Hertz Global Holdings released its Q3 financial results today, reporting a total revenue of $2.8 billion, a 7% increase versus the third quarter 2017.
Income before income taxes for the third quarter 2018 was $181 million versus $143 million in the same period last year. Third quarter 2018 net income attributable to Hertz Global was $141 million, or $1.68 per diluted share, compared to $93 million, or $1.12 per diluted share, during the third quarter 2017.
The company reported adjusted net income for the third quarter 2018 of $180 million, or $2.14 adjusted diluted EPS, compared to $118 million, or $1.42 adjusted diluted EPS, for the same period last year. Adjusted corporate EBITDA for the third quarter 2018 was $351 million, compared to $321 million in the same period last year.
"Our operational turnaround continues to move forward as reflected by our fourth consecutive quarter of year-over-year revenue and adjusted earnings growth," said Kathryn V. Marinello, president and CEO of Hertz Global. "We are balancing our priorities of targeting a higher-quality revenue mix, while making investments in our operations, brands, and technologies to optimally position the company for long-term, sustainable growth."
Third Quarter 2018 Compared to Third Quarter 2017:
- Total revenues increased 7%; U.S. RAC total revenues up 10%
- Net income attributable to Hertz Global improved 52% to $141 million
- Adjusted corporate EBITDA improved 9% to $351 million
- U.S. RAC total RPD up 3%
- U.S. RAC net depreciation per unit per month decreased 15%
Hertz's international RAC segment revenues increased 1%, and increased 3% when excluding the impact of foreign currency. Total RPD increased 3%, and excluding the impact of Brazil, total RPD increased 1%. Volume was flat versus the prior-year quarter and increased 2% excluding Brazil. The results excluding Brazil were driven by solid growth in the Asia/Pacific region, along with moderate leisure growth in Europe.
Net depreciation per unit per month increased 3%, or 1% excluding Brazil.
Adjusted corporate EBITDA for international RAC decreased 11% compared with a year ago driven by increased direct vehicle operating expenses and vehicle depreciation.