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WSJ:Dollar Thrifty 3Q Net Climbs 36% On Rise In Rental Revenue
 
DOW JONES NEWSWIRES

Dollar Thrifty Automotive Group Inc.'s (DTG) third-quarter earnings jumped 36% as the car-rental company benefited from a lack of merger-related expenses in the latest period and improved rental revenue.

Vehicle rental revenue for the quarter rose 2.4%, just ahead of the company's forecast. The improvement was driven by a 4.1% increase in rental days that partially offset a 1.7% decline in revenue per day.

"We are pleased with the rental day growth achieved this quarter and the strength of our forward bookings. Although the pricing environment was a headwind this quarter, we continue to benefit from a favorable used vehicle market and our efficient, low-cost operating structure," said Chief Executive Scott L. Thompson.

A long-running buyout saga involving Dollar Thrifty appeared to conclude last month when the car-rental company said it hadn't received any bids that eliminated regulatory risks, leaving Dollar Thrifty to push ahead on its own.

Despite the assertion, analysts at the time largely expected a bid from Hertz Global Holdings Inc. (HTZ) would eventually prove successful. Hertz later said it was putting its offer on hold, citing current market conditions.

Dollar Thrifty reported a profit of $66.6 million, or $2.13 a share, up from $49.2 million, or $1.62 a share, a year earlier. Excluding impairment charges, $11.4 million in merger-related expenses in the year-earlier period and other items, earnings rose to $2.14 from $1.74.

Revenue edged up 1.8% to $451.7 million. Analysts polled by Thomson Reuters expected earnings of $1.92 a share on revenue of $448 million.

Total costs and expenses declined 7.3% from a year earlier. The fleet cost per vehicle fell to $186 a month in third quarter, down from $262 a month a year earlier.

Shares closed Monday at $61.04 and were inactive premarket. The stock is up 29% since the start of the year.

-By Mia Lamar, Dow Jones Newswires; 212-416-3207; mia.lamar@dowjones.com
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