Hertz back in the black after thrifty buying

Michael Bow
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CAR RENTAL company Hertz Global yesterday swung back into profit for the first quarter after its balance sheet was boosted by the acquisition of Dollar Thrifty in November

The firm reversed a $56.3m (£43m) loss for the same period last year to deliver a quarterly profit of $18m, helped by a 24 per cent jump in revenues to $2.44bn.

“We’ve now achieved record year-over-year adjusted pre-tax income seven consecutive quarters and increased employee productivity twenty six consecutive quarters,” boss Mark Frissora said.

Car rentals across the globe for Hertz increased 25.7 per cent over the year, netting the company a lucrative $2.1bn of sale. The rest of revenues came from its rental equipment business.

Hertz bought budget car hire firm Dollar Thrifty for $2.3bn last year.

“Dollar Thrifty is performing better than anticipated, with integration and synergy progress exceeding our targets,” Frissora said.