Hertz sees Q4 revenue $2.1B-$2.2B, adjusted EBIDTA ($120M)-($130M)

Hertz expects to report financial results for Q4 on February 6, 2024. The company expects to report revenue for Q4 in the range of $2.1B to $2.2B, in line with historical seasonality relative to Q3. The consensus revenue estimate is $2.2B. Adjusted corporate EBITDA for Q4 “will be negatively impacted by the incremental net depreciation expense associated with the EV sales plan, and further burdened by higher depreciation expense in the ordinary course as residual values for vehicles generally fell throughout the quarter greater than previously expected,” Hertz said in a regulatory filing. While direct operating expenses per transaction day, excluding collision and damage, will be flat for the quarter and down for the year, expenses related to collision and damage, primarily associated with EVs, remained high in the quarter, thereby supporting the company’s decision to initiate the material reduction in the EV fleet, it added. The company expects to report a negative adjusted EBITDA, excluding the impact of the non-cash charge related to the EV sales plan, for Q4 in the range of (120M) to (130M).