Slide 1: Third Quarter 2014 Earnings Conference Call
October 22, 2014 Third Quarter 2014 Earnings Conference Call Exhibit 99.2
Slide 2: Safe Harbor and Non-GAAP Financial Measures
© 2014 Ryder System, Inc. All rights reserved. Safe Harbor and Non-GAAP Financial Measures Certain statements and information included in this presentation are "forward-looking statements" under the Federal Private Securities Litigation Reform Act of 1995, including our expectations regarding earnin
Slide 3: Contents
© 2014 Ryder System, Inc. All rights reserved. Contents ► Third Quarter 2014 Results Overview ►Asset Management Update ► Earnings Forecast ► Q & A 3
Slide 4: 3rd Quarter Results Overview
© 2014 Ryder System, Inc. All rights reserved. 3rd Quarter Results Overview ► Comparable earnings per share from continuing operations were $1.63 vs. $1.46 in 3Q13 ► Earnings per diluted share from continuing operations were $1.58 in 3Q14 vs. $1.40 in 3Q13 – 3Q14 included non-operating pension costs
Slide 5: Key Financial Statistics Third Quarter
© 2014 Ryder System, Inc. All rights reserved. Key Financial Statistics 5 Third Quarter ($ Millions, Except Per Share Amounts) 2014 2013 % B/(W) Operating Revenue 1,415.9$ 1,345.0$ 5% Fuel Services and Subcontracted Transportation Revenue 271.2 289.6 (6)% Total Revenue 1,687.2$ 1,634.6$ 3% Comparabl
Slide 6: Key Financial Statistics Year-To-Date
© 2014 Ryder System, Inc. All rights reserved. Key Financial Statistics 6 Year-To-Date ($ Millions, Except Per Share Amounts) 2014 2013 % B/(W) Operating Revenue 4,131.4$ 3,925.8$ 5% Fuel Services and Subcontracted Transportation Revenue 851.0 875.8 (3)% Total Revenue 4,982.5$ 4,801.6$ 4% Comparable
Slide 7: 3rd Quarter Results Overview – FMS
© 2014 Ryder System, Inc. All rights reserved. 3rd Quarter Results Overview – FMS ► Fleet Management Solutions (FMS) operating revenue up 7% and total revenue up 4% vs. prior year – Full service lease revenue up 5% – Contract maintenance revenue up 3% – Commercial rental revenue up 11% – Contract-re
Slide 8: 3rd Quarter Results Overview – SCS
© 2014 Ryder System, Inc. All rights reserved. 3rd Quarter Results Overview – SCS 8 ► Supply Chain Solutions (SCS) operating revenue up 3% and total revenue up 1% vs. prior year due to higher volumes and new business ► SCS earnings decreased primarily due to lost business, including shutdown costs,
Slide 9: Business Segments (Third Quarter)
© 2014 Ryder System, Inc. All rights reserved. Business Segments 9 2014 2013 % B/(W) 2014 2013 % B/(W) Operating Revenue: Fleet Management Solutions 931.9$ 872.2$ 7% 1,186.9$ 1,138.2$ 4% Supply Chain Solutions 545.0 528.3 3% 617.8 610.8 1% Eliminations (60.9) (55.7) 9% (117.6) (114.4) 3% Total 1,415
Slide 10: Business Segments (Year-To-Date)
© 2014 Ryder System, Inc. All rights reserved. Business Segments 10 2014 2013 % B/(W) 2014 2013 % B/(W) Operating Revenue: Fleet Management Solutions 2,699.7$ 2,548.8$ 6% 3,503.2$ 3,359.2$ 4% Supply Chain Solutions 1,610.8 1,538.0 5% 1,842.7 1,784.4 3% Eliminations (179.1) (161.0) 11% (363.5) (342.1
Slide 11: Capital Expenditures
© 2014 Ryder System, Inc. All rights reserved. Capital Expenditures 11 2014 $ 2014 2013 O/(U) 2013 Full Service Lease 1,224$ 1,221$ 3$ Commercial Rental 391 220 172 Operating Property and Equipment 122 57 65 Gross Capital Expenditures 1,737 1,497 240 Less: Proceeds from Sales (Primarily Revenue Earn
Slide 12: Cash Flow from Continuing Operations
© 2014 Ryder System, Inc. All rights reserved. Cash Flow from Continuing Operations 2014 2013 Earnings from Continuing Operations 209$ 177$ Depreciation 770 708 Gains on Vehicle Sales, Net (97) (69) Amortization and Other Non-Cash Charges, Net 51 57 Pension Contributions (69) (45) Changes in Working
Slide 13: Debt to Equity Ratio
© 2014 Ryder System, Inc. All rights reserved. 225% 183% 203% 261% 270% 226% 237% 250% 0% 50% 100% 150% 200% 250% 300% 12/31/08 12/31/09 12/31/10 12/31/11 12/31/12 12/31/13 9/30/14 Long Term Target Midpoint Pension Impact Total Obligations to Equity Debt to Equity Ratio 13 9/30/2014 12/31/2013 9/30/
Slide 14: Contents
© 2014 Ryder System, Inc. All rights reserved. Contents ► Third Quarter 2014 Results Overview ►Asset Management Update ► Earnings Forecast ► Q & A 14
Slide 15: Global Asset Management Update
© 2014 Ryder System, Inc. All rights reserved. ► Units held for sale were 5,800 at quarter end, down from 8,200 units held for sale in the prior year ─ Sequentially from the second quarter, units held for sale decreased by 500 units ► The number of used vehicles sold in the third quarter was 5,000,
Slide 16: Contents
© 2014 Ryder System, Inc. All rights reserved. Contents ► Third Quarter 2014 Results Overview ►Asset Management Update ► Earnings Forecast ► Q & A 16
Slide 17: EPS Forecast – Continuing Operations
© 2014 Ryder System, Inc. All rights reserved. EPS Forecast – Continuing Operations 17 2014 Comparable EPS Forecast(1) $ 1.56 - 1.61 $ 5.55 - 5.60 2013 Comparable EPS(2) $ 1.35 $ 4.88 Fourth Quarter Full Year ($ Earnings Per Share) (1) 2014 Comparable EPS Forecast, a non-GAAP financial measure, for
Slide 18: Q&A
© 2014 Ryder System, Inc. All rights reserved. Q&A 18
Slide 19: Appendix
© 2014 Ryder System, Inc. All rights reserved. Appendix 19 Full Service Lease Vehicle Count Business Segment Detail Central Support Services Balance Sheet Asset Management Non-GAAP Financial Measures & Reconciliations
Slide 20: Full Service Lease (FSL) Fleet Count
© 2014 Ryder System, Inc. All rights reserved. End of Period 3Q13 4Q13 1Q14 2Q14 3Q14 FSL Fleet (as reported) 120,800 122,900 123,300 123,000 123,200 2,400 UK FSL Trailers 5,100 5,000 4,800 4,600 4,300 (800) FSL Fleet - excluding UK 115,700 117,900 118,500 118,400 118,900 3,200 Sequential Change 4Q1
Slide 21: Fleet Management Solutions (FMS) Third Quarter
© 2014 Ryder System, Inc. All rights reserved. Fleet Management Solutions (FMS) 21 2014 2013 % B/(W) Full Service Lease 575.8$ 548.3$ 5% Contract Maintenance 46.9 45.5 3% Contractual Revenue 622.7 593.9 5% Commercial Rental 234.2 210.7 11% Contract-related Maintenance 56.8 49.9 14% Other 18.1 17.7 2
Slide 22: Fleet Management Solutions (FMS) Year-To-Date
© 2014 Ryder System, Inc. All rights reserved. Fleet Management Solutions (FMS) 22 2014 2013 % B/(W) Full Service Lease 1,694.1$ 1,622.0$ 4% Contract Maintenance 136.9 136.9 - Contractual Revenue 1,831.0 1,758.9 4% Commercial Rental 646.1 580.3 11% Contract-related Maintenance 169.4 155.3 9% Other 5
Slide 23: Supply Chain Solutions (SCS) Third Quarter
© 2014 Ryder System, Inc. All rights reserved. Supply Chain Solutions (SCS) 2014 2013 % B/(W) Automotive 135.2$ 140.1$ (4)% High-Tech 91.6 85.5 7% CPG & Retail 200.5 191.1 5% Industrial & Other 117.7 111.6 5% Operating Revenue 545.0 528.3 3% Subcontracted Transportation 72.9 82.4 (12)% Total Revenue
Slide 24: Supply Chain Solutions (SCS) Year-To-Date
© 2014 Ryder System, Inc. All rights reserved. Supply Chain Solutions (SCS) 2014 2013 % B/(W) Automotive 425.1$ 433.6$ (2)% High-Tech 261.1 245.3 6% CPG & Retail 577.2 547.2 5% Industrial & Other 347.5 311.9 11% Operating Revenue 1,610.8 1,538.0 5% Subcontracted Transportation 231.9 246.4 (6)% Total
Slide 25: Central Support Services (CSS) Third Quarter
© 2014 Ryder System, Inc. All rights reserved. Central Support Services (CSS) 25 2014 2013 % B/(W) Allocated CSS Costs (1) 48.2$ 44.2$ (9)% Unallocated CSS Costs 13.6 10.1 (35)% Total CSS Costs (1) 61.8$ 54.2$ (14)% Third Quarter ($ Millions) (1) Includes the reclassification of $3.1 million in 2013
Slide 26: Central Support Services (CSS) Year-To-Date
© 2014 Ryder System, Inc. All rights reserved. Central Support Services (CSS) 26 2014 2013 % B/(W) Allocated CSS Costs (1) 142.1$ 133.2$ (7)% Unallocated CSS Costs 36.5 32.0 (14)% Total CSS Costs (1) 178.6$ 165.2$ (8)% Year-To-Date ($ Millions) (1) Includes the reclassification of $10.6 million in 2
Slide 27: Balance Sheet
© 2014 Ryder System, Inc. All rights reserved. Balance Sheet 27 September 30, December 31, 2014 2013 Cash and Cash Equivalents 75$ 62$ Other Current Assets 1,047 1,001 Revenue Earning Equipment, Net 6,853 6,491 Operating Property and Equipment, Net 692 634 Other Assets 937 916 Total Assets 9,604$ 9,
Slide 28: Asset Management Update
© 2014 Ryder System, Inc. All rights reserved. (a) U.S. only (b) Current year statistics may exclude some units due to a lag in reporting (c) Excludes early terminations where customer purchases vehicle (b)(c) Redeployments – Vehicles coming off-lease or in Rental with useful life remaining are rede
Slide 29: Non-GAAP Financial Measures
© 2014 Ryder System, Inc. All rights reserved. Non-GAAP Financial Measures 29 ► This presentation includes “non-GAAP financial measures” as defined by SEC rules. As required by SEC rules, we provide a reconciliation of each non-GAAP financial measure to the most comparable GAAP measure. Non-GAAP fin
Slide 30: Earnings and EPS from Continuing Operations Reconciliation
© 2014 Ryder System, Inc. All rights reserved. Earnings and EPS from Continuing Operations Reconciliation 3Q14 - 3Q14 - 3Q13 - 3Q13 - Earnings EPS Earnings EPS Reported 84.0$ 1.58$ 73.9$ 1.40$ Non-Operating Pension Costs 1.4 0.03 3.0 0.06 Pension settlement charges 0.8 0.01 0.8 0.01 Superstorm Sandy
Slide 31: EBT and Tax Rate from Continuing Operations Reconciliation
© 2014 Ryder System, Inc. All rights reserved. 3Q14 - 3Q14 - 3Q14 - YTD14 - YTD14 - YTD14 - EBT Tax Tax Rate EBT Tax Tax Rate Reported 129.7$ 45.8$ 35.3% 324.8$ 116.0$ 35.7% Non-operating Pension Costs 2.5 1.1 7.3 3.3 Benefit from tax law change - - - 1.8 Pension settlement charges 1.3 0.5 1.3 0.5 A
Slide 32: Adjusted Return on Capital Reconciliation
© 2014 Ryder System, Inc. All rights reserved. Adjusted Return on Capital Reconciliation 32 3Q13 3Q14 Net Earnings (1) 227$ 272$ Restructuring and Other Charges, Net and Other Items 7 3 Income Taxes 121 148 Adjusted Earnings Before Income Taxes 335 423 Adjusted Interest Expense (2) 141 143 Adjusted
Slide 33: Debt to Equity Reconciliation
© 2014 Ryder System, Inc. All rights reserved. Debt to Equity Reconciliation 33 ($ Millions) Note: Amounts may not recalculate due to rounding. 12/31/2008 Equity 12/31/2009 Equity 12/31/2010 Equity 12/31/2011 Equity 12/31/2012 Equity 12/31/2013 Equity 9/30/2014 Equity 9/30/2013 Equity Balance Sheet
Slide 34: Cash Flow Reconciliation
© 2014 Ryder System, Inc. All rights reserved. Cash Flow Reconciliation 34 ($ Millions) (1) Capital expenditures presented net of changes in accounts payable related to purchases of revenue earning equipment. (2) Free Cash Flow excludes acquisitions and changes in restricted cash. 12/31/08 12/31/09
Slide 35: © 2014 Ryder System, Inc. All rights reserved.
© 2014 Ryder System, Inc. All rights reserved.