Financial Analysis

Acquisitions McNicoll Vehicle Hire In September 2023, we completed the acquisition of McNicoll Vehicle Hire, a vehicle rental company in Scotland specializing in van and car rentals, for approximately $17 million, net of acquired cash. The investment enabled us to expand our footprint of vehicle rental services in Scotland. The excess of the purchase price over preliminary fair value of net assets acquired was allocated to goodwill, which was assigned to our International reportable segment. In connection with this acquisition, approximately $10 million was recorded to goodwill, $4 million was recorded to trade names, and $1 million was recorded to customer relationships. The trade names and customer relationships will be amortized over a weighted average useful life of approximately 10 years. The goodwill was not deductible for tax purposes. In 2024, we finalized our accounting for this acquisition. As a result, we recorded an additional $2 million to the goodwill connected to this acquisition during the year ended December 31, 2024, which represents the additional excess of the purchase price over the fair value of the identifiable net assets acquired. Licensees In June 2023, we completed the acquisition of a licensee in North America for approximately $14 million, plus approximately $20 million for acquired fleet. In October 2023, we completed the acquisition of a second licensee in North America for approximately $10 million, plus approximately $4 million for acquired fle …

BusinessCombinationDisclosureTextBlock · excerpt; the full note is in the filing

Commitments and Contingencies Contingencies In 2006, we completed the spin-offs of our Realogy and Wyndham subsidiaries (now known as Anywhere Real Estate, Inc., and Wyndham Hotels and Resorts, Inc. and Travel + Leisure Co., respectively). We do not believe that the impact of any resolution of pre-existing contingent liabilities in connection with the spin-offs should result in a material liability to us in relation to our consolidated financial position or liquidity, as Anywhere Real Estate, Inc., Wyndham Hotels and Resorts, Inc. and Travel + Leisure Co. have agreed to assume responsibility for these liabilities. We are also involved in litigation that is primarily related to the businesses of our former subsidiaries, including Realogy and Wyndham. We are entitled to indemnification from such entities for any liability resulting from such litigation. In September 2014, Dawn Valli et al. v. Avis Budget Group Inc., et al. was filed in U.S. District Court for the District of New Jersey. The plaintiffs seek to represent a purported nationwide class of certain renters of vehicles from our Avis and Budget subsidiaries from September 30, 2008 through the present. The plaintiffs seek damages in connection with claims relating to alleged misrepresentations and omissions concerning charging customers for traffic infractions and related administrative fees. In October 2023, plaintiffs motion for class certification was denied as to their proposed nationwide class and granted as to a su …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

Debt Under Vehicle Programs and Borrowing Arrangements Debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC (Avis Budget Rental Car Funding), consisted of: As of December 31, 2025 2024 Americas Debt due to Avis Budget Rental Car Funding (a) $ 14,447 $ 14,143 Americas Debt borrowings (b) 2,202 1,160 International Debt borrowings 2,480 2,159 International Finance leases 130 143 Other 8 Deferred financing fees (c) (71) (77) Total $ 19,188 $ 17,536 __________ (a) Includes approximately $826 million and $751 million of Class R notes as of December 31, 2025 and December 31, 2024, respectively, which are held by us. (b) Includes our Repurchase Facilities as of December 31, 2025 and 2024, and $965 million associated with the Interpace Ventures transaction as of December 31, 2025. See Note 2 Summary of Significant Accounting Policies. (c) Deferred financing fees related to Debt due to Avis Budget Rental Car Funding as of December 31, 2025 and December 31, 2024 were $51 million and $60 million, respectively. Americas Debt due to Avis Budget Rental Car Funding . Avis Budget Rental Car Funding, an unconsolidated bankruptcy remote qualifying special purpose limited liability company, issues privately placed notes to investors as well as to banks and bank-sponsored conduit entities. Avis Budget Rental Car Funding uses the proceeds from its note issuances to make loans to our wholly-owned subsidiary, AESOP Leasing LP (AESOP Leasing), on …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following table presents our revenues disaggregated by geography: Year Ended December 31, 2025 2024 2023 Americas $ 8,900 $ 9,111 $ 9,347 Europe, Middle East and Africa 2,117 2,045 2,014 Asia and Australasia 635 633 647 Total revenues $ 11,652 $ 11,789 $ 12,008 The following table presents our revenues disaggregated by brand: Year Ended December 31, 2025 2024 2023 Avis $ 6,603 $ 6,775 $ 6,779 Budget 4,325 4,271 4,478 Other (a) 724 743 751 Total revenues $ 11,652 $ 11,789 $ 12,008 ________ (a) Other includes Zipcar and other operating brands.

DisaggregationOfRevenueTableTextBlock

Stock-Based Compensation Our Amended and Restated Equity and Incentive Plan provides for the grant of options, stock appreciation rights, restricted stock, restricted stock units (RSUs) and other stock- or cash-based awards to employees, directors and other individuals who perform services for us and our subsidiaries. The maximum number of shares reserved for grant of awards under the plan is 22.5 million , with 2.9 million shares available as of December 31, 2025. We typically settle stock-based awards with treasury shares. Time-based awards generally vest ratably over a three-year period following the date of grant, and performance-based awards generally vest three years following the date of grant based on the attainment of performance goals, both of which are subject to a service condition. Stock Unit Awards Stock unit awards entitle the holder to receive shares of common stock upon vesting on a one-to-one basis, and certain performance-based RSUs vest based upon the level of performance attained. As part of our declaration and payment of a special cash dividend in December 2023, we granted additional RSUs to our award holders with unvested shares as a dividend equivalent, which has been deferred until, and will not be paid unless, the shares of stock underlying the award vest. The activity related to stock units consisted of (in thousands of shares): Number of Shares Weighted Average Grant Date Fair Value Weighted Average Remaining Contractual Term (years) Aggregate Intr …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Intangible Assets Intangible assets consisted of: As of December 31, 2025 As of December 31, 2024 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Amortized Intangible Assets License agreements (a) $ 296 $ 243 $ 53 $ 306 $ 244 $ 62 Customer relationships (b) 257 240 17 244 221 23 Other (c) 56 51 5 52 47 5 Total $ 609 $ 534 $ 75 $ 602 $ 512 $ 90 Unamortized Intangible Assets Goodwill $ 1,129 $ 1,071 Trademarks $ 514 $ 511 _________ (a) Primarily amortized over a period ranging from 0 to 40 years with a weighted average life of 16 years. (b) Primarily amortized over a period ranging from 3 to 20 years with a weighted average life of 12 years. (c) Primarily amortized over a period ranging from 3 to 10 years with a weighted average life of 9 years. During 2024, we recorded an impairment related to our unamortized Zipcar trademark of $28 million. See Note 2 Summary of Significant Accounting Policies. Amortization expense relating to all intangible assets was as follows: Year Ended December 31, 2025 2024 2023 License agreements $ 14 $ 17 $ 14 Customer relationships 8 9 9 Other 1 4 6 Total $ 23 $ 30 $ 29 Based on our amortizable intangible assets as of December 31, 2025, we expect amortization expens e of approximately $22 million for 2026, $16 million for 2027, $11 million for 2028, $8 million for 2029 and $8 million for 2030, excluding effects of currency exchange rates. The carrying amounts of go …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

Income Taxes The provision for (benefit from) income taxes consists of the following: Year Ended December 31, 2025 2024 2023 Current: Federal $ $ 14 $ State 15 11 45 Foreign 75 70 43 Current income tax provision 90 95 88 Deferred: Federal 37 (644) 77 State (32) (211) 47 Foreign (29) (50) 67 Deferred income tax provision (benefit) (24) (905) 191 Provision for (benefit from) income taxes $ 66 $ (810) $ 279 Income (loss) before income taxes is comprised of the following: Year Ended December 31, 2025 2024 2023 United States (U.S.) $ (1,082) $ (2,642) $ 1,418 Foreign 153 15 496 Income (loss) before income taxes $ (929) $ (2,627) $ 1,914 Deferred income tax assets, net is comprised of the following: As of December 31, 2025 2024 Deferred income tax assets: Net tax loss carryforwards $ 1,853 $ 983 Long-term operating lease liabilities 840 807 Tax credits 119 405 Deferred interest expense 85 358 Accrued liabilities and deferred revenue 202 157 Depreciation and amortization 30 24 Provision for doubtful accounts 14 19 Other 26 28 Valuation allowance (a) (127) (83) Deferred income tax assets 3,042 2,698 Deferred income tax liabilities: Operating lease right-of-use assets 826 793 Depreciation and amortization 62 74 Prepaid expenses 36 32 Other 13 13 Deferred income tax liabilities 937 912 Deferred income tax assets, net $ 2,105 $ 1,786 __________ (a) The valuation allowance as of December 31, 2025 relates to tax loss carryforwards and certain deferred tax assets of $123 million and $4 mil …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Leases Lessor The following table presents our lease revenues disaggregated by geography: Year Ended December 31, 2025 2024 2023 Americas $ 8,809 $ 8,970 $ 9,261 Europe, Middle East and Africa 2,025 1,958 1,932 Asia and Australasia 616 615 628 Total lease revenues $ 11,450 $ 11,543 $ 11,821 The following table presents our lease revenues disaggregated by brand: Year Ended December 31, 2025 2024 2023 Avis $ 6,478 $ 6,609 $ 6,660 Budget 4,272 4,220 4,425 Other (a) 700 714 736 Total lease revenues $ 11,450 $ 11,543 $ 11,821 ________ (a) Other includes Zipcar and other operating brands. Lessee We have operating and finance leases for rental locations, corporate offices, vehicle rental fleet and equipment. Many of our operating leases for rental locations contain concession agreements with various airport authorities that allow us to conduct our vehicle rental operations on site. In general, concession fees for airport locations are based on a percentage of total commissionable revenue as defined by each airport authority, some of which are subject to minimum annual guaranteed amounts. Concession fees other than minimum annual guaranteed amounts are not included in the measurement of operating lease right-of-use assets and operating lease liabilities and are recorded as variable lease expense as incurred. Our operating leases for rental locations often also require us to pay or reimburse operating expenses. We lease a portion of our vehicles under operating leases. As of December …

LesseeOperatingLeasesTextBlock · excerpt; the full note is in the filing

Long-term Corporate Debt and Borrowing Arrangements Long-term debt and other borrowing arrangements consisted of: Maturity Date As of December 31, 2025 2024 5.750% Senior Notes July 2027 $ 645 $ 740 4.750% Senior Notes April 2028 500 500 7.000% euro-denominated Senior Notes February 2029 705 621 5.375% Senior Notes March 2029 600 600 8.250% Senior Notes January 2030 700 700 7.250% euro-denominated Senior Notes July 2030 705 622 8.000% Senior Notes February 2031 498 497 8.375% Senior Notes June 2032 600 Floating Rate Term Loan (a) July 2032 1,131 1,153 Other (b) 45 20 Deferred financing fees (56) (60) Total 6,073 5,393 Less: Short-term debt and current portion of long-term debt 24 20 Long-term debt $ 6,049 $ 5,373 _________ (a) The floating rate term loan is part of our senior revolving credit facility, which is secured by pledges of capital stock of certain of our subsidiaries, and liens on substantially all of our intellectual property and certain other real and personal property. (b) Primarily includes finance leases, which are secured by liens on the related assets. These borrowings have weighted average interest rates which range from 5.35% to 5.61% as of December 31, 2025. Term Loan Floating Rate Term Loan due 2032. In February 2020, we amended our floating rate term loan and extended its maturity term to 2027. In July 2025, we amended our floating rate term loan, extending its maturity date from August 2027 to July 2032 and increasing the interest rate to SOFR plus 2.50 …

LongTermDebtTextBlock · excerpt; the full note is in the filing

Adoption of New Accounting Pronouncements Improvements to Income Tax Disclosures On January 1, 2025, as the result of a new accounting pronouncement, we adopted ASU 2023-09, Improvements to Income Tax Disclosures, which amends Topic 740 primarily through enhanced income tax disclosures, improving transparency into the factors affecting income tax expense. The adoption of this accounting pronouncement has resulted in incremental disclosures within Note 9 Income Taxes. Recently Issued Accounting Pronouncements Disaggregation of Income Statement Expenses In November 2024, the FASB issued ASU 2024-03, Disaggregation of Income Statement Expenses, which amends Topic 220 primarily through requiring disclosures, in the notes to financial statements, about certain costs and expenses. The amendments are effective for annual periods beginning after December 15, 2026 and interim periods beginning after December 15, 2027, with early adoption permitted on a prospective or retrospective basis. ASU 2024-03 becomes effective for us on January 1, 2027. We are currently evaluating the impact of the adoption of this accounting pronouncement on our Consolidated Financial Statements. Targeted Improvements to the Accounting for Internal-Use Software In September 2025, the FASB issued ASU 2025-06, Targeted Improvements to the Accounting for Internal-Use Software, which amends Topic 350 primarily to modernize the accounting for software costs. The amendments are effective for annual periods beginning …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Employee Benefit Plans Defined Contribution Savings Plans We sponsor several defined contribution savings plans in the United States and certain foreign subsidiaries that provide certain of our eligible employees an opportunity to accumulate funds for retirement. We match portions of the contributions of participating employees on the basis specified by the plans. Our contributions to these plans were $32 million, $31 million, and $29 million during 2025, 2024 and 2023, respectively. Defined Benefit Pension Plans We sponsor defined benefit pension plans in the United States and in certain foreign subsidiaries with some plans offering participation in the plans at the employees option. Under these plans, benefits are based on an employees years of credited service and a percentage of final average compensation. However, the majority of the plans are closed to new employees and participants are no longer accruing benefits. The funded status of the defined benefit pension plans is recognized on the Consolidated Balance Sheets and the gains or losses and prior service costs or credits that arise during the period, but are not recognized as components of net periodic benefit cost, are recognized as a component of accumulated other comprehensive income (loss), net of tax. The components of net periodic (benefit) cost consisted of the following: Year Ended December 31, 2025 2024 2023 Service cost (a) $ 3 $ 3 $ 3 Interest cost (b) 28 28 27 Expected return on plan assets (b) (32) (32) …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

Related Party Transactions Avis Mobility Ventures LLC Avis Mobility Ventures LLC (AMV) is our former subsidiary. We ceased to have a controlling interest in AMV in 2022, and as a result we deconsolidated AMV from our financial statements. Our proportional share of AMVs income or loss is included within other (income) expense, net in our Consolidated Statements of Operations. I n June 2024, we settled approximately $12 million in receivables from AMV related to services we provided. In November 2025, we made a capital contribution of approximately $9 million to AMV. As of December 31, 2025, we own approximately 35% of AMV. We continue to provide vehicles, related fleet services, and certain administrative services to AMV to support their operations. The following tables provide amounts reported within our financial statements related to our equity method investment in AMV and these services. The components of other (income) expense, net are summarized below: Year Ended December 31, 2025 2024 2023 (Income) expense for services to AMV, net $ 11 $ 2 $ (22) (Income) loss on equity method investment in AMV, net 7 7 25 Other (income) expense, net $ 18 $ 9 $ 3 The following table provides amounts reported within our Consolidated Balance Sheets related to AMV: As of December 31, 2025 2024 Receivables from AMV (a) $ 6 $ 3 Equity method investment in AMV (b) 30 28 Vehicles, net investment in lease with AMV (c) 136 74 ________ (a) Included within other current assets. (b) Included within …

RelatedPartyTransactionsDisclosureTextBlock · excerpt; the full note is in the filing

Restructuring and Other Related Charges In 2024, we initiated a global restructuring plan to further right size our operations (Global Rightsizing). The costs associated with this initiative are primarily related to the operational scaling of processes, locations, and lines of business. We expect further restructuring expense of approximately $35 million related to this initiative to be incurred in 2026. In 2022, we initiated a restructuring plan to focus on consolidating our global operations by designing new processes and implementing new systems (Cost Optimization). In 2019, we initiated a restructuring plan to exit our operations in Brazil by closing rental facilities, disposing of assets and terminating personnel (Brazil). These initiatives are complete. The following tables summarize the changes to our restructuring-related liabilities and identify the amounts recorded within our reportable segments for restructuring charges and corresponding payments and utilizations: Personnel Related Facility Related Other Total Balance as of January 1, 2023 $ 4 $ $ $ 4 Restructuring expense: Cost Optimization 8 2 10 Brazil 1 1 Restructuring payment/utilization: Cost Optimization (8) (2) (10) Brazil (1) (1) Balance as of December 31, 2023 $ 4 $ $ $ 4 Restructuring expense: Global Rightsizing (a) 19 17 36 Cost Optimization 1 1 Restructuring payment/utilization: Global Rightsizing (a) (12) (8) (20) Cost Optimization (1) (3) (4) Balance as of December 31, 2024 $ 10 $ $ 7 $ 17 Restructur …

RestructuringAndRelatedActivitiesDisclosureTextBlock · excerpt; the full note is in the filing

Segment Information Our chief executive officer, who also serves as our chief operating decision-maker (CODM), assesses performance and allocates resources based upon the separate financial information of our operating segments. We aggregate certain of our operating segments into our reportable segments. In identifying our reportable segments, we also consider the management structure of the organization, the nature of services provided by our operating segments, the geographical areas and economic characteristics in which the segments operate, and other relevant factors. Our CODM evaluates the operating results of each of our reportable segments based upon revenues and Adjusted EBITDA, which we define as income (loss) from continuing operations before non-vehicle related depreciation and amortization; long-lived asset impairment and other related charges; other fleet charges; restructuring and other related charges; early extinguishment of debt costs; non-vehicle related interest; transaction-related costs, net; legal matters, net, which primarily includes amounts recorded in excess of $5 million, related to unprecedented self-insurance reserves for allocated loss adjustment expense, class action lawsuits and personal injury matters; non-operational charges related to shareholder activist activity, which includes third-party advisory, legal and other professional fees; COVID-19 charges, net; cloud computing costs; other (income) expense, net; severe weather-related damages i …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Summary of Significant Accounting Policies Principles of Consolidation The Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and include the accounts of our Company and all entities in which we have a direct or indirect controlling financial interest and variable interest entities for which we have determined we are the primary beneficiary. We consolidate joint venture activities when we have a controlling interest and record non-controlling interests within stockholders equity and the statement of comprehensive income equal to the percentage of ownership interest retained in such entities by the respective non-controlling party. Intercompany transactions have been eliminated in consolidation. Use of Estimates and Assumptions The use of estimates and assumptions as determined by management is required in the preparation of the Consolidated Financial Statements in conformity with GAAP. These estimates are based on managements evaluation of historical trends and other information available when the Consolidated Financial Statements are prepared and may affect the amounts reported and related disclosures. Actual results could differ from those estimates. Revenue Recognition We derive revenues primarily by providing vehicle rentals and other related products and mobility services to commercial and leisure customers, as well as through licensing of our rental brands. Other related …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

Stockholders' Equity Cash Dividend Payments During 2025 and 2024, we did not declare or pay any cash dividends. In December 2023, we paid a special cash dividend of $10.00 per share to all holders of our common stock as of December 15, 2023, totaling $355 million. Our ability to pay dividends to holders of our common stock is limited by our senior credit facility, the indentures governing our senior notes and our vehicle financing programs. Share Repurchases Our Board of Directors has authorized the repurchase of up to approximately $8.1 billion of our common stock under a plan originally approved in 2013 and subsequently expanded, most recently in February 2023 (the Stock Repurchase Program). During the year ended December 31, 2025, we did not repurchase shares of common stock under the Stock Repurchase Program. During the years ended December 31, 2024 and 2023, we repurchased approximately 4.9 million shares of common stock under the Stock Repurchase Program at a cost of approximately $935 million (excluding excise taxes due under the Inflation Reduction Act of 2022). As of December 31, 2025, approximately $757 million of authorization remained available to repurchase common stock under the Stock Repurchase Program. Accumulated Other Comprehensive Income (Loss) The components of accumulated other comprehensive income (loss) were as follows: Currency Translation Adjustments Net Unrealized Gains (Losses) on Cash Flow Hedges (a) Minimum Pension Liability Adjustment (b) Accumul …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

Subsequent EventIn February 2026, we completed the acquisition of a licensee in North America for approximately $47million, plus approximately $1million in acquired fleet. …

SubsequentEventsTextBlock · excerpt; the full note is in the filing

Acquisitions In February 2026, we completed the acquisition of a licensee in North America for approximately $46 million, plus approximately $1 million in acquired fleet, with approximately $16 million remaining to be paid through March 2027. This investment is in-line with our strategy to re-acquire licensees when advantageous to expand our footprint of Company-operated locations. In connection with this acquisition, approximately $43 million was recorded to other intangibles related to license agreements, which are being amortized over a weighted average useful life of approximately five years . The fair value of the assets acquired and liabilities assumed has not yet been finalized and is therefore subject to change.

BusinessCombinationDisclosureTextBlock

Commitments and Contingencies Contingencies In 2006, we completed the spin-offs of our Realogy and Wyndham subsidiaries (now known as Anywhere Real Estate, Inc., and Wyndham Hotels and Resorts, Inc. and Travel + Leisure Co., respectively). We do not believe that the impact of any resolution of pre-existing contingent liabilities in connection with the spin-offs should result in a material liability to us in relation to our consolidated financial position or liquidity, as Anywhere Real Estate, Inc., Wyndham Hotels and Resorts, Inc. and Travel + Leisure Co. have agreed to assume responsibility for these liabilities. We are also involved in litigation that is primarily related to the businesses of our former subsidiaries, including Realogy and Wyndham. We are entitled to indemnification from such entities for any liability resulting from such litigation. In September 2014, Dawn Valli et al. v. Avis Budget Group Inc., et al. was filed in U.S. District Court for the District of New Jersey. The plaintiffs seek to represent a purported nationwide class of certain renters of vehicles from our Avis and Budget subsidiaries from September 30, 2008 through the present. The plaintiffs seek damages in connection with claims relating to alleged misrepresentations and omissions concerning charging customers for traffic infractions and related administrative fees. In October 2023, plaintiffs motion for class certification was denied as to their proposed nationwide class and granted as to a su …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

Debt Under Vehicle Programs and Borrowing Arrangements Debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC (Avis Budget Rental Car Funding), consisted of: As of As of June 30, December 31, 2026 2025 Americas - Debt due to Avis Budget Rental Car Funding (a) $ 14,489 $ 14,447 Americas - Debt borrowings (b) 2,232 2,202 International - Debt borrowings (c) 3,055 2,480 International - Finance leases 155 130 Other Deferred financing fees (d) (81) (71) Total $ 19,850 $ 19,188 __________ (a) Includes approximately $780 million and $826 million of Class R notes as of June 30, 2026 and December 31, 2025, respectively, which are held by us. (b) Includes our Repurchase Facilities and $694 million and $965 million associated with the Interpace Ventures transaction as of June 30, 2026 and December 31, 2025, respectively . See Note 1 Basis of Presentation. (c) In February 2026, we amended our European rental fleet securitization program to increase its capacity to approximately 2.1 billion and 250 million and extended the maturity of the program to February 2029. (d) Deferred financing fees related to Debt due to Avis Budget Rental Car Funding as of June 30, 2026 and December 31, 2025 were $53 million and $51 million, respectively. The following table provi des a summary of debt issued by Avis Budget Rental Car Funding during the six months ended June 30, 2026: Issuance Date Maturity Date Weighted Average Interest Rate Amount Issued Mar …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

The following table presents our revenues disaggregated by geography: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Americas $ 2,288 $ 2,332 $ 4,250 $ 4,239 Europe, Middle East and Africa 551 564 926 925 Asia and Australasia 159 143 352 305 Total revenues $ 2,998 $ 3,039 $ 5,528 $ 5,469 The following table presents our revenues disaggregated by brand: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Avis $ 1,715 $ 1,718 $ 3,143 $ 3,090 Budget 1,136 1,133 2,088 2,018 Other (a) 147 188 297 361 Total revenues $ 2,998 $ 3,039 $ 5,528 $ 5,469 __________ (a) Other includes Zipcar and other operating brands.

DisaggregationOfRevenueTableTextBlock

Stock-Based Compensation We recorded stock-based compensation expense of $6 million ( $4 million , net of tax) and $6 million ( $5 million , net of tax) during the three months ended June 30, 2026 and 2025, respectively . We recorded stock-based compensation expense of $7 million ($5 million, net of tax) and $12 million ( $9 million , net of tax) during the six months ended June 30, 2026 and 2025, respectively . As part of our declaration and payment of a special cash dividend in December 2023, we granted additional restricted stock units ( RSUs ) to our award holders with unvested shares as a dividend equivalent, which has been deferred until, and will not be paid unless, the shares of stock underlying the award vest. In March 2026, the Company granted market-based RSUs that vest based on the level of total shareholder return. The grant date fair value of the market-based RSUs incorporates the total shareholder return metric, which is estimated using a Monte Carlo simulation model to estimate the Companys ranking relative to an applicable stock index. The weighted average assumptions used in the Monte Carlo simulation model to calculate the fair value of the Companys stock unit awards are outlined in the table below. Six Months Ended June 30, 2026 Expected volatility of stock price 20.4 % Risk-free interest rate 3.68 % Valuation period 3 years Dividend yield % The activity related to stock units consisted of (in thousands of shares): Number of Shares Weighted Average Grant D …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Intangible Assets Intangible assets consisted of: As of June 30, 2026 As of December 31, 2025 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Amortized Intangible Assets License agreements $ 335 $ 250 $ 85 $ 296 $ 243 $ 53 Customer relationships 252 240 12 257 240 17 Other 55 51 4 56 51 5 Total $ 642 $ 541 $ 101 $ 609 $ 534 $ 75 Unamortized Intangible Assets Goodwill $ 1,115 $ 1,129 Trademarks $ 513 $ 514 For the three months ended June 30, 2026 and 2025, amortization expense related to amortizable intangible assets was approximat el y $8 million and $5 million, respectively. For the six months ended June 30, 2026 and 2025, amortization expense related to amortizable intangible assets was approximat el y $15 million and $11 million, respectively. Based on our amortizable intangible assets as of June 30, 2026, we expect amortization expense of approximately $15 million for the remainder of 2026, $24 million for 2027, $19 million for 2028, $16 million for 2029, $16 million for 2030 and $7 million for 2031, excluding effects of currency exchange rates.

GoodwillAndIntangibleAssetsDisclosureTextBlock

Income Taxes Our effective tax rate for the six months ended June 30, 2026 was a benefit of 36.0%. Such rate differed from the Federal Statutory rate of 21.0% primarily due to foreign income inclusions and foreign taxes associated with our International operations, as well as state taxes. Our effective tax rate for the six months ended June 30, 2025 was a benefit of 24.6%. Such rate differed from the Federal Statutory rate of 21.0% primarily due to foreign taxes on our International operations and state taxes. In July 2025, the One Big Beautiful Bill Act (OBBBA) was enacted, making permanent key provisions of the Tax Cuts and Jobs Act, including full expensing on qualified property, and modifications to the business interest expense limitation, as well as introducing phased-in modifications to certain foreign income inclusion provisions effective in 2026 and future periods. As a result of the enactment of OBBBA, our deferred tax balances as of June 30, 2026 reflect the new law. In addition, these phased-in provisions impacted our income tax expense and effective tax rate for the three and six months ended June 30, 2026; however, the overall impact on our condensed consolidated results of operations was not significant. We continue to monitor the implementation of the Organisation for Economic Cooperation and Development (OECD) Pillar Two global minimum tax framework, including recent administrative guidance; however, it did not have a material impact on our condensed consolid …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Leases Lessor The following table presents our lease revenues disaggregated by geography: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Americas $ 2,265 $ 2,308 $ 4,206 $ 4,193 Europe, Middle East and Africa 527 543 882 885 Asia and Australasia 154 138 342 296 Total lease revenues $ 2,946 $ 2,989 $ 5,430 $ 5,374 The following table presents our lease revenues disaggregated by brand: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Avis $ 1,682 $ 1,687 $ 3,082 $ 3,032 Budget 1,123 1,120 2,063 1,994 Other (a) 141 182 285 348 Total lease revenues $ 2,946 $ 2,989 $ 5,430 $ 5,374 __________ (a) Other includes Zipcar and other operating brands. Lessee We have operating and finance leases for rental locations, corporate offices, vehicle rental fleet and equipment. Many of our operating leases for rental locations contain concession agreements with various airport authorities that allow us to conduct our vehicle rental operations on site. In general, concession fees for airport locations are based on a percentage of total commissionable revenue as defined by each airport authority, some of which are subject to minimum annual guaranteed amounts. Concession fees other than minimum annual guaranteed amounts are not included in the measurement of operating lease right-of-use assets and operating lease liabilities and are recorded as variable lease expense as incurred. Our operating leases for rental locations often also require us to p …

LesseeOperatingLeasesTextBlock · excerpt; the full note is in the filing

Long-term Corporate Debt and Borrowing Arrangements Long-term debt and other borrowing arrangements consisted of: As of As of Maturity June 30, December 31, Date 2026 2025 5.750% Senior Notes July 2027 $ 348 $ 645 4.750% Senior Notes April 2028 500 500 7.000% euro-denominated Senior Notes February 2029 685 705 5.375% Senior Notes March 2029 600 600 8.250% Senior Notes January 2030 700 700 7.250% euro-denominated Senior Notes July 2030 686 705 8.000% Senior Notes February 2031 799 498 8.375% Senior Notes June 2032 600 600 Floating Rate Term Loan (a) July 2032 1,127 1,131 Other (b) 36 45 Deferred financing fees (59) (56) Total 6,022 6,073 Less: Short-term debt and current portion of long-term debt 23 24 Long-term debt $ 5,999 $ 6,049 __________ (a) The floating rate term loan is part of our senior revolving credit facilities, which is secured by pledges of capital stock of certain of our subsidiaries, and liens on substantially all of our intellectual property and certain other real and personal property. As of June 30, 2026, the floating rate term loan due 2032 bears interest at one-month Secured Overnight Financing Rate ( SOFR) plus 2.50%, for an aggregate rate of 6.14%. We have entered into a swap to hedge $750 million of interest rate exposure related to the floating rate term loan at an aggregate rate of 4.01%. (b) Primarily includes finance leases, which are secured by liens on the related assets. In May 2026, we issued an additional $300 million of 8.000% Senior Notes du …

LongTermDebtTextBlock · excerpt; the full note is in the filing

Recently Issued Accounting Pronouncements Disaggregation of Income Statement Expenses In November 2024, the FASB issued ASU 2024-03, Disaggregation of Income Statement Expenses, which amends Topic 220 primarily through requiring disclosures, in the notes to financial statements, about certain costs and expenses. The amendments are effective for annual periods beginning after December 15, 2026 and interim periods beginning after December 15, 2027, with early adoption permitted on a prospective or retrospective basis. ASU 2024-03 becomes effective for us on January 1, 2027. We are currently evaluating the impact of the adoption of this accounting pronouncement. Targeted Improvements to the Accounting for Internal-Use Software In September 2025, the FASB issued ASU 2025-06, Targeted Improvements to the Accounting for Internal-Use Software, which amends Topic 350 primarily to modernize the accounting for software costs. The amendments are effective for annual periods beginning after December 15, 2027, and interim periods within those annual periods. Early adoption is permitted as of the beginning of an annual period. A prospective, modified or retrospective transition approach is permitted. ASU 2025-06 becomes effective for us on an interim basis beginning on January 1, 2028. We are currently evaluating the impact of the adoption of this accounting pronouncement. Hedge Accounting Improvements In November 2025, the FASB issued ASU 2025-09, Hedge Accounting Improvements, which clar …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Related Party Transactions Avis Mobility Ventures LLC Avis Mobility Ventures LLC (AMV) is our former subsidiary. We ceased to have a controlling interest in AMV in 2022, and as a result we deconsolidated AMV from our financial statements. Our proportional share of AMVs income or loss is included within other (income) expense, net in our Condensed Consolidated Statements of Comprehensive Income. In November 2025, we made a capital contribution of approximately $9 million to AMV. As of June 30, 2026, we own approximately 35% of AMV. We continue to provide vehicles, related fleet services, and certain administrative services to AMV to support their operations. The following tables provide amounts reported within our financial statements related to our equity method investment in AMV and these services. The components of other (income) expense, net are summarized below: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 (Income) expense for services to AMV, net $ (1) $ 4 $ 3 $ 8 (Income) loss on equity method investment in AMV, net 2 1 4 3 Other (income) expense, net $ 1 $ 5 $ 7 $ 11 The following table provides amounts reported within our Condensed Consolidated Balance Sheets related to AMV: As of As of June 30, December 31, 2026 2025 Receivables from AMV (a) $ 7 $ 6 Equity method investment in AMV (b) 26 30 Vehicles, net investment in lease with AMV (c) 171 136 __________ (a) Included within other current assets. (b) Included within other non-current asse …

RelatedPartyTransactionsDisclosureTextBlock · excerpt; the full note is in the filing

Restructuring and Other Related Charges In 2024, we initiated a global restructuring plan to right size our operations (Global Rightsizing). The costs associated with this initiative are primarily related to the operational scaling of processes, locations, and lines of business. We expect further restructuring expense of approximately $9 million related to this initiative to be incurred this year. The following tables summarize the changes to our restructuring-related liabilities and identify the amounts recorded within our reportable segments for restructuring charges and corresponding payments and utilizations: Personnel Related Facility Related Other Total Balance as of January 1, 2026 $ 19 $ 3 $ 29 $ 51 Restructuring expense: Global Rightsizing (a) 26 2 17 45 Restructuring payment/utilization: Global Rightsizing (a) (31) (2) (44) (77) Balance as of June 30, 2026 $ 14 $ 3 $ 2 $ 19 __________ (a) Other includes the disposition of vehicles. Americas International Total Balance as of January 1, 2026 $ $ 51 $ 51 Restructuring expense: Global Rightsizing 13 32 45 Restructuring payment/utilization: Global Rightsizing (12) (65) (77) Balance as of June 30, 2026 $ 1 $ 18 $ 19 Other Related Charges Officer Separation Costs In February 2025, we announced that Joseph A. Ferraro, President and Chief Executive Officer, would transition to a Board Advisor role effective June 30, 2025. In connection with Mr. Ferraros departure, for the three months ended June 30, 2026 and 2025 we recorded …

RestructuringAndRelatedActivitiesDisclosureTextBlock · excerpt; the full note is in the filing

Segment Information Our chief executive officer, who also serves as our chief operating decision-maker (CODM), assesses performance and allocates resources based upon the separate financial information of our operating segments. We aggregate certain of our operating segments into our reportable segments. In identifying our reportable segments, we also consider the management structure of the organization, the nature of services provided by our operating segments, the geographical areas and economic characteristics in which the segments operate, and other relevant factors. Our CODM evaluates the operating results of each of our reportable segments based upon revenues and Adjusted EBITDA, which we define as income (loss) from continuing operations before non-vehicle related depreciation and amortization; long-lived asset impairment and other related charges; other fleet charges; restructuring and other related charges; early extinguishment of debt costs; non-vehicle related interest; transaction-related costs, net; legal matters, net, which primarily includes amounts recorded in excess of $5 million , related to unprecedented self-insurance reserves for allocated loss adjustment expense, class action lawsuits and personal injury matters; non-operational charges related to shareholder activist activity, which includes third-party advisory, legal and other professional fees; COVID-19 charges, net; cloud computing costs; other (income) expense, net; severe weather-related damages …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Stockholders' Equity Share Repurchases Our Board of Directors has authorized the repurchase of up to approximately $8.1 billion of our common stock under a plan originally approved in 2013 and subsequently expanded, most recently in February 2023 (the Stock Repurchase Program). During the six months ended June 30, 2026 and 2025, we did not repurchase shares of common stock under the Stock Repurchase Program. As of June 30, 2026, approximately $757 million of authorization remained available to repurchase common stock under the Stock Repurchase Program. Common stock repurchases under the Stock Repurchase Program do not include shares withheld to satisfy employees income tax liabilities attributable to the vesting of restricted stock unit awards. Total Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other gains and losses affecting stockholders equity that, under GAAP, are excluded from net income (loss). The components of other comprehensive income (loss) were as follows: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Net income (loss) $ 63 $ 5 $ (171) $ (499) Less: Net income attributable to non-controlling interests 28 1 77 2 Net income (loss) attributable to Avis Budget Group, Inc. 35 4 (248) (501) Other comprehensive income (loss), net of tax Currency translation adjustments, net of tax of $(4), $30, $(10) and $44, respectively (a) (13) 71 (7) 84 Net unrealized gain (loss) on cash flow hedges, net of tax …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing