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Avis Budget Group Reports Q1 2025 Financial Results

Avis Budget Group ( (CAR) ) has released its Q1 earnings. Here is a breakdown of the information Avis Budget Group presented to its investors.

Avis Budget Group is a leading global provider of mobility solutions, operating through its Avis, Budget, and Zipcar brands with approximately 10,250 rental locations in 180 countries worldwide. Headquartered in Parsippany, N.J., the company offers car rental and car-sharing services, primarily in North America, Europe, and Australasia.

In its first quarter of 2025, Avis Budget Group reported revenues of $2.4 billion, with a net loss of $505 million and an Adjusted EBITDA loss of $93 million. The company faced a significant non-cash fleet charge of $390 million due to the accelerated disposal of vehicles in the Americas, as part of its fleet rotation strategy.

Key financial metrics showed a 5% decrease in total revenues compared to the previous year, with the Americas segment experiencing a 4% decline and the International segment a 6% decline. Despite these challenges, the company improved vehicle utilization rates and managed to reduce fleet costs in its international operations. Additionally, Avis Budget Group strengthened its liquidity position, ending the quarter with over $1.1 billion in liquidity and an increased fleet funding capacity.

Looking ahead, Avis Budget Group remains focused on its fleet rotation strategy and is optimistic about improving vehicle costs sooner than anticipated. The company plans to closely monitor demand trends and adjust its fleet accordingly to maintain operational flexibility.

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