Hertz Global Holdings Inc (New)
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −8.32%.
Did HTZ Beat Earnings? Q4 2025 Results
Hertz Global Holdings delivered a mixed fourth quarter for fiscal 2025, posting a narrower-than-expected revenue miss on the bottom line while edging past sales forecasts, as the rental car giant continued grinding through its Back-to-Basics transformation. The company reported a loss of $0.72 per share, falling short of the consensus estimate of $0.50 by 44.23%, while revenue of $2.03 billion edged the $2.00 billion estimate by 1.35%, though it slipped 0.6% year over year. The EPS shortfall was heavily influenced by more than $100.00 million in transitory headwinds, including government shutdown disruptions, FAA flight cancellations, and an elevated recall burden, compounded by an approximately $60.00 million non-cash depreciation charge tied to revised residual value forecasts. Still, the full-year net loss narrowed dramatically to $747.00 million from $2.86 billion in 2024, lending credibility to Pershing Square's framing of Hertz as a recovery story. Looking ahead, management guided for mid-single digit revenue growth in Q1 2026, with January and February trends already pointing in a more positive direction.
- Revenue optimization and internal revenue management initiatives
- Fleet rotation completed with model year 2026 buys at target prices and volumes
- Depreciation Per Unit Per Month improved 44% year over year to $330 in Q4
- Vehicle utilization improved 200 basis points year over year to 81% for full year
- Adjusted DOE per transaction day improved 6% year over year in Q4
- Net Promoter Score increased nearly 50% year over year
- $2 billion improvement in profitability year over year under Back-to-Basics strategy
“Hertz sits on a stronger foundation today than we did one year ago. In the fourth quarter, we delivered measurable progress and our strongest year-over-year revenue performance in nearly two years, despite a complex environment. We achieved a $2 billion improvement in profitability in our first full year under the Back-to-Basics strategy, driven by meaningful gains in revenue, utilization, unit economics, and customer experience.”
Hertz CEO, on the earnings call
Forward Guidance & Outlook
Hertz expects mid-single digit revenue growth in Q1 2026, supported by a constructive demand environment and increased year-over-year Revenue Per Day (RPD). January revenue results showed meaningful improvement year over year, with February trending more positively and March continuing that trajectory. The company sees signs that residual values are improving from Q4's seasonal lows and expects a more normalized residual value outlook for 2026. Looking ahead, Hertz remains focused on growing the off-airport and mobility business, accelerating revenue growth, and staying disciplined on costs.
HTZ YoY Financials
HTZ Revenue by Segment
HTZ Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.