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Avis Budget Group Reports Second Quarter 2017 Results

PARSIPPANY, N.J., Aug. 07, 2017 (GLOBE NEWSWIRE) -- Avis Budget Group, Inc. (CAR) today reported results for its second quarter ended June 30, 2017.

  • Revenue at $2.2 billion was unchanged in the second quarter compared to prior year
  • Second quarter 2017 net income of $3 million and earnings per diluted share of $0.04
  • Adjusted EBITDA of $140 million, adjusted net income of $25 million and adjusted diluted earnings per share of $0.30 for the second quarter 2017
  • Company identifies additional cost savings of $25 million, bringing its total 2017 savings to $75 million
  • Company updates its 2017 Adjusted EBITDA and adjusted earnings per share estimates

“Our second quarter results in the Americas reflected both a 4% reduction in pricing resulting from industry over-fleeting and higher per-unit fleet costs due to lower used-vehicle values. Consequently, we have identified $25 million of additional savings opportunities globally, bringing our total expected savings this year to $75 million, and have lowered our full-year earnings guidance to reflect the difficult first half,” said Larry De Shon, Avis Budget Group President and Chief Executive Officer. “Industry fleet levels in the Americas normalized to demand towards the end of the second quarter. This enabled us to transition to improved pricing, with revenue per day up more than 1% in July. Looking forward, I am now more optimistic that the industry issues we’ve been contending with should be behind us.”

Reported revenue of $2.2 billion was unchanged compared to the prior year, with an increase in overall rental days being...