Car rental company Thrifty has announced a quarterly profits increase of 15% following a series of cost cutting strategies. The companies share price went up by 19% to $19 from a low of 60 cents in March this year.
The company has reported a loss in the last four out of seven quarters and has reviewed their projected revenue for 2009 expecting between 8% and 10% compared to 6% and 12% as earlier forecasted.
“We were pleased with this quarter’s operating results, particularly in light of the contracting economy and the bankruptcy of Chrysler, one of our major suppliers. Over the past two quarters, we have taken a number of steps to enhance our operating performance and cash flow, and those actions, combined with improved used vehicle residual values and firmer rental pricing, drove our improved second quarter performance,” said the chief executive, Scott L Thompson.
Two other major players in the car rental industry Hertz and Avis have both reported losses in the last quarter.
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