NAPLES — Hertz, the rental-car giant that is moving its headquarters to temporary quarters in Naples, trimmed its revenues and earnings projections for 2013.
“We are revising full year 2013 guidance primarily because of weaker-than-anticipated volume generated by the Hertz brand in the U.S. airport car rental market, our largest business,” Hertz Chairman and CEO Mark Frissora says in a statement.
The company lowered its revenue forecasts to the $10.8 billion to $10.9 billion range and earnings to $780 million to $830 million. Previously, the company forecast revenues of $10.85 billion to $10.95 billion and earnings of $830 million to $875 million.
“Weaker volume impacts not only revenues, but also generates related fleet issues, including lower utilization and the inability of the used car market to absorb our excess vehicles at current market prices,” Frissora says in the statement. “Fortunately, stronger pricing in the U.S. airport car rental market is helping to partially offset softer volume. Despite these challenges, we anticipate Hertz will nevertheless generate record earnings for the full year, with adjusted pre-tax income up more than 30% year-over-year.”
Hertz executives are relocating to temporary headquarters in Naples this fall while a new building is under construction in the Estero area of south Lee County.