Hertz posted its 2022 third quarter results Oct. 27, noting total revenues of $2.5 billion, net income of $577 million and adjusted corporate EBITDA of $618 million, a 25% margin.
Revenue was up 12% year over year. Hertz said value-added services "significantly increased contribution" to that revenue. Monthly revenue per unit was a quarterly record of $1,685 on utilization of 80%.
Hertz said gross depreciation continued to normalize as the company progressed its fleet rejuvenation, and car sales gains came in lower versus the previous quarter due to steeper than expected residual value declines. Monthly net depreciation per unit was $187.
During the first two months of the quarter, Hertz ran with intentionally elevated maintenance costs to address out-of-service levels. As a result, by September, utilization had reached 81.4%, and maintenance cost receded such that the business experienced more typical operating costs.
"Hertz posted another quarter of solid performance, reflecting overall strength in our business and continued demand for our services across all customer segments," said Stephen Scherr, Hertz CEO. "I am enormously proud of the performance of our team, particularly our colleagues in southwest Florida, who faced challenges from Hurricane Ian. Across geographies, we focused on operational excellence and fleet optimization to produce financial results that facilitated investment in our strategic priorities, like electrification, while enhancing returns to our shareholders and being in the service of our customers."
Abby Andrews