SIXT reports record €1 billion revenue for Q2 2024
Strong growth and earnings drive positive results
SIXT SE, the international mobility provider, has reported revenue for Q2 2024, reaching €1.01 billion—a notable 8.9% increase compared to last year.
Sixt SE, with its registered office in Pullach near Munich, Germany, is a leading international provider of high-quality mobility services. With its products SIXT rent, SIXT share, SIXT ride and SIXT+, the company offers a uniquely integrated premium mobility service across vehicle and commercial vehicle rental, car sharing, ride-hailing and car subscriptions.
The robust growth in Q2 2024 was led by North America, where SIXT saw a substantial 25% revenue increase. The expansion in the US market has been significant, with the company opening 15 new branches and expanding its airport presence to 49 locations. SIXT is on track to meet its target of 50 US airports by the end of the year.
In alignment with revenue growth, SIXT also achieved a record EBITDA of €384.2 million for the second quarter, reflecting a 13% increase from the previous year. This success is attributed to enhanced yield and pricing systems, which improved fleet utilisation and stabilised rental prices under pressure earlier in the year.
Significant recovery
Earnings Before Taxes (EBT) turned positive in Q2, totalling €62.9 million. This is a significant recovery from a loss reported in the first quarter and within the company’s anticipated range of €60 to 90 million.
However, the EBT was impacted by a special effect related to vehicle remarketing and increased depreciation, totalling over €40 million. Despite these challenges, the company’s performance in Q2 2024 nearly matched the previous year’s EBT of €131.9 million.
Dr Franz Weinberger, Chief Financial Officer of SIXT SE, highlighted the company’s strategic focus on growth and operational strength. “Our continued investment in our brand and product quality is paying off. We have managed to reverse the previous trend in a challenging market environment, showcasing the resilience of our business model and the effectiveness of our measures.”
SIXT has also proactively managed its fleet, leveraging eased procurement conditions to replace vehicles bought during shortages with those acquired under better conditions. In Europe, the proportion of risk vehicles has been reduced to under 2% of the fleet, with plans to continue this trend by year-end.
Looking ahead, SIXT forecasts a continued strong demand for its mobility services. The company anticipates a significant increase in consolidated revenue for the entire year, buoyed by rising travel desires and favourable industry trends.
However, uncertainties regarding residual values and economic conditions remain, influencing the updated full-year EBT forecast to €340 to 390 million.
Dr Weinberger concluded: “2024 is a transitional year setting the stage for future growth. Despite current market volatility, our operational strength and strategic initiatives position us well for continued success.”
Featured image: SIXT forecasts a continued strong demand for its mobility services. Credit: SIXT
