Strong rental car market, acquisitions boost earnings at Dollar

<br>TULSA, Okla. (AP) _ Increased rental car volume and acquisitions of franchisee-owned stores resulted in record revenue and soaring net income in the first quarter at Dollar Thrifty Automotive Group

Friday, April 30th 2004, 12:00 am

By: News On 6

TULSA, Okla. (AP) _ Increased rental car volume and acquisitions of franchisee-owned stores resulted in record revenue and soaring net income in the first quarter at Dollar Thrifty Automotive Group Inc.

The Tulsa-based car rental company on Thursday also increased its guidance for 2004 earnings per share based on strong projected growth at stores owned for more than a year.

Dollar Thrifty said Thursday it earned $6.5 million, or 25 cents per share, in the first three months of 2004. A year earlier, earnings were $594,000, or 2 cents per share.

The results missed Wall Street's expectations. Minus a net gain of $1 million, or 4 cents per share, from two accounting changes, Dollar Thrifty earned $5.5 million, or 21 cents per share.

An analyst surveyed by Thomson First Call had expected 29 cents per share.

Dollar Thrifty shares closed up 41 cents, or 1.54 percent, at $27 Thursday on the New York Stock Exchange.

Revenue rose 19 percent to $298.7 million versus $250.5 million a year ago as the operator the Dollar and Thrifty brands benefited from a 33.8 percent increase in vehicle rental revenue.

Same store rental days increased by 15.7 percent, while rentals at franchisee-owned stores purchased in the last year added 21.3 percent growth to rental days, Dollar Thrifty said.

The company increased its 2004 guidance to $1.75 to $2 per share from $1.60 to $1.90 per share. The analyst was expecting earnings of $2.15 per share.