Avis Budget Group(US:CAR)2024-08-05 20:01Financial Performance - Revenues for Q2 2024 were over $3.0 billion, a decrease of 2% compared to Q2 2023, with rental days up 2% year-over-year[6]. - Net income for Q2 2024 was $15 million, down 97% from $436 million in Q2 2023[17]. - Adjusted EBITDA for the company was $214 million, a decline of 71% compared to $737 million in the same quarter last year[17]. - Revenues for the three months ended June 30, 2024, were $3,048 million, a decrease of 2.4% compared to $3,123 million in the same period of 2023[21]. - Net income attributable to Avis Budget Group, Inc. for the three months ended June 30, 2024, was $14 million, down from $435 million in the same period of 2023[21]. - Adjusted EBITDA for the six months ended June 30, 2024, was $226 million, a decline from $1,272 million in the same period of 2023[33]. - Total revenue for the three months ended June 30, 2024, was $3,048 million, a decrease of 2.4% from $3,123 million in the same period of 2023[37]. - Total revenue for the six months ended June 30, 2024, was $5,599 million, a decrease of 1.4% from $5,680 million in the same period of 2023[37]. Operational Metrics - Vehicle utilization rate was 70.2% for the quarter, with a one-point improvement in June compared to June 2023[6]. - Adjusted EBITDA in the Americas was $186 million, down 71% from $631 million in Q2 2023, with rental days up 1%[17]. - International Adjusted EBITDA was $48 million, a decrease of 62% from $126 million in Q2 2023, driven by a 5% increase in rental days[17]. - Rental days in the Americas for the three months ended June 30, 2024, were 32,940, a 1% increase from 32,708 in the same period of 2023[24]. - Average rental fleet increased to 515,852 vehicles for the three months ended June 30, 2024, up 2% from 506,232 vehicles in the same period of 2023[24]. - Vehicle utilization for the three months ended June 30, 2024, was 70.2%, slightly down from 70.5% in the same period of 2023[37]. - Average rental fleet increased to 705,145 vehicles for the three months ended June 30, 2024, compared to 689,483 vehicles in the same period of 2023, representing a growth of 2.3%[37]. - Vehicle utilization for the six months ended June 30, 2024, was 68.1%, compared to 69.5% in the same period of 2023[37]. Cost and Expenses - Total expenses for the three months ended June 30, 2024, were $3,021 million, compared to $2,525 million in the same period of 2023, reflecting an increase of 19.6%[21]. - Per-unit fleet costs per month increased by 115% to $361 for the three months ended June 30, 2024, compared to $168 in the same period of 2023[24]. - Per-unit fleet costs for the six months ended June 30, 2024, were $1,995, an increase from $977 in the same period of 2023, reflecting a rise of 104.1%[37]. Cash Flow and Liquidity - Net cash provided by operating activities for the six months ended June 30, 2024, was $1,473 million[27]. - Net cash used in investing activities of vehicle programs for the six months ended June 30, 2024, was $(2,456) million[27]. - The company reported a net change in cash and cash equivalents of $(61) million for the six months ended June 30, 2024[27]. - The liquidity position at the end of the quarter was $822 million, with an additional $2.9 billion of fleet funding capacity[4]. - The company has no meaningful debt maturities until 2027, indicating a stable debt structure[4]. Pricing and Market Presence - June pricing finished slightly down, while vehicle utilization improved sequentially, setting up for strong pricing in the summer peak[2]. - The company operates approximately 10,250 rental locations in around 180 countries, indicating a significant global presence[7]. Non-GAAP Measures - Adjusted EBITDA is presented as a non-GAAP measure, providing insights into the company's operational performance[40]. - Adjusted Free Cash Flow is calculated to measure cash available for debt repayment, stock repurchase, and future growth investments[42].