Avis Budget Group Inc. (NASDAQ:CAR) reported stronger-than-expected results for its fourth quarter and issued FY20 sales guidance above estimates.
The Parsipanny, New Jersey-based car rental chain said its fourth-quarter revenues increased to a record $2.2 billion, up 6% excluding currency exchange rate movements
Net income was $142 million or $1.90 per diluted share and Adjusted net income was $54 million or $0.73 per diluted share. Adjusted EBITDA increased to a record $143 million
For the full-year, Avis announced revenues increased to a record $9.2 billion, up 2% excluding currency exchange rate movements, for a 10th consecutive year of revenue growth
Net income was $302 million or $3.98 per diluted share and adjusted net income was $279 million or $3.68 per diluted share. Adjusted EBITDA increased to $788 million, up 4% excluding currency exchange rate movements.
Avis repurchased approximately 2.2 million shares during 2019, for approximately $62 million under its share repurchase program.
As of calendar year’s end, the company’s corporate debt was approximately $3.4 billion and cash and cash equivalents totaled $686 million, bringing net corporate debt to $2.7 billion, and its net corporate leverage ratio to 3.5x.
Weighted average diluted shares outstanding were 74.4 million in the quarter compared to 77.6 million in the prior year, a 4% quarter-over-quarter reduction.
Its full-year 2020 guidance showed revenues to be $9.4 billion-$9.6 billion, adjusted EBITDA ranging from $750 million - $850 million.
Adjusted net income is expected to be in the $250 million-$350 million range.
CAR shares ballooned $6.50, or 15%, to $49.68 to begin Thursday
