Structural margin compression remains persistent, evidenced by operating income falling to a $164 million loss in 2025Q4 despite revenue fluctuations.
| 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 | 8.7B | 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 % | -0.99% | -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 | 7.58B | 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 | 1.11B | 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 % | 12.81% | 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 | 973M | 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 | 973M | 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 | 0 | 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 | 141M | 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 % | 1.62% | 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 | 2.31B | 2.28B | 3.56B | 3.35B | 3.02B | 2.87B | 1.59B | 3.75B | 3.35B | 3.14B | 3.23B | 3.35B | 4.08B | 4.3B | 3.41B | 3.01B | 2.87B | 2.71B | 3.06B | 3.56B | 3.12B | 43.93M |
| EBITDA Margin % | 26.62% | 26.8% | 39.34% | 35.7% | 34.72% | 39.09% | 30.28% | 38.38% | 35.23% | 35.64% | 36.74% | 37.14% | 36.95% | 39.92% | 37.83% | 36.26% | 38% | 38.14% | 35.95% | 40.99% | 38.68% | 28.44% |
| EBITDA Growth % | -25.59% | -35.98% | 6.43% | 10.95% | 5.13% | 80.15% | -57.58% | 12.1% | 6.73% | -3% | -3.43% | -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) | 2.17B | 2.27B | 4.12B | 2.57B | 940M | 801M | 2.48B | 2.99B | 2.76B | 2.73B | 2.62B | 2.55B | 3.15B | 2.75B | 2.33B | 2.04B | 2.01B | 2.16B | 2.43B | 2.24B | 2.02B | 51.41M |
| EBIT | 446M | 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 | -1.09B | -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 | 1.09B | 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 | -750M | -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 | -609M | -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 % | -7% | -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 | 28M | -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 % | -4.6% | 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 | -637M | -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 % | -7.33% | -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 % | 79.58% | 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) | -637M | -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) | -2.03 | -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 % | 79.13% | 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 | 314M | 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 | 314M | 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% | - |
Fleet Depreciation and Residuals
According to recent financial filings, Hertz's revenue growth has remained inconsistent, fluctuating between a 10.5% increase in 2026Q1 and a 12.8% contraction in 2025Q1, highlighting the company's sensitivity to seasonal travel demand and the inherent difficulty in maintaining consistent top-line expansion within the competitive rental market.
The erratic revenue trajectory suggests that Hertz struggles to maintain pricing power during off-peak periods, leading to significant quarter-over-quarter variance. Investors should monitor whether the recent uptick in revenue growth is a sustainable recovery or merely a reflection of easier year-over-year comparisons following previous periods of contraction.
As reported in quarterly income statements, Hertz's gross margin has struggled to find a stable floor, bottoming out at -0.5% in 2024Q1 before reaching 8.8% in 2026Q1, which underscores the extreme difficulty in managing fleet-related costs against the backdrop of volatile used vehicle market valuations.
The inability to consistently maintain double-digit gross margins suggests that the company's cost of revenue is highly susceptible to depreciation spikes and maintenance overhead. This structural weakness implies that Hertz lacks the pricing flexibility to fully offset the rising costs associated with fleet turnover and vehicle lifecycle management.
Based on the company's reported figures, operating income has frequently dipped into negative territory, with a 2025Q4 operating loss of $164 million, indicating that SG&A expenses remain stubbornly high relative to the company's ability to generate sufficient gross profit to cover its fixed operational footprint.
The lack of positive operating leverage suggests that Hertz is currently unable to scale its business efficiently, as overhead costs do not appear to be sufficiently decoupled from revenue fluctuations. This persistent operating inefficiency warrants further investigation into whether current SG&A levels are necessary for maintaining the company's airport-centric infrastructure.
Data from recent income statements reveals that Hertz's net income has been consistently pressured by significant losses, including a $479 million deficit in 2024Q4, which suggests that the company's reliance on the secondary vehicle market for capital recovery remains a critical, high-risk component of its financial model.
Short-sellers would likely focus on the company's exposure to the Manheim Used Vehicle Value Index, as any further decline in residual values could necessitate additional, painful write-downs. The recurring net losses indicate that the current business model may be fundamentally misaligned with the realities of modern fleet depreciation and interest expense burdens.
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.