Car rental company Dollar Thrifty Automotive Group Inc (DTG.N: Quote, Profile, Research, Stock Buzz) posted a narrower-than-expected quarterly loss, excluding an increase in fair value of derivatives, and said it will no longer provide annual earnings-per-share outlook.
Dollar Thrifty shares rose as much as 11 percent, but later pared most of their gains to trade up 4 percent on the New York Stock Exchange.
For the second quarter, net income was $10.8 million, or 49 cents a share, compared with $15.3 million, or 63 cents a share, in the year-ago period.
Excluding an income of 72 cents related to an increase in fair value of derivatives, the company posted a loss of 23 cents a share.
Revenue fell to $445.7 million from $451.6 million.
Analysts on average were expecting a loss of 41 cents a share, before special items, on revenue of $448.4 million, according to Reuters Estimates.
The company said the results were below its expectations mainly due to lower revenue per day and higher vehicle depreciation costs.
Revenue per day fell 1.3 percent, while vehicle depreciation costs per vehicle rose about 28 percent due to the softness in the used-car market.
