Hertz Global Holdings reported a first quarter 2016 net loss of $51 million, or $0.12 loss per share, compared to a net loss of $70 million, or $0.15 loss per share, during the same period last year.
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On an adjusted basis, Hertz Global's reported a net loss for the first quarter of 2016 of $52 million, or $0.12 loss per share, compared with net income of $2 million, or $0.00 per share, in the first quarter of 2015.
Total revenues for the first quarter of 2016 were $2.3 billion, a 6% decline versus the first quarter of 2015.
Adjusted corporate EBITDA for the first quarter was $155 million versus $226 million in the same period last year, a decline of $71 million.
Excluding the impact of favorable non-recurring items recorded in the first quarter of 2015, adjusted corporate EBITDA for the first quarter of 2016 declined $55 million year-over-year.
Worldwide car rental revenues of $1.8 billion declined approximately 6% versus first quarter 2015. Excluding the impact of foreign currency, revenues declined 5% resulting from a 7% decrease in total revenue per day (RPD) partially offset by a 2% increase in transaction days.
Unit revenues, as defined by revenue per available car day (RACD), declined 2% versus first quarter 2015 primarily as a result of a 3.3% decline in the U.S. Car Rental segment due to weak industry pricing.
The 3.3% decline in U.S. Car Rental RACD was in line with the range Hertz Global's provided in its April 11, 2016, business update.
Worldwide car rental average fleet declined 4% versus the first quarter of 2015 while fleet efficiency rose to 77%, a 400 basis point increase versus the first quarter of 2015. The improvement in fleet efficiency was the result of actions Hertz Global's took to reduce capacity and improve efficiency in the U.S. market.
Continuing the improvement trend from 2015, worldwide customer satisfaction, as measured by Net Promoter Score®, rose for the Hertz, Dollar and Thrifty brands in the first quarter of 2016, up more than 5 points year-over-year.
The Hertz brand reached a record-level customer satisfaction score on a worldwide basis in the first quarter.
Worldwide cost savings of approximately $70 million were achieved in the first quarter, reflecting continued progress as part of Hertz Global's's three-to-five year margin improvement plan.
Unit costs for Hertz Global's's worldwide rental car business, defined as direct operating and selling, general and administrative expenses per transaction day, declined 5% versus the first quarter of 2015.
The Company expects cost savings to accelerate in the second half of 2016 due to the timing of cost-reduction initiatives and is on pace to achieve its previously announced target of $350 million of full-year 2016 cost savings. ■