“Hertz reported better-than-expected results as they continue to benefit from strong consumer demand for travel and the ongoing recovery in business travel,” Ivan Feinseth, Tigress Financial Partners analyst, said.

Demand for Hertz’s rental services was also helped by the company’s EV fleet as consumers looking to purchase a car with an alternate powertrain opted to rent those vehicles before deciding to purchase them, Feinseth added.

Hertz, which offers Tesla Inc.’s vehicles for hire, has been beefing up its EV fleet over the past few years, as part of its move to promote zero-emission models. It, however, struggled with costlier maintenance and labor charges to keep its fleet on the road.