Ryder Launches New Share Repurchase Programs to Enhance Shareholder Value and Maintain Capital Flexibility
Ryder System, Inc. (NYSE: R), a leader in supply chain, dedicated transportation, and fleet management solutions, announced that its Board of Directors has authorized two new share repurchase programs—one discretionary and one anti-dilutive. Together, these initiatives are designed to strengthen shareholder value, maintain capital structure flexibility, and offset potential dilution from employee equity programs, underscoring Ryder’s disciplined approach to capital allocation and long-term growth.
Strengthening Capital Flexibility Through a New Discretionary Plan
Under the newly authorized discretionary repurchase plan, Ryder management has been granted the authority to repurchase up to 2.0 million shares of common stock between October 9, 2025, and October 9, 2027. This two-year program enables the company to make opportunistic share repurchases depending on market conditions and strategic priorities.
According to Ryder, this plan provides management with an important financial tool for optimizing its capital structure—balancing leverage and liquidity with other key corporate priorities such as reinvestment in organic growth, funding strategic acquisitions, and ensuring competitive shareholder returns.
The discretionary program replaces Ryder’s previous 2.0 million-share repurchase authorization from 2024, which has been largely completed. Through consistent execution of such programs, the company continues to demonstrate its ability to return excess capital to shareholders while retaining the flexibility needed to pursue growth opportunities.
Maintaining Shareholder Value Through Anti-Dilutive Repurchases
In parallel, Ryder’s Board also approved a new anti-dilutive repurchase plan, authorizing management to buy back up to 1.5 million shares of common stock issued to employees under the company’s various stock-based compensation programs since August 31, 2025. Like the discretionary plan, the anti-dilutive program will also run for two years, from October 9, 2025, through October 9, 2027.
This plan directly supports Ryder’s efforts to offset the dilutive impact of employee stock issuances—a common practice among public companies aiming to protect existing shareholders from ownership dilution. It effectively ensures that employee equity awards, which are an important part of Ryder’s talent retention and incentive strategy, do not diminish the overall value of shareholders’ stakes.
The anti-dilutive authorization replaces the company’s 2023 anti-dilutive plan, which expired on October 12, 2025, further demonstrating Ryder’s commitment to maintaining shareholder value over time.
CEO Robert Sanchez Emphasizes Strategic Discipline and Shareholder Commitment
Ryder’s long-term approach to capital management has consistently balanced growth investments with shareholder returns. Commenting on the new repurchase programs, Robert Sanchez, Chairman and Chief Executive Officer of Ryder, highlighted the company’s continued success in executing its balanced growth strategy:
Consistent execution of our balanced growth strategy is increasing the earnings and return profile of our business while also growing our capital deployment capacity,” said Sanchez. “Ample capacity and our strong balance sheet support capital allocation priorities focused on profitable growth, strategic investments, and returning capital to shareholders. Since 2021, we have repurchased approximately 22% of our shares outstanding and have increased our quarterly dividend by 57%. Our new share repurchase program and the dividend increase we announced earlier this year demonstrate our commitment to disciplined capital allocation.”
Sanchez’s statement underscores Ryder’s reputation for maintaining financial discipline even as it expands its operational footprint and invests in innovation. The company’s ability to combine shareholder-friendly initiatives—like dividends and buybacks—with sustained investment in strategic growth has been a key driver of long-term investor confidence.
Share Repurchase Execution and Market Considerations
Ryder stated that repurchases under both new programs may be conducted periodically using its available working capital. The company may employ a range of transaction methods, including open-market purchases and Rule 10b5-1 trading plans established under the Securities Exchange Act of 1934.
Rule 10b5-1 plans allow companies to repurchase shares according to pre-established trading instructions, helping to avoid the appearance of insider trading while maintaining consistency even during blackout periods. This approach allows Ryder to execute buybacks in a transparent and compliant manner, while still benefiting from market timing flexibility when opportunities arise.
The timing and number of shares ultimately repurchased will depend on a variety of factors, including market conditions, stock price levels, available liquidity, and other business considerations. As of September 30, 2025, Ryder reported approximately 40.4 million shares of common stock outstanding, providing context for the scale of the new repurchase authorizations relative to total shares.
A Consistent Track Record of Value Creation
Ryder’s announcement builds on a strong track record of returning capital to shareholders while pursuing profitable growth initiatives. Over the past several years, the company has steadily improved its earnings performance, operating efficiency, and capital allocation discipline—allowing for both substantial share repurchases and dividend increases.
Since 2021, Ryder’s combined capital return through buybacks and dividends has significantly enhanced shareholder value. The company’s 22% reduction in outstanding shares has improved per-share metrics such as earnings per share (EPS) and return on equity (ROE), while its 57% increase in quarterly dividends highlights a growing confidence in sustained cash flow generation.
These results stem from Ryder’s strategic evolution toward higher-margin, technology-driven, and contract-based businesses. The company’s focus on logistics outsourcing, dedicated transportation services, and digital fleet management has improved its long-term earnings resilience—further supporting capital deployment flexibility for initiatives like the new buyback plans.
Strategic Outlook: Investing for Growth While Returning Capital
Looking ahead, Ryder’s capital allocation strategy continues to emphasize a balanced approach—funding organic and inorganic growth while returning excess capital to shareholders.
The discretionary repurchase plan gives management the flexibility to respond quickly to market opportunities, whether by buying undervalued shares or investing in new business segments that align with Ryder’s long-term strategy. Meanwhile, the anti-dilutive plan ensures that employee incentive programs remain shareholder-neutral, supporting both workforce engagement and investor value protection.
Ryder’s ability to maintain this balance is supported by its robust balance sheet, ample liquidity, and strong free cash flow generation, which together provide a foundation for sustained financial performance even amid evolving economic and industry conditions.
Commitment to Long-Term Shareholder Value
By authorizing these two repurchase programs, Ryder reinforces its ongoing commitment to shareholder value creation and prudent financial management. The combination of discretionary and anti-dilutive buybacks demonstrates a multi-layered capital return strategy—one that balances flexibility, growth, and investor protection.
As the company continues executing its strategic initiatives—ranging from supply chain optimization and fleet electrification to technology-driven logistics solutions—its disciplined approach to capital allocation positions it for continued growth and shareholder confidence.
With strong fundamentals, a proven management team, and a clear commitment to returning value, Ryder’s new share repurchase authorizations reflect not just financial strength but also long-term strategic vision.
