Fourth-Quarter Results

Segment Highlights

• Americas: Revenue was $2,040 million, a 4% decrease year-over-year. Adjusted EBITDA improved to $1 million from a $63 million loss in the prior year. Rental days remained flat at 30.9 million, while revenue per day (excluding exchange rates) declined 4% to $66.01.
• International: Revenue excluding exchange rate effects was flat at $592 million. Adjusted EBITDA rose 291% to $21 million. Rental days decreased 5% to 10.4 million, while revenue per day excluding exchange rate effects increased 5% to $56.76.

Full-Year Results Context

For the fiscal year 2025, annual revenue was $11,652 million, a 1% contraction from $11,789 million in 2024. The net loss for the year was $995 million, compared to a loss of $1,817 million in the previous year. Adjusted EBITDA for the full year reached $748 million, a 19% increase over the $628 million reported in 2024. Annual trends indicated stability in rental volume, with total rental days at 175.1 million compared to 175.7 million in 2024.

Business & Operations Update

Operational developments included the implementation of a Global Rightsizing initiative in the International segment to focus on more profitable transactions. In the Americas, the company navigated unrepairable safety recalls that affected approximately 4% of the fleet during the latter half of the year. Verified investments were made in technology upgrades for field operations and the “Avis First” program.

M&A and Strategic Moves

The company recorded a long-lived asset impairment charge of $518 million in its Americas segment during 2025. This charge was associated with accelerating the rotation of United States electric vehicle (EV) rental units in connection with the Interpace Ventures transaction.

Guidance & Outlook

For the full year 2026, the company has issued the following targets to watch:

• Adjusted EBITDA: Projected between $800 million and $1,000 million.
• Per-Unit Fleet Costs: Estimated at approximately 320 to $330.

 Performance Summary

Avis Budget Group’s consolidated revenue declined 2% in the fourth quarter. The company narrowed its quarterly net loss to $856 million. Adjusted EBITDA reached $5 million for the quarter. International segment profitability improved despite lower rental volume. Americas results were impacted by fleet rotation and safety recalls. The 2026 outlook projects Adjusted EBITDA between $800 million and $1 billion.