Sixt Increases Revenue While Profits Dip

Sixt AG reported on Nov. 19 its earnings for the third quarter, in which rental revenue was EUR 273.0 million compared to the same quarter of 2011 at EUR 255.0 million, which is a 7.1% increase. Including its leasing segment, Sixt’s total consolidated revenue for the third quarter increased 1.3%, to EUR 427.8 million.

In total, Sixt AG is reporting a third quarter consolidated profit before taxes (EBT) of EUR 40.6 million, which is down 8.2% compared to the third quarter last year.

In the first nine months of 2012, the Vehicle Rental Business Unit generated rental revenue of EUR 725.7 million, an increase of 7.6% compared to the nine-month period last year. International business continued to grow vigorously, the company said, with rental revenue gaining 20.1%. It also commented that its units launched in the U.S. have also already begun making “noteworthy” contributions to revenue.

Vehicle rental’s EBT for the first nine months was EUR 93.8 million, down 5.4% from the equivalent figure from last year of EUR 99.2 million. The company said that in light of operating expenses coupled with start-up costs to establish the U.S. business and its DriveNow car sharing program, the earnings result is satisfactory.

With a companywide EBT of EUR 104.0 million for earnings from January through September 2012, which is slightly below the prior-year’s record level, Sixt said that for 2012 as a whole, it still expects that consolidated revenue will grow, and that the company will show a solid profit.

“Even amid a difficult economic environment, Sixt continues to grow and has consolidated its standing as one of the world’s most profitable vehicle rental companies,” said Erich Sixt, chairman of the managing board of Sixt AG. “Business performance for the first nine months of 2012 demonstrates the internal strength our Group has achieved. We continue to be extremely pleased with our international business, which in some cases has been showing substantial double-digit growth rates. All in all, the results we can show after nine months are more than respectable.”

Fleet Size

In the first nine months of 2012, Sixt added a total of 118,500 vehicles, worth EUR 2.86 billion, to its rental and leasing fleet inside Germany and internationally, compared to 116,600 vehicles worth EUR 2.78 billion for the same period last year. This represents an increase of 1.6% in the total number of vehicles and 2.8% in vehicle value. In the third quarter, in view of less auspicious economic conditions in Europe, Sixt said it pursued a deliberately conservative policy in calling up contingents of vehicles.

Click here to see additional third quarter and other quarterly statements from car rental companies operating in the U.S.

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