Avis Budget Group (NASDAQ: CAR) reported Q3 EPS of $1.98, $0.04 worse than the analyst estimate of $2.02. Revenue for the quarter came in at $2.6 billion versus the consensus estimate of $2.6 billion.

Avis Budget Group sees FY2015 EPS of $3.10-$3.25, versus the consensus of $3.36.

Outlook

The Company today narrowed its full-year 2015 expectations. The Company now expects:

• Full-year 2015 revenue will increase approximately 1% compared to 2014. In the Company’s Americas segment, rental days are expected to increase approximately 4%, and pricing is expected to be largely unchanged in constant currency. Movements in currency exchange rates are negatively impacting revenue growth by approximately five points.
• Adjusted EBITDA will increase 3% to 5%, to approximately $900 million to $925 million, including an approximately $50 million negative impact from movements in currency exchange rates.
• Per-unit fleet costs in the Americas segment will be approximately $300 per month in 2015, a decline of 3% compared to 2014. Total Company per-unit fleet costs are expected to be $280 to $285 per month in 2015, compared to $305 in 2014, with the decrease attributable both to movements in currency exchange rates and to lower per-unit fleet costs throughout the Company’s operations.
• Interest expense related to corporate debt will be approximately $200 million.
• 2015 non-vehicle depreciation and amortization expense (excluding the amortization of intangible assets related to acquisitions) will be approximately $165 million.
• Adjusted pretax income will be approximately $535 million to $560 million.
• The Company’s effective tax rate applicable to adjusted pretax income in 2015 will be approximately 39%, reflecting the effects of a tax rate change in the United Kingdom.
• The Company’s diluted share count will be approximately 105 million, and its share repurchases will meaningfully exceed $300 million this year.

Based on these expectations, the Company estimates that its 2015 adjusted diluted earnings per share will increase 5% to 10% compared to 2014, to $3.10 to $3.25. Such estimate includes a negative impact from currency exchange rates of approximately 20 cents per share.

For earnings history and earnings-related data on Avis Budget Group (CAR) click here.