Ryder System increased net profit 44 percent from a year ago to $56.9 million as acquisitions and organic growth boosted third quarter revenue to $1.57 billion.
The company benefited from shipper attempts to secure capacity by renting or leasing equipment, outsourcing logistics and dedicated contract carriage.
Total sales increased 19 percent year-over-year in the quarter, with operating revenue excluding fuel and other surcharges up 17 percent at $1.26 billion. Ryder’s profit rose faster and its revenue higher than in the second quarter, when the company reported a $40 million net profit on $1.5 billion in revenue.
Several acquisitions, higher commercial vehicle rental revenue and rising fuel costs and surcharges helped increase revenue at Ryder’s three primary divisions.
“Our acquisition teams have significantly contributed to our performance by successfully integrating operations and transitioning newly acquired customers,” said Ryder Chairman and CEO Greg Swienton.
At Fleet Management Solutions, revenue rose 16 percent year-over-year to $1.1 billion. The division’s pre-tax earnings were up 35 percent to $74.2 million.