Slide 1: First Quarter 2008 Earnings Conference Call
First Quarter 2008 Earnings Conference Call April 23, 2008
Slide 2: Safe Harbor
Safe Harbor Certain statements and information included in this presentation are "forward-looking statements" under the Federal Private Securities Litigation Reform Act of 1995. Accordingly, these forward-looking statements should be evaluated with consideration given to the many risks and uncertain
Slide 3: Contents
Contents First Quarter 2008 Results Overview Asset Management Update Earnings Outlook Q & A
Slide 4: 1st Quarter Results Overview
1st Quarter Results Overview Earnings per diluted share were $0.96 versus $0.84 in 1Q07 Earnings above forecast due to FMS contractual revenue, commercial rental and used vehicle sales results Total revenue down 3% vs. prior year due to change from gross to net revenue reporting for a supply chain s
Slide 5: 1st Quarter Results Overview (cont'd)
1st Quarter Results Overview (cont'd) Supply Chain Solutions (SCS) total revenue down 27% vs. prior year due to change from gross to net revenue reporting for a supply chain subcontracted transportation customer SCS operating revenue up 6% vs. prior year, reflecting foreign exchange impact, higher f
Slide 6: Key Financial Statistics First Quarter
Key Financial Statistics First Quarter (1) Non-GAAP financial measure; refer to Appendix - Non-GAAP Financial Measures. (2) The Company uses operating revenue, a non-GAAP financial measure, to evaluate the operating performance of the business and as a measure of sales activity. Fuel services revenu
Slide 7: Business Segment First Quarter
Business Segment First Quarter (1) Non-GAAP financial measure; refer to Appendix - Non-GAAP Financial Measures. (2) Includes impact of net revenue reporting for certain subcontracted transportation revenue previously reported on a gross basis. (3) Our primary measure of segment financial performance
Slide 8: Capital Expenditures First Quarter
Capital Expenditures First Quarter ($ Millions)
Slide 9: Cash Flow
Cash Flow (1) Non-GAAP financial measure; refer to Appendix - Non-GAAP Financial Measures (2) Capital expenditures presented net of changes in accounts payable related to purchases of revenue earning equipment (3) Free Cash Flow excludes acquisitions and changes in restricted cash First Quarter ($ M
Slide 10: Debt to Equity Ratio
Debt to Equity Ratio Note: Includes impact of accumulated net pension related equity charge of $147 million as of 3/31/08, $148 million as of 12/31/07 and $198 million as of 3/31/07. (1) Non-GAAP financial measure. Total obligations include the present value of minimum lease payments and guaranteed
Slide 11: Contents
Contents First Quarter 2008 Results Overview Asset Management Update Earnings Outlook Q & A
Slide 12: Asset Management Update
Asset Management Update (1) (1) All information presented on this page only is for the U.S. fleet and excludes Canadian and U.K. operations (units rounded to nearest hundred). (2) Vehicles no longer earning revenue definition revised to include all units held for sale and all units that have not ear
Slide 13: Contents
Contents First Quarter 2008 Results Overview Asset Management Update Earnings Outlook Q & A
Slide 14: EPS Forecast
EPS Forecast (1) Non-GAAP financial measure. 2007 Comparable EPS excludes impact from restructuring costs in the third and fourth quarters, property gain in the third quarter and the fourth quarter tax law changes totaling a $0.03 benefit. ($ Earnings Per Share) Full year forecast increased from pri
Slide 15: Q&A
Q&A
Slide 16: Appendix
Appendix Business Segment Detail Central Support Services Balance Sheet Asset Management Financial Indicators Forecast Non-GAAP Financial Measures & Reconciliations
Slide 17: Fleet Management Solutions (FMS) First Quarter
Fleet Management Solutions (FMS) First Quarter ($ Millions) (a) The Company uses operating revenue, a non-GAAP financial measure, to evaluate the operating performance of the FMS business segment and as a measure of sales activity. Fuel services revenue, which is directly impacted by fluctuations in
Slide 18: Supply Chain Solutions (SCS) First Quarter
Supply Chain Solutions (SCS) First Quarter (a) The Company uses operating revenue, a non-GAAP financial measure, to evaluate the operating performance of the SCS business segment and as a measure of sales activity. Subcontracted transportation is deducted from total revenue to arrive at operating re
Slide 19: Dedicated Contract Carriage (DCC) First Quarter
Dedicated Contract Carriage (DCC) First Quarter (a) The Company uses operating revenue, a non-GAAP financial measure, to evaluate the operating performance of the DCC business segment and as a measure of sales activity. Subcontracted transportation is deducted from total revenue to arrive at operati
Slide 20: Central Support Services (CSS) First Quarter
Central Support Services (CSS) First Quarter ($ Millions)
Slide 21: Balance Sheet
= Balance Sheet Chiyder (S Millions) March 31, December 31, ——2008____2007_ Cash and Cash Equivalents $ 115 $ 116 Other Current Assets 1,013 1,106 Revenue Earning Equipment, Net 4,583 4,501 Operating Property and Equipment, Net 535 519 Other Assets 655 613 Total Assets $ 6,901 $ 6,855 Short-Term Deb
Slide 22: Asset Management Update
Redeployments Extensions Early Terminations Early Replacements 1QYTD03 1322 948 1374 215 1QYTD04 1356 708 1479 270 1QYTD05 883 811 1164 441 1QYTD06 966 858 1035 339 1QYTD07 779 598 924 883 1QYTD08 1086 1213 1128 307 Asset Management Update (a) (a) U.S. only (b) Excludes early terminations where cust
Slide 23: Assets Under Management
Assets Under Management (a) (a) Assets under management represent the original cost of all vehicles owned and held under lease by Ryder. (b) Excludes impact of foreign exchange movements in 2008. ($ Millions)
Slide 24: Financial Indicators Forecast
Financial Indicators Forecast (1) (1) Obligations to Equity and Assets Under Management include acquisitions. Free Cash Flow and Gross Capital Expenditures exclude acquisitions. (2) Non-GAAP financial measure; refer to Appendix - Non-GAAP Financial Measures. (3) Includes $176 million payment to the
Slide 25: Non-GAAP Financial Measures
Non-GAAP Financial Measures 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 and an explanation why management believes that presentation of t
Slide 26: Adjusted Return on Capital Reconciliation
Adjusted Return on Capital Reconciliation (1) Earnings calculated based on a 12-month rolling period. (2) Interest expense includes implied interest on off-balance sheet vehicle obligations. (3) Income taxes were calculated using the effective income tax rate for the period exclusive of benefits fro
Slide 27: Cash Flow Reconciliation
Cash Flow Reconciliation (1) The Company uses total cash generated, a non-GAAP financial measure, because management considers it to be an important measure of comparative operating performance. Management believes total cash generated provides investors with an important measure of total cash inflo
Slide 28: Cash Flow Reconciliation
Cash Flow Reconciliation (1) The Company uses total cash generated, a non-GAAP financial measure, because management considers it to be an important measure of comparative operating performance. Management believes total cash generated provides investors with an important measure of total cash inflo
Slide 29: Debt to Equity Reconciliation
Debt to Equity Reconciliation Note: In connection with adopting FIN 46 effective July 1, 2003, the Company consolidated the vehicle securitization trusts previously disclosed as off-balance sheet debt. (1) The Company uses total obligations and total obligations to equity, non-GAAP financial measure
Slide 30: Debt to Equity Reconciliation
Debt to Equity Reconciliation Note: In connection with adopting FIN 46 effective July 1, 2003, the Company consolidated the vehicle securitization trusts previously disclosed as off-balance sheet debt. (1) The Company uses total obligations and total obligations to equity, non-GAAP financial measure
Slide 31: CAyder
CAyder