HERTZ ANNOUNCES Q3 2026 RESULTS, STRONGEST QUARTERLY REVENUE AND EBITDA PERFORMANCE IN THREE YEARS
HERTZ GLOBAL HOLDINGS, INC (HTZ) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 HERTZ ANNOUNCES Q3 2026 RESULTS, STRONGEST QUARTERLY REVENUE AND EBITDA PERFORMANCE IN THREE YEARS ------------------------------------------------------------------------------------------------------------------ “We delivered our strongest quarterly revenue and Adj
How this was made
The 30-second read
Why it matters
The earnings release provides fresh quantitative data that can shift investor expectations and drive short‑term price movement.
Market read
First‑report earnings data for a large U.S. rental company; material for traders.
What to watch
Liquidity of $946M and youngest U.S. fleet may support future profitability.
Hertz announces Q3 2026 results, strongest quarterly revenue and EBITDA performance in three years
Revenue, Adjusted Corporate EBITDA and adjusted net income increased year over year, led by Americas RAC pricing, but GAAP net income declined, International RAC EBITDA fell, and adjusted free cash flow was negative.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 2026 total revenuesGAAP | $2.62B | – | 6% |
| Q3 2026 direct vehicle and operating expenseGAAP | $1.55B | – | – |
| Q3 2026 depreciation of revenue earning vehicles and lease charges, netGAAP | $468M | – | – |
| Q3 2026 depreciation and amortization of non-vehicle assetsGAAP | $28M | – | – |
| Q3 2026 selling, general and administrative expenseGAAP | $256M | – | – |
| Q3 2026 total interest expense, netGAAP | $251M | – | – |
| Q3 2026 income before income taxesGAAP | $87M | – | – |
| Q3 2026 income tax benefitGAAP | $29M | – | – |
| Q3 2026 net incomeGAAP | $116M | – | (37)% |
| Q3 2026 net income marginGAAP | 4 % | – | – |
| Q3 2026 basic earnings per shareGAAP | $ 0.36 | – | – |
| Q3 2026 diluted earnings per shareGAAP | $ 0.20 | – | (52)% |
| Q3 2026 adjusted net incomenon-GAAP | $67M | – | 26% |
| Q3 2026 adjusted diluted earnings per sharenon-GAAP | $ 0.14 | – | —% |
| Q3 2026 Adjusted Corporate EBITDAnon-GAAP | $233M | – | 15% |
| Q3 2026 Adjusted Corporate EBITDA Marginnon-GAAP | 9 % | – | – |
| Q3 2026 average vehiclesother | 550,234 (in whole units) | – | 1% |
| Q3 2026 average rentable vehiclesother | 533,757 (in whole units) | – | 1% |
| Q3 2026 total vehicle utilizationother | 81 % | – | – |
| Q3 2026 operational vehicle utilizationother | 83 % | – | – |
| Q3 2026 transaction daysother | 40.97M | – | —% |
| Q3 2026 Total RPDother | $ 64.06 | – | 5% |
| Q3 2026 Total RPU Per Monthother | $ 1,639 | – | 5% |
| Q3 2026 Depreciation Per Unit Per Monthother | $ 285 | – | 2% |
| Q3 2026 DOE per Transaction DayGAAP | $ 37.76 | – | 6% |
| Q3 2026 Adjusted DOE per Transaction Daynon-GAAP | $ 37.72 | – | 5% |
| Q3 2026 net cash provided by operating activitiesGAAP | $599M | – | – |
| Q3 2026 adjusted operating cash flownon-GAAP | $87M | – | – |
| Q3 2026 adjusted free cash flownon-GAAP | −$38M | – | – |
| Nine months ended September 30, 2026 revenuesGAAP | $7.02B | – | – |
| Nine months ended September 30, 2026 net lossGAAP | −$153M | – | – |
| Nine months ended September 30, 2026 diluted loss per shareGAAP | $ (0.59) | – | – |
| Nine months ended September 30, 2026 Adjusted Net Lossnon-GAAP | −$204M | – | – |
| Nine months ended September 30, 2026 Adjusted Diluted Loss Per Sharenon-GAAP | $ (0.52) | – | – |
| Nine months ended September 30, 2026 Adjusted Corporate EBITDAnon-GAAP | $153M | – | – |
| Nine months ended September 30, 2026 net cash provided by operating activitiesGAAP | $1B | – | – |
| Nine months ended September 30, 2026 adjusted free cash flownon-GAAP | −$342M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Americas RACTotal RPD increased 7% to $ 64.21, while Adjusted EBITDA increased 23% to $ 188 (in millions). | $2.04B | – | 7% |
| International RACTotal RPD decreased (1)% to $ 63.55 and Adjusted EBITDA decreased (9)% to $ 94 (in millions). | $572M | – | 1% |
What drove it
- Revenue increased 6% as Total RPD increased 5% to $ 64.06 and Total RPU Per Month increased 5% to $ 1,639.
- The Company cited stronger demand generation, more sophisticated pricing and disciplined local fleet management as drivers of commercial performance.
- U.S. core RPD increased approximately 8% year over year despite lower TSA volumes.
- The spread between RPD and Adjusted DOE per Day improved by $1.36 globally, or approximately 5%, year over year, with improvement of more than $2.50 in the U.S.
- Net DPU was $285 per month, and the U.S. core fleet had an average age of nine months.
- Oro secured an $80 million strategic equity investment from new and existing investors, while Hertz retained majority economic ownership.
Concerns
- GAAP net income declined to $ 116 (in millions) from $ 184 (in millions), and diluted GAAP EPS declined to $ 0.20 from $ 0.42.
- International RAC Adjusted EBITDA decreased (9)% to $ 94 (in millions), with Total RPD down (1)% and Depreciation Per Unit Per Month up 7%.
- Adjusted DOE per Transaction Day increased 5% to $ 37.72, with approximately 240 basis points attributed to revenue-related expenses associated with higher RPD; collision, maintenance and broader inflationary pressures also affected costs.
- Q3 adjusted free cash flow was $ (38) (in millions), compared with $ 248 (in millions), and nine-month adjusted free cash flow was $ (342) (in millions).
- Total debt increased to $ 17,911 (in millions) and Net Debt increased to $ 17,298 (in millions) as of September 30, 2026.
- LTM Adjusted Corporate EBITDA was $ (29) (in millions), and Net Corporate Leverage was NM.
What to watch
- Whether Americas RAC pricing and the RPD-to-Adjusted DOE per Day spread continue to improve.
- International RAC pricing, depreciation and adjusted EBITDA after Q3 Total RPD declined and Depreciation Per Unit Per Month increased.
- Collision and maintenance expense, repair-cost actions, labor productivity, vehicle utilization, damage recovery and collections.
- Net DPU performance as Hertz remains disciplined on model-year 2027 purchases.
- Cash generation, fleet investment and debt levels following negative Q3 and nine-month adjusted free cash flow.
- Execution of the franchise strategy, Hertz Car Sales digital channels, Test Drive+, third-party vehicle transportation and Oro's standalone growth.
Balance sheet and cash flow
- Cash and cash equivalents were $ 531 (in millions) as of September 30, 2026, compared with $ 565 (in millions) as of December 31, 2025.
- Total cash and cash equivalents and restricted cash and cash equivalents were $ 1,123 (in millions) as of September 30, 2026, compared with $ 1,167 (in millions) as of December 31, 2025.
- Total debt was $ 17,911 (in millions) as of September 30, 2026, compared with $ 17,054 (in millions) as of December 31, 2025.
- Net Debt was $ 17,298 (in millions) as of September 30, 2026, compared with $ 16,208 (in millions) as of December 31, 2025.
- Total stockholders' equity (deficit) was $ (489) (in millions) as of September 30, 2026, compared with $ (459) (in millions) as of December 31, 2025.
- Hertz ended the third quarter with approximately $946 million of liquidity.
- Q3 2026 revenue earning vehicles expenditures were $ (1,628) (in millions), proceeds from disposal of revenue earning vehicles were $ 1,695 (in millions), and net cash used in financing activities was $ (824) (in millions).
- Nine months ended September 30, 2026 revenue earning vehicles expenditures were $ (8,845) (in millions), proceeds from disposal of revenue earning vehicles were $ 6,778 (in millions), and net cash provided by financing activities was $ 991 (in millions).
Analysis
Hertz reported its strongest quarterly revenue and Adjusted Corporate EBITDA performance in three years. Q3 revenue rose 6% to $ 2,617 (in millions), Adjusted Corporate EBITDA rose 15% to $ 233 (in millions), and adjusted net income rose 26% to $ 67 (in millions). The result was principally a pricing and revenue-productivity outcome: Total RPD increased 5% to $ 64.06 and Total RPU Per Month increased 5% to $ 1,639, while average vehicles increased 1% to 550,234 and transaction days were effectively flat at 40,968 (in thousands).
Americas RAC drove the quarter. Segment revenue increased 7% to $ 2,045 (in millions), Total RPD increased 7% to $ 64.21, and Adjusted EBITDA increased 23% to $ 188 (in millions). Management attributed the performance to stronger demand generation, more sophisticated pricing and local fleet discipline, and stated that U.S. core RPD rose approximately 8% despite lower TSA volumes. International RAC was the offset: revenue increased 1% to $ 572 (in millions), while Total RPD declined (1)% to $ 63.55 and Adjusted EBITDA declined (9)% to $ 94 (in millions).
Margins improved on an adjusted EBITDA basis, but cost pressure remains material. Adjusted Corporate EBITDA Margin increased to 9 % from 8 %, while the global RPD-to-Adjusted DOE per Day spread improved by $1.36, or approximately 5%, year over year. At the same time, Adjusted DOE per Transaction Day increased 5% to $ 37.72. Hertz said approximately 240 basis points of the increase reflected revenue-related expenses associated with higher RPD, with elevated collision and maintenance expense and broader inflationary pressures affecting the remainder. Fleet economics were stable at $ 285 of Depreciation Per Unit Per Month, although International RAC DPU rose 7% to $ 302.
GAAP profitability did not follow adjusted earnings higher. Net income declined to $ 116 (in millions) from $ 184 (in millions), and diluted earnings per share declined to $ 0.20 from $ 0.42. Cash generation also weakened: adjusted operating cash flow was $ 87 (in millions) and adjusted free cash flow was $ (38) (in millions), compared with $ 178 (in millions) and $ 248 (in millions), respectively. Total debt increased to $ 17,911 (in millions) and Net Debt increased to $ 17,298 (in millions) as of September 30, 2026, while the Company reported approximately $946 million of liquidity.
No numerical financial guidance was provided. Management emphasized its core rental transformation, franchise expansion, service and fleet initiatives, and Oro's $80 million strategic equity investment. The next reported indicators are pricing and cost conversion in the Americas RAC segment, International RAC recovery, DPU stability, free-cash-flow performance and debt management.
Management, verbatim
We delivered our strongest quarterly revenue and Adjusted Corporate EBITDA performance in three years, driven by continued revenue growth and margin expansion on flat capacity.
Gil West, Chief Executive Officer of Hertz
The underlying progress in our core U.S. rental business is meaningful, and we see significant opportunity ahead as we continue to improve execution, expand our franchise model and build new sources of earnings and value across the Hertz platform.
Gil West, Chief Executive Officer of Hertz
Not in the filing
stated, not guessed- Numerical forward revenue guidance
- Numerical forward gross margin guidance
- Numerical forward operating expense guidance
- Numerical forward tax-rate guidance
- Prior outlook for comparison
- Gross margin
- Operating income
- Share repurchases
- Dividends
- Q3 2026 prior-quarter values for reported financial and operating metrics
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Hertz filed an 8‑K reporting its Q3 2026 earnings, highlighting revenue growth, EBITDA improvement, and liquidity position.
Ticker impact
Hertz Global Holdings reported Q3 2026 results with revenue up 6% YoY to $2.6B and adjusted EBITDA up 15% to $233M, the strongest in three years.
likely modest upside as investors price in stronger revenue and EBITDA growth
Revenue and EBITDA improvements are material and new; market may bid the stock higher on the earnings release.
Market effects
Improved performance may lift the broader car rental and mobility services sector.
Positive for U.S. consumer discretionary stocks.
Limited to mobility and rental industry peers.
Counterpoint
Net income decline and higher operating expenses could weigh on the stock despite top-line growth.
Key entities
- ExecutiveGil West
Chief Executive Officer of Hertz who commented on the results.
