Hertz 2014 Annual Report Download - page 54

Table of Contents
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 
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The accompanying Management's Discussion and Analysis of Financial Condition and Results of Operations gives effect to the restatement
adjustments made to the previously reported Consolidated Financial Statements for the years ended December 31, 2013 and December 31, 2012.
For additional information and a detailed discussion of the restatement, see Note 2, "Restatement" to the Notes to our consolidated financial
statements included in this Annual Report under the caption Item 8, "Financial Statements and Supplementary Data."
It also gives effect to the restatement adjustments made to the previously reported Consolidated Financial Statements for the quarterly and year to
date periods ended March 31, June 30 and September 30, 2013 and the quarterly period ended December 31, 2013. For additional information and
a detailed discussion of the quarterly restatement, see Note 21, "Quarterly Financial Information (Unaudited)" to the Notes to our consolidated
financial statements included in this Annual Report under the caption Item 8, "Financial Statements and Supplementary Data."

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
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
 
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

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

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
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
Total revenues $ 11,046
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$ 10,775
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$ 9,013
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3 %

20%
Direct operating expenses 6,314
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5,777
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4,861

9
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19
Depreciation of revenue earning equipment and lease
charges, net 3,034
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2,533
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2,128
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20

19
Selling, general and administrative 1,088

1,053

978

3

8
Interest expense, net 648

707

647

(8)

9
Other (income) expense, net (15)

102

34

NM

200
Income (loss) before income taxes (23)

603

365

NM

65
Provision for taxes on income (loss) (59)

(301)

(181)

(80)
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66
Net income (loss) $ (82)

$ 302

$ 184

NM

64
Adjusted pre-tax income (loss) (b) $ 403

$ 1,096

$ 816

(63)
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


Results from operations are discussed below and include comparisons to prior year periods. We acquired Dollar Thrifty on November 19, 2012. Our
results from operations included Dollar Thrifty for the post-acquisition period ended December 31, 2012, which is 43 days in 2012. The results of
operations for Dollar Thrifty are included within our U.S. Car Rental segment. In order to obtain regulatory approval and clearance for the Dollar
Thrifty acquisition, we agreed to dispose of Advantage. On December 12, 2012, we completed the sale of Simply Wheelz LLC, or the “Advantage
divestiture.” See Note 5, "Acquisitions and Divestitures," to the Notes to our consolidated financial statements included in this Annual Report
under the caption “Item 8 - Financial Statement and Supplementary Data.”

Total revenues increased $271 million, or 3%, from the prior year due to revenue increases in all four business segments. Higher revenues in our
U.S. Car Rental and International Car Rental segments year over year were driven by an increase in the number of transaction days during the
period. Increases in our Worldwide Equipment Rental segment were driven by higher volume and pricing during the period. Higher revenues in our
Donlen operations year over year were primarily the result of higher volume during the period.
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Source: HERTZ GLOBAL HOLDINGS INC, 10-K, July 16, 2015 Powered by Morningstar® Document Research℠
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