Europcar records strong increase in revenue for first half of 2017
Revenue at car rental company Europcar rose to €1,028 million during the first half of financial 2017, up 10.1 per cent at constant exchange rates with organic growth of 4.6 per cent.
Adjusted corporate EBITDA at the company stood at €56 million, up 2.7 per cent at constant exchange rates.
Caroline Parot, chief executive, Europcar Group, said: “We delivered a solid set of operational and financial results for the first half of 2017 with a good operational performance across all of our corporate countries and three major business units which resulted in a strong double digit growth in both revenue and corporate operating free cash flow for the group.
“During this first half, Europcar also significantly stepped up the pace of its acquisition momentum and is now in a position to have completed the bulk of its 2020 Ambition in terms of acquisitions.”
Corporate operating free cash flow stood at €90 million during the period, up 10.6 per cent.
However, Europcar incurred a net loss of €27 million due to one-off restructuring costs and transformational merger and acquisition related fees.
Parot added: “Following the significant acquisitions of Buchbinder in May and Goldcar in June, we look forward to welcoming the experienced management teams of both companies into the Europcar Group with their best-in-class know-hows and solid track records in the low cost segment.
“The integration of these two highly compatible businesses into the Europcar Group will not only create a major player in the low cost segment but is also expected to deliver significant cost and revenue synergies for the group as a whole.
“These game changing transactions also confirm the major role we want to play in our industry’s European consolidation process.”
After the closing of these two major acquisitions expected in the second half of 2017, Europcar intends to focus on their integration, delivering the expected synergies.
Parot concluded: “The first semester of 2017 will be remembered as a semester of significant progress towards our ambitious strategic plan for 2020 and we feel confident in our ability to deliver our ambition of reaching at least €3 billion of annual revenue and an adjusted corporate EBITDA margin at the group level of at least 14 per cent excluding new mobility by the end of 2020.”