Hertz Global Holdings Inc. announced it is targeting a 3% to 6% EBITDA margin for 2026 [1].
These financial goals are central to a broader transformation strategy designed to stabilize the company's profitability. By focusing on fleet management and revenue optimization, Hertz intends to pivot its operational model to ensure long-term sustainability in a shifting mobility market.
As part of this strategic outlook, the company is outlining a target of $1 billion in EBITDA for 2027 [1]. To achieve these figures, Hertz is prioritizing specific internal metrics. The company is aiming for a fleet management metric, known as DPU, of below $300 [2]. Additionally, Hertz is targeting a revenue optimization metric, or RPU, of over $1 [2].
Alongside these financial targets, the company is expanding its service offerings with the launch of Oro. This new mobility platform is intended to modernize how the company interacts with customers and manages its vehicle assets, a key component of the overarching transformation plan.
Hertz said the combination of the Oro platform and the strict adherence to DPU and RPU targets will drive the company toward its 2027 goals [2]. The initiative reflects a shift toward tighter cost controls and more aggressive revenue tracking across its global operations.
“Hertz is targeting a 3% to 6% EBITDA margin for 2026.”
Hertz is attempting to transition from a traditional rental model to a tech-enabled mobility provider. By anchoring its success to specific fleet and revenue metrics like DPU and RPU, the company is signaling to investors that it is prioritizing operational efficiency over raw growth to recover its margins.
