Edwyn
| Metric | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Revenue | $5,402 | $9,313 | $11,994 | $12,008 | $11,789 |
| Gross Profit | -$956 | $1,708 | $3,636 | $1,914 | -$2,627 |
| Operating Income | N/A | N/A | N/A | N/A | N/A |
| Net Income | -$684 | $1,285 | $2,764 | $1,632 | -$1,821 |
Over the five-year period, AVIS BUDGET GROUP, INC. exhibited marked volatility in both profitability and overall margins despite relatively stable revenue figures post-2021. Revenues climbed from US$5,402 million in 2020 to a peak around US$11,994 million in 2022, which suggests effective market positioning and potential recovery from the earlier downturn. However, revenue slightly tapered in 2023 and 2024. Notably, gross profit experienced two dramatic swings—in 2020, it was negative at -US$956 million, then rebounded to US$1,708 million in 2021, and further improved to US$3,636 million in 2022, before falling to US$1,914 million in 2023 and reversing sharply to -US$2,627 million in 2024. These swings represent significant year-over-year changes, exceeding a 20% shift, and can signal either challenges in cost management or shifts in operational efficiency. The net income trend mirrors this volatility, transitioning from a loss of US$684 million in 2020 to a profit of US$1,285 million in 2021, reaching US$2,764 million in 2022, then declining to US$1,632 million in 2023, and reverting to a loss of US$1,821 million in 2024. Operating income data is consistently reported as zero, which limits insights into operational efficiency beyond gross profit and net income. Given that AVIS BUDGET operates within the competitive car rental industry—an industry subject to fluctuations in travel demand, fuel costs, and evolving customer preferences—the inconsistency in profitability raises concerns over cost control and pricing strategies. Overall, while revenue growth in certain periods suggests market resilience, the stark profit swings indicate potential operational challenges, warranting close monitoring to assess long-term financial sustainability.
This analysis is for informational purposes only and does not constitute financial advice or recommendations for any investment decisions. Please consult with a qualified financial professional for personalized guidance.