Slide 1: First Quarter 2025 Earnings Conference Call
First Quarter 2025 Earnings Conference Call April 23, 2025
Slide 2: Safe Harbor and Non-GAAP Financial Measures
Safe Harbor and Non-GAAP Financial Measures Note Regarding Forward-Looking Statements: Certain statements and information included in this presentation are "forward-looking statements" under the Federal Private Securities Litigation Reform Act of 1995, including: our forecast; our outlook; our expec
Slide 3: Contents
Contents 1Q25 Earnings Release Conference Call 2025 Highlights & Strategic Update Slides 4 - 5 1Q25 Results Slides 6 - 10 Capex, Cash Flow & Capital Allocation Slides 11 - 12 Outlook Slides 13 - 15 Appendix & Non-GAAP Financial Measures SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLU
Slide 4: Key Updates
Key Updates • Transformed business model and strategy execution are driving earnings growth Strategy Update • On track to achieve expected 2025 benefits from strategic initiatives • Secular trends, large addressable markets, and value proposition support long-term growth opportunities • Adjusted ROE
Slide 5: Higher Earnings and Return Profile Reflects Transformative Changes
Higher Earnings and Return Profile Reflects Transformative Changes Expected post-transformation returns (2025F) well above pre-transformation peak returns (2018) Note: See Appendix for reconciliations of non-GAAP financial measures, including Comparable EPS and ROE. SUPPLY CHAIN | DEDICATED TRANSPOR
Slide 6: Results Overview
Results Overview OPERATING REVENUE COMPARABLE EPS First Quarter First Quarter +2% Increase reflects prior year Reflects higher contractual $2.5B $2.6B +15% acquisition and contractual $2.46 earnings in all business $2.14 revenue growth in SCS and segments, partially offset by FMS, partially offset b
Slide 7: 1st Quarter Results Overview – FMS
1st Quarter Results Overview – FMS OPERATING REVENUE $1.3B $1.3B 1% increase driven by higher ChoiceLease revenue, partially offset by lower rental demand 1Q24 1Q25 EARNINGS BEFORE TAX (EBT) 6% decrease reflects: • Higher ChoiceLease performance driven by pricing and $100M $94M maintenance cost init
Slide 8: 1st Quarter Used Vehicle Sales Update – FMS
1st Quarter Used Vehicle Sales Update – FMS % CHANGE IN PROCEEDS • Single-digit sequential pricing declines • Tractor pricing reflects sales of aged (7)% (8)% (16)% (17)% inventory; excluding these sales, tractor vs. 1Q24 vs. 4Q24 pricing was up 3% sequentially, primarily from sleepers USED VEHICLES
Slide 9: 1st Quarter Results Overview – SCS
1st Quarter Results Overview – SCS OPERATING REVENUE $972M $1.0B 3% increase driven by new business and higher customer volumes 1Q24 1Q25 EARNINGS BEFORE TAX (EBT) $87M 35% increase reflects improved operating performance $64M from strategic initiatives and new business 1Q24 1Q25 EBT as % of 6.6% 8.
Slide 10: 1st Quarter Results Overview – DTS
1st Quarter Results Overview – DTS OPERATING REVENUE $427M $460M 8% increase reflects prior year acquisition completed February 2024 1Q24 1Q25 EARNINGS BEFORE TAX (EBT) $27M • 50% increase reflects acquisition synergies as well $18M as prior year integration costs • Results continue to benefit from
Slide 11: Capital Expenditures
Capital Expenditures LEASE RENTAL $582M $79M $78M $413M 1Q24 1Q25 1Q24 1Q25 Reduced investments due to lower sales activity Investments in line with prior year Capital FY24 FY25F Expenditures Lease Vehicles $ 2.0 $ 2.1 (billions) Rental Vehicles 0.5 0.3 Operating Property & Equipment 0.1 0.2 Gross C
Slide 12: Earnings Power Expected to Increase Capital Capacity (3-Yr Outlook)
Earnings Power Expected to Increase Capital Capacity (3-Yr Outlook) 1 Debt capacity based on 2.75x leverage (midpoint of target range) Earnings power of business expected to provide ~$4B of flexible capital deployment capacity to support growth and return capital to shareholders SUPPLY CHAIN | DEDIC
Slide 13: 2025 Outlook
2025 Outlook FULL YEAR EPS SECOND QUARTER EPS (Earnings Per Share from Continuing Operations) 2024 2025 Forecast 2024 2025 Forecast GAAP $11.06 $12.15 - $12.90 $2.83 $2.85 - $3.10 Comparable $12.00 $12.85 - $13.60 $3.00 $3.00 - $3.25 • Updated full-year 2025 comparable EPS forecast range to $12.85 -
Slide 14: Transformed Model Well-Positioned for Earnings Growth
Transformed Model Well-Positioned for Earnings Growth Strategic initiatives-based earnings growth expected in 2025 SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS © 2025 Ryder System, Inc. 14 All Rights Reserved
Slide 15: Delivering Shareholder Value
Delivering Shareholder Value Transformative changes to our business model and execution of our balanced growth strategy are enabling us to achieve long-term targets, increase business model resiliency, and outperform prior cycles Secular trends, operational expertise, and momentum from multi-year in
Slide 16: Q&A
Q&A SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 16 © 2025 Ryder System, Inc. All Rights Reserved
Slide 17: Appendix
Appendix Financial Targets Residuals Chart Comparable Segment EBITDA Cash Flow Asset Management Non-GAAP Financial Measures & Reconciliations SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS © 2025 Ryder System, Inc. 17 All Rights Reserved
Slide 18: Long Term Financial Model
Long Term Financial Model TARGET 2025 FORECAST ROE Long-term average over the cycle Low Twenties at target Reflective of cycle timing; within cycle range of Component drivers to achieve ROE target include: high-teens to mid-twenties Operating Operating Revenue Revenue Growth Growth Total Ryder High
Slide 19: Historical Sales Price as % of Original Cost & Current Residual Value Estimates
Historical Sales Price as % of Original Cost & Current Residual Value Estimates Truck Residual Index1 Tractor Residual Index1 Range Residual Estimate for Accounting Residual Estimate for Accounting RESIDUAL VALUE Accounting Residuals: Previously lowered by ~30% to address used vehicle volatility ris
Slide 20: Comparable Segment EBITDA
Comparable Segment EBITDA First Quarter ($ Millions) 2025 YTD FMS SCS DTS Earnings before income tax $ 94 $ 87 $ 27 Interest expense 94 4 2 (1) Depreciation 395 27 2 (1) Used vehicle sales, net (9) — — Comparable Segment EBITDA (2) $ 574 $ 118 $ 31 2024 YTD FMS SCS DTS Earnings before income tax $ 1
Slide 21: Cash Flow
Cash Flow OPERATING CASH FLOW AND FREE CASH FLOW HISTORY FREE CASH FLOW SUMMARY (billions) (billions) Operating Cash Flow Free Cash Flow 2024 2025F(1) Cash Flow from Operations $ 2.3 $ 2.5 Proceeds from Sales (Primarily Revenue Earning $2.3B $2.4B $2.3B $2.5B Equipment) 0.6 0.5 $2.2B Total Cash Gene
Slide 22: Asset Management
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS © 2025 Ryder System, Inc. 22 All Rights Reserved
Slide 23: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation includes “non-GAAP financial measures” as defined by SEC rules. As required by SEC rules, we provide a reconciliation of each non-GAAP financial measure to the most comparable GAAP measure. Non-GAAP financial measures should be considered in addition to,
Slide 24: Fleet Management Solutions (FMS)
Fleet Management Solutions (FMS) ($ Millions) First Quarter Revenue 2025 2024 % B/(W) ChoiceLease $ 867 $ 842 3% Commercial rental 219 231 (5)% SelectCare and other 174 178 (2)% FMS operating revenue (1) 1,260 1,251 1% Fuel services revenue (2) 187 204 (8)% FMS total revenue $ 1,447 $ 1,455 (1)% Ear
Slide 25: Supply Chain Solutions (SCS)
Supply Chain Solutions (SCS) First Quarter ($ Millions) Revenue 2025 2024 % B/(W) Omnichannel retail $ 305 $ 291 5% Automotive 271 269 1% Consumer packaged goods 294 281 5% Industrial and other 130 131 —% SCS operating revenue (1) 1,000 972 3% Subcontracted transportation and fuel 331 330 —% SCS tot
Slide 26: Dedicated Transportation Solutions (DTS)
Dedicated Transportation Solutions (DTS) First Quarter ($ Millions) Revenue 2025 2024 % B/(W) (1) DTS Operating Revenue $ 460 $ 427 8% Subcontracted transportation and fuel 142 136 4% DTS Total Revenue $ 602 $ 563 7% Earnings Before Tax DTS Earnings Before Tax (EBT) $ 27 $ 18 50% DTS EBT as a % of D
Slide 27: Total Revenue to Operating Revenue Reconciliation
Total Revenue to Operating Revenue Reconciliation ($ Millions) First Quarter 2025 2024 Total Revenue $ 3,131 $ 3,098 Subcontracted Transportation and Fuel (574) (603) (1) Operating Revenue $ 2,557 $ 2,495 Year-to-Date Note: Amounts may not be additive due to rounding. (1) Non-GAAP financial measure.
Slide 28: Earnings and EPS from Continuing Operations Reconciliation
Earnings and EPS from Continuing Operations Reconciliation ($ Millions, Except Per Share Amounts) 1Q25 1Q25 1Q24 1Q24 Earnings EPS Earnings EPS Continuing operations (GAAP) $ 98 $ 2.29 $ 85 $ 1.89 Non-operating pension costs, net 7 0.17 7 0.17 Acquisition costs — — 4 0.09 Other, net 1 — — (0.01) Com
Slide 29: Comparable EPS Reconciliation
Comparable EPS Reconciliation Second Quarter 2025 Full Year 2025 Forecast Forecast EPS from continuing operations forecast (GAAP) $2.85 - $3.10 $12.15 - $12.90 Non-operating pension costs, net 0.15 0.70 Comparable EPS from continuing operations forecast (non-GAAP) $3.00 - $3.25 $12.85 - $13.60 Secon
Slide 30: Adjusted Return on Equity Reconciliation
Adjusted Return on Equity Reconciliation (1) Twelve months ended March 31, ($ Millions) 2018 2024 2025 2025 Forecast Net earnings $ 285 $ 351 $ 502 $ 525 Other items impacting comparability, net 22 193 8 — Tax impact (1) 1 (11) (1) — Adjusted net earnings [A] $ 308 $ 533 $ 509 $ 525 Average sharehol
Slide 31: Free Cash Flow Reconciliation
Free Cash Flow Reconciliation ($ Millions) Three months ended March 31, 2024 2025 Cash Provided by Operating Activities from Continuing Operations $ 526 $ 651 Proceeds from Sales (Primarily Revenue Earning Equipment)(1) 173 122 Total Cash Generated (2) 699 773 Purchases of Property and Revenue Earni
Slide 32: Cash Flow Reconciliation
Cash Flow Reconciliation ($ Millions) 2020 2021 2022 2023 2024 2025 Forecast (4) Net Cash Provided by Operating Activities from Continuing Operations $ 2,181 $ 2,175 $ 2,310 $ 2,353 $ 2,265 $ 2,500 Proceeds from Sales (Primarily Revenue Earning Equipment) (1) 552 822 1,235 827 551 500 Other, net (1)