Ryder has reported its financial results for the three months ended September 30, 2021, with a reported a revenue of $2.6bn, a growth of 14.3% year-on-year. Comparable EBITDA for the company was $625m, growing 2.2% compared to Q3 of the previous year.
In the Fleet Management Solutions (FMS) segment, total revenue was $1.4bn, a 10.7% growth year-on-year in Q3. Ryder stated that this was primarily due to higher rental revenue driven by strong demand and higher pricing, and in changes in fuel pricing.
In the Supply Chain Solutions (SCS) segment, total revenue was $802m, growing 17.1% year-on-year in Q3. Ryder stated that SCS total revenue increased due to strong revenue growth in most industry verticals. SCS operating revenue increased due to new business, increased volumes, and higher pricing; however, it was partially offset by the impact from supply chain disruptions on automotive production.
In the Dedicated Transportation Solutions (DTS) segment, total revenue was reported at $380m, growing 26.7% year-on-year in Q3. Ryder states that DTS revenue increased due to new business, higher volumes, and increased pricing. Revenue growth from new business was driven by wins from competitors and private fleet conversions.
Commenting on the company’s results and outlook, Ryder Chairman and CEO Robert Sanchez stated: “Robust freight conditions combined with unprecedented supply chain and labour challenges provide growth opportunities as companies look for additional truck capacity and make long-term supply chain outsourcing decisions. In FMS, limited truck availability is driving increased demand and pricing across all service offerings. In SCS and DTS, we’re seeing record new contract wins which we fully expect will contribute to long-term profitable growth. Although labour shortages are affecting current results in DTS and SCS, we are encouraged by our early progress in implementing related price adjustments while delivering superior service.”
Source: Ryder
