Shares of Ryder System Inc. tumbled 6% in premarket trade Tuesday, after the fleet management company posted weaker-than-expected earnings and lowered its outlook for the full year. Ryder said it had net income of $38.3 million, or 71 cents a share, in the first quarter, down from $56.2 million, or $1.05 a share, in the year-earlier period. Adjusted per-share earnings came to 82 cents, below the FactSet consensus of 84 cents. Revenue rose to $1.7 billion from $1.6 billion, matching the FactSet consensus. The results "came in at the bottom end of our forecast range, driven by weaker than expected rental demand, which is consistent with the soft freight environment," Chief Executive Robert Sanchez said in a statement. "In addition, used vehicle sales results were slightly below plan, due to modestly lower pricing." The company lowered its full-year EPS outlook to $3.90 to $4.20 from a prior forecast of $4.78 to $5.08. It cut its adjusted EPS forecast to $4.25 to $4.55 from a prior range of $3.10 to $5.40. Shares have gained 6% in 2017, while the S&P 500 has gained the same amount.
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