Josh Patwa's questions to Avis Budget Group Inc (CAR) leadership • Q4 2024
Question
Josh Patwa, on for Ryan Brinkman at JPMorgan, asked about the vehicle disposition mix between auction and non-auction channels and how increased certainty around fleet costs could drive other operational efficiencies.
Answer
CEO Joseph Ferraro responded that approximately 70% of vehicles are sold through non-auction channels, a key differentiator, and this strategy remains. He explained that cost certainty and a newer fleet directly improve utilization, reduce maintenance costs, enhance productivity, and allow the demand-fleet pricing system to optimize revenue by having more cars available for rent.