💙 🔷 Not impressed by Big Tech in Q3? Explore these Blue Chip Bargains insteadUnlock them all

Hertz stock falls 7% on wider-than-expected Q2 loss, revenue miss

EditorRachael Rajan
Published 2024-08-01, 08:27 a/m
© Reuters
HTZ
-

Hertz (NASDAQ:HTZ) Global Holdings (OTC:HTZGQ), Inc. (HTZ) reported its second-quarter 2024 financial results on August 1, 2024.

HTZ reported revenue of $2.4 billion for the second quarter, slightly below the analyst consensus estimate of $2.47 billion. This represents a 3% year-over-year increase from the $2.437 billion reported in Q2 2023.

Shares were down 7% in Thursday's premarket session following the results.

The company reported an adjusted net loss of $440 million for the quarter, compared to an adjusted net income of $227 million in the prior-year quarter. This marks a significant decrease in profitability.

HTZ recorded an adjusted diluted loss per share of $1.44 for the second quarter, falling short of the analyst estimate of a loss of $1.02. In Q2 2023, the company had reported an adjusted diluted EPS of $0.72.

Adjusted Corporate EBITDA came in at $460 million, a sharp decline from the $347 million reported in the same quarter last year.

Total RPD, a measure of average daily revenue, increased by 3% year-over-year to $59.65 in Q22024, compared to $61.62 in Q2 2023.

Total RPU Per Month, indicating revenue generated per vehicle, declined by 5% to $1,446 in the second quarter, compared to $1,527 in the previous year's corresponding quarter.

Vehicle utilization, which measures the efficiency of the rental fleet, improved from 82% in Q2 2023 to 80% in Q22024.

DPU, representing the average depreciation expense per vehicle per month, increased notably from $197 in Q22023 to $600 in Q22024.

Gil West, Hertz CEO, highlighted the company's progress in fleet optimization and cost management initiatives. He mentioned that Hertz is focused on driving enhanced profitability through operational excellence, customer service improvements, and strategic fleet management.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.