Ryder System Inc. announced a 67% increase in its first quarter earnings over 1Q 2003 to $35 million, while revenues increased 15% to $1.2 billion. The company cited continued improvement in the commercial rental product line and favorable foreign exchange rates.
Ryder also attributed its bolstered net income to its recent acquisitions, one of them being Ruan Leasing Co.
“Recent acquisitions in our Fleet Management Solutions (FMS) business segment are demonstrating the earnings leverage that can be delivered to shareholders as a direct result of our transformation work over the past few years,” said Greg Swienton, Ryder chairman, president, & CEO.
Commercial rental revenue in its Fleet Management Solutions arm gained 16% over the same period last year, to $123 million. That marks the sixth consecutive year-over-year rental revenue improvement.
Revenues for FMS, its largest segment, totaled $1.2 billion— a 3.8% increase over 1Q 2003. The growth in sales was checked partially by some contracts being not renewed, as well as volume reductions in its Supply Chain Solutions business segment.