(Bloomberg) -- Hertz Global Holdings Inc. shares plunged after the car-rental company posted a larger-than-expected loss in the first quarter, pressured by a slowdown in customer bookings.

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Revenue fell 13% in the period, contributing to an adjusted loss of $1.12 per share, the company said in a statement late Monday. Analysts had expected a 99-cent deficit on average, according to estimates compiled by Bloomberg.

The company showed declines on multiple key metrics. While forward bookings from leisure customers were up from a year ago, demand from corporate and government customers has moderated.

Hertz moved to sell older models and buy newer cars before President Donald Trump’s tariffs raised their prices. About 70% of the company’s fleet is less than a year old, which should drive down future depreciation costs, Chief Executive Officer Gil West said Tuesday on the company’s investor call.

“We have a younger fleet that’s well equipped to navigate today’s uncertainty,” West said. “We worked closely with OEMs to accept vehicle deliveries in Q1 ahead of schedule to avoid tariff exposure.”

West said the timing of Hertz’s fleet moves meant the company lost some business in certain markets and acknowledged that the company faces economic uncertainty.

While Hertz is “accelerating its transition strategy and has some benefits on depreciation, we believe the risk ahead is on demand,” Barclays analyst Dan Levy wrote in a research report. He noted that the first-quarter miss was primarily in the Americas.

Hertz shares fell 17% at 11:09 a.m. Tuesday in New York. The stock had gained 90% this year through Monday’s close.

Hertz is offering fewer cars for rent as it freshens its fleet and contends with the trade war that has rattled markets and consumer sentiment. Bill Ackman’s Pershing Square Capital Management has amassed a nearly 20% stake in the rental giant, in a part as a bet that tariffs will drive up the value of Hertz’s fleet. Ackman has said that he thinks the worst is behind Hertz though he expects near-term results will be weak.

Hertz said on the earnings call that it expects to break even on the basis of adjusted earnings before interest, taxes, depreciation and amortization in the second quarter and achieve positive net income in the third quarter of this year. Its first-quarter adjusted Ebitda loss was $325 million, worse than analysts expected.

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One culprit for missing estimates is a shortfall in revenue, which was $1.8 billion, while analysts expected $2 billion. The company’s vehicle utilization rate climbed to 79%, up 3 percentage points from a year ago, but still historically weak. Pricing also fell, with revenue per day falling 5% to $53.38. That was partly caused by having too many vehicles in some markets, Hertz Chief Commercial Officer Sandeep Dube told analysts on the call.

“All told, we didn’t get the utility out of these additional vehicles that we normally would have and probably left some price on the table,” Dube said.

Hertz said it’s on track to reduce depreciation on its cars to less than $300 per month in the second quarter, earlier than expected.

This was the first quarter in which Hertz is no longer unloading electric vehicles, which renters shunned and resulted in high repair costs. The strategy misstep led to $2.9 billion in losses last year. Hertz earlier this year said it achieved its goal of selling off 30,000 battery-powered cars.

(Updates starting with CEO comment in the fourth paragraph. An earlier version corrected the characterization of when the company would reach its depreciation target.)

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