Profits rise as revenues fall at Irish arm of Hertz
Pre-tax profits at the main Irish arm of car-rental giant Hertz increased by 21% to €15.6m last year.
Newly filed accounts for Hertz Europe Service Centre Ltd show the business grew its operating profits from €12.93m to €15.63m and recorded a post-tax profit of €13.53m after paying corporation tax of €2m.
However, the company’s revenues fell over 3% to €60.63m. The company provides centralised reservation, customer, and accounting services to each of Hertz’s corporate European locations and also offers licensee support across the Europe, Middle East, and Africa (EMEA) region.
Numbers employed by the company last year decreased from 925 to 800, with staff costs reducing from €37.8m to €35.78m. Directors’ pay totalled €335,000 last year.
As of the end of last year, the Irish-based company had accumulated profits of €62.7m and shareholder funds of €80m. No dividend was paid to its parent company in 2016.
The Irish unit’s cash pile fell from €5.36m to €5.23m, last year, while its profit for the period took account of combined non-cash amortisation and depreciation costs of €3.2m.
On the company’s future developments, Hertz said it anticipates that activity will continue at or around its present level. “We are continuing to invest in process improvement initiatives across all of our functions in order to further enhance the quality of the service we provide to fellow Hertz Corporation subsidiary undertakings,” said management.
