Hertz Global Holdings, Inc · NASDAQ:HTZ
Hertz Global — Q2 2019 Earnings Presentation
15 slides from Hertz Global's earnings presentation, Aug 7, 2019
Slide 1: Hertz Global Holdings 2Q 2019 Earnings Call
HERTZ GLOBAL 2Q 2019 Earnings Call August 7, 2019 HOLDINGS, INC. 8:30 am ET
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements made within this presentation contain forward-looking statements. Forward- looking statements are not guarantees of performance and by their nature are subject to inherent uncertainties. Actual results may differ materially. Any forward-looking informati
Slide 3: Non-GAAP Measures and Key Metrics
Non-GAAP Measures and Key Metrics THE FOLLOWING NON-GAAP MEASURES1 AND KEY METRICS1 WILL BE USED IN THE PRESENTATION: ▪ Adjusted Corporate EBITDA ▪ Total RPD ▪ Adjusted Corporate EBITDA Margin ▪ Total RPU ▪ Adjusted Net Income (Loss) ▪ T&M Rate ▪ Adjusted Diluted EPS ▪ Depreciation Per Unit Per Mont
Slide 4: Agenda
Agenda BUSINESS FINANCIAL RESULTS OVERVIEW OVERVIEW Kathryn Marinello Jamere Jackson President & Chief Executive Officer Chief Financial Officer Hertz Global Holdings, Inc. Hertz Global Holdings, Inc. 3
Slide 5: Focused on Driving Sustainable Revenue and Earnings Growth
Focused on Driving Sustainable Revenue and Earnings Growth Sustaining Top Line Momentum; Executing Growth Initiatives - Record second quarter global revenues - U.S. 2Q:19 revenues +10%, RPD +3%, Days +6% - TNC growth - Value-added services Driving Productivity and Operating Efficiency - Leveraging s
Slide 6: Quarterly Overview
QUARTERLY Jamere Jackson Chief Financial Officer OVERVIEW Hertz Global Holdings, Inc.
Slide 7: 2Q:19 Consolidated Results
2Q:19 Consolidated Results $ in millions, except per share data 2Q:19 2Q:18 YoY Results Results Inc/(Dec) GAAP Total revenues $2,511 $2,389 5% Net income (loss) attributable to Hertz Global $38 $(63) NM Diluted earnings (loss) per share $0.40 $(0.66) NM Weighted average shares outstanding: diluted1
Slide 8: 2Q:19 U.S. RAC
2Q:19 U.S. RAC U.S. RAC (YoY quarterly results) Performance Overview: Total Revenue Transaction Days 7% 10% 9% 7% 10% 7% 7% 6% 6% ▪ Revenue +10%, +7% ex-TNC1 4% • Days +6%, +3% ex-TNC • RPD +3%, +4% ex-TNC 2Q:18 3Q:18 4Q:18 1Q:19 2Q:19 2Q:18 3Q:18 4Q:18 1Q:19 2Q:19 • Days and RPD improve: Total RPD
Slide 9: 2Q:19 U.S. RAC Fleet
2Q:19 U.S. RAC Fleet U.S. RAC Fleet Fleet Management Execution: Depreciation Per Unit Per Month YoY 2Q:18 3Q:18 4Q:18 1Q:19 2Q:19 ▪ Depreciation Per Unit Per Month (13)% YoY • Fleet procurement strategy • Retail car sales channel unit growth (15)% (15)% (15)% (13)% • Residual value market strength (
Slide 10: 2Q:19 U.S. RAC Retail Vehicle Sales Initiative
2Q:19 U.S. RAC Retail Vehicle Sales Initiative U.S. RAC Vehicle Disposition Channel Focused on Highest-Return Retail Channel Auction 25% Dealer Direct 40% ▪ Retail sales volume 2Q +11%; same-store sales +4% ▪ High-margin ancillary retail sales revenue +29% 35% ▪ 84 Retail locations Retail ▪ Preferre
Slide 11: 2Q:19 International RAC
2Q:19 International RAC International RAC (YoY quarterly results)1 Performance Overview1: Revenue Transaction Days 4% 4% 2% 2% 0% 0% 2% ▪ Revenue flat on a constant currency basis 0% 0% • Days (1)%, RPD +1% (1)% 2Q:18 3Q:18 4Q:18 1Q:19 2Q:19 2Q:18 3Q:18 4Q:18 1Q:19 2Q:19 • EU leisure pricing up; par
Slide 12: Debt, Liquidity & Cash Flow Overview
DEBT, LIQUIDITY & Jamere Jackson Chief Financial Officer CASH FLOW OVERVIEW Hertz Global Holdings, Inc.
Slide 13: 2Q:19 Debt, Liquidity and Cash Flow
2Q:19 Debt, Liquidity and Cash Flow Hertz Global Consolidated $ in millions Overview: Pro Forma Non-Vehicle Debt Maturity Profile1 ▪ Liquidity of $812M at June 30, 2019 ▪ De-lever balance sheet by ~$700M post 2Q:19: $1,250 • $750M equity rights offering • Pay off 2020 senior notes; ~$700M • Refinanc
Slide 14: Key Areas of Focus
Key Areas of Focus Revenue Growth ▪ Sustaining top line momentum; executing growth initiatives • Right cars, right place, right time, right price • Disciplined fleet management • Service excellence Asset Efficiency • Brand-building marketing • Innovation ▪ Driving productivity and operating efficien
Slide 15: Hertz, Dollar, Firefly, Donlen
Hertz dollar. Firifhy DONLEN CAR RENTAL CAR RENTAL . A Hertz Company
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