Dollar Thrift second quarter profit jumps 15 pct, rental sales slip on low demand

Dollar Thrift 2nd-quarter profit jumps 15 pct

TULSA, Okla. — Rental car company Dollar Thrifty Automotive Group Inc. on Tuesday posted a 15 percent increase in its second-quarter results, but saw rental sales slip as fewer consumers traveled.

For the quarter that ended June 30, the company earned $12.4 million, or 55 cents per share, compared to a profit of $10.8 million, or 49 cents per share, in same period a year earlier.

Excluding some one-time items, the company posted a profit of $6.9 million, or 30 cents per share — versus a loss of $5 million, or 23 cents per share, in the second quarter of 2008.

Dollar Thrifty said rental revenue fell 10.6 percent to $399.6 million during the quarter, as a sharp drop in rental days was somewhat offset by an increase in revenue per day.

The company said it expects the second half of the year to remain challenging as economic conditions continue to weaken consumer confidence and travel demand.

Looking ahead, Dollar Thrifty narrowed its prior 2009 revenue guidance saying it expects a decline between 8 percent to 10 percent.

“As we have previously stated, our focus for 2009 is on maximizing revenue per day, reducing expenses, de-leveraging our balance sheet and diversifying our fleet investment, all in order to properly position the Company for an expected economic recovery in 2010,” said Scott Thompson, CEO and president of Dollar Thrifty.

In aftermarket trading, shares added 37 cents to $17.90. The company’s stock rose 28 cents to close at $17.53.