Sixt AG Reports Record Profits

In the first three months of 2007, Sixt AG, Germany's largest car rental company, reported record figures for its consolidated operating revenue and operating profit.

The company, which provides rental cars in more than 85 countries, says its vehicle rental and leasing business units both saw a continuation in the success of previous years, with foreign business proving particularly dynamic.

“The record figures for the first three months of this year are the result of Sixt's significantly improved sales performance in recent years,” said Sixt AG Chairman Erich Sixt. “The broader customer base, together with the positive economic climate and the mild winter, led to increased demand for mobility services.”

Consolidated operating revenue from its rental and leasing business (excluding revenue from the sale of used leasing vehicles), which best reflects Sixt's business development, rose by 9.0 percent in the first quarter to EUR 309.4 million (Q1 2006: EUR 283.7 million).

Foreign business boosted operating revenue from EUR 48.1 million in the first quarter of 2006 to EUR 59.1 million, an increase of 22.8 percent. This lifted the international share of total operating revenue by 2.1 percentage points compared with the prior-year period, to 19.1 percent.

Total consolidated revenue (including revenue from the sale of used leasing vehicles) was EUR 362.5 million, 4.6 percent less than in the same period of the previous year (EUR 379.9 million).

The reason for this was the substantially lower sales revenue in the leasing business, which is subject to significant fluctuation depending on individual decisions how vehicles are refinanced and as a result of closing date effects, the company reports.

Consolidated profit before taxes (EBT) increased by 11.6 percent, from EUR 32.7 million in the prior-year quarter to EUR 36.5 million.

Consolidated profit for the quarter increased by 12.9 percent to EUR 22.7 million (Q1 2006: EUR 20.1 million); this was due to a proportionately slightly lower increase in taxes.

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