Ryder System, Inc. (NYSE:R) reported fourth-quarter results on Wednesday that slightly topped earnings expectations, but its outlook for 2026 came in below Wall Street forecasts, sending shares lower in early trading.
The logistics and transportation provider saw its stock fall 2.02% in premarket action following the announcement.
Adjusted earnings per share for the fourth quarter were $3.59, narrowly ahead of the $3.57 consensus estimate. Revenue totaled $3.2 billion, just under the $3.21 billion expected by analysts and essentially unchanged from a year earlier.
For 2026, Ryder projected earnings per share between $13.45 and $14.45, below the $14.63 analysts had anticipated, a forecast that appeared to weigh on investor sentiment.
“Ryder delivered earnings growth and another year of solid returns in 2025, reflecting the strength and resiliency of our transformed business model as well as consistent execution on strategic initiatives,” said Ryder Chairman and CEO Robert Sanchez. “We achieved an annual benefit of $100 million from our multi-year strategic initiatives, with incremental benefits expected in 2026.”
Among its business segments, Supply Chain Solutions posted a 3% increase in operating revenue, while Fleet Management Solutions and Dedicated Transportation Solutions recorded declines of 1% and 4%, respectively.
Ryder reported an adjusted return on equity of 17% for 2025, up from 16% in 2024. Free cash flow reached $946 million, a sharp improvement from $133 million the previous year.
“We expect another year of earnings growth in 2026, driven by $70M in incremental benefits from upsized strategic initiatives,” said Chief Financial Officer Cristina Gallo-Aquino, adding that the upper end of the forecast assumes no significant rebound in freight market conditions.