v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
Our chief executive officer, who also serves as our chief operating decision-maker (“CODM,”) assesses performance and allocates resources based upon the separate financial information of our operating segments. We aggregate certain of our operating segments into our reportable segments. In identifying our reportable segments, we also consider the management structure of the organization, the nature of services provided by our operating segments, the geographical areas and economic characteristics in which the segments operate, and other relevant factors.

Our CODM evaluates the operating results of each of our reportable segments based upon revenues and Adjusted EBITDA, which we define as income (loss) from continuing operations before non-vehicle related depreciation and amortization; long-lived asset impairment and other related charges; other fleet charges; restructuring and other related charges; early extinguishment of debt costs; non-vehicle related interest;
transaction-related costs, net; legal matters, net, which primarily includes amounts recorded in excess of $5 million, related to unprecedented self-insurance reserves for allocated loss adjustment expense, class action lawsuits and personal injury matters; non-operational charges related to shareholder activist activity, which includes third-party advisory, legal and other professional fees; COVID-19 charges, net; cloud computing costs; other (income) expense, net; severe weather-related damages in excess of $5 million, net of insurance proceeds; and income taxes. In the first quarter of 2025, we revised our definition of Adjusted EBITDA to exclude other fleet charges. We did not revise prior years' Adjusted EBITDA amounts because there were no other charges similar in nature to these.

We believe Adjusted EBITDA is useful as a supplemental measure in evaluating the performance of our operating businesses and in comparing our results from period to period. We also believe that Adjusted EBITDA is useful to investors because it allows them to assess our results of operations and financial condition on the same basis that management uses internally. Adjusted EBITDA is a non-GAAP measure and should not be considered in isolation or as a substitute for net income or other income statement data prepared in accordance with U.S. GAAP.

Provided below is information about our revenues, significant segment expenses, and reportable segment Adjusted EBITDA, together with a reconciliation of reportable segment Adjusted EBITDA to income (loss) before income taxes.

Three Months Ended June 30,
20252024
AmericasInternationalTotalAmericasInternationalTotal
Revenues$2,332 $707 $3,039 $2,361 $687 $3,048 
Significant segment expenses:
Operating (a)
1,169 329 1,187 320 
Vehicle depreciation and lease charges, net484 152 559 174 
Selling, general and administrative264 110 222 108 
Vehicle interest, net195 34 207 37 
Reportable segment Adjusted EBITDA$220 $82 $302 $186 $48 $234 
Reconciliation of reportable segment Adjusted EBITDA to income before income taxes:
20252024
Reportable segment Adjusted EBITDA$302 $234 
Non-vehicle related depreciation and amortization60 61 
Interest expense related to corporate debt, net:
Interest expense4 — 
Restructuring and other related charges51 14 
Transaction-related costs, net— 1 
Other (income) expense, net5 2 
Other segment expenses (b)
12 12 
Corporate and other (c)
155 117 
Income before income taxes$15 $27 
__________
(a)Excludes other segment expenses.
(b)Cloud computing costs and legal matters, net.
(c)Consists of unallocated corporate expenses not attributable to a particular reportable segment. For the three months ended June 30, 2025 and 2024, includes $106 million and $88 million of interest expense related to corporate debt, respectively.
Six Months Ended June 30,
20252024
AmericasInternationalTotalAmericasInternationalTotal
Revenues$4,239 $1,230 $5,469 $4,354 $1,245 $5,599 
Significant segment expenses:
Operating (a)
2,233 603 2,239 609 
Vehicle depreciation and lease charges, net (b)
1,017 284 1,046 323 
Selling, general and administrative464 197 429 207 
Vehicle interest, net372 67 410 73 
Reportable segment Adjusted EBITDA$153 $79 $232 $230 $33 $263 
Reconciliation of reportable segment Adjusted EBITDA to loss before income taxes:
20252024
Reportable segment Adjusted EBITDA$232 $263 
Non-vehicle related depreciation and amortization115 118 
Interest expense related to corporate debt, net:
Interest expense6 2 
Other fleet charges390 — 
Restructuring and other related charges73 17 
Transaction-related costs, net— 2 
Other (income) expense, net11 3 
Other segment expenses (c)
13 9 
Corporate and other (d)
286 227 
Loss before income taxes$(662)$(115)
__________
(a)Excludes other segment expenses.
(b)For the six months ended June 30, 2025, excludes other fleet charges related to the accelerated disposal of certain fleet within our Americas reportable segment. These costs relate to vehicles that were not included in the long-lived asset impairment and other related charges recorded in 2024.
(c)Cloud computing costs and legal matters, net.
(d)Consists of unallocated corporate expenses not attributable to a particular reportable segment. For the six months ended June 30, 2025 and 2024, includes $201 million and $169 million of interest expense related to corporate debt, respectively.
Provided below is information about our segment assets.
AmericasInternational
Unallocated Assets (a)
Total
Six Months Ended June 30, 2025
Property and equipment additions$28 $14 $43 $85 
As of June 30, 2025
Assets exclusive of assets under vehicle programs6,788 3,040 329 10,157 
Assets under vehicle programs17,938 4,276 — 22,214 
Net long-lived assets1,451 803 192 2,446 
Year Ended December 31, 2024
Property and equipment additions$109 $40 $53 $202 
As of December 31, 2024
Assets exclusive of assets under vehicle programs6,785 2,539 344 9,668 
Assets under vehicle programs16,058 3,315 — 19,373 
Net long-lived assets1,474 733 162 2,369 
__________ 
(a)Includes unallocated corporate assets which are not attributable to a particular reportable segment.