By Nicholas G. Miller

Hertz reported lower fourth-quarter revenue, with its results dragged down by multiple temporary headwinds, including a government shutdown that caused flight cancellations.

The company's loss narrowed to $194 million, or 72 cents a share, from a loss of $479 million, or $1.56 a share, the year prior.

Adjusted loss came in at 63 cents a share. Analysts polled by FactSet expected a loss of 52 cents a share.

Revenue fell 1% to $2.03 billion. Wall Street was expecting $2 billion.

The company said its quarter was hurt by last year's government shutdown, which reduced travel, as well as multiple technology vendor outages and a level of vehicles on recall nearly three times higher than normal.

Meanwhile, depreciation was hurt by a revised Black Book residual outlook and softer seasonal wholesale pricing due to elevated manufacturer and rental fleet reductions.

Hertz said the first quarter is trending positively and it expects a mid-single digit increase in revenue for the quarter, "supported by a constructive demand environment and increased year-over-year" revenue per day.

In November, the company logged its first profit in more than two years and said that a strategy focused on swapping in newer vehicles and expanding into car sales was delivering results.

Write to Nicholas G. Miller at nicholas.miller@wsj.com.

(END) Dow Jones Newswires

February 26, 2026 08:46 ET (13:46 GMT)

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