Hertz Global Holdings Inc. is making advances slimming its bloated fleet of fast-depreciating cars, tempering concerns about the rental-car company's financial footing as tech giants challenge its business model.
Hertz reported a net loss of $158 million in the second quarter, compared with a loss of $43 million in the same quarter last year. Revenue in the quarter declined 2 percent to $2.22 billion.
"We have made significant progress in the first half of the year, executing on our operating turnaround plan," CEO Kathryn Marinello said in a company statement. While Hertz increased spending in the first half of the year, it's completed a "transformation" of its fleet to cope with its vehicles losing their value, she said.
Marinello took over Hertz in January and has tried to turn the company around by selling down its crowded fleet of discounted car models. At the same time, Hertz and Avis face major threats from the rise of ride-hailing and car-sharing companies such as Uber Technologies Inc.