Hertz sees best quarterly results in two years as travel demand surges, signaling a stronger rental market for both leisure and business travelers worldwide. The company’s second quarter of 2025 marked a $0.5 billion improvement in profitability compared to the same period last year, driven by sharper fleet management, rising vehicle utilization, and enhanced customer service.
Smarter Fleet, Better Availability
One of Hertz’s standout achievements was reaching a vehicle utilization rate of 83%, up three percentage points from 2024. This means more of its cars were on the road serving customers rather than sitting idle. Nearly 80% of its U.S. rental fleet is now less than a year old, offering travelers newer models with updated features. The company’s “Buy Right, Hold Right, Sell Right” approach kept depreciation costs down to $251 per unit per month, exceeding its goal by a wide margin and ensuring competitive rates for customers.
Retail Sales Reach New Heights
Travelers looking to purchase a used rental car also had more options than ever. Hertz posted its highest second-quarter retail vehicle sales in five years, thanks in part to direct-to-consumer sales channels. This strong demand reflects the appeal of well-maintained, late-model vehicles at competitive prices, often complete with a full maintenance history. For budget-conscious globetrotters, buying from Hertz can be a savvy alternative to traditional dealerships.
Customer Experience and Cost Control
Hertz improved its global Net Promoter Score by 11 points year-over-year, suggesting travelers are noticing better service and smoother booking experiences. CEO Gil West credited these gains to smarter operations and disciplined cost management, which reduced direct operating expenses by 3%. Operational agility also meant lower costs per rental day, which can translate into more competitive pricing for travelers during peak seasons.
What This Means for Travelers
For frequent flyers, road trippers, and international visitors, Hertz’s turnaround could lead to broader availability of vehicles, fresher fleets, and potentially lower prices in competitive markets. The company has already secured all its Model Year 2025 fleet at pre-tariff pricing, protecting customers from sudden rate spikes tied to import costs. With over $1.45 billion in liquidity, Hertz is positioned to invest further in digital innovations, loyalty programs, and premium vehicle offerings that cater to changing traveler preferences.
As global travel rebounds, the rental car market remains a vital link between airports, cities, and remote destinations. Hertz’s resurgence suggests travelers in 2025 may find it easier — and more enjoyable — to secure the right car at the right price, wherever their journeys take them.
