Car rental firm Avis Budget beats Q3 revenue estimates
Overview
Avis Budget Q3 revenue of $3.5 bln beats analyst expectations
Adjusted EBITDA for Q3 beats estimates, driven by lower fleet costs
Company extended $1.1 bln term loan maturity to July 2032
Outlook
Company did not provide specific guidance for future quarters or full year
Result Drivers
RENTAL DAYS - Increase in rental days contributed to revenue growth, though revenue per day decreased
LOWER FLEET COSTS - Lower fleet costs drove Adjusted EBITDA growth in the Americas and International segments
LOAN MATURITY EXTENSION - Extended $1.1 bln term loan maturity to July 2032, improving financial flexibility
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $3.52 bln | $3.45 bln (6 Analysts) |
Q3 EPS | $10.11 | ||
Q3 Net Income | $359 mln | ||
Q3 Adjusted EBITDA | Beat | $559 mln | $542.34 mln (7 Analysts) |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the passenger transportation, ground & sea peer group is "buy."
Wall Street's median 12-month price target for Avis Budget Group Inc is $147.50, about 6.4% below its October 24 closing price of $157.01
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 16 three months ago
Press Release:
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