Revenue declined 6.0% YoY in Q2 2026, but gross margin improved to 19.0% from 0.8% a year earlier, driving a $64M net profit versus a -$294M loss.
Hertz Global Holdings, Inc. (HTZ) annual income statement — 21-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 |
|---|
| Sales/Revenue | 9.04B | 8.5B | 9.05B | 9.37B | 8.69B | 7.34B | 5.26B | 9.78B | 9.5B | 8.8B | 8.8B | 9.02B | 11.05B | 10.78B | 9.02B | 8.3B | 7.56B | 7.1B | 8.53B | 8.69B | 8.06B | 154.47M |
| Revenue Growth % | 6.21% | -6.02% | -3.44% | 7.9% | 18.39% | 39.52% | -46.23% | 2.89% | 7.96% | 0% | -2.37% | -18.37% | 2.52% | 19.45% | 8.71% | 9.73% | 6.49% | -16.7% | -1.85% | 7.78% | 5116.84% | - |
| Cost of Goods Sold | 7.72B | 7.53B | 8.77B | 7.64B | 5.65B | 4.6B | 5.63B | 8.05B | 7.78B | 7.41B | 7.2B | 7.26B | 8.99B | 8.17B | 6.94B | 6.44B | 5.99B | 5.95B | 7.12B | 6.65B | 6.23B | 146.78M |
| COGS % of Revenue | - | 88.58% | 96.87% | 81.56% | 65.07% | 62.66% | 107.15% | 82.33% | 81.83% | 84.18% | 81.84% | 80.56% | 81.42% | 75.79% | 76.92% | 77.66% | 79.19% | 83.79% | 83.57% | 76.53% | 77.35% | 95.03% |
| Gross Profit | 1.32B | 971M | 283M | 1.73B | 3.03B | 2.74B | -376M | 1.73B | 1.73B | 1.39B | 1.6B | 1.75B | 2.05B | 2.61B | 2.08B | 1.85B | 1.57B | 1.15B | 1.4B | 2.04B | 1.83B | 7.68M |
| Gross Margin % | 14.59% | 11.42% | 3.13% | 18.44% | 34.93% | 37.34% | -7.15% | 17.67% | 18.17% | 15.82% | 18.16% | 19.44% | 18.58% | 24.21% | 23.08% | 22.34% | 20.81% | 16.21% | 16.43% | 23.47% | 22.65% | 4.97% |
| Gross Profit Growth % | - | 243.11% | -83.62% | -43.05% | 10.77% | 828.46% | -121.76% | 0.06% | 23.98% | -12.88% | -8.78% | -14.57% | -21.35% | 25.33% | 12.28% | 17.81% | 36.69% | -17.81% | -31.27% | 11.66% | 23653.63% | - |
| Operating Expenses | 1.03B | 957M | 845M | 954M | 959M | 672M | 516M | 969M | 1.14B | 982M | 989M | 950M | 1.12B | 1.06B | 993.98M | 882.93M | 708.71M | 599.75M | 769.63M | 720.58M | 723.92M | 15.17M |
| OpEx % of Revenue | - | 11.25% | 9.34% | 10.18% | 11.04% | 9.16% | 9.81% | 9.91% | 12.03% | 11.16% | 11.23% | 10.54% | 10.17% | 9.86% | 11.02% | 10.64% | 9.37% | 8.45% | 9.03% | 8.3% | 8.98% | 9.82% |
| Selling, General & Admin | 1B | 957M | 845M | 954M | 959M | 672M | 516M | 969M | 1.14B | 982M | 989M | 950M | 1.12B | 1.06B | 993.98M | 820.38M | 630.51M | 599.75M | 769.63M | 720.58M | 723.92M | 15.17M |
| SG&A % of Revenue | - | 11.25% | 9.34% | 10.18% | 11.04% | 9.16% | 9.81% | 9.91% | 12.03% | 11.16% | 11.23% | 10.54% | 10.17% | 9.86% | 11.02% | 9.89% | 8.34% | 8.45% | 9.03% | 8.3% | 8.98% | 9.82% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 1000K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -62.55M | -78.2M | 0 | 0 | 0 | 0 | 0 |
| Operating Income | 294M | 14M | -562M | 774M | 2.08B | 2.07B | -892M | 759M | 584M | 411M | 610M | 803M | 929M | 1.55B | 1.09B | 971.24M | 865.12M | 551.63M | 631.24M | 1.32B | 1.1B | -7.48M |
| Operating Margin % | 3.25% | 0.16% | -6.21% | 8.26% | 23.89% | 28.18% | -16.96% | 7.76% | 6.14% | 4.67% | 6.93% | 8.91% | 8.41% | 14.36% | 12.06% | 11.7% | 11.44% | 7.77% | 7.4% | 15.17% | 13.67% | -4.84% |
| Operating Income Growth % | - | 102.49% | -172.61% | -62.7% | 0.39% | 331.73% | -217.52% | 29.97% | 42.09% | -32.62% | -24.03% | -13.56% | -39.95% | 42.22% | 12% | 12.27% | 56.83% | -12.61% | -52.09% | 19.63% | 14817.47% | - |
| EBITDA | 2.04B | 2.28B | 3.56B | 3.35B | 3.03B | 2.86B | 1.59B | 3.75B | 3.35B | 3.37B | 3.41B | 3.35B | 4.08B | 4.3B | 3.41B | 3.01B | 2.87B | 2.71B | 3.06B | 3.56B | 3.12B | 43.93M |
| EBITDA Margin % | 22.61% | 26.8% | 39.34% | 35.7% | 34.84% | 39.03% | 30.28% | 38.38% | 35.23% | 38.32% | 38.69% | 37.14% | 36.95% | 39.92% | 37.83% | 36.26% | 38% | 38.14% | 35.95% | 40.99% | 38.68% | 28.44% |
| EBITDA Growth % | -16.33% | -35.98% | 6.43% | 10.54% | 5.69% | 79.84% | -57.58% | 12.1% | -0.74% | -0.97% | 1.7% | -17.96% | -5.09% | 26.02% | 13.42% | 4.7% | 6.09% | -11.61% | -13.93% | 14.22% | 6996.18% | - |
| D&A (Non-Cash Add-back) | 1.75B | 2.27B | 4.12B | 2.57B | 951M | 796M | 2.48B | 2.99B | 2.76B | 2.96B | 2.8B | 2.55B | 3.15B | 2.75B | 2.33B | 2.04B | 2.01B | 2.16B | 2.43B | 2.24B | 2.02B | 51.41M |
| EBIT | 259M | 247M | -2.28B | 1.07B | 2.9B | 1.15B | -1.44B | 775M | 460M | 49M | 99M | 731M | 625M | 1.31B | 1.1B | 1.02B | 674.73M | 509.26M | -512.86M | 1.3B | 1.14B | -6.41M |
| Net Interest Income | -715M | -1.08B | -961M | -787M | -455M | -469M | -608M | -762M | -717M | -624M | -569M | -599M | -648M | -707M | -644.99M | -694.17M | -676.02M | -615.83M | -845.15M | -875.42M | -900.66M | -25.73M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 23M | 31M | 11.6M | 4.9M | 5.5M | 12.3M | 64.5M | 24.8M | 41.3M | 0 | 0 |
| Interest Expense | 966M | 1.08B | 961M | 787M | 455M | 469M | 608M | 762M | 717M | 624M | 569M | 599M | 648M | 707M | 649.89M | 699.72M | 688.33M | 680.27M | 869.95M | 916.73M | 943.21M | 26.81M |
| Other Income/Expense | -404M | -844M | -2.67B | -488M | 374M | -1.38B | -1.16B | -746M | -841M | -986M | -1.08B | -671M | -952M | -944M | -637.23M | -646.97M | -878.72M | -722.63M | -2.01B | -930.72M | -900.66M | -25.73M |
| Pretax Income | -369M | -830M | -3.24B | 286M | 2.45B | 683M | -2.05B | 13M | -257M | -575M | -470M | 132M | -23M | 603M | 450.55M | 324.27M | -13.59M | -171.01M | -1.38B | 386.82M | 200.65M | -33.22M |
| Pretax Margin % | -4.08% | -9.76% | -35.77% | 3.05% | 28.2% | 9.31% | -39.03% | 0.13% | -2.7% | -6.53% | -5.34% | 1.46% | -0.21% | 5.6% | 4.99% | 3.91% | -0.18% | -2.41% | -16.22% | 4.45% | 2.49% | -21.5% |
| Income Tax | 36M | -83M | -375M | -330M | 390M | 318M | -329M | 63M | -30M | -902M | 4M | 68M | 59M | 316.9M | 207.5M | 128.5M | 17M | -59.7M | -200.6M | 102.57M | 67.99M | 179.09M |
| Effective Tax Rate % | -9.76% | 10% | 11.58% | -115.38% | 15.92% | 46.56% | 16.03% | 484.62% | 11.67% | 156.87% | -0.85% | 51.52% | -256.52% | 52.55% | 46.06% | 39.63% | -125.06% | 34.91% | 14.51% | 26.52% | 33.89% | -539.13% |
| Net Income | -347M | -747M | -2.86B | 616M | 2.06B | 366M | -1.71B | -58M | -225M | 327M | -491M | 273M | -82M | 302M | 243.08M | 176.17M | -48.04M | -126.02M | -1.21B | 264.56M | 115.94M | -21.35M |
| Net Margin % | -3.84% | -8.78% | -31.63% | 6.57% | 23.71% | 4.99% | -32.6% | -0.59% | -2.37% | 3.71% | -5.58% | 3.03% | -0.74% | 2.8% | 2.69% | 2.12% | -0.64% | -1.77% | -14.16% | 3.05% | 1.44% | -13.82% |
| Net Income Growth % | 66.38% | 73.9% | -564.61% | -70.08% | 462.57% | 121.35% | -2855.17% | 74.22% | -168.81% | 166.6% | -279.85% | 432.93% | -127.15% | 24.24% | 37.98% | 466.68% | 61.88% | 89.56% | -556.13% | 128.18% | 643.16% | - |
| Net Income (Continuing) | -347M | -747M | -2.86B | 616M | 2.06B | 365M | -1.72B | -50M | -227M | 327M | -474M | 115M | -82M | 302M | 184M | 183.8M | -30.66M | -111.34M | -1.19B | 284.25M | 132.66M | 362.6M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 158M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 37M | 119M | 59M | 0 | 0 | 0 | 0 | 0 | 19K | 19K | 16.5M | 17.29M | 17.66M | 21.03M | 14.81M | 8.93M |
| EPS (Diluted) | -0.73 | -2.41 | -9.34 | 1.39 | 3.36 | -0.27 | -11.44 | -0.43 | -2.34 | 3.44 | -5.85 | 3.00 | -0.18 | 0.67 | 0.41 | 0.37 | -0.12 | -0.34 | -3.73 | 0.81 | 0.48 | 1.52 |
| EPS Growth % | 58.58% | 74.2% | -771.94% | -58.63% | 1344.44% | 97.64% | -2560.47% | 81.62% | -168.02% | 158.8% | -295% | 1766.67% | -126.87% | 63.41% | 10.81% | 408.33% | 64.71% | 90.88% | -560.49% | 68.75% | -68.42% | - |
| EPS (Basic) | - | -2.41 | -9.34 | 1.97 | 5.43 | -0.27 | -11.44 | -0.43 | -2.34 | 3.44 | -5.85 | 3.03 | -0.18 | 0.72 | 0.44 | 0.39 | -0.12 | -0.34 | -3.73 | 0.82 | 0.48 | 1.52 |
| Diluted Shares Outstanding | 475M | 322M | 306M | 326M | 403M | 315M | 150M | 117M | 95.99M | 94.85M | 95.99M | 103.99M | 103.76M | 106.05M | 102.44M | 101.65M | 94.15M | 84.89M | 73.75M | 74.39M | 55.62M | 73.28M |
| Basic Shares Outstanding | 320M | 310M | 306M | 313M | 379M | 315M | 150M | 117M | 95.99M | 94.85M | 95.99M | 102.85M | 103.76M | 96.45M | 95.98M | 95.05M | 94.15M | 84.89M | 73.75M | 73.41M | 55.41M | 73.28M |
| Dividend Payout Ratio | - | - | - | - | - | 65.3% | - | - | - | - | - | - | - | - | - | - | - | - | - | 5.09% | 1086.33% | - |
Quick answers to the most common questions about buying HTZ stock.
For fiscal year 2025, Hertz Global Holdings, Inc. (HTZ) reported total revenue of $8.50B. This represents a 5405.3% increase compared to $154.5M in 2005.
Hertz Global Holdings, Inc. (HTZ) reported a net loss of $747.0M for the fiscal year ending 2025.
Hertz Global Holdings, Inc. (HTZ) reported an operating income of $14.0M, resulting in an operating profit margin of 0.2%. This margin reflects the operational efficiency of the business before interest and taxes.
Hertz Global Holdings, Inc. (HTZ) generated $971.0M in gross profit for the year, representing a gross profit margin of 11.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Fleet residual value risk
Metrics are mathematically derived from official filings.
Revenue Contraction Persists
Revenue declined 6.0% year-over-year in Q2 2026, per recent filings, marking the fifth consecutive quarter of negative growth, though the pace of decline has moderated from double-digit drops earlier.
The sequential improvement from -12.8% in Q1 2025 to -6.0% in Q2 2026 suggests the rate of contraction is easing, but the top line remains below prior-year levels. This likely reflects a combination of softer travel demand and deliberate fleet rationalization, as the company prioritizes profitability over volume. Investors should monitor whether revenue can return to growth as the fleet is optimized.
Gross Margin Volatility Signals Fleet Cost Pressure
Gross margin swung from 0.8% in Q2 2024 to 19.0% in Q2 2026, as reported in financial statements, indicating extreme sensitivity to used-vehicle residual values and depreciation timing.
The wide quarterly swings in gross margin—from negative to over 20%—underscore the company's exposure to fleet depreciation and disposal gains or losses. The recent improvement to 19.0% may reflect favorable year-over-year comparisons or better cost control, but the sustainability is questionable given the softening Manheim index. Structural margin expansion will require stable residual values and disciplined fleet procurement.
Operating Leverage Remains Elusive
Operating income swung from -$221M in Q2 2024 to +$171M in Q2 2026, per SEC filings, but the 7.1% operating margin still lags peers and offers little cushion against demand shocks.
The positive operating income in Q2 2026 is a notable improvement, but it follows a string of losses and is still below the 12.1% margin achieved in Q3 2025. SG&A has remained relatively stable around $240M per quarter, suggesting limited fixed-cost flexibility. The company appears to be operating with minimal operating leverage, as revenue declines directly pressure the bottom line.
Earnings Quality Clouded by One-Time Items
Net income swung to a $64M profit in Q2 2026 from a $294M loss a year earlier, but the volatility and large non-operating charges in prior quarters raise questions about earnings sustainability.
The reported EPS of $0.06 in Q2 2026 is a stark contrast to the -$0.95 loss in Q2 2025, but the path to profitability has been erratic, with massive impairments and write-downs in 2024. Stock-based compensation of $21M in Q2 2026 is modest but adds to dilution. Investors should focus on underlying operating performance rather than headline net income, which may be influenced by fleet disposal gains or losses.
COGS Dominates Cost Structure
COGS averaged roughly $1.9B per quarter over the past year, as per income statement data, representing over 80% of revenue and leaving little room for margin expansion.
The cost of sales, which includes fleet depreciation and direct rental expenses, is the primary driver of profitability. The stability of COGS despite revenue declines suggests fixed cost pressures, while SG&A has been relatively controlled. Management's ability to reduce fleet costs or improve utilization will be critical to achieving sustainable profitability.
Q2 2026 Marks Potential Turnaround
Q2 2026 delivered the first positive net income in five quarters, with EPS of $0.06 versus -$0.95 a year ago, as reported in the latest earnings release, suggesting a possible inflection point.
The swing to profitability, albeit modest, may indicate that the worst of the fleet-related losses are behind the company. However, the absolute net margin of 2.7% is thin, and the sustainability depends on continued cost discipline and stable residual values. This quarter could be the start of a recovery, but confirmation is needed in subsequent periods.
Residual Value Risk Remains
Despite the Q2 2026 profit, the softening Manheim Used Vehicle Value Index, as noted in recent industry data, could trigger further depreciation charges and undermine the earnings recovery.
The company's profitability is highly sensitive to used-car prices, and any further decline could reverse the recent improvement. The negative net margin of -8.8% over the trailing twelve months highlights the fragility of the current earnings power. Short-sellers might argue that the Q2 beat is a temporary reprieve, not a structural fix, given the ongoing revenue contraction and high debt levels.