According to analyst Peter Nesvold of Jefferies, the Fleet Management Solutions business unit—which provides full-service leasing — of Ryder in the fourth quarter of last year posted revenue of $1.075 billion.
That figure, Nesvold pointed out, was in line with Jefferies’ $1.072 billion estimate.
“All six of the revenue line-items in this segment were within $1 million of our model,” said Nesvold. “Segment margins improved 130bps year over year (YoY) vs. 100bps YoY in the third quarter [and were] in line with our model.
Nesvold also stated that that performance drove 41% of YoY segment pre-tax profit growth. “Pre-tax profits grew three times as fast as revenue YoY, implying strong operating leverage,” he added.