Avis Budget sees pricing turnaround at Q2's end

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Avis Budget Group reported $2.2 billion in revenue in the second quarter. That's flat year over year as pricing declined 5%, though executives said rates since have begun to climb.

In the company's earnings call, president and CEO Larry De Shon said the pricing decline stemmed from excess fleet in the industry, though fleets began to return to normal levels during the end of the quarter. As such, pricing has improved from June through early August, he said. "Looking forward, I am now more optimistic that the industry issues we've been contending with should be behind us," De Shon said.

In the Americas, pricing declined 4% and rental days increased 2%. Revenue decreased 2%, to $1.57 billion.

Outside the Americas, rental days increased 11% as pricing dropped 6%. Interim CFO Martyn Smith said part of that volume growth came from "rebounding" corporate demand in the U.K. and Australia. Revenue outside the Americas increased 4%, to $673 million.

The company reported net income of $3 million for the quarter, down from $36 million in the second quarter of 2016.
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Source: Business Travel News

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