Localiza Rent a Car Full Year 2024 Earnings: In Line With Expectations

Simply Wall St

March 15, 2025

Localiza Rent a Car (BVMF:RENT3) Full Year 2024 Results

Key Financial Results

Revenue: R$37.3b (up 29% from FY 2023).
Net income: R$1.81b (flat on FY 2023).
Profit margin: 4.9% (down from 6.2% in FY 2023). The decrease in margin was driven by higher expenses.
EPS: R$1.71.

revenue-and-expenses-breakdown — BOVESPA:RENT3 Revenue and Expenses Breakdown March 15th 2025

All figures shown in the chart above are for the trailing 12 month (TTM) period

Localiza Rent a Car Meets Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) was also in line with analyst expectations.

The primary driver behind last 12 months revenue was the Car Rental - Brazil segment contributing a total revenue of R$21.9b (59% of total revenue). Notably, cost of sales worth R$29.9b amounted to 80% of total revenue thereby underscoring the impact on earnings. The most substantial expense, totaling R$4.34b were related to Non-Operating costs. This indicates that a significant portion of the company's costs is related to non-core activities. Explore how RENT3's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Transportation industry in Brazil.

Performance of the Brazilian Transportation industry.

The company's shares are up 10% from a week ago.

Risk Analysis

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.