R
#Thank you.
Sure.
It's about $1.50 now.
And I'm thinking about the high end of the range is about $1.50.
It's a little bit more weighted now towards used-vehicle sales.
So, as you know, used-vehicle sales in the forecast I mentioned got worse than from our previous forecast.
And we also took a little bit extra gas in terms of less volume in Q3.
Yes, I think that's really a positive part of the story.
The good work that <UNK> and his team did in the first half of the year, and really rapidly rightsizing that fleet to get utilization levels really back up to the levels that we like to see, and back up over 76%.
So I think as you look at the margin impact of a dropping demand, we probably saw the worst of it in Q2 where really we still had too many units in the fleet during the middle of that quarter and we had lost the revenue.
Now, we have rightsized the fleet so basically the pull through ---+ the negative pull through has been minimized.
It's going to be at that least rental margin percentage somewhere in the 30% plus level where you're going to get negative pull through in the lost revenue.
That should catch the tail sometime in the middle of next year.
We start to see then some year-over-year improvements.
All right.
Thank you, <UNK>.
Good morning, <UNK>.
Yes, I'll give you an example.
Bonus would actually fall into the bucket that we call compensation, so compensation is going to be less of a headwind than what we had originally expected, because we're paying out less bonus.
Well, no, our guidance had been around $200 million, so really ---+
Original.
We started the year at $100 million, we upped it last quarter to $200 million, and we're sticking with that.
So we are in that range of cash CapEx of around $1.9 billion for the full year is what's embedded in that guidance.
And the other thing is, remember, we spent $90 million this year on rental and that's done at the beginning of the year.
So you get that headwind in the first half of the year in terms of free cash flow and now you're in the second half is when you generate more.
Some of that is just normal seasonality I would say.
Okay.
Thanks, <UNK>.
Yes.
I can't pin down an exact number until we have the range and the earnings guidance.
We'll probably end up still above the target range, above the 8,000.
It's just a matter of we don't want to get too far above it.
So we ended up ---+ if you really looked at comparable numbers, we ended the quarter ---+ the third quarter, at 9,000 units.
That was down 100 units from the second quarter.
So what we're going to do is probably be in that range, maybe a little bit lower.
It all ---+ depending on how much we are able to or decide to wholesale.
So what we're trying to do is make sure we don't get too far above where we're at right now.
We want to stay within striking distance of that 8,000, and that's really the game plan as we go into Q4.
Again, unless the market changes and we have an opportunity to do more.
Yes, we expect that higher level of units being prepared for sale to continue for several quarters because, we're really not in a hurry to go out and get these units out to the UTC.
We've got plenty of units to sell.
So I don't see that as necessarily the fourth quarter, they will probably bleed in over the next several quarters.
But, to your earlier point on the opportunity to bring the inventory down, we're in agreement with that, the issue just becomes what's the trade-off of price versus volume.
And there's times when no matter how much lower, you're not going to get the volume.
So what we've been doing is just trying to keep that balance.
And if we see an opportunity and we see that the market is there, you going to see us try to move more units and get into that range.
It's just we're trying to be prudent about what that opportunity might be at this point.
Yes, we're at 37 months, which is versus last year was three months ---+
Last year one month down.
<UNK>, this is <UNK>.
Versus last year that's one month improvement, and sequentially it's flat.
Correct.
Thanks, <UNK>.
It's generally going to be around what you saw in the third quarter, so it's low 35% range, in that same area.
That's typical for us for the second half of the year.
Hey, <UNK>, it's <UNK>.
There's really no change.
It's just reflective of what's happening with used trucks.
FX is impacting us, it's been impacting us the whole year.
About 1% of revenue this quarter and 1% of earnings.
So we expect that to continue here over the balance of the year.
Okay, thanks, everyone.
Thanks for taking the time to be on the call and thanks for your interest in Ryder.
I'm sure we'll be seeing you over the next several months as we get out to some conferences and road shows.
Thanks, everyone, have a great day.
