Avis Budget Group Reports Second Quarter 2024 Financial Results

Avis Budget Group Reports Second Quarter 2024 Financial Results

Parsippany, N.J., Aug. 05, 2024 (GLOBE NEWSWIRE) — Avis Budget Group, Inc. (NASDAQ: CAR) announced its financial results for the second quarter of 2024.

Key Financial Metrics

Interpretation : Despite falling short of the consensus revenue estimate of $3.14 billion, Avis Budget Group managed to demonstrate steady financial performance with revenues exceeding $3.0 billion and a net income of $15 million. The adjusted EBITDA for the quarter reached $214 million, signifying strong operational performance.

Revenue Performance by Segment

Interpretation : The Americas segment saw adjusted EBITDA of $186 million, driven by a 1% increase in rental days and month-to-month improvement in revenue per day, although June finished with a slight 2% dip compared to June 2023. The international segment exhibited robust growth with an adjusted EBITDA of $48 million, underpinned by a 5% increase in rental days and improved vehicle utilization.

Key Operational Data

Officer Comments

Joe Ferraro, CEO of Avis Budget Group, highlighted, "As the second quarter progressed, demand elevated with pricing and vehicle utilization sequentially improving. Our actions to align fleet size with demand enabled us to start Q3 strongly, particularly around the Fourth of July holiday."

Dividends and Share Repurchase Program

No announcements were made regarding dividends or a share repurchase program.

Forward Guidance

The earnings release did not provide specific forward guidance but mentioned the alignment of fleet size to demand as a positive catalyst for upcoming quarters.

Stock Price Movement

Following the earnings announcement, Avis Budget Group's stock experienced a slight decrease of -0.57%.

Overall, Avis Budget Group's second quarter of 2024 demonstrated robust financial performance and positive operational metrics, setting a solid foundation for future growth.