Global Operations - As of December 31, 2023, Hertz operated approximately 11,400 rental locations globally across about 160 countries, making it one of the largest vehicle rental companies worldwide[37]. - The Americas RAC segment includes substantial company-operated rental locations primarily in the U.S. and Canada, while the International RAC segment has a majority of locations in Europe[41]. - As of December 31, 2023, Hertz had approximately 1,900 airport rental locations in the Americas RAC segment and approximately 1,500 in the International RAC segment[49]. - The company maintains a substantial network of franchisee locations, with 72% of franchised locations in markets covered by the International RAC segment as of December 31, 2023[41]. Revenue and Financial Performance - Off airport rental revenues comprised 34% of total worldwide vehicle rental revenues in 2023, up from 32% in 2022[47]. - Hertz Gold Plus Rewards members accounted for approximately 33% of worldwide rental transactions for the year ended December 31, 2023[80]. - Franchisee fees comprised approximately 2% of the company's worldwide vehicle rental revenues for the year ended December 31, 2023[96]. - The U.S. vehicle rental industry generated approximately $38.4 billion in estimated annual revenues for 2023, with an average of 2 million vehicles in operation[117]. - The company operated a peak rental fleet of approximately 467,000 vehicles in the Americas RAC segment and 124,600 vehicles in the International RAC segment as of December 31, 2023[101]. Fleet Management and Vehicle Strategy - The average holding period for rental vehicles sold in the Americas RAC segment was 20 months, down 20% compared to 2022, while in the International RAC segment it was 16 months, down 11%[102]. - The company’s vehicle repurchase programs limit residual risk and allow for flexibility in fleet size based on market demand[111]. - The company has introduced electric vehicles (EVs) to its fleet, allowing customers to reserve EVs in certain locations[87]. - The majority of vehicles in the fleet are non-program vehicles, exposing the company to increased residual value risk due to declining values[177]. - Recent data indicates a downward trend in used vehicle residual values, with potential further decreases expected in 2024, which could lead to substantial losses on vehicle sales[179]. - The average age of the fleet has increased, leading to higher maintenance costs and lower customer satisfaction scores, which could adversely affect financial performance[186]. Sustainability and Environmental Initiatives - The company is committed to reducing greenhouse gas emissions and enhancing sustainability through investments in electric vehicles (EVs) and charging infrastructure[136]. - The company has established partnerships with EV manufacturers such as Tesla, Polestar, and General Motors to diversify its fleet of EVs[137]. - The company is installing charging stations across its global operations to support customer adoption of EVs and expand EV infrastructure in local communities[137]. - The company’s world headquarters in Estero, Florida is LEED Gold certified, demonstrating its commitment to sustainable building practices[140]. - The company maintains ISO 14001 and ISO 45001 certifications at its Hertz European Service Center in Dublin, Ireland, ensuring adherence to environmental management and employee safety standards[140]. - The company has launched a sustainability disclosure committee in 2023 to oversee sustainability-focused disclosure processes and results[144]. - The company is focused on minimizing water use in its operations, particularly in car washes, to conserve resources[138]. - The company actively engages in recycling efforts, including the recycling of used oils, tires, and batteries, as part of its waste reduction strategy[139]. Challenges and Risks - The company faces challenges in purchasing competitively priced vehicles, which may increase acquisition costs without a corresponding rise in rental rates or residual values[184]. - Disruptions in the global supply chain, exacerbated by geopolitical conflicts and the COVID-19 pandemic, may impact vehicle production volumes and delivery schedules[189]. - The vehicle rental business is sensitive to reductions in business and leisure travel, with lingering effects from the COVID-19 pandemic still affecting demand[195]. - Manufacturer safety recalls could lead to costly repairs and service disruptions, impacting the ability to meet demand[193]. - The company’s financial condition may be adversely affected if manufacturers fail to fulfill obligations under repurchase or guaranteed depreciation programs[192]. - In December 2023, the company decided to significantly reduce the size of its global EV fleet, initiating EV vehicle dispositions expected to occur throughout 2024, resulting in a $245 million incremental net depreciation expense recognized in Q4 2023[208]. - The company faces risks related to the economics of EVs, including depreciation rates, residual values, and financing costs, which could impact the attractiveness of EVs to customers[205]. - The company is exposed to volatility in new EV pricing, which can affect the residual values of EVs in its fleet, and the timeline for building out necessary charging infrastructure[206]. Employee and Labor Relations - The company employs approximately 27,000 persons, with around 21,000 in the U.S. and 6,000 internationally as of December 31, 2023[122]. - The company offers a comprehensive benefits package for employees, including retirement savings plans and health insurance[132]. - The company anticipates renegotiating labor contracts with approximately 45% of its union-represented employees in 2024, which could lead to work stoppages if agreements are not reached[223]. - The company’s ability to attract and retain qualified employees is critical, with competition for talent particularly intense in technology roles essential for strategic initiatives[222]. Cybersecurity and IT Risks - The company has invested in cybersecurity measures to protect its information technology systems, but remains at risk of cyber attacks that could disrupt operations[226]. - The company recognizes that maintaining favorable brand recognition is essential for success, and any decline in brand perception could adversely affect its financial results[220]. - A cyber attack or failure to maintain IT infrastructure could lead to significant harm, including operational disruptions and potential litigation costs[228]. - Customer information, including loyalty account logins, is at risk of being targeted by cyber criminals, which could compromise accounts across multiple merchants[229]. - The company maintains a cyber insurance policy, but there is no assurance that it will cover all costs related to cybersecurity incidents[230]. - The business relies heavily on IT systems managed by third parties, and any significant disruptions could adversely affect operations and financial performance[231]. - Failure to maintain and upgrade IT systems may hinder business growth and lead to increased operational costs and cybersecurity risks[233]. - Misuse or theft of information could damage the company's brand and result in liabilities that negatively impact financial performance[234]. - The company faces risks related to data protection and privacy laws, particularly in the EU and California, which require secure handling of personal information[235].

It's been a volatile day for Hertz Global Holdings Inc (NASDAQ:HTZ). The stock is rebounding after earlier hitting a record low of $7.73, last seen up 8.2% at $8.88. The company reported wider-than-expected losses of $1.36 per share before the bell this morning, compared to analyst estimates of a -0.76 EPS. Analysts have yet to chime in on the results, though over in the options pits, HTZ has already seen 2.3 times the average daily options volume. So far, 13,000 calls and 10,000 puts have been exchanged, w ...

Hertz is reportedly considering layoffs after selling part of its electric vehicle fleet.The car rental giant on Tuesday (Feb. 6) reported quarterly and year-end earnings showing that it lost an adjusted $1.36 per share, missing analyst projections of a 76-cent loss.The earnings came weeks after Hertz announced it was selling 20,000 Tesla electric vehicles (EVs) — about a third of its fleet — saying that it was losing money on the cars.Speaking to Bloomberg News, CEO Stephen Scherr said Hertz plans to save ...

Hertz Global Holdings, Inc. (NASDAQ:HTZ) Q4 2023 Earnings Conference Call February 6, 2024 8:30 AM ET Company Participants Johann Rawlinson - VP, IR Stephen M. Scherr - Chair and CEO Alexandra Brooks - EVP and CFO Justin Keppy - EVP and COO Conference Call Participants Chris Woronka - Deutsche Bank Ian Zaffino - Oppenheimer & Co. Adam Jonas - Morgan Stanley John Healy - Northcoast Research Partners Stephanie Moore - Jefferies Ryan Brinkman - J.P. Morgan Elizabeth Dove - Goldman Sachs Christopher Stathoulopo ...

For the quarter ended December 2023, Hertz Global Holdings, Inc. (HTZ) reported revenue of $2.18 billion, up 7.3% over the same period last year. EPS came in at -$1.36, compared to $0.50 in the year-ago quarter.The reported revenue represents a surprise of +1.80% over the Zacks Consensus Estimate of $2.15 billion. With the consensus EPS estimate being -$1.02, the EPS surprise was -33.33%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare ...

About this content About Josh Lamb After graduating from the University of Kent in the summer of 2022 with a degree in History, Josh joined Proactive later that year as a journalist in the UK editorial team. Josh has reported on a range of areas whilst at Proactive, including energy companies during a time of global crisis, aviation and airlines as the sector recovers from the pandemic, as well as covering economic, social and governance issues. Read more About the publisher Proactive financial news and ...

Hertz Global Holdings, Inc. (HTZ) came out with a quarterly loss of $1.36 per share versus the Zacks Consensus Estimate of a loss of $1.02. This compares to earnings of $0.50 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -33.33%. A quarter ago, it was expected that this company would post earnings of $0.70 per share when it actually produced earnings of $0.70, delivering no surprise.Over the last four quarters, the company h ...

HERTZ GLOBAL HOLDINGS INC. Q4 2023 EARNINGS PRESENTATION IMPORTANT DISCLOSURES Certain statements made within this presentation contain forward-looking statements. Forward-looking statements are not guarantees of future performance and by their nature are subject to inherent uncertainties. Actual results may differ materially. Any forward-looking information relayed in this presentation speaks only as of February 6, 2024, and Hertz Global Holdings, Inc. ("Hertz" or the "Company") undertakes no obligation to ...

Hertz Global Holdings Inc.’s stock HTZ, -5.63% tumbled 6% early Tuesday, after the car rental company posted a wider-than-expected fourth-quarter loss as it booked charges to cover the costs of a major reduction of its EV fleet. Hertz posted a net loss of $348 million, or $1.14 a share, for the quarter, after income of $116 million, or a loss of 1 cent a share, in the year-earlier period. The company’s adjusted per-share loss came to $1.36, wider than the $1.05 loss per-share FactSet consensus. Revenue ros ...

Polestar (NASDAQ:PSNY) stock is slipping on Monday after the electric vehicle (EV) company waived an agreement with Hertz (NASDAQ:HTZ) for the purchase of its EVs.Hertz had originally agreed to acquire 65,000 EVs from Polestar over a five-year period. That saw it purchase 20,000 EVs from the company throughout 2022 and 2023. However, the cost of EVs has it rethinking these plans.Hertz notes that it’s pulling back on its EV plans for a couple of reasons. One of these is the fall in resale value of EVs in 202 ...