Ryder Posts Strong Q3, Flags Fleet Expansion Ahead of EPA '27 Rules

Ryder System (NYSE: R) shares rose 10.49% to $265.53 after the company reported solid third-quarter earnings, though CEO John Diez said fleet utilization is not yet at "screaming red levels" and Ryder will keep adding vehicles to meet demand ahead of stricter EPA '27 emissions rules. Diez said Ryder has begun bringing in equipment this quarter, reflected in its capital expenditure budget. Management reported no significant pre-buy surge for 2027-compliant vehicles, though it expects price increases that year. Rental fleet utilization was 77% in the quarter, up from 70% a year earlier. Used vehicle inventory stands at 7,300 units, at the low end of Ryder's 7,000-to-9,500 target range and down from 8,500 a year ago. Retail accounted for 61% of used sales, and Diez projected that share would exceed 70% in 2027. Ryder now expects a full-year used vehicle gain of $50 million to $60 million, up from its prior $40 million forecast.