Hertz on Wednesday reported increased revenues and business
travel volume during the second quarter, and Dollar Thrifty also reported
increased rental activity for the period.
Compared with the second quarter of 2009, Hertz worldwide
car rental revenues were up 9.3 percent to $1.6 billion, the company reported.
Hertz chairman and CEO Mark Frissora said in a conference call to investors that
rental volume from its top corporate accounts was up 20 percent to 25 percent
year over year, and volume is beginning to pick up from smaller accounts as
well.
"They were flat about a quarter ago, and now they're up
6 to 7 percent," he said. "Once our small business accounts start to
ramp up, that will accelerate the year-over-year increase going into the fourth
quarter."
Despite the increase in volume, pricing continues to vary
significantly, Frissora said. Overall rental rate revenue per transaction day
was down 0.1 percent compared with the previous year, and down 1.2 percent
within the United States, but it increased at Hertz's off-airport locations,
according to the company.
Dollar Thrifty, meanwhile, reported that its same-store
rental revenues were up 2.9 percent year over year. "We are pleased with
the results for the quarter, having realized increases in transaction days and
utilization on a same-store basis, while continuing to realize pricing
improvement in a more challenging and competitive pricing environment,"
Dollar Thrifty president and CEO Scott Thompson said in a statement.
Dollar Thrifty shareholders next month will vote whether to
approve a proposed merger agreement with Hertz. Avis Budget last week issued a counteroffer to acquire the company. Dollar Thrifty on Tuesday responded that while
Avis Budget's proposal was more financially favorable to shareholders than
Hertz's proposal, it was unable to deem it a superior proposal because it
lacked a reverse termination fee and sufficient data to support antitrust
approval.