 points due to the government shutdown, mainly in the domestic segment, consistent with the company's disclosure last month.
J.B. Hunt Transport Services, Inc. (JBHT) reported fourth-quarter 2025 earnings of $1.90 per share, which surpassed the Zacks Consensus Estimate of $1.81 and improved 24.2% year over year.
Total operating revenues of $3.09 billion lagged the Zacks Consensus Estimate of $3.12 billion and were down 1.6% year over year. JBHT’s fourth-quarter revenue performance was hurt by a 2% and 4% decline in revenue per load excluding fuel surcharge revenue in Intermodal (JBI) and Truckload (JBT), respectively, a 1% decrease in average trucks in Dedicated Contract Services (DCS), and a 7% and 2% decline in load volume in Integrated Capacity Solutions (ICS) and JBI, respectively. The decrease in revenue, excluding fuel surcharge revenue, was partially offset by a 15% increase in volume in JBT, a 1% uptick in productivity, excluding fuel surcharge revenue, in DCS, and an increase in revenue per load in ICS. Total operating revenue, excluding fuel surcharge revenue, decreased 2% year over year.
United Airlines Holdings, Inc. (UAL - Free Report) reported solid fourth-quarter 2025 results wherein the company’s earnings and revenues beat the Zacks Consensus Estimate.
UAL's fourth-quarter 2025 adjusted earnings per share (excluding 9 cents from non-recurring items) of $3.10 surpassed the Zacks Consensus Estimate of $2.98 but declined 4.9% on a year-over-year basis. The reported figure lies within the guided range of $3.00-$3.50.
Operating revenues of $15.4 billion outpaced the Zacks Consensus Estimate marginally by 0.1% and increased 4.8% year over year. Passenger revenues (which accounted for 90.4% of the top line) increased 4.9% year over year to $13.9 billion. UAL flights transported 45,679 passengers in the fourth quarter, up 3% year over year.
Cargo revenues fell 6% year over year to $490 million. Revenues from other sources rose 9.1% year over year to $981 million.