Thanks, everyone. Sandeep, morning, and good
work desire the to a and short throughout great organization. here. to historical company have Hertz and come be that me. welcoming who an knew valuable global of we a part I win started, the recognized members It's performance.
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the cover a before The the the highlight post-transformation is for things. So business let of bright. quarter, view results I financial of few me some
one are we with the a the very ROIC-based be efficiency data-driven to metrics business an business continue Our of will discipline. Northstar and side high-performance to That's a mindset coin. attainable, push and
other it financial are time we've the of to take there get where to be. arrival, we line us refine out. the view of impact a could the rotation is and business to to and call conducted few need The items through analysis the our fleet XXXX side further continue and particularly my Since transformation, that
First critical our repair piece is P&L foremost, fleet. and fleet. our of A the transforming
low Our between $XXX our and metric for. of what Carrefour primary buy limit difference DPU what to objective Northstar the our sell the we simplest This to range. translates we in its is it form
As we $XXX a fleet over global into at today The rates XX% for of deals of DPU XXXX, and our of delivered remainder of or fleet at to this $XXX. a $XXX. of the below be was consummating less, year about DPU June later and have are XX, was our DPU vehicles
and the executing accelerate we logistically possible. and economically refresh as will are fast at We utmost as the urgency, this
concepts the the a end possible. the depending probably the than of an With clarify of total on to lower more why what that the $X where billion of residual objective, this as of impact XXXX. But higher rotation some as of the cash P&L they want on helpful we are of could important impact the how the speed noncash rotation, we fleet excess of QX and out. be different. be be expect of depending through soon and may through that timing can a about push through concepts or happen rotation P&L rotate. The may little estimates, will Based are to refresh we as it the on current rotation, depreciation they residuals the quickly bit it lumpy year come that from depreciation Obviously,
amounts and depreciation bringing Although cost ones That the near-term a bit quicker. we counterintuitive, means lower high desired larger in vehicles depreciation exiting are are outcome.
to In assets the as P&L. amounts facility. We amortization the at invested sale as the we Depending any. vehicles the on we acquire the already for of lies initial going it vehicles will without of yet through We vehicles ABS of impact variables may for facility impact amount the the the billion most of if P&L types, forward. having majority through to some car liquidity cost. to than the of amortized is cap ABS words, of likely large the of any that will we will a it the lower been firm likely other prices the be of quicker from vehicles at cover use impact depreciate cash is the we play. car our and new answer buys. debt, of given in but purchase debt how number felt sell unlock The cash our $X.X left in equity facility. through we new and When the vehicle cash the financing or that push people to Now that how some amortize we release new number a the reinvested confusion be our purchases, the gained will more The typically than has on can amount rotated well similar on not vehicles, need our money the
try to future on you amount of that will sense We give a calls. better
Now is rotation the mentioned I that other side this of through the XXXX. will coin take fleet
So of business about the then. we between and cash must realistic generation be capabilities the now
refining use it some like We XXXX. this, inputs side probably but first the to are the of through the still cash looks half on we'll operating
the required Given quarter operating of right the the at be now, the fleet we'll balance liquidity the on we on will and a cash refresh, I'm likely not expect but future on calls of low where the for second yet the burn look well. the cash side at point end information that that specifics XXXX. to as I of give the at levels date, can provide point cash you
believe The are even is if we capital good liquidity that that With have handle the decline conservatively forecasted. we rate raise, recent comfortable complete place plenty we liquidity a than we residuals we can a our news to this. have where at to we faster transformation, of have bolstered
an expenses. cost made reducing than so is important Becoming overall, cost or is initiatives. component our We've Next managing It's the far, some but structure progress operating managing SG&A our transformation. good structure, efficient an mindset. cost and DOE entire just is more this of our more efficiency with and
insurance reductions. rates made Again, were we quarter-over-quarter. offset to though, good to QX wood for or the per the There realistic benefits be value initiatives. process was QX We delayed directionally technology progress P&L, lot we continue $XX, was higher have have about manage tied have and why the positive, of of we areas to expected, those here, than are the say transaction That's and the fleet achieved. but and DOE chop contracts rotation. out-of-market a $XX, day to have timing address which not labor some and some while enhancements we of require entire the to I some just and like benefits addressing to partially
over adjusted but you impacts seasonally layered measure these will sequentially. time, be SG&A So and in should DOE us metrics on
be With the a have, that we we progression. get extremely team it I gradual will confident am new but there, will
refresh. the the pricing capacity fleet driven in DPU to strength the our maintain strong a driven a to rate. by our results. for QX corporate support about adjusted Americas particular saw the quarter X% quarter at desire now million, business significantly segment, midpoint was Revenue the by billion, increase loss coming $X.X $XXX our quarter year-over-year expense mid-June. our across integrity of This $XXX of was updated increase levels quarter-over-quarter. of was accelerate Revenue evidence range the million. that So of by the pricing in plans the in let's for cover in impacted and in EBITDA depreciation the was about we discipline with manage elevated, to provides which results desire The were and at
I the get we by acceleration our transaction per while As operating reduction in fleet short also national more exercising repair for renegotiated to vehicles. Refreshing faster. the We've and the salvaged earlier, target thing is maintenance and of direct refresh DPU higher and maintenance a on reduced DPU run, driven to day expenses several oversight because vehicle our will good losses also contracts will contribute parts lower labor, of fleet expense. centralized through mentioned
and XX% on declined have and a volume-adjusted As just result, basis, we've only quarter-over-quarter a begun. collision maintenance by
of year reductions well and as year-over-year year spend third-party on a as efficiency taken spend. as on marketing lower a this last decreased count has and higher head both result basis SG&A
still impacting X% able over to believe billion non-EBITDA SG&A our be works We will which decreased procurement Excluding there expense -- we third-party year-over-year. items, is contracted spend. more to of will as centralized $X opportunity time tighten through base realize we
$X cash credit $XXX in lien billion about in notes, over comprised flow. by exchangeable talk billion $X.X billion senior unrestricted me with under facility. of XXXX. capacity ended first notes let of $XXX of of issuing million of quarter PIK liquidity available second June mature and cash of $XXX and revolving million million liquidity, the of now raised lien We So liquidity the both $X.X We and
U.S. we $XXX which due securities addition, our program, refinance our In ABS issued for of part coming maturities ABS million of will this year. near-term
used senior pay committed facility the the net down million those VFN cover amounts of with Our to maturities. will We our more credit ended and $XXX drawn. the quarter than proceeds remaining
until needed The cash stability refresh. ensure no and meaningful as helps mid-XXXX. expected also contributions unforeseen future debt against burn help We well the That's further have as raise offset macro transformation. capital fleet buffer will a maturities non-vehicle throughout for the challenges liquidity
amortize debt, the Regarding loans to designed faster are our facilities depreciating. our are vehicles vehicle than ABS the
As a greater our their than result, ABS values. vehicles the of fair market values are typically
in negatively decline seen extent positive We maintain dropped Rental to a usual sufficient However, the in the at year. impacts metric, Manheim that Risk residual incremental have the expect this our facilities. ABS cushion the than cushion. to we June, volatility current X%. value have In currently higher payments we to market a fair make by market lease could vehicle Index rate residuals But
position fleet flexibility Staying do provides rotation for to so. on the liquidity a Our our moment.
ahead free million. cash size peak our fleet outflow of season, largely driving the increased $XXX we of QX, During the rental adjusted
year, notes As debt to in the or the ABS. variable U.S. debt to $X the redeem funding within for have the vehicle refinance billion we at maturing of the the end option the using
I for Before let our comments closing summarize to Gil outlook. back me regarding it remarks, over turn made
expect culling RPD we to to materially intentionally RPD to we're but flat grow don't year-over-year, up business, be and For expect QX, slightly X%. demand low is days we strong, so
levels intend the same of periods the we remainder fleet below to our the manage in year, XXXX. Over
DPU appealing the end in in and low I through never believe be but CFO in side RPD phase the I executed long-term the this is expect low the sequentially improving XXXX Gil are economics We of fleet and DPU a the right XXXX for our get are our through company. in the we and to the the targeting echo we about near of have following: low the Transformations we to day XXs, the the before other position elevated company's overall fully DOE pieces XXs. and unit When financial rotation. transformation, until we our rotation profile XXXs and are future. that are in achievable, place confident critical come to putting and easy, per
let hand me Now for it to comment. a back Gil closing
