Avis Budget Group (CAR) investor relations material

Executive summary

• Q3 2025 revenue grew 1% year-over-year to $3.51 billion, marking the first growth in eight quarters, with net income rising 51% to $359 million and Adjusted EBITDA up 11% to $559 million, driven by lower fleet costs and increased rental days.

• Strategic focus remains on customer experience, operational excellence, and disciplined cost management, with continued investment in innovation and premium services.

• Year-to-date revenue was $8.99 billion, down 1% year-over-year, with a net loss of $142 million due to accelerated fleet disposal charges.

• Received a $114 million antitrust litigation settlement in Q3, included in operating expenses.

Financial highlights

• Rental days increased 1% year-over-year to 49.4 million, with average rental fleet up 1% to 746,161 vehicles; vehicle utilization was stable at 72.0%.

• Revenue per day declined 1% to $70.49 in Q3, with Americas RPD down 3% and International RPD up 5% (excluding FX).

• Per-unit fleet costs per month dropped 18% year-over-year to $299 in Q3, with Americas per-unit fleet costs down 19% and International down 14%.

• Adjusted Free Cash Flow for the first nine months was negative $517 million, mainly due to over $1 billion in voluntary fleet contributions.

• Available liquidity at quarter-end was nearly $1 billion, with $1.9 billion in additional ABS borrowing capacity.

Outlook and guidance

• Full-year 2025 Adjusted EBITDA is expected at the low end of the $900M–$1,000M range due to ongoing recall impacts and softer government/commercial demand.

• Recall-related headwinds are expected to persist into Q4 and potentially early 2026.

• Modest improvement in Americas RPD is anticipated for Q4, with demand concentrated around holiday periods.

• Management continues to focus on technology, data, and fleet strategy to enhance profitability and competitiveness.