Hertz Reports First Quarter 33% Drop in Revenue, but Sees ‘Travel Rebound’

Hertz Global Holdings announced financial results for the first three months of 2021.

The company reported net income of $190 million on first quarter revenue of $1.3 billion, down 33% compared to the same period in 2020.

“This quarter we realized the first effects of the leisure travel rebound and capitalized on strong demand-driven pricing in destination markets that exceeded 2019 levels,” said the company’s CEO, Paul Stone.

The rental car giant’s vehicle utilization rate was 75%, up from 67% in the same period one year earlier when the coronavirus pandemic induced decline in travel began.  Revenue per day was up 11% to almost $48, amidst a shortage of vehicles and an increase in business travel.

The company said it was on track to exit bankruptcy in June, promising “more efficient operations and a stronger balance sheet for the future.”  It also said it is continuing to “actively replenish” its fleet of vehicles.

(Photo: Accura Media Group)