Auto Rental News
MenuMENU
SearchSEARCH

Zipcar Narrows Loss in First Quarter

For the first quarter of 2012, Zipcar reports a net loss of $3 million compared to a loss of $6.1 million in the prior year period.

by Staff
April 25, 2012
3 min to read


Zipcar Inc. reported its financial results on April 25 for the first quarter ended March 31, 2012.

“Our first quarter results set the stage for a strong 2012,” said Scott Griffith, Zipcar chairman and CEO. “During the period, we generated 22% revenue growth in our North American markets while improving performance in our UK operations. We remain on track to deliver our first full year of U.S. GAAP net income based on our growth trajectory, our leading brand and our first-to-scale advantage.”

Summary Results

For the 2012 first quarter, revenue increased 20% to $59.1 million compared to $49.1 million in the prior year period. Revenue growth resulted primarily from a 23% year-over-year increase in membership to more than 709,000 members at quarter end. Usage revenue represented $49.2 million in the first quarter of 2012, compared to $41.9 million in the prior year period.

Fee revenue, which substantially made up all the remaining revenue in both periods, represented 17% of total revenue in the 2012 first quarter compared to 15% in the prior year period.

In Zipcar’s “Established Markets” — Boston, New York, Washington, D.C. and San Francisco — first quarter revenue grew 21% to $32.8 million compared to $27.1 million in the prior year period, driven by new member additions. Income before tax for the Established Markets represented 21% of revenue in the first quarter 2012 compared to 17% in the prior year period.

U.S. GAAP net loss in the first quarter of 2012 was $3 million, or $0.08 per share, compared to a loss of $6.1 million, or $0.95 per share, in the prior year period, during which the outstanding share count was substantially lower.

Adjusted EBITDA for the 2012 first quarter broke even compared to a loss of $1.9 million in the prior year period.

Ad Loading...

Outlook

For full year 2012, Zipcar reiterates its revenue outlook in the range of $290.0 million to $296.0 million. The company is increasing its full year 2012 profitability outlook with Adjusted EBITDA now expected to range from $16.0 million to $20.0 million and U.S. GAAP net income expected to range from $3 million to $7 million.

Zipcar is introducing its guidance for the 2012 second quarter, with revenue expected in the range of $71 million to $74 million, Adjusted EBITDA expected in the range of $2 million to $4 million and U.S. GAAP net income/loss expected in the range of a net loss of $1 million to net income of $1 million.

Zipcar’s average share count is expected to be between 39.5 million to 40.5 million for the second quarter and between 40 million and 41 million for the full year. Common stock equivalents of approximately 3 to 4 million shares would be included in fully diluted shares outstanding for each period during which the company reports US GAAP net income.

Zipcar reports that it has approximately 9,300 vehicles in urban areas and college campuses throughout the United States, Canada, the United Kingdom and Spain. The company offers more than 30 makes and models in its hourly car rental service. More information is available at http://www.zipcar.com.

More Rental Operations

thumbnail of title and photo of Joel Price and Chris Brown
Rental Operations•by Chris Brown•October 20, 2026

How Did This Independent Rental Operator Grow to 170 Vehicles in 4 Years?

With 170 vehicles across three Kentucky locations, Joel Price relies on an overseas team to handle reservations, payments, and after-hours customer service. It's one part of an unconventional approach to growing an independent rental operation.

Read More →
thumbnail what does it take to succeed in b2b rentals
Rental Operations•by Chris Brown•October 12, 2026

What Does It Take to Succeed in B2B Rentals?

The fundamentals may be familiar to daily car rental operators, but project-based truck rentals put different demands on the fleet and the business.

Read More →
Photo of Ana Laborde and world map
Rental Operations•by Chris Brown•October 12, 2026

NPR Builds on International Partnerships to Grow Rental Bookings

With Ana Laborde supporting broker development, NPR Auto Group is tailoring distribution strategies, rate packages, and partnerships to grow international reservations across its three brands.

Read More →
Ad Loading...
Rental car agent shows woman her choice of rental car
Rental Operations•by Chris Brown•October 7, 2026

Advantage, Sixt Place Among Top Five in Annual Satisfaction Study

While Enterprise and National retain the top spots in JD Power’s 2026 rankings, the latest customer satisfaction results suggest renters can find competitive service beyond the biggest car rental names.

Read More →
an exotic car wrapped in an insurance policy
Rental Operations•October 1, 2026

The $100,000 Insurance Trap in Exotic Car Rentals

Exotic rental agencies often rely on customers’ personal auto policies to protect six-figure vehicles. But policy language can dramatically change the coverage for vehicles over $100,000 MSRP.

Read More →
globe of world and drivers license from UK
Rental Operations•September 28, 2026

The Booking Is Confirmed, But Is Your Customer Ready to Drive?

For international renters, a confirmed reservation doesn’t always mean they’re eligible to drive. Earlier checks can help operators catch documentation and payment issues before the customer reaches the counter.

Read More →
Ad Loading...
Scenes from Car Rental Shows past
Rental Operations•by Staff•September 23, 2026

ICRS 2027 Opens Call for Papers

The International Car Rental Show seeks session proposals on the business, operational, and technology issues facing car rental operators. Submissions are due Jan. 15.

Read More →
hand holding phone and Turo logo
Rental Operations•by Staff•September 21, 2026

Turo to Launch Vehicle Delivery Service

Turo Delivered will let travelers search for vehicles that hosts can deliver directly to hotels, homes, airports, train stations, and other locations.

Read More →
plane, palm trees, car rental sign
Rental Operations•by Chris Brown•September 15, 2026

Palm Beach Airport Code Change Creates Car Rental Distribution Gap

A test of rental searches under the old PBI and new DJT airport codes returned largely different sets of brands and vehicles, highlighting a potential distribution problem for rental operators.

Read More →
Ad Loading...
Team members of U-Save's new franchise
Rental Operations•by Staff•September 15, 2026

U-Save Continues Dominican Republic Expansion with Launch in Punta Cana

The new franchise location builds on U-Save’s existing Santo Domingo operation and will begin taking reservations for October 2026.

Read More →
Ad Loading...