Hertz Improves Revenues, Narrows Loss in Q1
In the first quarter of 2018, Hertz Global Holdings reported total revenues of $2.1 billion and decreased net loss by 9% based on an increase in transaction days, a decrease in per-unit depreciation expense, and an increase in pricing excluding ride-hailing rentals.

Photo: Enjosmith/Flickr
Photo via Enjosmith/Flickr.
For the first quarter 2018, Hertz Global Holdings reported total revenues of $2.1 billion, an 8% increase versus the first quarter 2017. First quarter 2018 net loss narrowed to $202 million compared with a net loss of $223 million during the first quarter 2017.
Total U.S. rental car revenues increased 5% versus the prior year quarter as a result of a 6% increase in transaction days and a 1% decline total RPD. Excluding revenue from value-added services and the growth in ride-hailing rentals, time and mileage pricing increased 3%, the company reported.
"We entered 2018 a stronger company than one-year ago with positive underlying revenue momentum as our strategies to enhance fleet, customer service and brand value are gaining traction," said Kathryn V. Marinello, president and chief executive officer of Hertz. "At the same time, we have fortified our leadership team and are managing our assets more effectively. The early progress is motivating for our employees and being recognized by our customers. But we still have work to do, reflecting the significant opportunities in front of us, as we position our business for sustainable, long-term growth."
Utilization improved to 79% on higher transaction day volume. Hertz’s fleet size declined nearly 3% in the quarter, excluding the growth in fleet specifically dedicated to ride-hailing rentals.
Monthly net per unit vehicle depreciation expense decreased 13% to $302 as a result of more favorable purchase prices on like-for-like model-year 2018 vehicles, an increased penetration of remarketing vehicles through higher-yielding sales channels, and significantly decreased losses in 2018 versus 2017 that were incurred as part of the prior year quarter's rebalancing of the fleet mix and level.
These savings were partially offset by higher expenses associated with Hertz’s operating turnaround initiatives.
Internationally, Hertz increased revenues by 14% in the quarter — from $411 million in 2017 to $468 in 2018 — while adjusted pre-tax loss widened from $4 to $6 million. Hertz’s international operations experienced a 2% decrease in transaction days and an overall increase in monthly per-unit depreciation expense of 9%.
Related Content: Avis Grows Revenue 7%, Record $2 Billion in Q1
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