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Dollar Thrifty Group Provides First Quarter UpdateApril 22, 2009 By: George Dooley
Dollar Thrifty Automotive Group, Inc. announced preliminary results, including its expectation that total vehicle rental revenues for the first quarter of 2009 will increase approximately 2 to 3 percent compared to the fourth quarter of 2008. The company said rental revenues for the first quarter were favorably impacted by an approximate 10 percent increase in rate per day, more than offsetting an approximate 7 percent decline in transaction days. The company will release its first quarter results May 6.
"Although market conditions and fleet cost remain challenging, our revenue management initiatives combined with what appear to be improved industry-wide supply and demand factors resulted in double-digit improvements in rate per day compared to the depressed pricing levels of the fourth quarter 2008," said Scott L. Thompson, president and CEO.
The Group said rental revenues for the first quarter of 2009 are projected to be down approximately 8 to 9 percent compared to the first quarter of 2008, as an approximate 4 percent improvement in pricing on a year-over-year basis did not fully offset an approximate 12 percent decline in transaction days. The company noted that the Easter holiday fell in the second quarter this year versus the first quarter in 2008, and February 2009 had one less day than February 2008.
Dollar Thrifty Automotive Group, Inc. is a Fortune 1000 company headquartered in Tulsa, OK with operations in 70 countries. Dollar and Thrifty have over 700 corporate and franchised locations in the U.S. and Canada.