MIAMI (AP) — Truck-leasing company Ryder System Inc. said Tuesday its net income climbed 16 percent in the first quarter on improved results through its business.
Ryder said revenue from its fleet-management business rose 3 percent to $1.1 billion and supply-chain revenue grew 1 percent to $576.5 million.
The company's net income surpassed Wall Street expectations, but its revenue fell short of estimates. Ryder said maintenance costs improved because the company is using newer trucks, but those costs didn't decline as much as it expected.
Shares of Ryder Systems fell $2.48, or 4.3 percent, to $54.79 in midday trading.
The company said its net income rose to $39.9 million, or 77 cents per share, from $34.3 million, or 67 cents per share. Ryder said it earned 81 cents per share if one-time items are excluded from its results. Revenue grew 2 percent, to $1.56 billion from $1.54 billion.
About $113 million in revenue is counted under both the fleet-management and supply-chain business, but it's only counted once in the company's total revenue.
Analysts expected net income of 77 cents per share on $1.58 billion in revenue, according to FactSet.