Pullach (dpa): Sixt car rental company no longer rules out red numbers for the whole year.
With the reduction of the fleet, the reduction of working hours and the reduction of jobs, the company returned to profitability in the third quarter. But “demand is falling steadily,” Pullach CEO Erich Sixt said Thursday.
There is a hiatus in air and business travel. Now he is concerned that state crown restrictions will tighten in late November. “I can’t rule out a loss,” Sixt said, looking ahead to the next, “undoubtedly demanding months.” It would be the first annual loss in the history of the company. With 1,400 million euros in equity, 500 million euros in bank balances and loans far from exhausted, his company – unlike the weakened competition – is in such a solid position “that we could still have losses for years”.
The 76-year-old company patriarch said of the reports of a possible VW entry into Sixt SE: “The company is my life. I would never sell that. “He has always attached great importance to his family maintaining control of the business and is pleased that, with his two sons on the board,” the fourth generation is now successfully active. “
In the third quarter, which is actually the most important due to the vacation and tourism business, Sixt only made half the revenue and profit of the previous year. But a profit of 66 million euros before tax “is not just a symbolic benefit,” said Erich Sixt, noting the return on sales of 14 percent. From January to the end of September, sales fell 38 percent to 1.2 billion euros and the books posted a loss of 81 million euros in continuing operations. With the proceeds from the sale of the leasing investment, the final result is a profit of 20 million euros.
Sixt has reduced the car fleet by a quarter, has reduced the number of employees from 8,100 to 7,200, has sent a large number of them to part-time jobs and has thus saved 400 million euros, explained the director Alexander Sixt . Vacancies would no longer be filled. There have been few layoffs.
On the other hand, Sixt continues to prepare for the post-crisis time with international expansion and the spread of digitization. In the US, Pullacher acquired ten stations from an insolvent car rental company and thus has 100 rental stations with a market volume of $ 32 billion in the US, “That’s more. than the entire German rental market, “said Erich Sixt. The new car subscription offering got off to a very good start in Germany, the Netherlands and New York. “We have done our homework and we are well prepared.”
While Daimler and BMW are piloting their Your Now joint mobility service and negotiating with Uber about the sale of their Free Now taxi broker, Sixt even wants to expand their car sharing. “We are probably the only car-sharing company that is profitable. Because we are also lessors and we can use the vehicles alternatively ”, said the CEO. He is not interested in Free Now because he already has these offers in the Sixt app and is fundamentally opposed to large acquisitions.
Big competitors have so far overcome the worst crisis: Hertz is already in a protective shield process, Avis Budget had a loss of 594 million dollars from January to the end of September, Europcar had a loss of 296 million euros.