Dollar Thrifty Reports Profitable Growth

Dollar Thrifty Automotive Group, Inc. reported results for the second quarter ending June 30, including net income for the 2010 second quarter of $42.3 million compared to net income of $12.4 million for the comparable 2009 quarter. It looks like 2010 may be the most profitable year in the company’s history, the company said. The results will also make Dollar Thrifty even more attractive as an acquisition target. Dollar Thrifty is expected to be acquired by Hertz Global Holdings, Inc., but a competing bid by Avis Budget Group, Inc. was submitted last week.

Non-GAAP net income for the 2010 second quarter was $38.0 million compared to non-GAAP net income of $6.9 million for the 2009 second quarter. For the six months ended June 30, 2010, net income was $69.6 million compared to net income of $3.5 million for the comparable period in 2009.

"The company's ongoing efforts in the areas of revenue management, expense control and fleet management continue to reap significant benefits, as demonstrated by our sixth consecutive quarter of year-over-year double-digit growth in Corporate Adjusted EBITDA," said Scott L. Thompson, president and CEO. "Our day-to-day focus continues to be on improving the company's return on assets while maximizing our cash flow. I am pleased to report that we are on track to make 2010 the most profitable year in the history of the company."

On a same-store basis, rental revenues for locations that were open during the second quarter of both 2010 and 2009 were up 2.9 percent compared to last year's second quarter. For the quarter ended June 30, 2010, the company's total revenue was $396.2 million, as compared to $399.6 million for the comparable 2009 period. The decline in total revenue was primarily driven by a decline in vehicle leasing revenue, resulting from a planned reduction in vehicles leased to franchisees, the company said.

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