Dollar Thrifty Automotive Group Reports Record First Quarter
Revenue
TULSA, Okla., April 24 Dollar
Thrifty Automotive Group, Inc. , today reported results for the
first quarter ended March 31, 2001. Total revenue for the 2001 first quarter
was a record $243.9 million, increasing 4.0 percent over the 2000 first
quarter. Net income for the quarter was $9.2 million, or $.38 per diluted
share, exceeding the Company's estimate of $.30 to $.35. For the comparable
2000 quarter, net income was $11.3 million, or $.46 per diluted share.
Dollar Thrifty Automotive Group, Inc. owns Dollar Rent A Car Systems, Inc.
and Thrifty, Inc. For the 2001 first quarter, Dollar achieved record revenue
of $187.9 million, an increase of 4.8 percent over the first quarter of 2000.
Vehicle rental revenue reached a record $179.1 million, a 6.5 percent increase
over the 2000 first quarter. Rental revenue was driven by strong growth in
rental days which increased 9.7 percent over last year's quarter, including
growth from the acquisition of franchise locations. Dollar continues to
expand its commanding presence on the Internet. The dollar.com Web site
provided 18.1 percent of Dollar's first quarter reservations, compared to
14.3 percent in last year's first quarter.
For the 2001 first quarter, Thrifty, Inc. achieved revenue of
$55.8 million, a 1.6 percent increase over the first quarter of 2000.
Corporate vehicle rental revenue increased 76.1 percent over the comparable
2000 quarter driven by strong growth in Canadian operations and the addition
of U.S. markets previously operated by franchisees. As a result of this shift
in operations, Thrifty's vehicle leasing revenue declined 15.0 percent to
$32.4 million. Thrifty is continuing to focus on expanding its U.S. in-
terminal operations during 2001. Thrifty Car Sales continues to grow and
generate interest among prospective dealers. The Company currently has
39 dealer locations in operation and expects to increase to approximately
75 by year-end.
Joseph E. Cappy, Chairman, CEO and President, said, "We are pleased with
our first quarter results, particularly in light of the slowing domestic
economy and airline travel. While Dollar and Thrifty are not immune to an
economic slow-down, we are well positioned to perform comparatively well as a
result of our low-cost structure and our value-price position. During the
first quarter, our strong rental day growth along with tight controls over our
fleet and expenses allowed us to generate excellent results despite continued
weakness in industry pricing."
Regarding the 2001 outlook, the Company expects Dollar's rental days to
grow by eight to nine percent, including growth from franchise acquisitions.
For the second quarter, average revenue per day is expected to decrease two to
three percent as compared to the 2000 second quarter. Based on anticipated
market conditions, the Company expects second quarter earnings per share to be
in the range of $.83 to $.93. The Company has less visibility on pricing
trends, which are key to industry earnings, beyond the second quarter. If
weak industry pricing continues, full year average revenue per day could
decline by two to three percent. However, with improved pricing in the second
half of the year, the Company believes the full year average revenue per day
could increase by as much as one percent over that achieved in 2000. Based on
this and other anticipated market conditions, the Company expects 2001
earnings per share to be in the range of $2.50 to $3.20.
Dollar Thrifty Automotive Group, Inc.
Consolidated Statement of Income
(In thousands, except share and per share data)
Unaudited
Three months ended As % of
March 31, Total revenues
2001 2000 2001 2000
Revenues:
Vehicle rentals $190,777 $174,863 78.2% 74.6%
Vehicle leasing 36,577 43,286 15.0% 18.5%
Fees and services 12,873 14,151 5.3% 6.0%
Other 3,634 2,123 1.5% 0.9%
Total revenues 243,861 234,423 100.0% 100.0%
Costs and Expenses:
Direct vehicle and
operating 84,181 71,799 34.5% 30.6%
Vehicle depreciation
and lease charges,
net 76,029 73,726 31.2% 31.4%
Selling, general
and administrative 45,466 46,197 18.6% 19.7%
Interest expense,
net 19,626 20,619 8.1% 8.8%
Amortization of
cost in excess of
net assets acquired 1,544 1,446 0.6% 0.7%
Total costs and
expenses 226,846 213,787 93.0% 91.2%
Income before income
taxes 17,015 20,636 7.0% 8.8%
Income tax expense 7,806 9,324 3.2% 4.0%
Net income $ 9,209 $ 11,312 3.8% 4.8%
Earnings per share:
Basic $ 0.38 $ 0.47
Diluted $ 0.38 $ 0.46
Weighted average number
of shares outstanding:
Basic 24,081,599 24,160,574
Diluted 24,546,836 24,552,373
Consolidated Operating Statistics
Three months ended
March 31, 2001
Vehicle Rental Data:
Average number of vehicles operated 64,631
% change from prior year 13.9%
Number of rental days 4,925,801
% change from prior year 12.8%
Vehicle utilization 84.7%
Percentage points change from prior year 0.1p.p.
Average revenue per day $38.73
% change from prior year (3.3%)
Monthly average revenue per vehicle $984
% change from prior year (4.3%)
(Note: The 1st qtr of 2001 had 90 days
compared to 91 days in the 1st qtr of 2000)
Vehicle Leasing Data:
Average number of vehicles leased 26,764
% change from prior year (14.7%)
Monthly average revenue per vehicle $456
% change from prior year (0.9%)
