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Avis Plunges Over 20% After Q4 Miss Tied to EV Fleet Write-Down

Management signaled weaker first-quarter results following weather-related flight cancellations.

Overview

  • Adjusted EBITDA was $5 million, far below the $145.4 million expected by analysts polled by FactSet.
  • The company reported a GAAP loss per share of $21.25 on roughly $2.7 billion in revenue, with a fourth-quarter net loss of $856 million and a full-year loss of $995 million.
  • Avis recorded about $500–518 million in impairment and related charges linked to shortening the useful life of certain U.S. electric vehicles.
  • Operational pressures included an 11% drop in November commercial rental days after widespread flight cancellations tied to the government shutdown, a smaller fleet, and a difficult window for selling used cars.
  • Shares fell roughly 21–23%, erasing about $1 billion in market value, and peer Hertz dropped more than 14% as the company also warned of lower Q1 results after January weather disruptions.