Hertz is in the midst of a fleet rotation that includes a significant selloff of vehicles, which it expects to be completed by the end of 2025, Hertz executives said on a Thursday morning earnings call.
The fleet move is similar to that of competitor Avis Budget Group, which detailed its plans earlier this week.
"As of year-end 2024, over 60 percent of our fleet was comprised of vehicles one year old or less, and we remain on track to substantially complete our fleet rotation by year-end 2025," Hertz CEO Gil West said.
In the fourth quarter, Hertz sold 100,000 vehicles, up from just over 30,000 in Q4 2023, West said, adding that the company has completed the reduction of 30,000 electric vehicles from its fleet, announced last year.
"Moving forward, we recognize the strategic value of EVs in the markets with established product market fit and infrastructure," West said.
Hertz Q4, FY2024 Metrics
Hertz reported fourth-quarter revenue of $2 billion, down 7 percent year over year, "largely driven by a decrease in volume," Hertz CFO Scott Haralson said. Its quarterly net loss was $479 million, which exceeded the $348 million loss reported a year prior.
Full-year revenue was $9 billion, a decrease from the $9.37 billion reported in Q4 2023. The company also reported a net loss for 2024 of $2.86 billion compared with net income of $616 million in 2023.
The Americas segment fourth-quarter revenue was $1.67 billion, down 8 percent year over year. Full-year revenue for the segment was $7.4 billion, down from the $7.72 billion reported a year prior. International revenue for the quarter was $371 million, down 2 percent from Q4 2023. International full-year revenue of $1.65 billion was flat compared with 2023.
Rentable vehicles for the Americas declined 5 percent year over year during the fourth quarter to about 400,000 and for international regions declined 7 percent to about 98,000.
Revenue per day in the Americas for Q4 was $57.06, down 3 percent year over year. International RPD for the quarter increased 2 percent to $57.26. For the full year globally, RPD was down 3 percent year over year to $59.14.
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