Thomas L. Gallagher | Apr 26, 2010 11:49AM EDT
Ryder System net profit soared 82 percent in the first quarter to $12.4 million, bouncing back from a deep decline in the recession.
Gains came with a revenue improvement of just 4 percent to $1.2 billion as lease miles driven improved along with higher commercial rental demand and improved used vehicle pricing, the company said.
“The average size of our full-service lease fleet was down 5 percent, reflecting the cumulative impact of customer fleet downsizing,” said Chairman and CEO Greg Swienton. Nevertheless, revenue in the company’s fleet management segment grew 2 percent to $884 million.
Revenue in the supply chain management segment grew 10 percent to $294 million.
Overall demand is improving, but customers remain cautious about making long-term fincancial commitments, Ryder said.
Contact Thomas L. Gallagher at tgallagher@joc.com.
