Avis Budget Group, Inc. is a leading global provider of mobility solutions, operating some of the most recognized brands in the industry, including Avis, Budget, and Zipcar. The company specializes in car and truck rentals, car sharing, and licensing its trademarks to partners in regions where it does not directly operate. With operations spanning approximately 180 countries, Avis Budget serves a diverse customer base through its extensive network and innovative mobility services.
- Americas Segment - Operates vehicle rental and car sharing services across North America, South America, Central America, and the Caribbean, and licenses its trademarks in areas where it does not directly operate.
- International Segment - Provides vehicle rental and car sharing services in Europe, the Middle East, Africa, Asia, and Australasia, and licenses its trademarks in regions outside its direct operations.
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| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Jagdeep Pahwa ExecutiveBoard | Executive Chairman of the Board | President of SRS Investment Management, LLC | Jagdeep Pahwa became Executive Chairman on March 1, 2025 after serving as Chairman since May 2024 and has been a Board member since April 2018. He also brings extensive investment management and advisory experience, serving as President of SRS Investment Management, LLC since 2017. | |
Brian J. Choi Executive | Executive Vice President and Chief Transformation Officer | Brian J. Choi is the Executive Vice President and Chief Transformation Officer at CAR since January 2024. He is scheduled to become CEO effective July 1, 2025 and previously served as CFO from August 2020 to December 2023 and as a Board member from January 2016 to August 2020. | ||
Cathleen DeGenova Executive | Senior Vice President and Chief Accounting Officer | Cathleen DeGenova is the Senior Vice President and Chief Accounting Officer at Avis Budget Group since August 2024. Previously, she served as Vice President and Chief Accounting Officer from August 2019 to August 2024. | ||
Daniel Cunha Executive | Executive Vice President and Chief Financial Officer | Daniel Cunha is the Executive Vice President and Chief Financial Officer at Avis Budget Group (CAR) since July 1, 2025; previously, he served as CFO at Ocean Spray (2019-2023) and at Orion Services Group (2024-2025). | ||
Edward P. Linnen Executive | Executive Vice President and Chief Human Resources Officer (CHRO) | Edward P. Linnen serves as the Executive Vice President and Chief Human Resources Officer (CHRO) at CAR since January 2015. Previously, he served as Senior Vice President and Chief Human Resources Officer from February 2013 to January 2015 and as Senior Vice President, Human Resources for North America from October 2011 to February 2013, having joined CAR in 2001. | ||
Jean M. Sera Executive | Senior Vice President, General Counsel, Chief Compliance Officer, and Corporate Secretary | Jean M. Sera has served as the Senior Vice President, General Counsel, Chief Compliance Officer, and Corporate Secretary at Avis Budget Group since March 2020, playing a key role in legal and compliance operations. Previously, she held various senior legal positions at the company from 2002 onward. | ||
Joseph A. Ferraro Executive | President and Chief Executive Officer | Joseph A. Ferraro has served as the President and Chief Executive Officer of Avis Budget Group since June 2020. Previously, he held roles including Interim President and CEO and President, Americas, contributing to over 40 years of leadership at the company. | View Report → | |
Ravi Simhambhatla Executive | Executive Vice President and Chief Digital and Innovation Officer | Ravi Simhambhatla is the Executive Vice President and Chief Digital and Innovation Officer at CAR since July 2022. He previously held leadership roles at Google Cloud and United Airlines. | ||
Anu Hariharan Board | Director | Founder and Managing Partner at Avra | Anu Hariharan has served as Director at Avis Budget Group, Inc. since January 2022 and is a member of the Audit Committee, bringing extensive experience from roles at Avra, Y Combinator's Continuity Fund, and Andreessen Horowitz. | |
Bernardo Hees Board | Member of the Board | Operating Partner of The Cranemere Group; Director of Bunge Limited | Bernardo Hees is a seasoned executive with extensive leadership experience across multiple industries. At CAR, he has served as Director since February 2020, as Executive Chairman from July 2020 to May 2024, and currently as a board member since March 2024. Previously, he served as CEO at Burger King, H.J. Heinz, and The Kraft Heinz Company. | |
Glenn Lurie Board | Director | General Partner at Stormbreaker Ventures; Director at Teal Communications; Director at Blue Link Wireless; Director at Pivotal Commware, Inc. | Glenn Lurie has been a Director at CAR since May 2018 where he chairs the Audit Committee and serves on the Compensation Committee. He brings extensive executive experience from telecommunications and technology sectors, including leadership roles at AT&T and Synchronoss Technologies. | |
Lynn Krominga Board | Lead Independent Director | Consultant to private equity, venture capital, hedge funds, and angel investors; Chief Executive Officer of Fashion Wire Daily, Inc.; Director and Audit Committee Member of AHAVA Dead Sea Laboratories, Ltd.; Advisor to London-based Apax Partners; Director of StructuredWeb, Inc.; Board of Advisors of Makeover Studios, Inc.; General Manager-North America of Electric Fuel, Inc.; Internet Consultant | Lynn Krominga has served as a director at CAR since October 2006 and was appointed as Lead Independent Director in February 2024. She serves on the Audit, Compensation, and Corporate Governance Committees. |
- Considering the record level of risk vehicle disposals and the accelerated fleet rotation that led to a one-time $390 million charge, how do you plan to manage future fleet cost volatility and mitigate its impact on adjusted EBITDA if market conditions shift unexpectedly?
- With tariffs still creating pricing uncertainties for both new and used vehicles, what specific triggers or benchmarks will prompt you to adjust your procurement strategy for model year '26 vehicles?
- As leisure demand drives improved reservations while commercial volumes soften, what contingency measures are in place to protect margins if consumer travel trends weaken due to broader economic headwinds?
- Given the operational challenges of maintaining optimal vehicle utilization, especially during high-demand periods, how will you ensure that increased utilization does not compromise service quality or fleet flexibility?
- With a target to reduce per unit fleet costs from $351 in Q1 to $300 by Q4, what risks do you foresee in relying heavily on residual value strength, and how will you adjust your strategy if the used car market underperforms?
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
North American Licensee (June 2023) | 2023 | Acquired for approximately $14 million plus $20 million for the fleet, with an additional $14 million recorded to intangibles from franchise agreements; the deal supports the strategy of re-acquiring licensees to expand company-operated locations, and the fair value assessment is subject to change. |
North American Licensee (October 2023) | 2023 | Acquired for approximately $10 million plus $4 million for the fleet, this transaction is part of the strategy to expand the company-operated footprint in North America. |
McNicoll Vehicle Hire | 2023 | Acquired in September 2023 for approximately $17 million net of cash, the acquisition aims to expand the vehicle rental services footprint in Scotland, with the fair value of assets and liabilities yet to be finalized. |
Recent press releases and 8-K filings for CAR.
- Avis Budget Group reported Q2 2025 revenues of $3,039 million and Adjusted EBITDA of $277 million, representing a 29% increase in Adjusted EBITDA compared to Q2 2024.
- The company achieved a 13% decrease in per-unit fleet costs per month to $300 in Q2 2025 compared to the prior year.
- As of June 30, 2025, total liquidity was $944 million, with year-to-date Adjusted Free Cash Flow at $(475) million.
- For full-year 2025, Avis Budget Group anticipates Adjusted EBITDA to be between ~$900 million and $1,000 million, and per-unit fleet costs per month are expected to be ~$310-$320. The company also issued $600 million senior notes due 2032 and extended a $1,147 million term loan to 2032.
- A class action lawsuit has been filed against Avis Budget Group, Inc. (CAR) on behalf of investors who bought securities between February 16, 2024, and February 10, 2025, with a deadline of June 24, 2025, for investors to file a lead plaintiff motion.
- The lawsuit alleges the company failed to disclose a plan to aggressively accelerate fleet rotation, which resulted in a Q4 2024 quarterly loss of $1.96 billion, or $55.66 per share, attributed to a $2.3 billion non-cash impairment and $180 million in other non-cash charges.
- Joseph A. Ferraro will step down as CEO effective June 30, 2025, and Brian Choi will assume the CEO position starting July 1, 2025.
- A class action lawsuit has been filed against Avis Budget Group, Inc. and certain officers, covering the period from February 16, 2024, to February 10, 2025, alleging violations of federal securities laws.
- The lawsuit claims the company made false and misleading statements regarding its accelerated fleet rotation strategy, which led to a $2.3 billion non-cash impairment and $180 million in other non-cash charges.
- Avis Budget reported a loss of $1.96 billion, or $55.66 per share, for Q4 2024, attributed to these charges.
- Following this news, Avis Budget's stock price fell $6.12 per share, or 6.82%, on February 11, 2025.
- Effective July 1, 2025, Joseph A. Ferraro will transition from CEO to Board Advisor, and Brian Choi will become the new CEO.
- A class action lawsuit has been filed against Avis Budget Group, Inc., representing investors who purchased securities between February 16, 2024 and February 10, 2025, with a deadline of June 24, 2025 for investors to file a lead plaintiff motion.
- The lawsuit alleges that Avis Budget's financial condition and business outlook were materially overstated due to an undisclosed plan to aggressively accelerate its fleet rotation during the fourth quarter of 2024, which significantly shortened vehicle useful life and necessitated billions in impairment charges.
- Avis Budget reported a $1.96 billion quarterly loss, or $55.66 per share, for Q4 2024, primarily due to a $2.3 billion non-cash impairment and $180 million in other non-cash charges resulting from this accelerated fleet rotation strategy.
- Additionally, CEO Joseph A. Ferraro will step down on June 30, 2025, to be replaced by Brian Choi starting July 1, 2025, a change that reportedly led to a nearly 7% drop in Avis Budget's stock price.
- A class action lawsuit has been filed against Avis Budget Group, Inc. and certain officers, covering the period between February 16, 2024, and February 10, 2025.
- The lawsuit alleges that the company made false and misleading statements by failing to disclose a plan to significantly accelerate fleet rotation in Q4 2024, which led to a reduction in vehicle recoverable value.
- Avis Budget reported a loss of $1.96 billion, or $55.66 per share, for Q4 2024, primarily due to a one-time non-cash impairment of $2.3 billion related to the accelerated fleet rotations.
- Following this news, Avis Budget's stock price fell $6.12 per share, or 6.82%, on February 11, 2025.
- Additionally, CEO Joseph A. Ferraro will transition to Board Advisor, with Brian Choi taking over as CEO, effective July 1, 2025.
- A class action lawsuit has been filed against Avis Budget Group, Inc. and certain officers by Pomerantz LLP, covering the period from February 16, 2024 to February 10, 2025.
- The lawsuit alleges that Avis Budget made materially false statements regarding a significant acceleration of fleet rotation in Q4 2024, which resulted in a $2.3 billion non-cash impairment and other charges, leading to a $1.96 billion loss for the quarter.
- Following the announcement of these Q4 2024 results, Avis Budget's stock price declined 6.82% on February 11, 2025.
- Avis Budget also announced that CEO Joseph A. Ferraro will transition to Board Advisor, with Brian Choi taking over as CEO, effective July 1, 2025.
- Pomerantz LLP announced a class action lawsuit against Avis Budget Group, Inc. and certain officers, covering securities purchased between February 16, 2024 and February 10, 2025.
- The lawsuit alleges that defendants made materially false and misleading statements regarding a change in strategy to significantly accelerate fleet rotation in Q4 2024, which shortened vehicle useful life and led to billions in impairment charges and substantial losses.
- Avis Budget reported a loss of $1.96 billion, or $55.66 per share, for Q4 2024, primarily due to a one-time non-cash impairment of $2.3 billion related to this fleet rotation strategy change. Following this news, the stock price fell $6.12 per share, or 6.82%, on February 11, 2025.
- Joseph A. Ferraro will transition from CEO to Board Advisor, effective June 30, 2025, with Brian Choi taking over as CEO on July 1, 2025.
- Avis Budget Group, Inc. filed an 8-K on May 19, 2025, announcing the issuance of 8.375% Senior Notes due 2032.
- The notes were issued under an Indenture dated May 19, 2025, with Avis Budget Car Rental, LLC and Avis Budget Finance, Inc. as the issuers.
- Prior to June 15, 2028, the company may redeem up to 40% of the original aggregate principal amount of the notes at 108.375% of the principal amount, plus accrued interest, using net cash proceeds from equity offerings. Additionally, notes can be redeemed at 100.000% of the principal amount plus an applicable premium.
- On or after June 15, 2028, the notes are redeemable at 104.1875% in 2028, 102.0938% in 2029, and 100.0000% in 2030 and thereafter, plus accrued interest.
- Avis Budget Group, Inc.'s wholly-owned subsidiaries, Avis Budget Car Rental, LLC and Avis Budget Finance, Inc., priced a private offering of $600 million aggregate principal amount of 8.375% senior notes due 2032.
- This amount represents a $100 million increase from the previously announced size of the offering.
- The closing of the offering was expected to occur on May 19, 2025, with the notes issued at par and guaranteed on a senior unsecured basis by Avis Budget Group and certain of its U.S. subsidiaries.
- The company intends to use the net proceeds for general corporate purposes, potentially including the repayment of indebtedness such as its floating rate term loan A maturing in December 2025 and a portion of its outstanding fleet debt.
- Faruqi & Faruqi, LLP is investigating and has filed a federal securities class action against Avis Budget Group (CAR), alleging the company made false or misleading statements regarding its financial and business prospects.
- The complaint details that Avis Budget's accelerated fleet rotation in Q4 2024 led to a $2.3 billion non-cash impairment and other charges, significantly impacting its financial results.
- On February 11, 2025, Avis Budget reported a Q4 2024 loss of $1.96 billion, or $55.66 per share, a substantial decline from a profit in the prior year's period.
- Following this announcement, Avis Budget's stock price fell $6.12 per share, or 6.82%, on February 11, 2025.
- Additionally, Joseph A. Ferraro will transition from CEO to Board Advisor, with Brian Choi taking over as CEO, effective July 1, 2025.