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Dec 31, 2021
Hertz Q4 2021 Earnings Report
Hertz's financial performance demonstrated significant improvement driven by revenue growth and operational efficiency.
Key Takeaways
Hertz Global Holdings reported strong Q4 2021 results, with revenues of $1.9 billion, a GAAP net loss of $260 million, and adjusted net income of $426 million. The company achieved a record fourth quarter Adjusted Corporate EBITDA of $628 million and liquidity of $3.2 billion. Full year revenue reached $7.3 billion with adjusted EPS of $4.39.
Total revenues reached $1.9 billion.
GAAP net loss was $260 million, or $1.52 loss per share, with adjusted net income of $426 million.
Adjusted Corporate EBITDA was a record $628 million with a 32% margin.
Corporate liquidity was $3.2 billion at the end of the year.
Hertz
Hertz
Hertz Revenue by Geographic Location
Revenue by Geographic Location
Americas RAC Revenue
CapyFin.com Forward Guidance
Cautionary Note Regarding Forward-Looking Statements
Positive Outlook
- The Company's ability to purchase adequate supplies of competitively priced vehicles at a reasonable cost as a result of the continuing global semiconductor microchip manufacturing shortage (the "Chip Shortage") and other raw material supply constraints
- The impact on the value of the Company's non-program vehicles upon disposition when the Chip Shortage and other raw material supply constraints are alleviated
- The Company's ability to attract and retain key employees
- Levels of travel demand, particularly business and leisure travel in the U.S. and in global markets
- Significant changes in the competitive environment and the effect of competition in the Company's markets on rental volume and pricing
Challenges Ahead
- the length and severity of COVID-19 and the impact on the Company's vehicle rental business as a result of travel restrictions and business closures or disruptions, as well as the impact on its employee retention and talent management strategies
- occurrences that disrupt rental activity during the Company's peak periods
- the Company's ability to accurately estimate future levels of rental activity and adjust the number and mix of vehicles used in its rental operations accordingly
- the Company's ability to implement its business strategy, including its ability to implement plans to support a large scale electric vehicle fleet and to play a central role in the modern mobility ecosystem
- the Company's ability to adequately respond to changes in technology, customer demands and market competition