Supply: U.S. Bureau of Labor Statistics
Hertz’s car gross sales quantity was up 21 % yr over yr, however the worth is dropping. The corporate famous that web depreciation per car was up by 15 %.
“We’re inserting vital emphasis on fleet high quality, the shopper expertise, model growth and techniques transformation,” CEO Kathryn Marinello stated, attributing the broader losses to elevated investments being made in a “turnaround” effort.
With the blessing of billionaire investor Carl Icahn, Hertz’s greatest shareholder, Marinello just lately changed CEO John Tague.
The corporate has carried out extra poorly than rivals as a result of Hertz’s fleet is especially outdated with fewer SUVs. And competitors is stiffer than ever within the age of Uber and Lyft.
As of Tuesday’s shut, shares of Hertz have fallen greater than 63 % over the previous 12 months and are down about 40 % this yr.