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By Employment Crossing
Avis Budget Sees Increase in Quarter Profits
By Employment Crossing
Avis Budget, a vehicle rental service agency, was surprised to see a better than expected increase in its quarter profits, despite hurdles in this year’s travel season. Amidst rising gas and oil prices and a weak economy, the company’s net income came in at $15 million, or 15 cents a share. Analysts were expecting a 6 cent per share profit. Chief Executive Officer Ronald Nelson said that car rental revenue increased five percent year-over-year, but car fleet costs also rose 11%, and he expects to see more increases at the end of the 2008 fiscal year. Avis Budget’s shares closed on Wednesday night at $6.22.
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