SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 1 Ryder 2022 Investor Day June 3 New York City Exhibit 99.2
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Welcome & Opening Remarks 2 Bob Brunn SVP, Investor Relations & Corporate Strategy
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 3 Safe Harbor and Non-GAAP Financial Measures Note Regarding Forward-Looking Statements: Certain statements and information included in this news release are “forward-looking statements” under the Federal Private Securities Litigation Reform Act of 1995, including our forecasts, expectations regarding market trends and economic environment; impact of supply chain and labor challenges, infrastructure investment, disruptive technologies, and regulations on market conditions, e-Commerce trends, freight environment, expected sales and earnings, commercial rental demand and utilization, and used vehicle sales volume and pricing, among other factors; expected benefits from and timing of our strategic investments and initiatives; expected benefits of lease pricing initiatives; implementation of our asset management strategy; performance, including sales and revenue growth, in our product lines and segments; residual values and depreciation expense; used vehicle inventory; rental utilization; free cash flow; operating cash flow; capital expenditures; fleet growth; and profitability . Our forward-looking statements also include our estimates of the impact of our changes to residual value estimates on earnings and depreciation expense, which is based on our current assessment of the residual values and useful lives of revenue-earning equipment based on multi-year trends and our outlook for the expected near and long-term used vehicle market. Our assessment is subject to risks, uncertainties, and assumptions as to future events that may not prove to be accurate. Factors that could cause actual results related to vehicle residual values to materially differ from estimates include changes in supply and demand, competitor pricing, regulatory requirements, driver shortages, changes in customer requirements and preferences, as well as changes in underlying assumption factors. All of our forward-looking statements should be evaluated by considering the many risks and uncertainties inherent in our business that could cause actual results and events to differ materially from those in the forward-looking statements. Important factors that could cause such differences include, the effect of the COVID-19 pandemic; labor challenges; our ability to adapt to changing market conditions, lower than expected contractual sales, decreases in commercial rental demand or utilization or poor acceptance of rental pricing, declining market demand for or excess supply of used vehicles impacting current or estimated pricing and our anticipated proportion of retail versus wholesale sales; the effect of disruptive technologies; declining customer demand for our services; higher than expected maintenance costs; lower than expected benefits from our cost-savings initiatives; lower than expected benefits from our sales, marketing and new product initiatives; setbacks in the economic market or in our ability to retain profitable customer accounts; impact of changing laws and regulations; difficulty in obtaining adequate profit margins for our services; inability to maintain current pricing levels due to soft economic conditions, business interruptions or expenditures due to labor disputes, severe weather or natural occurrences; competition from other service providers and new entrants; driver and technician shortages resulting in higher procurement costs and turnover rates; impact of worldwide semiconductor shortage, higher than expected bad debt reserves or write-offs; decrease in credit ratings; increased debt costs; adequacy of accounting estimates; higher than expected reserves and accruals particularly with respect to pension, taxes, insurance and revenue; impact of changes in our residual value estimates and accounting policies; unanticipated changes in fuel prices; ongoing conflict in Ukraine and Russia; unanticipated currency exchange rate fluctuations; our ability to manage our cost structure; and the risks described in our filings with the Securities and Exchange Commission (SEC). The risks included here are not exhaustive. New risks emerge from time to time, and it is not possible for management to predict all such risk factors or to assess the impact of such risks on our business. Accordingly, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Note Regarding Non-GAAP Financial Measures: This presentation includes certain non-GAAP financial measures as defined under SEC rules, including: • Comparable Earnings Measures, including comparable earnings from continuing operations; comparable earnings per share from continuing operations; comparable earnings before income tax; and comparable earnings before interest, income tax, depreciation and amortization for Ryder and its business segments. Additionally, our adjusted ROE (ROE) measure is calculated based on adjusted earnings items. • Operating Revenue Measures, including operating revenue for Ryder and its business segments and segment EBT as a percentage of operating revenue. • Cash Flow Measures, including total cash generated and free cash flow. • Refer to Appendix - Non-GAAP Financial Measures for reconciliations of the non-GAAP financial measures contained in this presentation to the nearest GAAP measure. Additional information regarding non-GAAP financial measures as required by Regulation G and Item 10(e) of Regulation S-K can be found in our most recent Form 10-K, Form 10-Q, and our Form 8-K filed with the SEC as of the date of this presentation, which are available at http://investors.ryder.com. All amounts after January 1, 2017, have been recast to reflect the impact of the lease accounting standard, ASU 2016-02, Leases. Amounts throughout the presentation may not be additive due to rounding.
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Today’s Agenda 4 8:30 am Welcome and Opening Remarks Bob Brunn SVP, Investor Relations & Corporate Strategy Balanced Growth Strategy to Drive Long-term Shareholder Value Robert Sanchez Chairman & CEO SCS: Integrated Solutions to Serve Large and Growing Market Steve Sensing President, Supply Chain Solutions & Dedicated Transportation Solutions DTS: Capturing Profitable Growth with Differentiated Business Model Steve Martin SVP, Dedicated Transportation Solutions 9:45 am Q&A Session + Break 10:15 am FMS: Optimize Portfolio While Maximizing Returns Tom Havens President, Fleet Management Solutions At the Forefront of Innovation and Industry Disruption Karen Jones EVP & CMO Clear Financial Strategy to Deliver Enhanced Returns John Diez EVP & CFO Closing Remarks Robert Sanchez Chairman & CEO 11:35 am Q&A Session
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Balanced Growth Strategy to Drive Long-term Shareholder Value Robert Sanchez Chairman & CEO
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 6 Corporate Video: Man, Truck, and a Dream
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 7 Ryder: Behind the Scenes in Daily Life Day Begins Day Ends 7:00 am Wake Up 8:00 am Breakfast 8:30 am Drive to Work 9:00 am at the Office 12:00 pm Lunch 5:00 pm Drive Home 6:00 pm Dinner 7:00 pm Evening Note: General Mills, GM, Domino’s, Conagra Brands, Toyota, Keurig-Dr. Pepper, Hill’s Pet Nutrition, Hello Fresh, Southern Glazer’s Wine & Spirits, Performance Food Group, Charter Communications, Apria Healthcare Group, and Kraft Heinz serve on our Customer Advisory Boards
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 8 Key Messages 1 Strong execution on balanced growth strategy and actions to improve returns 2 Significant opportunity for long-term profitable growth supported by secular trends, operational expertise, and momentum from multi-year initiatives 3 Strategic initiatives focused on increasing core earnings, outperforming prior cycles and achieving target returns 4 Investing in the future of transportation to create shareholder value over the long-term
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 1933 Founded 50,000+ Commercial Customers ~4.1B Market-cap1 239,000 Vehicles Managed 42,800 Employees ~750 Maintenance Locations 80M+ sq. ft. Warehouse Space2 $7B Freight Under Management 9 Ryder Snapshot (NYSE: R) 2 0 2 1 P R O F I L E 1 As of 5/27/2022. 2 As of 1/2/2022 F Y 2 2 F R E V E N U E B Y S E G M E N T D I V E R S I F I E D C U S T O M E R B A S E 21% 21% 13% 10% 9% 8% 5% 5% 8% Food & Beverage Transportation & Logistics Retail & Consumer Goods Automotive Industrial Housing Technology Business & Personal Services Other ▪ Fleet Management Solutions (FMS) ▪ Supply Chain Solutions (SCS) ▪ Dedicated Transportation Solutions (DTS) 15% 38% 47%$11.3B F U N F A C T S • ~30,000 monthly cross- border freight movements between U.S., Canada, and Mexico • Green Cross for Safety medal recipient - first in transportation industry to receive National Safety Council’s highest honor • Largest retail network of pre-owned commercial vehicles in North America LEADING PROVIDER OF OUTSOURCED LOGISTICS AND TRANSPORTATION SOLUTIONS IN NORTH AMERICA
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Professional Services Transportation Management and Brokerage e-Commerce Fulfillment Last Mile Delivery (Big & Bulky) Drivers, Routing, Scheduling, and Administration Vehicle Financing, Support Services, and Maintenance SCSDTSFMS Warehouse Management 10 Complementary Business Segments Broad Range of Transportation and Logistics Outsourcing Services All vehicles utilized by SCS and DTS are leased and maintained by FMS 50%+ of DTS sales from FMS / SCS upsell / cross-sell 33% of DTS customers leverage brokerage services from SCS DTS and SCS leverage technology platforms and driver recruiting network B U S I N E S S S E G M E N T S Y N E R G I E S
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 11 Foundation for Business Transformation Updated Vision and Values to Highlight Essential Nature of What We Do and the Longevity and Intimacy of our Customer Relationships V I S I O N M I S S I O N To perfect the supply chains that drive our economy. We responsibly deliver innovative supply chain and transportation solutions that are reliable, safe, and efficient, enabling our customers to deliver on their promises. O U R V A L U E S Trustworthy Integrity anchors us in everything we do. We live by our word and actions. We work together to perform our best and hold ourselves accountable. Determined We use our expertise to ensure our customers achieve their goals every day. We develop optimal solutions for both conventional and complex problems. We are never satisfied with the status quo. Responsible Our priority on safety, sustainability, and charitable giving, makes the communities where we live and work thrive.
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 12 $1.5T Addressable Do-It-Yourself (DIY) Market Provides Significant Opportunity Total Market Size Addressable Non-Outsourced (DIY) – Ryder’s Market Opportunity Currently Outsourced F L E E T M A N A G E M E N T S O L U T I O N S – F M S D E D I C A T E D T R A N S P O R T A T I O N S O L U T I O N S – D T S S U P P L Y C H A I N S O L U T I O N S – S C S $1.3T Warehouse & Truck-based Transportation Management Market $1.1T $158B ~15% Ou t so urced $800B Dedicated Transportation Market $400B $20B ~5% Outsourced $225B Commercial Vehicle Market $58B $14B ~25% Ou t so urced Sources: Polk / IHS, Armstrong & Associates, Ryder estimates
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 13 Secular Trends Support Outsourcing Decision Well-positioned to Address Growing Challenges Facing Large, DIY Transportation and Logistics Market Dynamic Supply Chains Labor Constraints Increasing Costs and Complexity Government Incentives / Regulations e-Commerce Disruptive Technologies Increased focus on resilient and flexible supply chains Unprecedented labor challenges further pressure driver, technician, and warehouse worker shortages Higher vehicle maintenance and purchase costs Infrastructure investment incentives; changes to emissions standards and safety regulations Accelerated e-Commerce and final mile growth trends Low / zero emission powertrains, autonomous trucking, technology-enabled asset sharing and data analytics
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 14 Balanced Growth Strategy to Create Shareholder Value Accelerated Growth in Higher-return SCS and DTS with Moderate Growth and Increased Returns in FMS E S T A B L I S H E D B A L A N C E D G R O W T H S T R A T E G Y I N 2 0 1 9 , I M P L E M E N T E D T R A N S F O R M A T I V E A C T I O N S , A N D C O N T I N U E T O E X E C U T E De-risk and Optimize the Model Enhance Returns and FCF Drive Long-term Profitable Growth
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 15 De-risk and Optimize the Model Actions Reducing Our Business Model Risk L O W E R R E S I D U A L V A L U E E S T I M A T E S • Estimates at historically low levels E N H A N C E D E X T E N D E D W A R R A N T Y P R O G R A M • Extended coverage for exhaust system components R E V I S E S C S / D T S C O N T R A C T S • Implemented higher and faster labor cost pass-throughs to customers E X I T S U B - P E R F O R M A N C E B U S I N E S S E S • FMS UK (2022) and lease insurance product line (2020) Reduced residual value estimates by ~30% Increased annual depreciation by $200M Reduced likelihood of losses on used vehicles sold or need for additional depreciation
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 16 Improve Returns and FCF Actions Delivering Higher Quality Core Earnings and FCF I N C R E A S E L E A S E P R I C I N G • Spread increased from 60-100bps (pre-2019) to 100-150bps M O D E R A T E F M S G R O W T H • Annual lease fleet growth 2-4k at higher returns R E D U C E M A I N T E N A N C E C O S T • Multi-year initiative focused on productivity and efficiency E X P A N D R E T A I L U S E D V E H I C L E S A L E S ( V S . W H O L E S A L E ) • Premium priced retail used vehicles sales capacity up 50% E N H A N C E R E N T A L T R U C K - T R A C T O R M I X • More stable truck investment driven by e-Commerce growth 40% of portfolio has been priced at higher returns (through 2021) delivering $45M of improved annual earnings 60% of portfolio expected to be priced at higher returns and generate an incremental annual earnings benefit of $80M
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 17 Drive Long-term Profitable Growth Actions Expected to Deliver Long-term Shareholder Value 37% 39% 42% 44% 44% 45% 48% 53% 2015 2016 2017 2018 2019 2020 2021 2022F S C S / D T S % O F G R O S S R E V E N U E G R O W H I G H E R R E T U R N B U S I N E S S M I X • SCS / DTS revenue currently 50%+, up from 37% in 2015 M A I N T A I N S T R O N G B A L A N C E S H E E T • Below target leverage expected I N V E S T I N S T R A T E G I C S C S / D T S A C Q U I S I T I O N S • $750M in Whiplash and Midwest Warehouse acquisitions
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS EverBetter World Campaign Continues in 2022 T V C A M P A I G N – 2 0 2 1 S I L V E R M I A M I A D D Y W I N N E R Q2 National Media Campaign ✓ National print in broad publications ✓ Digital advertising ✓ LinkedIn and Facebook ✓ 15 second online videos NEW: TV and Print Ads ✓ e-Commerce ✓ RyderShare ✓ Supply Chain LogisticsSales Leads Up 200% Active Campaign Pipeline >$100M Brand Awareness 18 Note: Results since launch in 2020. Increased
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 19 Expect to Deliver Record Results Reflecting Strong Demand and Structural Changes Improvement in Returns, Higher Cash Flow, and Revenue Shift Toward SCS and DTS W H E R E W E W E R E 2 0 1 8 W H E R E W E A R E 2 0 2 2 F o r e c a s t Revenue FMS $4.7B 56% $5.4B 47% SCS $2.4B 28% 44% $4.3B 38% 53% DTS $1.3B 16% $1.6B 15% Operating Cash Flow $1.7B $2.3B Free Cash Flow $(936M) $550M - $650M Comparable EPS $5.95 $13.40 - $14.40 Comparable EPS (Core) $5.95 $9.00 - $9.50 ROE 12.7% 24% - 26% H I G H L I G H T S • ROE and EPS benefiting from structural business model improvements as well as outsized used vehicle and rental markets • SCS / DTS revenue now greater than 50% • Operating Cash Flow is recurring and growing • Higher FCF reflecting balanced growth strategy + + Note: Includes Non-GAAP Financial Measures, such as Free Cash Flow, Comparable EPS and ROE . Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 20 Positioned for Structurally Higher Earnings Significantly Improved Core Earnings of the Business; Expect to Continue to Outperform Prior Cycles and Achieve Target Returns $9.25 $4.65 Midpoint1 $13.90 Higher Core EPS Outsized Gains / Rental SCS / DTS Target Margins FMS Lease Pricing Revenue Growth / New Products Acquisitions / Share Repurchases Note: Includes Non-GAAP Financial Measures such as Comparable EPS. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure. 1 Midpoint of $13.40 - $14.40 2022 Comparable EPS Forecast G R O W T H D R I V E R S Ongoing Actions Expected to Increase Earnings
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 21 Long-term Financial Model Business Positioned to Deliver Strong Returns through the Cycle ROE Long-term Average Over the Cycle Component drivers to achieve ROE target include: Operating Revenue Growth Total Ryder Fleet Management Supply Chain Dedicated EBT as % of Operating Revenue Fleet Management Supply Chain and Dedicated Leverage (Debt-to-Equity) T A R G E T High Teens (Up from 15%) High Single Digit (New) Mid Single Digit Low Double Digit (Up from High Single Digit) High Single Digit Low Double Digit (Up from High Single Digit) High Single Digit 250% - 300%
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 22 Sustainability Focus • Achieved goal to reduce Scope 1 and Scope 2 emissions by 20% over a 2009 baseline ahead of schedule E N V I R O N M E N T A L • In 2020, established new goals to reduce emissions by 2024 over 2018 baseline ‒ 10% reduction in Scope 1 emissions ‒ 30% reduction in Scope 2 emissions ‒ 15% reduction in Scope 3 emissions1 S O C I A L • Ongoing commitment to safety training, coaching, and technology led to 78% reduction in collisions between 2017 and 2021 • Invest 10% of Ryder Charitable Foundation’s budget in specific initiatives to expand equality and diversity for the Black community • Award 75 scholarships per year for women and minority students by 2025 G O V E R N A N C E • > 50% of Board of Directors is diverse, by gender, race, and ethnicity • 10 consecutive years as one of FORTUNE’s World’s Most Admired Companies and one of 2021 Newsweek America’s Most Responsible Companies • Robust Enterprise Risk Management program, involving oversight from management and our Board, routinely and holistically evaluates our key risks Recent Achievements Commitments 1 Downstream leased assets only (Category 13)
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 23 Accountable and Engaged Board of Directors – Expertise and Experience Support our Long-term Vision S K I L L S M A T R I X 91% 91% 82% 73% 55% 45% Financial & Accounting Branding / Strategy Industry Experience Senior Leadership Business Development & M&A Public Company Operations Robert Sanchez Chairman & CEO, Ryder 2013 Robert Eck Former Director & CEO, Anixter International 2011 Robert Hagemann Former SVP & CFO, Quest Diagnostics 2014 Michael Hilton Former President & CEO, Nordson Corporation 2012 Tamara Lundgren President & CEO, Schnitzer Steel Industries, Inc. 2012 Luis Nieto Former President, Consumer Foods Group, ConAgra Foods, Inc. 2007 David Nord Former Chairman & CEO, Hubbell Incorporated 2018 Abbie Smith Boris and Irene Stern Distinguished Service Professor of Accounting and James S. Ely, III Faculty Fellow, University of Chicago Booth School of Business 2003 E. Follin Smith Former EVP, CFO & Chief Administrative Officer, Constellation Energy Group, Inc. 2005 Dmitri Stockton Former SVP & Special Advisor to the Chairman, General Electric Company 2018 Hansel Tookes Former President, Raytheon International 2002 B O A R D A T T R I B U T E S ~64 Years Average Age 91% Independent Directors 64% Gender / Racial / Ethnic Diversity
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 24 Deep and Experienced Leadership Team Driving Industry Change 220+ Years Combined Industry Experience Robert Sanchez Steve Sensing Steve Martin Tom Havens Karen Jones John Diez Chairman & CEO Joined: 1993 President, SCS & DTS 1992 SVP, DTS 1988 President, FMS 1993 EVP, CMO 2013 EVP, CFO 2002 T O D A Y ’ S P R E S E N T E R S A D D I T I O N A L E X E C U T I V E L E A D E R S H I P Robert Fatovic Tim Fiore Frank Lopez Rajeev Ravindran EVP, Chief Legal Officer and Corporate Secretary 1994 SVP, Chief Procurement Officer 2002 EVP, CHRO 2002 EVP, Chief Information Officer 2018
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS SCS: Integrated Solutions to Serve Large and Growing Market Add pic Steve Sensing President, Supply Chain Solutions & Dedicated Transportation Solutions
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 26 EverBetter Video Clip
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 27 SCS Key Messages 1 Leading provider of integrated logistics solutions from port to door across North America 2 Differentiated approach based on deep expertise of key industry verticals to serve a large and growing market 3 Increased utilization of data analytics and automation driven by continuous improvement mindset and LEAN principles 4 Strategic investments in customer-facing technology that is a key market differentiator
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 28 SCS Snapshot P O R T T O D O O R I N T E G R A T E D S U P P L Y C H A I N S O L U T I O N S 1 Warehouse Management 40% Dedicated Transportation 33% e-Commerce Fulfillment / Last Mile Delivery 10% Transportation Management 10% Professional Services 7% Note: Includes Non-GAAP Financial Measures, such as Operating Revenue and Comparable EBITDA. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure. 1 % of 2021 SCS Revenue. 2 As of 1/2/2022. 3 Represents total for all Ryder System, Inc 2 0 2 1 P E R F O R M A N C EO P E R A T I N G S T A T I S T I C S Warehouse Footprint2 ~80M+ sq. ft. Freight Under Management3 $7.4B Total Vehicles ~11,000 Employees ~22,000 Total Revenue $3.1B Operating Revenue $2.2B EBT $117M EBT as % of Operating Revenue 5.3% Comparable EBITDA $173M
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS O U T S O U R C E D S E R V I C E S Warehouse Management • Single customer, multi-client, and cross-docking • Value-added services (kitting, packaging, retail-ready displays, labelling & tagging) Dedicated Transportation Professional drivers and equipment dedicated to a single customer Transportation Management • Transportation department for customers buying $7.4B in services across all modes • Optimize, plan, and ensure delivery Last Mile Delivery Assemble big and bulky items in warehouses and deliver to room of choice e-Commerce Fulfillment Pick, pack, and ship online orders and coordinate final delivery via parcel / ground carriers to home in 2 days or less 29 Integrated Solutions from a Single Source (Port to Door) Across Verticals ~70% of Customers Leveraging Multiple Solutions; Up from ~60% Two Years Ago 1 % of 2021 SCS Revenue NEW V E R T I C A L F O C U S 1 Automotive (31%) Industrial (12%) Consumer Packaged Goods & Retail (46%) Technology & Healthcare (11%) Inbound transportation management & synchronized delivery to assembly plant, including cross-border management (Mexico, U.S., Canada) CPG Customized packaging for big-box retailers, large dedicated warehouses and multi-client facilities Retail B2B & B2C Omni-channel, e- Commerce fulfillment, big & bulky last mile to home, and cross-dock to store deliveries or direct to consumer Automated pick, pack, and ship warehouse operations supported with robotics and integrated transportation management solutions ~560 Customers Served
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 30 Significant Market Opportunity Enabling Outsized Growth Strategic Focus on Further Penetrating Large, Non-outsourced Market $1.3T Warehouse & Truck-based Transportation Management Market $158B ~15% Outsourced $1.1T Addressable Non-Outsourced Market (Market Opportunity) Omnichannel Labor Shortage e-Commerce Nearshoring / Onshoring W E L L - P O S I T I O N E D T O C A P T U R E O P P O R T U N I T I E S F R O M S E C U L A R T R E N D S Sources: Polk / IHS, Armstrong & Associates, Ryder estimates
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 31 Why We Win in SCS – Our Sustainable Competitive Advantages Enabling Technologies and Continuous Improvement • Visibility and IT capabilities • LEAN expertise • Engineering and automation excellence Integrated Supply Chain Solutions • Design and operate an integrated suite of supply chain solutions Deep Vertical Expertise • Differentiated knowledge and expertise across key verticals: Automotive, Industrial, Technology, Healthcare, CPG, and Retail North America Focus • Seamless customer service across N.A. • Streamlined cross-border capabilities • Expertise in managing complex supply chains M A R K E T L E A D E R P R O V I D I N G V A L U E - A D D E D I N T E G R A T E D S O L U T I O N S A C R O S S K E Y V E R T I C A L S
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 32 SCS Strategic Initiatives: Accelerate Growth with Innovative Solutions Grow the Base Business Enhance Vertical Diversification Expand e-Commerce / Ryder Last Mile Improve Margins • RyderShare visibility and collaboration tool deployment • EverBetter logistics marketing campaign • Cross-sell with DTS • Focus on growing omnichannel retail, CPG, and healthcare • CPG multi-client warehouse network expansion • Network expansion • Investment in e-Commerce and Ryder Last Mile technology platforms • Converted business contracts to better insulate from wage variability • Implement automation and robotics to improve efficiencies
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Leveraging Technology as Key Differentiator Combination of best-of-breed commercial off-the-shelf products with proprietary solutions to maximize customer value C O M M E R C I A L O F F - T H E - S H E L F Ryder Transportation Management System Ryder Warehouse Management System Automation and Robotics 33
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Order Fulfillment Value-added Services Reverse Logistics • Scalable, fast, and flexible pick, pack, and shipping solutions • National multi-mode parcel network and carrier optimization • Specialized services such as kitting, label changes, and folding • Returns initiation, returns processing, and repairs O U R A P P R O A C H • Nationwide omnichannel fulfillment provider ‒ Ground delivery to 100% of U.S. in 2 days and 60% in 1 day • Scalable solutions to accommodate emerging brands to Fortune 500 • Best-in-class technology easily integrates with e-Commerce sales platforms and facilitates onboarding; streamlines order and inventory management • Advanced robotics and automation to boost productivity and seamless scaling in the same footprint S E R V I C E S 34 Ryder e-Commerce by Whiplash (Acquired 1/2/2022) Combining Best-in-Class e-Commerce Fulfillment Platform with Industry Leading Logistics Expertise L O C A T I O N S Expanding from 7M to 8M sq. ft. of Warehouse Space During 2022
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 1. Over-the-Threshold 2. Room-of-Choice 3. White-Glove-Delivery 4. Deluxe Service Self-scheduling, 2-hr. delivery window, 2-man delivery, and returns #1 services + place in any room of the house #2 services + unboxing / removal of packaging in home, assembly, installation, and haul-away #3 services + pre-delivery inspection, preparation, and assembly to ensure delivery of undamaged goods 35 Ryder Last Mile (RLM) Continue to Expect Double-digit Revenue Growth in RLM with EBT% In-line with SCS HSD Target Range O U R A P P R O A C H T I E R E D S E R V I C E S Adding / Expanding 10 Locations in 2022 / 1Q 2023 Existing RLM Hub(s) Expansion / New RLM Hub(s) • Nationwide last mile delivery and installation of big and bulky goods with 2-day delivery to 95% of the continental U.S. • Tiered service options to provide optimal flexibility • Leveraging 20+ dedicated to customer sites and 30+ multi-client hubs • 2.0 maximizes network efficiency and customer experience ‒ Recipients can self-schedule delivery and receive real-time delivery updates ‒ Offers retailer-branded customer experience L O C A T I O N S
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 36 Long-term Targets Expect to Return to HSD EBT% Target in 2H22; Well-positioned for Profitable Growth HSD EBT as % of Operating Revenue LDD Operating Revenue Growth Raising from HSD
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 37 Key Takeaways Leading provider of integrated logistics solutions from port to door across North America 1 Differentiated approach based on deep expertise of key industry verticals to serve a large and growing market 2 Increased utilization of data analytics and automation driven by continuous improvement mindset and LEAN principles 3 Strategic investments in customer-facing technology that is a key differentiator 4
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS DTS: Capturing Profitable Growth with Differentiated Business Model Add pic Steve Martin SVP, Dedicated Transportation Solutions
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 39 DTS Key Messages 1 Capturing significant growth and improved profitability through freight cycles 2 Driving operational efficiencies with improved safety and enhanced digitization 3 Focusing on growth areas (e.g., building density) and promoting cross-selling opportunities across segments 4 Differentiated business model leveraging transportation bundled solutions to capture share
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 40 DTS Snapshot D E D I C A T E D T R A N S P O R T A T I O N S O L U T I O N S ChoiceLease Vehicles and Maintenance Professional Drivers Routing, Scheduling, Visibility, and Supervision Dedicated Transportation Solution + + = Note: Includes Non-GAAP Financial Measures, such as Operating Revenue and Comparable EBITDA. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure 2 0 2 1 P E R F O R M A N C E2 0 2 1 O P E R A T I N G S T A T I S T I C S Total Vehicles ~11,000 Drivers ~6,000 Customer Locations ~500 Total Revenue $1.5B Operating Revenue $1.1B EBT $49M EBT as % of Operating Revenue 4.7% Comparable EBITDA $50M
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 41 Strong Customer Retention and Expansion with Significant Private Fleet Opportunity Diversified Portfolio Compromising 200+ Customers 2% 5% 11% 11% 14% 14% 21% 22% Other Energy Hi-tech & Healthcare Construction Metals CPG Retail Industrial 2 0 2 1 C U S T O M E R P R O F I L E 2 0 2 1 C U S T O M E R C O U N T B Y I N D U S T R Y >50% Sales from Upselling / Cross-selling (FMS / SCS) 94% Customer Retention Rate1 ~50% of New Accounts were Private Fleet Conversions 9% Growth in Customer Count S E L E C T C U S T O M E R S 1 Based on DTS 2021 Revenue.
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 42 Significant Market Opportunity Enabling Outsized Growth Significant Growth Opportunity in Large, Highly Addressable DTS Market $800B Dedicated Transportation Market TAM $20B ~5% Currently Outsourced $400B Addressable Non-Outsourced Market (Market Opportunity) Safety Regulations S E C U L A R T R E N D S D R I V I N G I N C R E A S E D O U T S O U R C I N G Equipment Cost / Complexity Driver Shortage Sources: Polk / IHS, Armstrong & Associates, Ryder estimates
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Technology and Engineering • RyderShare visibility and collaboration platform • 100+ logistics engineers; optimized routing and scheduling • Digitized workstream and business intelligence platform Operational Expertise • Recognized safety programs • Exceptional on-time delivery performance • Deep industry knowledge Driver Excellence • 100% company drivers, robust training program • Favorable work / life balance: ~85% of drivers home daily • Recruiting capabilities and referral programs Fleet Management • Leveraging FMS scale and ability to obtain vehicles • Vehicle uptime through preventative maintenance and access to Ryder rental fleet 43 Why We Win – Sustainable Competitive Advantages L E A D E R I N D E D I C A T E D S O L U T I O N S A N D C A P A B I L I T I E S
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 44 Drivers Why We Win Video
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 45 DTS Strategic Initiatives: Accelerate Growth and Expand Margins Accelerate Top Line Growth • Sell across transportation and logistics cross-divisional portfolio • RyderShare visibility and collaboration tool • Continue to organically grow brokerage Improve Margins • Converted business contracts to better insulate from wage variability • Drive density in key regions through differentiated pricing strategy • Continue to centralize and digitize work processes Invest in Technology • Continue to enhance customer-facing technology • Digitization of workstreams – RyderDrive digital driver app
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 46 Sustaining Top Line Growth Over the Cycle Expanded Sales and Customer Touchpoints S E L L A C R O S S T R A N S P O R T A T I O N & L O G I S T I C S P O R T F O L I O • FMS / DTS private fleet conversions • Training all sales teams to identify opportunities and sell across transportation modes and product lines • Leveraging RyderShare • Targeting customers in high density areas • Benefiting from EverBetter campaign C O N T I N U E T O O R G A N I C A L L Y G R O W B R O K E R A G E I N I T I A T I V E Scale New employees (e.g., add sales headcount, expanding offices) New carriers (e.g., leveraging Ryder assets for capacity, implement carrier loyalty program Marketing initiatives (e.g., 2021 EverBetter Campaign) New customers from targeting shippers and private fleets in our density zones Density New and enhancing capabilities through investing in digitization, visibility, and automation
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 47 Invest in Industry-leading Technologies Continuing to Make Targeted Technology Investments to Further Strengthen Customer Value z D E V E L O P E D A N D L A U N C H E D E F F I C I E N C Y A N D V I S I B I L I T Y T O O L S Scalable, digitized trip management and Hours-of-Service compliance Leveraging technology to analyze data and make actionable business decisions Safety programs including in-cab video recorders have resulted in 78% reduction in collisions (2017-21) End-to-end visibility of orders, inventory, and shipments in real-time In-Cab Video Recording RyderDrive™ Business Intelligence
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 48 Expect to Return to HSD EBT% Target in 2H22; Well-positioned for Profitable Growth HSD Operating Revenue Growth HSD EBT as % of Operating Revenue Long-term Targets
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 49 Key Takeaways Capturing significant growth and improved profitability through freight cycles 1 Driving operational efficiencies with improved safety and enhanced automation 2 Focusing on growth areas (e.g., building density) and promoting cross- selling opportunities across segments 3 Differentiated business model leveraging transportation bundled solutions to capture share 4
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Q&A
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Break ~10 Minutes
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS FMS: Optimize Portfolio While Maximizing Returns Tom Havens President, Fleet Management Solutions
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 53 FMS Key Messages 1 Well-positioned to capture share from secular trends driving higher outsourcing in large, addressable market 2 Enhancing returns through pricing initiatives and operational excellence 3 Well prepared to manage through freight cycles
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 54 FMS Snapshot F L E E T M A N A G E M E N T S O L U T I O N S Providing Outsourced Transportation Services and Operational Excellence across North America O P E R A T I N G R E V E N U E M I X Used Vehicle Sales SelectCare Outsourced Maintenance Fleet Support Services ▪ ChoiceLease ▪ SelectCare ▪ Rental ▪ Other (1%)65% 23% 11%Commercial Rental ChoiceLease Full-Service Lease Note: Includes Non-GAAP Financial Measures, such as Operating Revenue. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure 2 0 2 1 O P E R A T I N G S T A T I S T I C S Assets $11.2B Vehicles Maintained ~244,000 Employees ~11,500 Technicians ~5,000 Maintenance Shops ~750 2 0 2 1 P E R F O R M A N C E Total Revenue $5.7B Operating Revenue $4.9B EBT $663M
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS See appendix for source info 55 Diversified Customer Base and Fleet Composition Diversified Customer Base and Fleet Composition Mitigates Risk from Specific Customer or Segment 2 0 2 1 C O N T R A C T U A L F L E E T C O M P O S I T I O N 40% 27% 9% 23% 2 0 2 1 F M S C O N T R A C T U A L C U S T O M E R B A S E < 1% Largest Customer Share of Revenue14k+ Contractual Customers S A M P L E C L I E N T S 53% 26% 21% Revenue ▪ Small (1-10) ▪ Medium (11-50) ▪ Large (51+) Customers by Fleet Size 39% 33% 8% 20% ▪ Tractor ▪ Trailers ▪ Light Duty ▪ Medium Duty
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 56 Significant Addressable Market Opportunity Secular Trends Driving Opportunity to Convert DIY Segment to Outsourced Model $225B Total Commercial Vehicle Market $14B ~25% Currently Outsourced $58B Addressable Market Opportunity Government / Safety Regulations Technician / Labor Shortages Increased Vehicle Cost and Maintenance Complexity Vehicles and Parts Supply Chain Challenges W E L L - P O S I T I O N E D T O C A P T U R E G R O W T H F R O M S E C U L A R O U T S O U R C I N G T R E N D S Sources: Polk / IHS, Armstrong & Associates, Ryder estimates
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 57 Why We Win – Sustainable Competitive Advantages Comprehensive Value Proposition to Capture Market Opportunity Flexible Products and Service • Custom service level options for ChoiceLease and SelectCare • RyderGyde and Connected Fleet Network Scale • ~750 shop maintenance network • Procurement leverage with major OEMs and partners Risk Mitigation • No residual risk for customers • Guaranteed maintenance costs for customers Deep Maintenance Expertise • Best-in-class maintenance processes with ~5,000 expert techs • Rapid up-skill training capability for new technologies C O M P R E H E N S I V E C A P A B I L I T I E S S P A N F U L L S P E C T R U M O F F L E E T T R A N S P O R T A T I O N N E E D S
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 58 FMS Strategic Initiatives: Targeting Higher Value Growth while Maximizing Returns Incorporate Segmentation and Pricing Actions Demonstrate Operational Excellence Enhance Asset Management Implement Innovation • Differentiate and segment lease portfolio pricing • Target higher value market segments • Deploy dynamic rental pricing model • Maintenance operating model transformation with continuous improvement focus • Improve customer experience through innovation and service • Execute enhanced asset management playbook over freight cycle • Used vehicle sales retail expansion and digital transformation • Focus growth capital on rapidly expanding, less cyclical truck segments • Execute EV / AV strategy as the market evolves • COOP growth and national rollout
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS • Segmented pricing is improving returns across all vehicle types ‒ Rolled out new lease pricing segmentation in 2018; 40% of portfolio completed by YE 2021 ‒ Segmenting by application, risk profile, asset type, etc. ‒ Additional ~20% of the fleet already contracted at new pricing model to be in serviced over the next ~12 months • Deploying growth capital on higher-growth, higher-return segments ‒ Investing in trucks – less cyclical segments compared to tractors ‒ Capturing e-Commerce growth 59 Lease Pricing and Segmentation Price Segmentation Initiatives Expected to Deliver $125M Annual Benefit When Fully Implemented in 2025 % O F P O R T F O L I O P R I C E D A T H I G H E R R E T U R N S A N N U A L B E N E F I T $45M $125M 40% 100% 2021 2025 Incremental $80M Annual Benefit
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Demand > Supply Supply > Demand Strengthening Demand Weakening Demand 60 Enhanced Asset Management Playbook in Place • Drive profitable lease sales • Invest growth capital in truck segments for rental fleet • Incorporate cyclical forecast into residual value estimates • Manage contract expirations to limit exposure in downturn • Target early replacement opportunities F R E I G H T M A R K E T S T R E N G T H E N I N G • Reduce used truck inventory as market starts to weaken • Extend lease contracts • Redeploy rental vehicles to lease, dedicated, and supply chain applications • Leverage expanded used vehicle sales retail sales network • Reduce discretionary spend • Invest in rental early in the upturn F R E I G H T M A R K E T W E A K E N I N G Although Earnings Will be Impacted by Freight Cycles, Executing Our Enhanced Asset Management Playbook Better Positions Ryder for Higher Earnings in Each Phase of the Cycle
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS • 63 retail centers (+12 vs. 2019) • ~20% incremental retail sales capacity Grow Retail Sales Locations • Inside sales team positioned to capture digital sales opportunity • ~30% incremental retail sales capacity Expand Retail Digital Sales 61 Used Vehicle Sales: Retail Expansion and Digital Transformation Improves Proceeds Expect New Capacity and Technology Investments to Result in ~8% Increase in Proceeds per Vehicle ~50% Increase in Retail Sales Capacity1 Retail sales proceeds are 30% higher than wholesale 1 Versus North America 2019 baseline
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 62 Maintenance Operating Model Transformation Continuous Improvement Focus to Sustain and Improve Long-term Results M A I N T E N A N C E T R A N S F O R M A T I O N D R I V E N B Y PARTS PROCUREMENT • Restructured supply chain • Negotiated new partnerships • Negotiated extended warranties PRODUCTIVITY GAINS • Re-engineered shop operating model • Focused on technician wrench time • Centralized administration TECHNOLOGY AND TRAINING • Connected vehicle strategy • Wearable and hand-held tech • Rapid up-skill training capacity for new technologies DATA ANALYTICS • Reliability analysis • Partnerships with key OEMs • Stabilize costs as technology evolves I N C R E A S E P R O F I T A B I L I T Y T H R O U G H C O N T I N U O U S I M P R O V E M E N T P R O C E S S Delivered $90M of annual savings by YE 2021 Expected to surpass initial annual savings target of $100M in 2022
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 63 Reliability Analytics Process: NOx Sensor Case Study Ryder Reliability Analysis Lowers Costs and Provides Value to Both Customers and OEMs I D E N T I F I C A T I O N • NOx Sensors: Significant component failure rate resulted in high costs and customer disruptions S O L U T I O N I N G • Cross-functional team between OEM and Ryder analyzed proprietary Ryder fleet data to identify root cause of failure R E S O L U T I O N • OEM-funded repair campaign undertaken • Re-engineered hardware design for future production C R E A T I N G V A L U E F O R A L L S H A R E H O L D E R S C U S T O M E R O E M R Y D E R Ryder benefits from reduced failure rate and lower annual component cost OEMs benefit from Ryder’s post-warranty maintenance information for enhanced performance visibility and benchmarking Customers benefit from increased up-time I D E T I F I C A T I S L T I I R E S L T I
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 64 Technology Driven Fleet Maintenance Video
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 65 Creating Customer Value through Our Technology Providing Value for Customer Fleet Managers and Drivers Innovative Platform Enabling Customers to Manage All Aspects of Their Fleet Vehicle Health & Uptime Preventative Maintenance Analysis | Repair Activity Fleet Management Fleet Utilization | Miles | Routing | MPG | Specifications and Applications | Replacement Planning Fleet Spend Trend Analysis Repair & Maintenance Trends | Rental Activity Fuel Activity & Trend Analysis Real-time Consumption & Cost Management Maintenance Support Roadside Assistance | Shop Check-in | Location Finder Operations Tools Log Fuel Receipts | Manage eDVIR1 Performance Analytics Actionable Dashboards Driver Support Fleet Manager Maintenance Shop Truck Driver 1 Electronic driver inspection report
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 66 Structural Business Changes to Better Position FMS to Achieve Targets Over the Cycle MSD Operating Revenue Growth Long-term Targets LDD EBT as % of Operating Revenue Raised from HSD in Feb 2022
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 67 Key Takeaways Well-positioned to capture share from secular trends driving higher outsourcing in large, addressable market 1 Enhancing returns through pricing initiatives and operational excellence 2 Well prepared to manage through freight cycles 3
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS At the Forefront of Innovation and Industry Disruption Karen Jones EVP & CMO
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 69 Key Messages 1 Deep expertise in transportation and logistics to remain at the forefront of industry disruption 2 Disciplined and strategic approach to new product development with significant opportunities where we are positioned to win 3 Targeted investing, partnering, and acquiring in strategic growth areas with a focus on innovation and value creation
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 70 Unprecedented Level of Disruption in Logistics Industry
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 71 Strategic Focus Areas for New Product Development $1.2B Strategic Investments Over Last 4 Years (includes $875M of acquisitions) Strategic Approach to Disruption Investing in 4 Key Areas RyderVenture Investments Built, Acquired, or Partnered Products AV / EV 1 AV EV e-Commerce 2 Light Duty Rental Asset Sharing 3 Digital Technologies 4
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 72 RyderShare Video
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 73 RyderShare Key Differentiator in Winning ~35% of 2021 SCS/DTS New Sales – Momentum Expected to Continue Multiple data sources integrated into a single view to drive higher productivity, improved customer service, and transparent communication Connect Everyone in Your Supply Chain • Digitize and Automate Workflows • Communicate with Everyone in Real-time • Led by Real Operators FACTORY WAREHOUSE RETAILER CONSUMER returns outbound inbound inbound Provides real-time visibility, collaboration, and exception management across supply chain – Only 3rd-party logistics provider with warehousing and transportation capabilities 9K Users with New Users Added Everyday 6.2M Shipments Since 2020 82% of Ryder’s Total Transportation Volume DISTRIBUTION CENTER
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 74 Customer Case Study: RyderShare Value Creation BEFORE 6 steps and hours of calling Hardware Retailer with 3,000+ Stores AFTER 1 step in real time – store employee has load information at their fingertips Ryder Operator Central Support Store Employee 1 1 2 3 4 5 Request for Update on Order Response Store Employee Central Support Translate to Ryder Order and Request for Update Response Ryder Operator Request for Load Update Response Driver 6 C U S T O M E R B E N E F I T S • Efficiency gain for central support team • Improved labor planning • Higher service levels • Reduced turnaround times & touches
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 75 Hill’s Pet Food Success Story • Network view to over 30,000+ delivery locations • Instant access to delivery information (location, status, etc.) drives down calls • 100+ corporate users save time on everyday tasks • Return goods authorizations visibility results in better control and efficiency for Hills • Instant delivery documentation for better auditing DISTRIBUTION FACILITY PET HOSPITALS Kyle D. Bryant CS&L Operations Manager Hill's Pet Nutrition VETERINARIANS RyderShare Provides Real-time Visibility, Proof of Delivery, and Increased Customer Satisfaction to 30,000+ Veterinarians, Pet Hospitals, and Pet Clinics RYDER DEDICATED DELIVERY PET CLINICS Hill’s Pet Nutrition partnered with Ryder Transportation Solutions in 2021 to provide direct delivery of Hill’s products to our customers. One important insight our customers look for is the ability to find out where their order is and when it will arrive. The RyderShare platform has allowed us to have real-time tracking and ETA for our customers’ orders through easy-to-use technology. It has also provided proof of delivery documents as well as product delivery images that have been valuable in helping with issue resolution for our customers.
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 76 Southern Glazer’s Wine & Spirits Collaborative Supply Chain Benefits of RyderShare: • SGWS sees inbound moves from all suppliers worldwide • Full visibility into Ryder TM carrier network • Many U.S. suppliers are also Ryder customers, creating a larger network effect, collaboration, and bi-directional visibility • With more accurate information about the status of inventory, SGWS improves customer service for its 250,000+ retailers • Distribution teams can now improve their warehouse operations planning process and expected receipt times, driving efficiency and cost savings SOUTHERN GLAZER’S FACILITY SGWS SUPPLIER SGWS SUPPLIER SGWS SUPPLIER U.S. U.S. Europe Southern Glazer's Wine and Spirits (SGWS) is the largest wine and spirits distributor in North America with operations in 44 states plus the District of Columbia and Canada with 250,000+ retailers RyderShare Ecosystem Connecting SGWS with Suppliers and Customers Improves Fill Rate and Accuracy, and Provides Real-time Customer Service to 250,000+ Retailers
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 77 Building for the Future
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 78 Autonomy is a New Commercialization Opportunity Uniquely Positioned for Leadership in Managing Autonomous Networks First / Final Segment Dedicated local fleets; ideal EV solution1 Autonomous Trucks Procurement, leasing, operation of predictable capacity 2 Hub Network Yard operations and captive maintenance services 3 Center of Ecosystem via Technology RyderShare – coordinate movements of all AV freight and capacity 4 S T R A T E G I C A V P A R T N E R S 4 1 2 3 R Y D E R V A L U E I S I N F O U R K E Y A R E A S 1 3
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 79 EV Market Penetration and Adoption U . S . M A R K E T E V P E N E T R A T I O N ( ‘ 0 0 0 ) 1 2023 2024 2025 9% 33%54% Ryder’s U.S. Fleet Mix2 ▪ Light Duty ▪ Medium Duty ▪ Heavy Duty 1 EV production based on OEM conversations and publicly available data. 2 Ryder’s fleet mix as of 4/1/2022 0 20 40 60 80 100 EV Production Total Production Medium Duty EV Production (Class 6-7) 0 60 120 180 240 300 EV Production Total Production Heavy Duty EV Production (Class 8) 0 60 120 180 240 300 EV Production Total Production Light Duty EV Production (Class 3-5) Total EV Production 12.6k 2023 1% 2024 2% 2025 2% Total EV Production 8.2k 2023 1% 2024 3% 2025 5% Total EV Production 74.4k 2023 3% 2024 10% 2025 13% • Timeline continues to elongate; market penetration expected to progress slowly • OEM pricing and government funding / mandates expected to have greatest impact on adoption rates • Significant diesel fleet expected to remain for extended period given anticipated EV production levels • Predicted to grow faster than other classes over next 5 years with more attractive TCO benefit, battery range, and charging infrastructure – opportunity for Ryder
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 80 COOP Video
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Private Fleets Rental Companies Asset Investors Creating the Largest Peer-to-Peer Truck Sharing Company in America, Without Owning a Single Asset 81 Solving Critical Market Need through Asset Sharing: COOP by Ryder S U P P L Y Aggregating excess vehicle supply from multiple sources D E M A N D Satisfying customer demand by increasing accessibility Data and technology are the key to matching supply with demand R Y D E R B E N E F I T S 1 Numbers are power units only. Does not include 5M trailers U.S. 2 2% is the current market penetration of the car ride sharing market • Asset-light business for long-term rental model • Supplement Ryder rental capital • Creation of new class of asset investors • Technology and innovation leadership M A R K E T P O T E N T I A L 8M commercial power vehicles in the U.S. with an average idle time of 24% More than doubling growth in 2022 Rental days forecasted to grow from 50k (2020) to ~400k (2022F)
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 82 Key Takeaways Deep expertise in transportation and logistics to remain at the forefront of industry disruption 1 Disciplined and strategic approach to new product development with significant opportunities where we are positioned to win 2 Targeted investing, partnering, and acquiring in strategic growth areas with a focus on innovation and value creation 3
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Clear Financial Strategy to Deliver Enhanced Returns Add pic R Y D E R 2 0 2 2 I N V E S T O R D A Y John Diez EVP & CFO
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 84 Financial Key Messages 1 Strong execution resulting in record performance with plenty of runway ahead as a leader in attractive markets 2 Strategic structural changes in business model leading to stronger and more resilient performance 3 Clear capital allocation priorities to deliver balanced growth and higher returns over the cycle 4 Balance sheet flexibility to enhance shareholder value
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 85 Increasing 2022 Forecast Robust Freight Environment, Balanced Growth Strategy, and Return Initiatives Driving Strong Results Operating Revenue Growth ~14% Comparable EPS $13.00 - $14.00 Up 36% - 46% YoY ROE 23% - 25% Free Cash Flow $550M - $650M ~14% $13.40 - $14.40 Up 40% - 50% YoY 24% - 26% $550M - $650M 2 0 2 2 F O R E C A S T A S O F 1 Q 2 2 1 R E V I S E D 2 0 2 2 F O R E C A S T 2 Robust outsourcing trends supported by increased supply chain awareness M A R K E T A S S U M P T I O N S Near-term tight truck environment due to OEM constraints; Used Vehicle Sales and Rental to moderate in 2H22 Labor and supply chain disruptions expected to continue in 2022 SCS / DTS pricing adjustments recover costs from labor shortage in 2H22 Note: Includes Non-GAAP Financial Measures, such as Operating Revenue, Comparable EPS, ROE and Free Cash Flow. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure. 1 Announced on 1Q21 Earnings Call on April 27, 2022. 2 Announced the morning of Investor Day on June 3, 2022
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS $5.45 $1.01 $(0.27) $9.58 ($1.00) $1.0 0 $3.0 0 $5.0 0 $7.0 0 $9.0 0 $11 .00 $13 .00 $15 .00 86 Compelling Financial Performance with Further Runway Positioned for Long-term Profitable Growth $5.9 $7.2 $7.0 $7.8 $8.9 6% 8% -2% 11% 14% 2014-18 Average 2019 2020 2021 2022EF C O M P A R A B L E E P S 1 13.7% 0.3% -1.3% 20.9% -15.0% R O E 1 2014-2018 Average 2020 2021 2022F2019 O P E R A T I N G R E V E N U E ( $ B ) Growth Rate 1 ROE and Comparable EPS reflects $357M, $491M, and $309M of unfavorable incremental impact on depreciation expense in FY19, FY20, and FY21, respectively, due to prior residual value estimate changes. Includes Non-GAAP Financial Measures, such as Operating Revenue, ROE and Comparable EPS. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure $13.40 - $14.40 2014-2018 Average 2020 2021 2022F2019 24.0% - 26.0%
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 87 A Fundamentally Transformed Business Structurally Positioned for Higher Returns Over the Cycle De-risked Model Residual value estimates at historically low levels Higher Returns Business Model Compelling FMS returns from multi-year maintenance and lease pricing initiatives Growth Acceleration Secular trends and market leadership present SCS / DTS with significant growth opportunity e-Commerce – Significant Opportunity Whiplash acquisition and Ryder Last Mile provide capabilities to participate in meaningful growth segment Enhanced Capital Discipline Balanced growth strategy allows us to invest in strategic acquisitions and share buybacks S T R U C T U R A L C H A N G E S Operating Revenue ROE MSD % HSD % CAGR (Organic) 12.7% (2018) High Teens % LONG-TERM TARGET BEGINNING OF TRANSFORMATION Note: Includes Non-GAAP Financial Measures such as Operating Revenue and ROE. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure (3-yr CAGR)
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 88 Residual Value Estimates at Historically Low Levels Achieve Target Returns with Reduced Reliance on Used Vehicle Proceeds R E S I D U A L V A L U E E S T I M A T E A C T I O N S T A K E N H I S T O R I C A L S A L E S P R I C E A S A % O F O R I G I N A L C O S T Pricing Residuals: Underwriting residuals used in lease pricing also set at historically conservative levels Accounting Residuals: Lowered residual value estimates ~30% to address used vehicle volatility risk and incorporated a tractor downturn into estimates 1 Illustrative for Truck and Tractor (U.S. only ) fleets. Depicts Ryder's sales prices as a percent of original cost indexed to the value in 1999 to show the percent change in value each year. Excludes vehicles operated in excessively high mileage applications and sales prices adjusted to a consistent age at sale. Sales prices incorporate retail/wholesale mix at the respective time periods. Truck Residual Index1 Residual Estimate for Accounting 175 165 155 145 135 125 115 105 95 85 75 65 55 45 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Tractor Residual Index1 Residual Estimate for Accounting 185 175 165 155 145 135 125 115 105 95 85 75 65 55 45 35 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Range
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 89 Impact of Prior Residual Value Estimate Changes Despite Meaningful Increase to Ongoing Depreciation, FMS EBT% Improved from Return Initiatives $1.3 $1.5 $1.5 $1.5 $1.5 $0.1 $0.4 $0.5 $0.3 $0.2 2018 2019 2020 2021 2022F D E P R E C I A T I O N E X P E N S E ( $ B ) Ongoing Dep. / Avg. Unit $7,100 $7,600 $8,000 $8,000 $8,400 • Prior residual value estimate changes increased depreciation expense by ~$200M in 2022F, which is expected to diminish going forward • Higher depreciation is being priced into lease contracts $1.4 $1.9 $2.0 $1.8 $1.7 Depreciation Impact of Prior Residual Value Estimate Changes Ongoing Depreciation
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 90 Earnings Expansion Delivers Attractive Return on Equity ROE Expected to Benefit from Strength in FMS Returns and SCS / DTS Growth Acceleration E A R N I N G S L E V E R S • SCS / DTS margin improvement • Lease pricing opportunity on remaining 60% of portfolio • Maintenance cost savings • Tailwinds from e-Commerce and supply chain disruption • Rental fleet mix High Teens ROE Target 14.8% 14.9% 16.5% 13.2% 11.1% 12.7% 0.3% -1.3% 20.9% 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022F R O E 24.0% - 26.0% TROUGH Note: Includes Non-GAAP Financial Measures such as ROE. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 91 Structural Changes Have Significantly Improved Core Earnings Well-positioned for Structurally Higher Quality Earnings $5.95 E A R N I N G S D R I V E R S Actions Increasing Earnings Future EPS 2018 EPS Prior Cycle Peak FMS Maintenance Initiatives + $1.50 FMS Lease Pricing + $0.90 Profitable SCS / DTS Growth + $1.20 $9.00 $9.25 Core EPS Expected to Grow Midpoint2 $13.90 2022 Comparable EPS Forecast $4.65 Outsized Gains / Rental Used Vehicle Sales/ Depreciation Net1 - $0.30 $9.25 1 Represents Used Vehicle Sales improved performance net of Depreciation related to prior residual estimate changes . 2 Midpoint of 2022 Comparable EPS Forecast of $13.40 - $14.40. Includes Non-GAAP Financial Measures such as Comparable EPS. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 92 Positioned for Higher Earnings Significantly Improved Core Earnings of the Business; Expect to Continue to Outperform Prior Cycles $9.25 $4.65 Midpoint1 $13.90 SCS / DTS Target Margins FMS Lease Pricing Revenue Growth / New Products Acquisitions / Share Repurchases Outsized Gains / Rental HSD EBT as % of Op Rev $125M Full Benefit by 2025 HSD Op Rev Growth Target Strong Balance Sheet Provides for Both Acquisitions and Share Repurchases Note: Includes Non-GAAP Financial Measures such as Comparable EPS. Please see Appendix – Non-GAAP Financial Measures for the reconciliation to the GAAP Financial Measure. 1 Midpoint of $13.40 - $14.40 2022 Comparable EPS Forecast Higher Core EPS G R O W T H D R I V E R S Ongoing Actions Expected to Increase Earnings
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS FCF SCENARIO No Lease Growth $0.8B Moderate Lease Growth $0.4B 93 Higher Cash Flow Generation $1.6 $2.1 $2.2 $2.2 $2.3 2014-18 Average 2019 2020 2021 2022F O P E R A T I N G C A S H F L O W ( $ B ) F R E E C A S H F L O W ( $ B ) • 85%+ of operating revenue is contractual (lease, SCS, DTS)1 − Contractual nature of lease portfolio provides recurring, multi-year operating cash flow − SCS and DTS provide solid positive FCF throughout cycle • FCF is counter-cyclical with FMS fleet growth and economic conditions − Record FCF in 2020 from lower capex substantially due to COVID effects − 2022 FCF of $0.6B reflective of strong earnings performance and $0.3B UK asset sales, partially offset by lease fleet growth of 4k vehicles $(0.3) $(1.1) $1.6 $1.1 $0.6 2014-18 Average 2019 2020 2021 2022F Higher capex due to higher lease growth Lower capex reflecting COVID effects, OEM delays, and balanced growth strategy 1 As % of 2021 Operating Revenue; includes Non-GAAP Financial Measures, such as Operating Revenue and Free Cash Flow. Please see Appendix – Non- GAAP Financial Measures for the reconciliation to the GAAP Financial Measure Includes $0.3B UK asset sales
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 94 Capital Allocation Focused on Shareholder Returns Disciplined Capital Allocation Drives Strong Value Creation • Base fleet reinvestment ‒ Replacement capital $1.9B - $2.2B, offset by used vehicle proceeds $0.7B+ ‒ Higher pricing / returns • Moderate fleet growth ‒ Growth capital $0.4B - $0.7B • Accelerate growth in higher return supply chain and dedicated • Innovative technology • New services and capabilities primarily in SCS • Accretive tuck-in acquisitions • Disruptive trends • $2.1B+ in cash returned to shareholders (2008 - 2021) • Uninterrupted quarterly dividend payments for more than 45 years; 8% annual dividend growth since 2008 • Share repurchases ‒ $300M ASR program (expect to complete by Oct 2022) ‒ 2.0M share discretionary program ‒ 2.5M share anti-dilutive program Invest in Organic Growth Pursue Targeted Acquisitions / Investments Return Capital to Shareholders
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS U . S . C u s t o m e r s 95 M&A is Transforming and Strengthening Our SCS Business (Acquired 2021) (Acquired 2022) (Acquired 2018) P R E - T R A N S A C T I O N S ( 2 0 1 7 ) • Focused on warehouse management and transportation services • Automotive vertical comprised ~35% of operating revenue P O S T - T R A N S A C T I O N S ( 2 0 2 2 ) • Integrated port to door logistics provider • Added last mile, multi-client, and e-Commerce technology platform • Well-positioned to take advantage of higher growth e-Commerce services • More balanced vertical mix: automotive vertical reduced to ~25% of operating revenue 300 700
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 96 Balance Sheet Flexibility Enables Shareholder Value Creation Strong Balance Sheet Positioned for Cycle and Strategic Capital Deployment C O M M E N T A R Y • Solid Investment Grade credit ratings for 25+ years • Leverage expected to decline below 250% - 300% target range in 2022 • Leverage allows flexibility to pursue strategic M&A opportunities and share repurchases Available Liquidity Net Debt Leverage (Debt/Equity) $1.0B $6.6B A S O F M A R C H 3 1 , 2 0 2 2 256%
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 97 Long-term Financial Model Business Positioned to Deliver Strong Returns through the Cycle ROE Long-term Average Over the Cycle Component drivers to achieve ROE target include: Operating Revenue Growth Total Ryder Fleet Management Supply Chain Dedicated EBT as % of Operating Revenue Fleet Management Supply Chain and Dedicated Leverage (Debt-to-Equity) T A R G E T High Teens (Up from 15%) High Single Digit (New) Mid Single Digit Low Double Digit (Up from High Single Digit) High Single Digit Low Double Digit (Up from High Single Digit) High Single Digit 250% - 300%
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 98 Key Takeaways for Enhancing Shareholder Value Strong execution resulting in record performance with plenty of runway ahead as a leader in attractive markets 1 Strategic structural changes in business model leading to stronger and more resilient performance 2 Clear capital allocation priorities to deliver balanced growth and higher returns over the cycle 3 Balance sheet flexibility to enhance shareholder value 4
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Closing Remarks Add pic Robert Sanchez Chairman & CEO
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Why Invest in Ryder 100 1 Strong execution on balanced growth strategy and actions to improve returns 2 Significant opportunity for long-term profitable growth supported by secular trends, operational expertise, and momentum from multi-year initiatives 3 Strategic initiatives focused on increasing core earnings, outperforming prior cycles and achieving target returns 4 Investing in the future of transportation to create shareholder value over the long term
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Q&A
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Appendix
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 103 Non-GAAP Financial Measures This presentation includes “non-GAAP financial measures” as defined by SEC rules. As required by SEC rules, we provide a reconciliation of each non-GAAP financial measure to the most comparable GAAP measure. Non-GAAP financial measures should be considered in addition to, but not as a substitute for or superior to, other measures of financial performance prepared in accordance with GAAP. Specifically, the following non-GAAP financial measures are included in this presentation: Non-GAAP Financial Measure Comparable GAAP Measure Reconciliation & Additional Information Presented on Slide Titled Operating Revenue Measures: Operating Revenue Total Revenue Reconciliation of Total to Operating Revenue Operating Revenue Growth Total Revenue Growth Reconciliation of Revenue to Operating Revenue Growth FMS Operating Revenue, SCS Operating Revenue and DTS Operating Revenue FMS Total Revenue, SCS Total Revenue and DTS Total Revenue Fleet Management Solutions (FMS), Supply Chain Solutions (SCS) and Dedicated Transportation Solutions (DTS) SCS EBT as a % of SCS Operating Revenue, and DTS EBT as a % of DTS Operating Revenue SCS EBT as a % of SCS Total Revenue, and DTS EBT as a % of DTS Total Revenue Supply Chain Solutions (SCS) and Dedicated Transportation Solutions (DTS) Comparable Earnings Measures: Comparable EPS, and Comparable Core EPS EPS from Continuing Operations Comparable EPS Reconciliation and Comparable Core EPS Reconciliation Adjusted Return on Equity (ROE) Not Applicable. However, the non-GAAP elements of the calculation have been reconciled to the corresponding GAAP measures. A numerical reconciliation of net earnings to adjusted net earnings and average shareholders' equity to adjusted average equity is provided in the following reconciliations. Adjusted Return on Equity Reconciliation SCS Comparable EBITDA, and DTS Comparable EBITDA1 SCS Net Segment Earnings, and DTS Net Segment Earnings Comparable Segment EBITDA Cash Flow Measures: Total Cash Generated and Free Cash Flow Cash Provided by Operating Activities Cash Flow Reconciliation 1 We believe comparable segment EBITDA provides investors with useful information, as it is a standard measure commonly reported and widely used by analysts, investors and other interested parties to measure financial performance by segment.
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Reconciliation Revenue to Operating Revenue ($M) 104 TOTAL 2019 2020 2021 2022F Total Revenue $ 8,926 $ 8,420 $ 9,663 $ 11,300 Subcontracted Transportation and fuel (1,701) (1,372) (1,834) (2,400) ChoiceLease Liability Insurance Revenue1 (35) (24) (1) — Operating Revenue2 $ 7,189 $ 7,024 $ 7,828 $ 8,900 20143 20153 20163 2017 2018 2014-2018 Avg. Total Revenue $ 6,638 $ 6,572 $ 6,758 $ 7,280 $ 8,414 $ 7,132 Subcontracted Transportation and fuel (1,386) (1,011) (967) (1,258) (1,716) (1,268) ChoiceLease Liability Insurance Revenue1 — — — — (28) (9) Operating Revenue2 $ 5,252 $ 5,561 $ 5,791 $ 6,023 $ 6,670 $ 5,859 Note: Amounts may not be additive due to rounding. 1 In the first quarter of 2020, we announced our plan to exit of the extension of our liability insurance coverage for ChoiceLease customers. This was completed in the first quarter of 2021. Amounts prior to 2018 have not been revised to exclude the revenues associated with this program. 2 Non-GAAP financial measure. 3 Amounts do not reflect the impact of the retrospective adoption of the new accounting standard related to leasing
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Reconciliation of Forecast Revenue to Operating Revenue Growth ($M) 105 TOTAL Note: Amounts may not be additive due to rounding. 1 In the first quarter of 2020, we announced our plan to exit of the extension of our liability insurance coverage for ChoiceLease customers. This was completed in the first quarter of 2021. 2 Non-GAAP financial measure. 2022 Forecast as of 1Q22 Revised 2022 Forecast 2021 2022 Growth 2021 2022 Growth Total Revenue $ 9,663 $ 11,300 17 % $ 9,663 $ 11,300 17 % Subcontracted Transportation and fuel (1,834) (2,400) 31 % (1,834) (2,400) 31 % ChoiceLease Liability Insurance Revenue1 (1) — (100) % (1) — (100) % Operating Revenue2 $ 7,828 $ 8,900 14 % $ 7,828 $ 8,900 14 %
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 106 Fleet Management Solutions (FMS) ($M) FULL YEAR NM - Not meaningful. Note: Amounts may not be additive due to rounding. 1 Non-GAAP financial measure. 2 In the first quarter of 2021, we completed the previously announced exit of the extension of our liability insurance coverage for ChoiceLease customers. Revenue 2021 ChoiceLease $ 3,219.9 Commercial Rental 1,113.7 SelectCare and other 606.9 FMS Operating Revenue1 4,940.5 Fuel Services Revenue and ChoiceLease Liability Insurance Revenue2 738.4 FMS Total Revenue $ 5,678.9 Earnings Before Tax FMS Earnings Before Tax (EBT) $ 663.1
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 107 Supply Chain Solutions (SCS) ($M) FULL YEAR Note: Amounts may not be additive due to rounding. 1 Non-GAAP financial measure. Revenue 2021 CPG & Retail $ 692.7 Automotive 240.1 Technology & Healthcare 1,020.3 Industrial & Other 257.4 SCS Operating Revenue1 2,210.5 Subcontracted transportation and fuel 944.3 SCS Total Revenue $ 3,154.8 Earnings Before Tax SCS Earnings Before Tax (EBT) $ 117.4 SCS EBT as a % of SCS Total Revenue 3.7 % SCS EBT as a % of SCS Operating Revenue1 5.3 %
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 108 Dedicated Transportation Solutions (DTS) ($M) FULL YEAR Note: Amounts may not be additive due to rounding. 1 Non-GAAP financial measure. Revenue 2021 DTS Operating Revenue1 $ 1,054.9 Subcontracted transportation and fuel 402.3 DTS Total Revenue $ 1,457.2 Earnings Before Tax DTS Earnings Before Tax (EBT) $ 49.1 DTS EBT as a % of DTS Total Revenue 3.4 % DTS EBT as a % of DTS Operating Revenue1 4.7 %
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 109 Comparable Segment EBITDA1 ($M) FULL YEAR Note: Amounts may not be additive due to rounding. 1 Excludes the impact of depreciation and gains on vehicles sold allocated to SCS and DTS. 2 Non-GAAP financial measure. A reconciliation of GAAP net earnings to comparable EBITDA for each business segment (FMS, SCS and DTS) is set forth in this table. FY 2021 FMS SCS DTS Net segment earnings $ 508 $ 84 $ 36 Income taxes 155 33 13 EBT 663 117 49 Interest expense / (income) 214 3 (3) Depreciation1 1,736 47 3 Used vehicle sales, net1 (257) — — Amortization 2 6 — Comparable Segment EBITDA2 $ 2,357 $ 173 $ 50
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 110 Comparable EPS Reconciliation Note: Amounts may not be additive due to rounding. 2014 2015 2016 2017 2018 2014-2018 Average EPS from continuing operations (GAAP) $ 4.14 $ 5.73 $ 4.95 $ 13.54 $ 5.43 $ 6.76 Non-operating pension costs 0.05 0.19 0.33 0.31 0.09 0.19 Goodwill impairment — — — — 0.29 0.29 Restructuring and other charges, net 0.03 0.23 0.06 0.15 0.08 0.11 ERP Implementation Costs — — — — 0.01 0.01 Tax reform-related and other tax adjustments, net — — — (9.62) 0.19 (4.72) Uncertain tax provision — — — — (0.08) (0.08) Pension lump sum settlement expense 1.16 — — — — 1.16 Pension-related adjustments 0.14 (0.01) 0.09 0.06 — 0.07 Operating tax adjustment — — — 0.03 — 0.03 Gain on sale of property — — — (0.27) — (0.27) Acquisition-related tax adjustment 0.03 — — — — 0.03 Acquisition transaction costs 0.01 — — — — 0.01 Tax law changes (0.03) (0.04) — 0.03 (0.06) (0.03) Comparable EPS from continuing operations (non-GAAP) $ 5.53 $ 6.10 $ 5.43 $ 4.23 $ 5.95 $ 5.45
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 111 Comparable EPS Reconciliation Note: Amounts may not be additive due to rounding. 2019 2020 2021 2022 Forecast as of 1Q22 Revised 2022 Forecast EPS from continuing operations (GAAP) $ (0.45) $ (2.15) $ 9.70 $12.83 - $13.83 $13.23 - 14.23 Non-operating pension costs 0.85 0.10 (0.06) 0.12 0.12 Restructuring and other charges, net 0.51 0.84 0.34 0.50 0.50 ERP Implementation Costs 0.30 0.49 0.18 — — Tax adjustments, net 0.06 0.42 0.01 — — Gain on sale of property (0.26) (0.10) (0.59) — — Early redemption of medium-term notes — 0.13 — — — Comparable EPS from continuing operations (non-GAAP) $ 1.01 $ (0.27) $ 9.58 $13.00 - 14.00 $13.40 - 14.40
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 112 Comparable Core EPS Reconciliation Note: Amounts may not be additive due to rounding. 2018 2022 Forecast EPS from continuing operations (GAAP) $ 5.43 $13.23 – 14.23 Non-operating pension costs 0.09 0.12 Restructuring and other charges, net 0.08 0.50 ERP Implementation Costs 0.01 — Goodwill impairment 0.29 — Tax reform-related and other tax adjustments, net 0.19 — Uncertain tax provision (0.08) — Tax law changes (0.06) — Pension-related adjustments — — Comparable EPS from continuing operations (non-GAAP) $ 5.95 $13.40 - 14.40 Outsized gains / rental — $(4.40) - (4.90) Comparable Core EPS from continuing operations (non-GAAP) $ 5.95 $9.00 - 9.50
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 113 Adjusted Return on Equity Reconciliation1 ($M) 2013 2014 2015 2016 2017 Net earnings $ 238 $ 218 $ 305 $ 263 $ 720 Other items impacting comparability, net5 — 115 18 13 24 Income taxes2 126 118 164 142 (423) Adjusted earnings before income taxes 363 451 486 418 321 Adjusted income taxes3 (127) (162) (171) (147) (112) Adjusted net earnings [A] $ 236 $ 289 $ 315 $ 271 $ 209 Average shareholders' equity $ 1,594 $ 1,926 $ 1,895 $ 2,053 $ 1,984 Average adjustments to shareholders' equity4 (2) 8 11 2 (99) Adjusted average shareholders' equity [B] $ 1,592 $ 1,934 $ 1,906 $ 2,055 $ 1,885 Adjusted return on equity1 [A]/[B] 14.8 % 14.9 % 16.5 % 13.2 % 11.1 % 2013 2014 2015 2016 2017 Restructuring and other, net $ (0.5) $ 3.4 $ 18.1 $ 5.1 $ 17.3 Gain on sale of property — — — — (24.1) Pension-related adjustments 2.8 12.6 (0.5) 7.7 5.5 Operating tax adjustment — — — — 2.2 Tax reform-related and other tax adjustments, net — — — — 23.3 Pension lump sum settlement expense — 97.2 — — — Acquisition-related tax adjustment — 1.8 — — — Superstorm Sandy vehicle-related (recoveries) losses (0.6) — — — — Foreign currency translation benefit (1.9) — — — — Other items impacting comparability $ (0.2) $ 115.0 $ 17.6 $ 12.8 $ 24.2 Note: Amounts may not be additive due to rounding. 1 Non-GAAP elements of this calculation have been reconciled to the corresponding GAAP measures. A numerical reconciliation of net earnings to adjusted net earnings and average shareholders' equity to adjusted average total equity is provided on this slide. 2 Includes income taxes on discontinued operations. 3 Represents provision for income taxes plus income taxes on other items impacting comparability. 4 Represents the impact of other items impacting comparability, net of tax, to equity for the respective period. 5 Other items impacting comparability are comprised of the following:
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 114 Adjusted Return on Equity Reconciliation1 ($M) Note: Amounts may not be additive due to rounding. 1 Non-GAAP elements of this calculation have been reconciled to the corresponding GAAP measures. A numerical reconciliation of net earnings to adjusted net earnings and average shareholders' equity to adjusted average total equity is provided on this slide. 2 Includes income taxes on discontinued operations. 3 Represents provision for income taxes plus income taxes on other items impacting comparability. 4 Represents the impact of other items impacting comparability, net of tax, to equity for the respective period. 5 Other items impacting comparability are comprised of the following: 2014 - 2018 Avg. 2018 2019 2020 2021 Net earnings $ 358 $ 285 $ (24) $ (122) $ 519 Other items impacting comparability, net5 38 22 38 90 (10) Income taxes2 21 103 (19) (18) 171 Adjusted earnings before income taxes 417 409 (5) (50) 680 Adjusted income taxes3 (139) (101) 13 21 (164) Adjusted net earnings [A] $ 278 $ 308 $ 8 $ (29) $ 515 0 0 0 0 Average shareholders' equity $ 2,070 $ 2,493 $ 2,533 $ 2,257 $ 2,453 Average adjustments to shareholders' equity4 (31) (78) 15 60 14 Adjusted average shareholders' equity [B] $ 2,039 $ 2,415 $ 2,548 $ 2,317 $ 2,467 Adjusted return on equity1 [A]/[B] 13.7 % 12.7 % 0.3 % (1.3)% 20.9 % 2014 - 2018 Avg. 2018 2019 2020 2021 Restructuring and other, net $ 9.9 $ 5.6 $ 35.3 $ 52.5 $ 18.9 Gain on sale of property (4.8) — (18.6) (5.4) (42.0) ERP implementation costs 0.1 0.7 21.3 34.3 12.7 Early redemption of medium-term notes — — — 9.0 — Goodwill Impairment 3.1 15.5 — — — Pension-related adjustments 5.0 — — — — Operating tax adjustments 0.4 — — — — Tax reform-related and other tax adjustments, net 4.7 — — — — Pension lump sum settlement expense 19.4 — — — — Acquisition-related tax adjustment 0.4 — — — — Other items impacting comparability $ 38.3 $ 21.8 $ 38.0 $ 90.4 $ (10.4)
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 115 Adjusted Return on Equity Reconciliation1 ($M) Note: Amounts may not be additive due to rounding. 2022 Forecast as of 1Q22 Revised 2022 Forecast Net earnings $ 670 $ 705 Other items impacting comparability, net5 (35) (35) Income taxes2 295 290 Adjusted earnings before income taxes 930 960 Adjusted income taxes3 (250) (250) Adjusted net earnings [A] $ 680 $ 710 Average shareholders' equity $ 2,840 $ 2,840 Average adjustments to shareholders' equity4 5 5 Adjusted average shareholders' equity [B] $ 2,845 $ 2,845 Adjusted return on equity1 [A]/[B] 24.0 % 25.0 % 1 Non-GAAP elements of this calculation have been reconciled to the corresponding GAAP measures. A numerical reconciliation of net earnings to adjusted net earnings and average shareholders' equity to adjusted average total equity is provided on this slide. 2 Includes income taxes on discontinued operations. 3 Represents provision for income taxes plus income taxes on other items impacting comparability. 4 Represents the impact of other items impacting comparability, net of tax, to equity for the respective period. 5 Other items impacting comparability are comprised of the following: 2022 Forecast as of 1Q22 Revised 2022 Forecast Restructuring and Other, Net $ 40.0 $ 40.0 Gains on sale of properties (35.0) (35.0) Gains on sale of U.K. revenue earning equipment (40.0) (40.0) Other items impacting comparability $ (35.0) $ (35.0)
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 116 Cash Flow Reconciliation ($M) Note: Amounts may not be additive due to rounding. Included in cash flows from investing activities. 1 Included in cash flows from investing activities. 2 Capital expenditures presented net of changes in accounts payable related to purchases of revenue earning equipment. 3 Non-GAAP financial measure. We refer to free cash flow as the sum of net cash provided by operating activities from continuing operations and net cash provided by the sale of revenue earning equipment and operating property and equipment, collections on direct finance leases and other cash inflows from investing activities, less purchases of revenue earning equipment and property. 4 These amounts have been recast to reflect the impact of the lease accounting standard adopted in 2019. Prior full year periods do not reflect the impact from the lease accounting standard. 2014 2015 2016 20174 20184 2014 - 2018 Average 2019 2020 Net Cash Provided by Operating Activities from Continuing Operations $ 1,383 $ 1,442 $ 1,601 $ 1,628 $ 1,718 $ 1,554 $ 2,141 $ 2,181 Proceeds from Sales (Primarily Revenue Earning Equipment)1 497 427 421 429 396 434 518 552 Collections of Direct Finance Leases1 66 71 77 — — 43 — — Other, net1 (1) — — — — — — — Total Cash Generated2 1,944 1,940 2,099 2,057 2,114 2,031 2,659 2,734 Purchases of Property and Revenue Earning Equipment (1) (2,259) (2,668) (1,905) (1,860) (3,050) (2,348) (3,735) (1,147) Free Cash Flow2,3 $ (315) $ (728) $ 194 $ 197 $ (936) $ (318) $ (1,077) $ 1,587
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS 117 Cash Flow Reconciliation ($M) 2021 2022 Forecast as of 1Q22 2022 Forecast Net Cash Provided by Operating Activities from Continuing Operations $ 2,175 $ 2,300 $ 2,300 Proceeds from Sales (Primarily Revenue Earning Equipment)1 822 1,050 1,050 Other, net1 1 — — Total Cash Generated2 2,998 3,350 3,350 Purchases of Property and Revenue Earning Equipment1 (1,941) (2,800 - 2,700) (2,800 - 2,700) Free Cash Flow2,3 $ 1,056 $550M - $650M $550M - $650M Note: Amounts may not be additive due to rounding. Included in cash flows from investing activities. 1 Included in cash flows from investing activities. 2 Capital expenditures presented net of changes in accounts payable related to purchases of revenue earning equipment. 3 Non-GAAP financial measure. We refer to free cash flow as the sum of net cash provided by operating activities from continuing operations and net cash provided by the sale of revenue earning equipment and operating property and equipment, less purchases of revenue earning equipment and property.
SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Speaker Bios
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Speaker Bios Robert Sanchez is chairman and chief executive officer of Ryder System, Inc. (NYSE: R), a leading commercial fleet management, dedicated transportation, and supply chain solutions company. He was named CEO in January 2013 and chairman of the board in May 2013. Over the course of nearly 30 years at Ryder, Mr. Sanchez has held many senior executive leadership positions including president and chief operating officer (COO), chief financial officer (CFO), president of Fleet Management Solutions (FMS), chief information officer (CIO), SVP of Transportation Management within Supply Chain Solutions (SCS), and VP of Asset Management. He has been a member of the company’s Executive Leadership Team since 2003. In his earlier roles, Mr. Sanchez played a key part in implementing the strategy to centralize Ryder’s asset management function and improve its cost management which drove an improvement in the return of capital and earnings of the company. Since 2012, he has led the development and execution of Ryder’s growth strategy focused on the large segment of businesses that do not yet outsource their fleet management and supply chain functions. Before joining Ryder, Mr. Sanchez held engineering positions at Pratt & Whitney Aircraft and Florida Power & Light. Mr. Sanchez is on the Board of Directors of Texas Instruments and a member of the board’s governance and stockholder relations committee. He also serves on the Board of Directors of the Truck Renting and Leasing Association (TRALA), United Way of Miami-Dade (Chairman of the Board), Foundation for Human Rights in Cuba, and Association of Cuban American Engineers (ACAE). He is also a member of the Board of Trustees of the University of Miami and St. Thomas University. Most recently he served on the Board of Directors of Big Brothers Big Sisters of America from July 2018 to June 2021. Mr. Sanchez earned his MBA from The Wharton School at the University of Pennsylvania with a concentration in Finance and Strategic Management and a Bachelor of Science degree in Electrical Engineering from the University of Miami. R O B E R T S A N C H E Z C h a i r m a n & C h i e f E x e c u t i v e O f f i c e r 119
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Speaker Bios Steve Sensing is President of Global Supply Chain Solutions (SCS) and Dedicated Transportation Solutions (DTS) at Ryder System, Inc., a leading commercial fleet management, dedicated transportation, and supply chain solutions company. In this role, Mr. Sensing is responsible for the management, operations, sales, and financial performance of Ryder’s SCS and DTS businesses leading a network of drivers, vehicles, distribution, transportation, e-Commerce, and warehouse operations, as well as a shared network of e-fulfillment and “big and bulky” last mile locations dedicated to specific customers. He is a member of Ryder’s Executive Leadership Team. Previously, Mr. Sensing served as the Vice President and General Manager of the Technology and Healthcare industry groups for Ryder SCS. He worked with customers in the electronics, telecommunications, medical, technology, and appliance manufacturing industries, and his responsibilities included strategic planning, developing new products and services, and leading tactical execution for global operations. With a Ryder career spanning more than 27 years, Mr. Sensing joined the company in 1992 as General Manager leading the operations of Dedicated Contract Carriage solutions for regional accounts. He subsequently served in a variety of positions of increasing responsibility, including Group Manager for Ryder Dedicated; Director of Customer Logistics Distribution Management; and Group Director of Operations for Ryder Integrated Supply Chain Solutions. His experience includes overseeing the network design and operation of Ryder solutions in dedicated transportation, transportation management, network optimization, distribution management, sales, operations, engineering, LEAN, and IT. Before joining Ryder, Mr. Sensing served as Transportation Manager for Trans Fleet Enterprises / Northern Telecom, where he was responsible for managing private fleet operations in the US. Mr. Sensing earned his Bachelor of Science degree in Business Administration from University of Tennessee in Knoxville, where he majored in Logistics and Transportation. He also completed the Executive Development Program at University of Pennsylvania’s Wharton School in 2013, and a strategic innovation session at Vanderbilt University’s Owen Graduate School of Management. Mr. Sensing is a member of the advisory board for the Global Supply Chain Institute at the University of Tennessee’s Haslam College of Business. S T E V E S E N S I N G P r e s i d e n t , G l o b a l S u p p l y C h a i n S o l u t i o n s & D e d i c a t e d T r a n s p o r t a t i o n S o l u t i o n s 120
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Speaker Bios Steve Martin is Senior Vice President of Dedicated Transportation Solutions (DTS) for Ryder System, Inc., a leading commercial fleet management, dedicated transportation, and supply chain solutions company. In this role, Mr. Martin is responsible for leading the strategic direction, customer satisfaction, growth, and business results of Ryder’s DTS business segment, which is a network of drivers, vehicles, and operations all dedicated to specific customers. He is a member of Ryder’s Executive Leadership Team, reporting to Steve Sensing, president of Ryder’s Global Supply Chain Solutions (SCS) business. Previously, Mr. Martin served as Vice President and General Manager of the Automotive, Aerospace & Industrials segment within Ryder’s SCS business where he led teams providing supply chain management for original equipment manufacturers, their supplier and distribution base, as well as a broad range of manufacturing companies. Prior to this position, he served as Vice President of Operations for Ryder’s DTS business unit where he was responsible for the growth and operational execution of customized transportation solutions for Ryder customers in the United States. He also led Ryder’s Oil & Gas team, focusing on integrated transportation solutions designed to improve safety, service, and cost for customers. Mr. Martin joined Ryder in 1988 as Operations Supervisor, supporting the Automotive industry group, and later advanced through the organization to positions of increasing responsibility, both domestically and abroad, leading engineering, quality assurance, and functional teams to support Ryder’s customers in the SCS and DTS business segments. Mr. Martin earned a Bachelor of Science degree in Transportation & Logistics from the University of Tennessee in Knoxville. He completed an executive leadership program at The Wharton School of the University of Pennsylvania and an executive education series on Negotiations & Decision-Making at Harvard Business School. Mr. Martin is an active member of the American Trucking Association (ATA), the largest national trade association for the trucking industry. S T E V E M A R T I N S e n i o r V i c e P r e s i d e n t , D e d i c a t e d T r a n s p o r t a t i o n S o l u t i o n s 121
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Speaker Bios Tom Havens is president of Fleet Management Solutions (FMS) for Ryder System, Inc., a leading commercial fleet management, dedicated transportation, and supply chain solutions company, and a member of Ryder’s executive leadership team. In this role, Mr. Havens is responsible for leading all areas of global business operations for the company's largest business segment, providing full-service leasing, contract maintenance, as well as commercial rental of trucks, tractors, and trailers to customers of all sizes and from across virtually every industry. A 28-year veteran of Ryder, Mr. Havens was most recently senior vice president and global chief of operations for the FMS business unit, a role he held for nearly nine years. Previously, Mr. Havens served as vice president and general manager for FMS in Canada, where he was responsible for developing the country strategy, providing leadership direction for operations, sales, rental and asset management, and financial planning and forecasting. Mr. Havens joined Ryder in 1993 as a rental representative in San Diego. Throughout his tenure with Ryder, he has held a variety of positions of increasing responsibility and various functions, including a rental manager for many locations, asset manager for the west region, general manager for San Francisco, vice president of asset management and vehicle sales, as well as head of operations for Ryder’s west region. He earned his MBA in International Business from San Diego State University and a Bachelor of Arts degree in Economics from the University of Rochester. T O M H A V E N S P r e s i d e n t , F l e e t M a n a g e m e n t S o l u t i o n s 122
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Speaker Bios Karen Jones is executive vice president, chief marketing officer (CMO), and head of new product development for Ryder System, Inc., a leading supply chain, dedicated transportation, and commercial fleet management solutions company, and a member of Ryder’s Executive Leadership Team. As CMO, she is responsible for integrating the management of all marketing and brand- related activities across Ryder to drive growth and enhance brand value. As part of her product development role, Karen leads the creation of new product innovations and RyderVentures for Ryder’s three business segments that lead to revenue generation and better customer experiences. Prior to joining Ryder, Karen was CMO for NRG / Reliant Energy, Inc., where she was responsible for launching the company’s new corporate brand in 2010. Prior to that, she served as senior vice president of marketing and corporate communications for DHL Express in the United States. Her marketing efforts at DHL resulted in the largest awareness increases in the company’s history and within the logistics category, which were considered a major contributor to the advancement of DHL’s recognition in the “Top 100 Most Valuable Brands” by BrandZ. Prior to DHL, Karen served in positions responsible for worldwide brand advertising, sponsorship, strategic alliances, and product marketing for Hewlett Packard and Compaq Computer Corporation. She was named among the “Pros to Know 2021” by Supply & Demand Chain Executive; “Influential Business Women of 2019” by South Florida Business Journal; “CMO of the Year” by South Florida Business & Wealth magazine in 2017; “Most Powerful & Influential Women in Business” by the National Diversity Council in 2014; “Marketer of the Year” by BtoB magazine in 2005; and was ranked in the annual “Best Issue” by BtoB magazine from 2006 to 2008. Karen serves on the executive boards of Jackson Memorial Health Foundation and Boothbay Harbor Memorial Library Foundation. Karen holds a B.A. in Journalism from the University of Houston. K A R E N J O N E S E x e c u t i v e V i c e P r e s i d e n t & C h i e f M a r k e t i n g O f f i c e r 123
R Y D E R 2 0 2 2 I N V E S T O R D A Y SUPPLY CHAIN | DEDICATED TRANSPORTATION | FLEET MANAGEMENT SOLUTIONS Speaker Bios John Diez is executive vice president and chief financial officer for Ryder System, Inc., a leading commercial fleet management, dedicated transportation, and supply chain solutions company. He is responsible for Ryder’s financial management functions including finance and accounting, treasury, tax, audit, corporate strategy, and investor relations. He is a member of Ryder’s executive leadership team. From 2019 to 2021, Mr. Diez was president of Ryder’s Fleet Management Solutions (FMS) business unit, the company's largest business segment. He led all areas of global fleet operations which included providing full-service leasing, contract maintenance, as well as commercial rental of trucks, tractors, and trailers to customers across a variety of industries. Previously, from 2015 to 2019, Mr. Diez was president of Ryder’s Dedicated Transportation Solutions (DTS) business unit where he was responsible for setting the strategic direction of DTS, which combines vehicles, drivers, and administrative services with drivers and additional value-added services, all dedicated to a specific customer. Prior to that role, Mr. Diez held the title of senior vice president of DTS. He also served as senior vice president of asset management, in which he led all aspects of strategy, operations, capital and operating planning, and corporate compliance for the commercial rental, used vehicle sales and strategic sourcing organizations. Earlier, Mr. Diez was senior vice president of global field finance, where he managed the finance functions for global operations. Earlier, he was vice president and CFO for the FMS business segment. Mr. Diez started his career in the audit practice of KPMG LLP prior to joining Ryder. He is a member of the Board of Directors for Trinity Industries, Inc. (NYSE: TRN). A licensed Certified Public Accountant (CPA) and a member of the American Institute of CPAs, Mr. Diez earned both his Bachelor of Science and Master of Science in Accounting from Florida International University. J O H N D I E Z E x e c u t i v e V i c e P r e s i d e n t & C h i e f F i n a n c i a l O f f i c e r 124
