Credit: Hertz

Hertz CEO says their Teslas are saving 50-60% on maintenance costs VS ICE models

Written by Cláudio Afonso | | LinkedIn | Twitter

Hertz reported on Monday its second quarter financial results following a conference call with the company’s management team. During the call, Hertz’s CEO said the company has 20,000 cars in the fleet — from the 100,000 deal — and also that deliveries are ongoing.

“First of all, we continue to take delivery of Teslas and we will continue to do that, number one.
Number two, I think you should expect in the coming months that you’ll see announcements from us about purchase of electric vehicles in sizable quantity from other OEMs as we try to sort of build out kind of a broad population of vehicles across a range of OEMs, and we will see those at very attractive kind of price entry points,” Stephen Scherr said.

Regarding the maintenance costs, the company said it is saving 50% – 60% when compared to the ICE vehicles of its fleet.

“On maintenance, I think Kenny said to you, we are running kind of 50% to 60% of what maintenance costs are on ICE vehicles. That’s roughly in line with where we are. If there’s anyone surprise, it’s probably [a] slightly higher expense on tires, but not much more, and that’s embedded in the figure I’m giving you”.

Recently, Tesla announced its Q2 2022 Earnings Results reporting total revenue of $16.9 billion (up 42% year-over-year) and a 14.6% operating margin saying it expects to achieve “50% average annual growth in vehicle deliveries” confirming the previous guidance.

Tesla also detailed the production in each factory adding that it achieved “record production rates across the company”. However, the company warned of “continuation of manufacturing challenges related to shutdowns, global supply chain disruptions, labor shortages and logistics and other complications, which limited our ability to consistently run our factories at full capacity”.

Written by Cláudio Afonso | | LinkedIn | Twitter