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Sixt SE: The German Family That Built Europe's Premium Mobility Empire
I. Introduction: A Century of Reinvention
In the sun-drenched terminals of Miami International Airport, American travelers in 2024 encountered something unfamiliar: a car rental counter where the Mercedes-Benz and BMW keys outnumbered the Chevrolets, where the staff seemed genuinely enthusiastic, and where the entire transaction could be completed on a smartphone before ever speaking to a human. The orange branding announced itself simply: SIXT.
For most Americans, this represented an introduction. For Germans, it was a reunion with an institution as familiar as Volkswagen or Lufthansa—a company that had been renting premium automobiles since before the First World War, survived two economic devastations that leveled its fleet, and emerged as Europe's dominant mobility provider while remaining in the hands of a single family for four generations.
Consolidated revenue rose for the third year in a row to a new record level in 2024, exceeding the EUR 4 billion mark for the first time. This represents an increase of 10.5% over the previous year (2023: EUR 3.62 billion). The company achieved this milestone while much of the car rental industry was struggling with declining residual values and post-pandemic normalization.
The central question that drives this analysis is deceptively simple: How did a small Munich car rental company, devastated twice by world wars, become Europe's dominant mobility player while remaining family-controlled for 113 years? The answer lies not in a single brilliant strategy, but in a distinctive combination of attributes that collectively constitute Sixt's competitive advantage: a willingness to reinvent the business model at each generational transition, an obsessive focus on premium positioning in what most viewed as a commodity market, disciplined capital allocation that emphasized profitable growth over scale, and—perhaps most crucially—a patriarchal governance structure that enabled long-term strategic thinking while insulating management from short-term market pressures.
The company was founded in 1912 by Martin Sixt under the name Sixt Autofahrten und Selbstfahrer. Today it has approximately 2,200 branches in 105 countries and is one of the largest car rental companies in the world.
This story unfolds across four distinct eras: the founding vision and survival through two world wars, the transformation under Erich Sixt from local operator to German market leader, the international expansion that established European dominance, and the current digital transformation combined with an aggressive assault on the American market. Each era demanded different skills from leadership, and remarkably, the Sixt family produced individuals capable of meeting those challenges at each transition.
For investors, Sixt presents an unusual proposition: a European family-controlled company in an industry dominated by American giants, with a governance structure that concentrates voting power in family hands, pursuing an aggressive expansion strategy in the world's largest car rental market while simultaneously transforming itself from a traditional rental company into an integrated mobility platform. The outcome will determine whether Sixt becomes a global player or remains a regional champion with American ambitions.
II. The Founding Era: Birth of German Car Rental (1912-1945)
Martin Sixt's Vision
The year was 1912. The Wright Brothers had achieved powered flight less than a decade earlier, the Titanic was preparing for her maiden voyage, and in Munich, a city then known for beer halls and baroque architecture, a young German named Martin Sixt recognized an opportunity that would outlast empires.
When the automobile became fashionable among well-to-do passengers and drivers, German auto-lover Martin Sixt came up with the idea for a business. In 1912 he founded "Sixt Autofahren und Selbstfahrer." It was one of Germany's first rental car companies, based in Munich. Targeting British noblemen and rich Americans, Sixt rented his four Mercedes and three Luxus-Deutz-Landaulets for a day at a time and offered customized tours with a company driver.
The business model was elegant in its simplicity and sophisticated in its execution. Rather than competing for the nascent middle-class market, Martin Sixt positioned his venture squarely in the luxury segment. His fleet consisted not of utilitarian vehicles but of the finest German engineering available—Mercedes automobiles and Luxus-Deutz-Landaulets, the latter being opulent touring cars designed for wealthy passengers who expected comfort and prestige. The service was comprehensive: customers didn't simply rent a vehicle; they purchased an experience that included a professional chauffeur who knew the Bavarian countryside intimately.
This premium positioning was not merely a marketing choice but a strategic decision that would define the company's DNA for the next century. In 1912, automobiles remained expensive, unreliable, and difficult to operate. The wealthy tourists who constituted Sixt's customer base had neither the technical knowledge to maintain a vehicle nor the inclination to dirty their hands with its operation. They sought transportation that reflected their social status while eliminating the complications of vehicle ownership in a foreign country.
The target market was deliberate. British nobility and wealthy Americans represented the highest-spending tourists in pre-war Europe, and Munich served as a gateway to the Alps, the German countryside, and the cultural attractions of Bavaria. By capturing this clientele, Martin Sixt established relationships with hotels, travel agencies, and social networks that would provide repeat business and referrals.
The First Devastation: World War I
The trajectory of any business founded in 1912 would necessarily encounter the defining catastrophe of the twentieth century. During the First World War, the fleet was confiscated and used by the German Army.
This wasn't merely an inconvenience—it was complete destruction of the company's productive assets. The German military's voracious appetite for transportation consumed civilian vehicles across the country, and a luxury car rental operation represented exactly the type of resource that wartime authorities would commandeer without hesitation. In an instant, Martin Sixt's business was reduced to a name, a reputation, and the hope that peace would eventually return.
What happened next revealed the resilience that would characterize the family for generations. When the war concluded in 1918, leaving Germany defeated, humiliated, and economically devastated, Martin Sixt chose to rebuild rather than abandon his vision.
1919, Martin Sixt buys premises in Seitzstrasse no. 11 in Munich, where one of the most frequented Sixt stations in the city can still be found. The purchase of permanent real estate represented a statement of confidence in the company's future—an investment in physical infrastructure during a period of extreme economic uncertainty. This location would serve as the company's anchor through the turbulent decades ahead.
The Interwar Period and Second Devastation
The Weimar Republic presented both opportunity and challenge. Economic instability, hyperinflation, and political chaos created an environment hostile to business planning, yet the same factors attracted international visitors seeking the favorable exchange rates that made German luxury goods and services remarkably affordable. Sixt navigated these contradictions, rebuilding its fleet and clientele through the 1920s.
Martin Sixt's nephew, Hans Sixt, takes over the company in 1927. This first succession represented the transition from founder-led enterprise to family business—a critical moment that determines the trajectory of most closely-held companies. Hans Sixt brought fresh energy and new ideas while maintaining the premium positioning that defined the brand.
The Nazi regime's rise to power in 1933 created new complications. Tourism patterns shifted as international visitors became wary of traveling to an increasingly militaristic Germany. The worldwide economic boycott against Nazi-Germany which was preparing for a war in 1938 resulted in a significant downturn for the rental car business.
Then came the Second World War, and with it, history repeated itself with even greater destruction. During WW2, all cars except for one were confiscated by the German army and in 1945 the main facilities in Munich's SeitzstraĂźe were destroyed by bombs.
The symmetry was almost poetic: two world wars, two complete fleet confiscations, two total destructions of the business. Yet from this devastation emerged the story of corporate resurrection that would define the modern Sixt.
III. Hans Sixt & The Post-War Rebuilding (1946-1969)
The Brilliant Pivot: Export-Taxi Service
Picture Munich in 1945: a city in ruins, occupied by American forces, its economy shattered, its population surviving on whatever opportunities could be scraped together in the rubble. Into this landscape stepped Hans Sixt with three automobiles hidden in a barn—the entirety of what remained from three decades of family enterprise.
The strategic insight that followed demonstrated the improvisational genius that would characterize Sixt leadership across generations. Rather than attempting to rebuild the pre-war luxury tourist business—which had no prospect of revival in an occupied, devastated Germany—Hans Sixt identified a new customer segment with immediate demand and hard currency to pay for services.
Sixt was fortunate enough to get a taxi license and chauffeured the members of the American occupation forces through Munich in his seven-seat limousine. Hans Sixt called his new service the Export Taxi and soon offered it to business people and VIPs. The next Sixt innovation was a fleet of Radio Taxis, equipped with radio gear from the United States, introduced in 1948. Three years later the company, called "Auto Sixt," was founded as a rental agency for motorists who wished to drive themselves around.
This sequence of pivots deserves careful examination. The Export-Taxi service leveraged Sixt's core competency—providing premium transportation services—while adapting to the radically transformed customer base. American soldiers and occupation administrators had disposable income, required transportation in an unfamiliar city, and expected a level of service that German competitors often couldn't provide.
The 1948 introduction of Radio Taxis represented technological innovation that established Sixt as a modernizer in the industry. American radio technology was state-of-the-art, and by equipping his fleet with these communications systems, Hans Sixt created operational advantages that competitors couldn't match: faster response times, better coordination, and the ability to dispatch vehicles efficiently across the city.
After introducing innovations such as the first radio cabs in Europe, Hans Sixt founds the car rental company "Auto SIXT." The 1951 transformation from chauffeur-driven service to self-drive rentals anticipated the democratization of the automobile and the emergence of a new customer class: business travelers who wanted the convenience of personal transportation without the complications of vehicle ownership.
Airport Strategy Takes Shape
As Germany entered the economic boom of the 1960s, the business started to thrive once again. In 1966 Sixt opened offices at Munich and Frankfurt airports.
This airport expansion represented strategic positioning for the jet age. As commercial aviation transformed from luxury to mainstream transportation, airports became concentrated nodes of business travelers with immediate transportation needs. By establishing presence at Germany's two most important airports, Sixt captured customers at their point of arrival—before they could consider alternatives.
SIXT becomes the first German company to launch a full-service leasing program for vehicles in 1967. This diversification into leasing demonstrated awareness of adjacent market opportunities and willingness to expand beyond the rental business. Corporate leasing would provide stable, predictable revenue while leveraging the company's expertise in vehicle acquisition and management.
The Leadership Transition
The Hans Sixt era ended with the company's expansion into car leasing in 1967. Two years later he brought his son Erich into the business and withdrew from management for health reasons.
The timing of this transition proved fortuitous. Hans Sixt had rebuilt the business from wartime devastation and positioned it for the growth that German economic expansion would enable. His son would inherit a foundation upon which an empire could be constructed.
However, before he died in August 1998 at age 89, Hans Sixt saw his company grow into a DM2 billion business. The three-decade transformation from three hidden automobiles to a multi-billion-mark enterprise represented one of the remarkable business-building stories of post-war Germany.
IV. The Erich Sixt Era Begins: From 100 Cars to Market Leadership (1969-1990)
The Young CEO Takes Charge
Erich Sixt was born on June 25, 1944 in the Austrian town of Mistelbach. He studied four semesters of business administration in Munich, but dropped out because he considered it "irrelevant" for the further course of his life.
This biographical detail reveals much about the man who would transform a regional car rental company into a European powerhouse. The dismissal of formal business education as "irrelevant" suggested supreme confidence in his own judgment and abilities—confidence that decades of success would ultimately justify.
In 1969, the German car rental market was dominated by seven major national and international players, with around 2,000 local businesses competing for the remaining crumbs. When Erich Sixt took over the management of the company this year, his fleet numbered 100 cars.
The market structure that Erich Sixt inherited presented both obstacles and opportunities. Seven established players controlled the premium segment, while thousands of small operators competed in a fragmented, commoditized market. Sixt occupied an uncomfortable middle position: too small to compete with international giants, too premium to fight for crumbs with local operators.
Erich Sixt entered the family business at age 25—after dropping out of college—and fundamentally changed the German car rental industry for good. In the 1960s the industry was characterized by high prices and limited service. Renting a car was something for wealthy people. Erich Sixt had a different vision: renting a car should be affordable for anyone. To free the rental car business from its image of exclusivity, Sixt offered his customers "a Mercedes for the Volkswagen rate" of DM66 per day, a very low price at that time.
The "Mercedes for the Volkswagen rate" positioning represented marketing genius. By offering premium vehicles at economy prices, Sixt attacked both ends of the market simultaneously: undercutting expensive competitors on price while offering superior product to economy customers. This strategy required operational excellence—the ability to maintain premium service levels while operating on economy-tier margins—but it created a compelling value proposition that traditional players couldn't easily match.
The Ingenious Business Model
Another important Sixt strategy was to get significant discounts from car manufacturers when buying brand new cars and then rent these cars for only a few months to a year. The company was thus able not only to offer customers the latest models, but after several months of renting, when the cars were still new, they were also selling them at favorable prices without having to make many repairs. Sixt has set up its own used car sales company, Autoland Central Garagen GmbH, which has become another major source of profit.
This vertical integration strategy demonstrated sophisticated understanding of automotive economics. By controlling both vehicle acquisition and disposition, Sixt captured value at multiple points in the automotive lifecycle:
Acquisition: Volume purchasing from manufacturers generated significant discounts—discounts that competitors purchasing smaller quantities couldn't obtain.
Operation: Short holding periods minimized maintenance costs and kept the fleet perpetually fresh, enhancing customer experience while reducing operating expenses.
Disposition: Direct sales through owned dealerships captured retail margins that competitors forfeited to third-party dealers, while eliminating the discount typically required for wholesale disposition.
The combined effect was a cost structure that enabled premium service at competitive prices—the strategic position that would define Sixt for decades.
The Autodidact CEO
In the early 1970s Erich Sixt was looking for software to help manage the dynamic growth of the company. However, he was not able to afford the prices charged for customized programming at that time. So he picked up a book about computer programming and wrote the code himself, which at the time was still entered by punching holes into paper cards.
This anecdote reveals the hands-on, frugal approach that characterized Erich Sixt's management style. Unable to afford professional software development, he taught himself programming—a skill that most executives of his generation would never consider acquiring. The resulting systems, though primitive by modern standards, provided operational capabilities that competitors lacked.
He is known for the provocative advertising of his car rental chain, in which politicians such as Angela Merkel or Oskar Lafontaine have been used as advertising motifs on several occasions without being asked. Erich Sixt has turned a family business with a modest 200 rental cars into one of the biggest German brands in the car rental and leasing business. He is a courageous and unconventional entrepreneur in the best sense of the word.
The Budget Partnership: Access to Global Network
The year 1977 marked another important step for Sixt. In that year the company opened offices at all major German airports. More important, the company entered a licensing agreement with American car rental giant Budget Rent a Car. As a result, Sixt car rental locations were included in Budget's worldwide network listings. To reflect the importance of the alliance, the Budget logo became part of the Sixt logo in 1982 when the company was renamed Sixt Autovermietung GmbH.
The Budget partnership represented strategic jiu-jitsu: leveraging a global brand's distribution network while maintaining operational independence. International travelers booking through Budget's reservation system would be directed to Sixt locations in Germany, providing customer acquisition without the capital requirements of building an international brand.
The IPO: Unlocking Growth Capital (1986)
Erich Sixt makes one of the most significant decisions in the history of SIXT: He takes his company public and thus opens up new growth opportunities for SIXT.
In 1986 he converted the company into a stock corporation and brought it to the stock exchange. The IPO provided capital for expansion while the share structure ensured continued family control—a balance that would define Sixt's relationship with public markets for decades.
In 1988, the subsidiary Sixt Leasing GmbH was established. The formalization of the leasing business into a dedicated subsidiary positioned Sixt for growth in corporate fleet management, a market segment that would eventually justify its own public listing.
V. European Dominance & The Premium Strategy (1990-2010)
Achieving Market Leadership
By the beginning of the 1990s, SIXT achieves market leadership in Germany.
The achievement represented two decades of relentless execution. From 100 cars in 1969 to market leader by 1990, Erich Sixt had transformed a local Munich operation into the dominant German player. The transformation occurred during a period when international competitors should have held structural advantages: greater scale, deeper pockets, and more sophisticated systems.
At the beginning of the 1990s, Sixt AG had all the prerequisites to reach the market leader, interRent Europcar Autovermietung GmbH. With more than 1 billion German turnover marks and 238 car rental branches, Sixt has made it to second place in the ranking of German car rental companies.
The fall of the Berlin Wall meant new business opportunities. In 1990, Sixt's company opened 15 car rental companies in the former East Germany. One of the branches stands directly at the Brandenburg Gate. Sixt AG has also benefited from the huge demand for used cars in the new East German countries. This year, its sales of used cars were higher than those of car rental companies. Overall, the company's sales this year increased by 40 percent in the used car sales segment and by 47 percent in the car rental segment.
The German reunification opportunity demonstrated Sixt's agility. While larger competitors deliberated, Sixt moved aggressively into the newly accessible eastern German market, establishing presence at symbolic locations like the Brandenburg Gate that reinforced the company's German identity.
The Premium Positioning Philosophy
The strategic choice that most distinguished Sixt from competitors was its unwavering commitment to premium positioning—a choice that seemed counterintuitive in an industry where most participants competed primarily on price.
The result underscores the strength of the SIXT brand, the consistent profitability of the premium strategy and the robustness of the SIXT Group's rental business, also due to significant investments in the fleet and pricing systems.
From the beginning of its expansion, Sixt always positioned itself as a premium supplier (they call it "focused premium strategy"). Sixt, unlike other car-rental companies, has always invested in its brand and, moreover considered itself a premium brand. This is reflected in offering an overproportionate share of premium-branded cars, but also in them striving to make the customer experience pleasant and comfortable, rather than competing on price.
Our consistent premium strategy is also reflected in our investments: in 2024, we once more invested heavily in our premium fleet and maintained the value-based premium share of in-fleeted vehicles at the usual high level of around 50%.
International Expansion Under Regine Sixt
After the car rental company SIXT already expanded into Switzerland a year earlier, Regine Sixt starts its international expansion with licensees and rapidly expands the company's presence.
Regine Sixt is a German businessperson and currently Senior Executive Vice President for International Marketing and Relationship Marketing of Sixt International, an international car rental and leasing business. She has played a leading role in the expansion of Sixt into over 105 countries.
In the second half of the 1990s, Sixt AG began an aggressive expansion into other countries around the world. In 1996, the first Sixt car rental was opened at Vienna Airport. The following year, the company penetrated into France and the United Kingdom.
Regine Sixt's role in the company's international expansion deserves particular attention. With her husband Erich Sixt, the CEO of Sixt AG, she has helped build Sixt into a global mega-brand, operating more than 230,000 cars across 3,500 locations and 105 countries. She is the driving force behind Sixt's global expansion, and directs everything from the corporate identity to the performance at the airports.
After studying in Germany, England and France, she met her future husband Erich Sixt, CEO of Sixt AG. She started her career at Sixt and built international partnerships with airlines, hotel and travel chains around the world.
The Budget Breakup (1997)
However, at least one party was not particularly pleased with Sixt's massive international expansion; this party was a licensing partner, Budget Rent A Car. In the spring of 1997, the license agreement between Sixt AG and Budget was terminated.
The Budget separation represented both crisis and opportunity. The partnership had provided valuable access to international booking networks, but it also constrained Sixt's ability to build its own global brand. However, the basic factor in the end of the cooperation in the background was the real difference in the quality of services, when Sixt preferred quality and not price.
The forced independence required Sixt to build brand awareness in international markets from scratch—a capital-intensive process that would take years to complete. Yet it also freed the company to pursue its premium positioning without compromise to a partner's mass-market approach.
The Buchbinder Acquisition & Lessons Learned
Also in 1993, Sixt bought the assets of its competitor Autoverleih Buchbinder, operating the brand briefly before finally discontinuing it. Sixt had failed to secure the naming rights, and subsequently Buchbinder was re-established and continued operating in the market.
This failed acquisition provided expensive lessons about the importance of intellectual property due diligence. Acquiring physical assets without securing brand rights enabled competitors to reconstitute the Buchbinder operation, negating much of the acquisition's strategic value.
Legal Battles & Corporate Governance
In 2003, the corporation was forced to defend itself against hedge fund manager Florian Homm, who had speculated on declining stock prices. Homm was ultimately fined for price manipulation.
In 2005, the Management Board Compensation Disclosure Act (VorstOG) entered into force. Sixt AG became the first company in Germany to exercise the right not to disclose directors' salaries without a shareholder vote of at least 75% majority. CEO Erich Sixt held at this time 56.8% of Sixt ordinary shares, corresponding to 89% of votes at the general meeting, meaning he was essentially able to determine the outcome.
The executive compensation controversy illustrated the tensions inherent in family-controlled public companies. Erich Sixt's voting control enabled him to shield compensation details from public scrutiny—a practice that critics viewed as contrary to governance best practices but that supporters defended as protecting family privacy in a company where family and business were inseparable.
The Failed Europcar Bid (2006)
In 2006, Sixt made a bid to take over its competitor, Europcar, when owner Volkswagen offered it for sale. In addition to antitrust concerns (Sixt at that time had approximately 23% market share, Europcar 22%), there was also resistance from the Europcar works council, which feared job cuts after the merger.
The Europcar bid represented the most ambitious M&A attempt in Sixt's history. A successful acquisition would have created an entity with approximately 45% German market share—approaching monopoly territory. The combination of antitrust concerns and labor opposition ultimately doomed the transaction, as Volkswagen chose to sell to French private equity firm Eurazeo instead.
VI. Key Inflection Point #1: The DriveNow Joint Venture & Exit (2011-2018)
Creating Premium Car-Sharing with BMW
The decade of the 2010s introduced new uncertainties into automotive business models. Ride-sharing platforms like Uber and Lyft threatened traditional car rental by providing convenient urban transportation without vehicle commitment. Car-sharing services enabled short-term rentals measured in minutes rather than days, potentially disrupting the rental industry's core value proposition.
The BMW Group and Sixt AG are planning a unique and innovative car sharing venture. With effect from April 2011 onwards - initially in Munich and later in Berlin - the two companies intend to join forces in offering a modern mobility concept under the brand-name DriveNow; this new product will combine vehicles and service of the highest quality with simple, flexible usage.
Sixt AG and the BMW Group intend to bundle their car sharing activities in the DriveNow joint venture, in which each company will hold a 50 percent stake. The BMW Group will provide the premium vehicles and the technology within the cars, while Sixt AG will contribute premium services, car-hire know-how, IT systems and a comprehensive customer registration network.
The partnership structure reflected each company's core competencies. BMW brought vehicles and in-car technology; Sixt contributed service operations, IT systems, and customer acquisition capabilities. The 50/50 ownership ensured both parties had aligned incentives for success.
DriveNow was a premium one-way car-sharing service launched in 2011 as a joint venture between the BMW Group and Sixt AG, allowing users to access and rent BMW vehicles on a flexible, pay-per-use basis within designated urban service areas. The service debuted in Munich, Germany, with an initial fleet of approximately 300 BMW 1 Series and MINI vehicles, emphasizing efficient premium automobiles and a model where cars could be picked up and dropped off at any location within the operational zone.
It rapidly expanded across Europe, reaching cities such as Berlin, DĂĽsseldorf, and London, and by 2016, operated in 12 locations with approximately 6,500 vehicles, including BMW, MINI, and electric models like the BMW i3.
Building Scale
Founded in 2011 by Sixt SE and BMW Group as a car-sharing joint venture with a 50% stake for each partner, DriveNow is currently present in 13 European cities, and counts more than a million customers. Its current valuation stands at €420 million. Its fleet comprises more than 6,000 Mini and BMW vehicles, including the electric BMW i3. Last year, customers tallied up 8 million kilometres with the electric vehicles in the DriveNow fleet alone.
The Strategic Exit (2018)
Sixt SE signed an agreement with BMW Group on the sale of its entire stake in the joint venture DriveNow to BMW Group today. Currently Sixt SE and BMW Group each hold half of the shares in the car sharing provider DriveNow.
The value of all shares in the joint venture, which was established seven years ago, was rated around EUR 420 million. Accordingly, a purchase price of EUR 209 million was agreed upon for all shares that Sixt SE holds in DriveNow. With completion of this transaction Sixt SE will presumably generate an extraordinary pre-tax profit of around EUR 200 million at Group level in the current financial year 2018.
SIXT sells its stake in the DriveNow joint venture to BMW Group. With a valuation of EUR 420 million, DriveNow is one of the 10 largest exits in recent German Internet history. The sale of its stake in the company enables SIXT to now independently expand its position as a leading mobility provider by integrating all mobility offerings under one roof.
The DriveNow exit crystallized Sixt's strategic thinking about mobility services. Joint ventures provided valuable experience and generated attractive returns, but they also constrained strategic flexibility. By selling its stake, Sixt gained the capital and independence to build its own integrated mobility platform without partner governance constraints.
Independently of the acquisition of the Sixt stake in DriveNow, the BMW Group and Sixt will continue their successful long-standing partnership through delivery of BMW and MINI vehicles for the Sixt fleet. DriveNow was founded in 2011 as a premium car-sharing joint venture between the BMW Group and Sixt SE.
VII. Key Inflection Point #2: The US Invasion (2011-Present)
The Long-Held Dream
Erich Sixt's long-cherished dream comes true: SIXT starts its expansion in the US and opens the first SIXT branches in Florida.
The American market represented both the ultimate prize and the ultimate challenge. The U.S. Car Rental Market was valued at USD 37.88 Billion in 2024, and is projected to reach USD 56.27 Billion by 2030, rising at a CAGR of 7.50%.
But just three companies account for about 94% of the total car rental market share: Enterprise, which owns National and Alamo; Avis, which owns Budget, Payless Car Rental and Zipcar; and Hertz, which owns Dollar and Thrifty.
Entering this market required confronting entrenched competitors with decades of brand awareness, established airport relationships, and massive scale advantages. Yet Sixt's premium positioning offered potential differentiation in a market where most players competed primarily on price.
The COVID Opportunism (2020)
SIXT plays to its strengths in the global crisis and leverages its financial and strategic advantages: In the summer, the company expands into the Netherlands with its car sharing service SIXT share with a 100% electric fleet, expands the offering of its mobility platform ONE to include the flexible car subscription SIXT+ and acquires 10 strategically important airport stations in the United States. SIXT thus lays the foundation for a massive expansion in North America.
The pandemic acquisitions demonstrated Sixt's willingness to invest counter-cyclically. While competitors retrenched, Sixt expanded—acquiring airport concessions at valuations that pre-pandemic competition would have made impossible.
Building the US Infrastructure
There were 127 branches in the US at the end of 2024 (2023: 107 branches).
Today, SIXT operates more than 100 rental branches in 25 states, employs more than 2,000 team members, and now serves 49 of the most important airports across the country. In addition, by launching operations in Canada in 2022, SIXT is tapping into another billion-dollar market that also offers potential for synergies with its U.S. operations.
Revenues from Germany, which account for about 30% of the total, are forecast to grow 1-2% annually, while the rest of Europe, representing roughly 40%, is projected to grow 10% annually on strong inbound demand. In North America, which makes up about 30% of sales, revenue is forecast to expand at an 8% annual pace as market share rises from 3% to 5% by 2029.
The Lyft Partnership
Likewise, Lyft partnered with SIXT in summer 2020 to expand its own car rental offerings.
2024 Stellantis Deal: Fleet Scale
Premium mobility service provider SIXT and Stellantis, one of the world's leading automakers, announce they have come to a multi-billion euro agreement under which SIXT could buy up to 250,000 vehicles for its rental fleet in its corporate countries across Europe and North America over the next three years. First significant delivery volumes will take place as early as the first quarter of 2024 and will continue throughout the year. SIXT rental customers will benefit from an attractive choice of vehicles of Stellantis award-winning brands including Alfa Romeo, Chrysler, Citroën, Dodge, DS Automobiles, Fiat, Jeep®, Lancia, Opel, Peugeot, Ram, Vauxhall and Maserati. The deliveries to SIXT will include a variety of classes from city cars to SUVs to vans and trucks (including 7- and 9-seaters) as well as a full range of propulsion types (including battery electric vehicles) featuring the latest software and infotainment tech features.
North America as Growth Engine
In particular, the rental business in the North America segment once again made a substantial contribution to SIXT's growth with a revenue increase of 22.2%.
The 22.2% North American revenue growth significantly outpaced the 5.7% growth in Europe outside Germany and 5.5% in Germany itself, demonstrating that the US expansion strategy was generating meaningful returns.
VIII. Key Inflection Point #3: The ONE Platform & Digital Transformation (2019-Present)
Sixt Share Launch (2019)
At the beginning of 2018, Sixt sold its shares in car sharing service DriveNow for 209 million euros to its joint venture partner BMW. In February 2019, Sixt started an own mobility platform and a new car sharing service named Sixt share.
The Integrated Mobility Vision
SIXT launches world's first comprehensive mobility platform in the form of a new app that includes digital car rentals, car sharing and ride hailing for its 20 million customers. Under one powerful brand the SIXT app combines the car rental (SIXT rent), car sharing (SIXT share) and the ride-hailing/taxi (SIXT ride) products within the first integrated mobility platform in the world, which covers roughly 240,000 vehicles, 1,500 affiliated partners and more than one million drivers.
Now, with our new mobility platform 'ONE', we are taking the next strategic step. We are bringing together things that belong together and are combining car rental, car sharing and ride-hailing/taxi into the world's first and fully integrated mobility platform.
SIXT is a leading international provider of high-quality mobility services. With its products SIXT rent, SIXT share, SIXT ride and SIXT+, the company provides an integrated premium offering across the fields of vehicle and commercial vehicle rental, car sharing, ride hailing and car subscriptions. From its core business, SIXT rent, customers have access to more than 2,000 branches in over 100 countries with a fleet of more than 300,000 vehicles.
SIXT's technology department, called SIXT Tech, is at the forefront of the company's digitalization journey. It develops innovative products and services, which run on AWS workloads, making the customer experience more seamless, simpler, faster and with added value. With over 170 AWS accounts supporting 10 different platforms, more than 2,000 services, 6,500+ containers and over 9,000 deployments across all environments, the setup is undoubtedly complex.
From a few minutes to several months, customers can flexibly use mobility according to their needs at the tap of a finger: With just one app, one payment method and one login. SIXT is no longer just about "renting a car": With car sharing via SIXT share, the "classic" car rental SIXT rent, the cab and ride-hailing offer of SIXT ride as well as a "car subscription" SIXT+, mobility is rethought and is available with a single, cross-platform app. Thanks to this innovative approach, SIXT is able to actively shape the mobility requirements of the 21st century as an innovative traditional company of the German SME sector in a pioneering role.
The Leadership Transition: Fourth Generation Takes the Helm
After more than 50 years at the helm of the company, long-time CEO Erich Sixt steps down from the Board in mid-June and takes over as Chairman of the Supervisory Board of Sixt SE. His sons, Alexander and Konstantin, are appointed new co-CEOs of Sixt SE by the Supervisory Board.
For more than 50 years, mobility pioneer Erich Sixt, now 76, managed the company and, together with his wife Regine Sixt, initially built it up from being a local Munich-based car rental company, which he took over from his father in 1969 in the third generation, to become the market leader in Germany. SIXT is now one of the world's leading, most innovative and profitable mobility service providers, with more than 250,000 vehicles, more than EUR 3.3 billion in sales (2019) and 8,500 employees in Germany and abroad.
Alexander Sixt, born in 1979, has been Co-Chairman of the Management Board of Sixt SE together with his brother Konstantin Sixt since June 2021.
In February 2015, Alexander Sixt was appointed to the Management Board and assumed responsibility for the global SIXT TECH division, Group Strategy/M&A, global Human Resources, Group Purchasing and the management of global shared services and administrative functions. As of 17 June 2021, Alexander Sixt and his brother Konstantin Sixt were appointed by the Supervisory Board of Sixt SE as Co-Chairmen of the Management Board and since then have been jointly responsible for the overall management and business policies of the company as well as its coordination. In addition to the Co-CEO duties, Alexander Sixt is currently responsible for Group Strategy, Global Human Resources, IT (software and hardware), PR / Communications and Global Business Services. Before joining SIXT, Alexander Sixt worked in the Corporate Performance and Restructuring Competence Centre of Roland Berger Strategy Consultants.
In February 2015, Konstantin Sixt was appointed to the company's Management Board and assumed responsibility for national and international sales as well as the Group's global e-commerce business. Since 2020, he had also been responsible for revenue management. As of 17 June 2021, Konstantin Sixt and his brother Alexander Sixt were appointed by the Supervisory Board of Sixt SE as Co-Chairmen of the Management Board and since then have been jointly responsible for the overall management and business policies of the company. In addition to his Co-CEO duties, Konstantin Sixt is currently responsible for marketing, international Franchise Development & Business to Partners and SIXT+. Konstantin Sixt studied in Geneva, Paris and London and holds an MSc in Int. Accounting and Finance from Bayes Business School (formerly Cass).
There has been some criticism regarding both successors from within the family and Erich Sixt's immediate transition from CEO to Chairman but with the family owning about 58% of the common (voting) shares, they call the shots here. Having two Co-CEOs is also very uncommon and may lead to fragility in case of disagreements, but it may also mean less key-person risk and more balanced decision making if they manage to work as a team. I find it very impressive that this is just the fourth leadership in a 110-year history.
IX. Advertising & Brand Building: The Secret Weapon
The Jung von Matt Partnership
Few aspects of Sixt's success are more distinctive—or more difficult for competitors to replicate—than its advertising approach. Seit Jahrzehnten sorgt Jung von Matt dafür, dass der Autovermieter Sixt immer wieder mit provokanten Anzeigen für Aufmerksamkeit sorgt. (For decades, Jung von Matt has ensured that Sixt repeatedly attracts attention with provocative advertisements.)
Erich Sixt ist eng verknĂĽpft mit den Werbekampagnen des Unternehmens, Anfang der 1980er Jahre entwarf er gemeinsam mit Jean-Remy von Matt die Werbestrategie des Unternehmens. Bekannt ist er fĂĽr die provokante Werbung seiner Mietwagenkette, in der bereits mehrfach ungefragt Politiker wie Angela Merkel oder Oskar Lafontaine als Anzeigen-Motive verwendet wurden. (Erich Sixt is closely connected with the company's advertising campaigns. In the early 1980s, he developed the company's advertising strategy together with Jean-Remy von Matt. He is known for the provocative advertising of his car rental chain, in which politicians such as Angela Merkel or Oskar Lafontaine have been used as advertising motifs on several occasions without being asked.)
A good example of the Trojan horse principle is our work for the mobility service provider Sixt: their communication was always received by users as a friendly gift that they were happy to accept – even though every advertisement contained a concrete offer at its core and was ultimately hard selling. In the wake of the media revolution, we have all questioned our principles and come to the conclusion that our Trojan Horse analogy is timeless.
The US Campaign Launch
Catchy and provocative advertising has always been a staple of the SIXT brand, and the company is finally bringing that tradition to the U.S., the world's largest car rental market and the largest individual market for SIXT. brand is now committing to a larger advertising spend and much more comprehensive campaign as opposed to targeted programs in the past. Catchy and provocative advertising has always been a staple of the SIXT brand, and the company is finally bringing that tradition to the U.S., the world's largest car rental market and the largest individual market for SIXT. With launching its advertising in the U.S., the company is challenging the "a" in the "Rent-A-Car" category by being the first "Rent THE Car" brand with its newest campaign of the same name.
"It's a huge honor to be working with Sixt, especially to be trusted to help them with their first nationwide campaign in the U.S.," said GUT co-founder & creative chairman Anselmo Ramos. "I've been a huge fan of their work in Europe by Jung von Matt, so to now be working with them for their U.S. launch is a dream."
X. Financial Performance & Capital Allocation
2024 Results: Third Record Year
Our products were more in demand by customers than ever before: with Group revenue of EUR 4.0 billion, we set a new all-time high and achieved our own target, not least thanks to record summer business. This is the third record revenue in a row.
Once again, all three segments – North America (+22.2%), Germany (+5.5%) and Europe (excluding Germany) (+5.7%) – contributed to this growth.
With earnings before interest, taxes, depreciation and amortisation (EBITDA) of EUR 1.46 billion, SIXT also achieved a new all-time high (2023: EUR 1.33 billion).
While earnings before taxes (EBT) particularly in the first half of 2024 were impacted by a market environment with sharply declining vehicle residual values, SIXT exceeded the EBT level of the same period in the previous year in the second half of 2024, thanks to an effective set of measures implemented early on, demonstrating its adaptability once again. As a result, SIXT closed the financial year with a significantly positive EBT of EUR 335.2 million. Excluding the increased depreciation resulting from the sharp decline in vehicle residual values in the first half of the year, particularly in North America, the EBT would have been nearly a three-digit million euro amount higher.
Dividend Policy
In view of the solid business performance in 2024, the Management Board plans to propose a dividend of EUR 2.70 per ordinary share and EUR 2.72 per preference share for the past financial year at the company's upcoming Annual General Meeting, subject to the approval of the Supervisory Board.
The dividend policy is therefore based on the earnings situation of the SIXT Group and aims to allow shareholders to participate appropriately in the Group's earnings development while maintaining the SIXT Group's strong capital base in the long term. Against this backdrop, the dividend policy of Sixt SE provides for distributing between 35% and 60% of the consolidated net profit.
2025 Outlook
Despite the expected weak economic development and the politically and economically volatile environment, we are optimistic about the business performance and expect a strong year 2025 with high demand for our mobility products. We are forecasting a further significant increase in consolidated revenue in the range of 5-10%, which should reach a new record level for the fourth year in a row. In addition, we expect an EBT margin in the range of 10% - significantly higher than in 2024 and in line with our historical performance.
Strategic Capital Deployment: The Leasing Exit
The leasing business was stock-listed in 2015 and is a fully-consolidated subsidiary of Sixt. The company will sell its 41.9% shareholding to Hyundai Capital Bank Europe for a reported €155.6 million, based on a sales price of €18 per share.
Sales price of EUR 18.90 per Sixt Leasing share including the dividend of EUR 0.90 per share amounted to a total of EUR 163.4 million. Alexander Sixt, member of the Management Board of Sixt SE: "This transaction was very attractive from a financial perspective, significantly shortens our balance sheet and allows SIXT to focus even more strongly on the growth- and innovation-driven further development of our new mobility services, the digitalization of our company and most of all our international expansion in the United States and Western Europe." Pullach, July 15, 2020 – Sixt SE has completely disposed of its stake in Sixt Leasing SE.
XI. Competitive Landscape & Industry Analysis
The US Market Structure
The biggest companies operating in the Car Rental industry in the United States are Enterprise Holdings Inc., Avis Budget Group, Inc. and Hertz Global Holdings, inc. Leisure car rental and Business car rental are part of the Car Rental industry in the United States. The company holding the most market share in the Car Rental industry in the United States is Enterprise Holdings Inc. The level of competition is high and increasing in the Car Rental industry in the United States.
Enterprise Holdings: Dominates the market with a fleet size exceeding 1.2 million vehicles and a market share of approximately 15%. The company reported a revenue of $38 billion in 2024. Enterprise Holdings: Dominates the market with a fleet size exceeding 1.2 million vehicles and a market share of approximately 15%. The company reported a revenue of $38 billion in 2024. Hertz Global Holdings: Operates around 650,000 vehicles in the U.S. and holds an 11% market share. In Q2 2025, Hertz reported revenues of $2.2 billion, a 7% decrease year-over-year. Avis Budget Group: Manages nearly 500,000 vehicles and has a market share of 12%. The company reported Q4 2024 revenues of $2.7 billion, driven by strong leisure travel demand.
Porter's Five Forces Analysis
Threat of New Entrants: MODERATE The car rental industry presents significant barriers to entry: capital requirements for fleet acquisition, airport concession agreements, brand development costs, and technology infrastructure. However, peer-to-peer platforms like Turo demonstrate that digital models can reduce these barriers by leveraging privately-owned vehicles.
Bargaining Power of Suppliers: HIGH Automotive manufacturers hold significant power through their control of new vehicle supply and pricing. Sixt's Stellantis deal—up to 250,000 vehicles through 2026—demonstrates efforts to secure favorable terms through volume commitments, but the company remains dependent on OEM relationships.
Bargaining Power of Buyers: HIGH Customers face low switching costs between rental providers, price comparison is easy through aggregators, and loyalty programs provide limited lock-in. Sixt's premium positioning attempts to reduce price sensitivity among customers who value service quality over cost minimization.
Threat of Substitutes: INCREASING Ride-sharing services (Uber, Lyft), public transportation improvements, car subscription services, and remote work reducing business travel all represent substitution threats. Sixt's ONE platform attempts to integrate multiple mobility options to capture demand regardless of which substitute customers prefer.
Competitive Rivalry: INTENSE The traveler may see a colorful collage of different car rental logos at the airport these days, but behind these front-facing brands, the same three companies now control 98% of the airport car rental market. Each brand is carefully calibrated to target different kinds of renters.
Hamilton Helmer's 7 Powers Framework
Scale Economies: LIMITED Unlike software businesses, car rental exhibits modest scale economies. Fleet purchasing provides volume discounts, but operational costs scale roughly linearly with fleet size. Geographic presence matters more than absolute scale.
Network Effects: EMERGING The ONE platform creates potential network effects if customer density enables better availability and more convenient pick-up/drop-off locations. However, traditional car rental has historically shown weak network effects.
Counter-Positioning: PRESENT Sixt's premium positioning represents counter-positioning against competitors who cannot match premium service without abandoning their existing business model focused on price competition. The "Mercedes for Volkswagen price" strategy attacks competitors' core value proposition.
Switching Costs: LOW Customer switching costs in car rental remain minimal, though corporate accounts with negotiated rates and loyalty programs create some friction.
Brand: STRONG IN GERMANY, DEVELOPING ELSEWHERE Its brand awareness is currently 95% in Germany and is growing at a double-digit pace in its corporate markets. Brand strength in Germany provides significant advantage; building comparable awareness in the US represents a multi-year investment.
Cornered Resource: LIMITED Airport concessions provide location-specific advantages, but most concessions are contested through bidding processes. The Sixt family's voting control represents a cornered governance resource that enables long-term strategic thinking.
Process Power: DEVELOPING Sixt's proprietary technology systems, developed over decades, provide operational advantages that competitors cannot easily replicate. The tradition of technology innovation (from Erich Sixt's self-programmed systems to today's 2,000+ cloud services) suggests sustained process improvement.
XII. Bull Case & Bear Case
Bull Case: Premium Disruption of US Market
Structural Tailwinds - US car rental market projected to grow from $37.88B (2024) to $56.27B (2030) - Shift from vehicle ownership to mobility services benefits rental/sharing providers - Premium segment less price-sensitive and more profitable than economy segment
Company-Specific Advantages
- Differentiated premium positioning in commoditized market
- Integrated ONE platform ahead of competitors' digital capabilities
- Family control enables long-term strategic execution without quarterly pressure
- Counter-cyclical investment during COVID positioned company for growth
- In North America, revenue is forecast to expand at an 8% annual pace as market share rises from 3% to 5% by 2029.
Financial Strength - The strong interest in the recently issued bond issued in early 2025 among international investors is proof that the business model and the consistent focus on profitable growth are highly valued by the capital market. This enabled SIXT to realise a EUR 500 million bond with a term of five years and a coupon of 3.25%, with an order book oversubscribed several times and the lowest spread in the company's history.
Bear Case: Structural Headwinds & Execution Risks
Industry Challenges - Residual value volatility, particularly in US market, creates earnings unpredictability - Electric vehicle transition creates depreciation and operational complexity - Competition from peer-to-peer platforms eroding traditional rental demand - Ride-sharing continues to capture urban transportation spend
Company-Specific Risks - US expansion requires sustained investment with uncertain returns - Family governance may create succession risks and potential conflicts - Co-CEO structure is unconventional and may lead to decision-making friction - Premium positioning may prove difficult to maintain during economic downturns
Valuation Considerations - As of November 2025 Sixt has a market cap of $3.78 Billion USD. This makes Sixt the world's 3489th most valuable company according to our data. - Significant investment required to achieve US market share targets - Returns on US investment remain to be proven at scale
XIII. Key Performance Indicators to Track
For investors monitoring Sixt's progress, three metrics deserve particular attention:
1. Fleet Utilization Rate
Utilization—the percentage of fleet days rented versus available—represents the core operational KPI. For us, one of the essential performance indicators is utilization, and whenever my utilization is down by one percentage point, it's the same as... High utilization enables premium pricing while covering fixed costs; low utilization forces discounting and margin compression. Management's ability to match fleet size to demand—running "tight fleet inside the demand"—determines profitability.
2. North American Revenue Growth Rate
The US expansion represents Sixt's largest strategic bet. Progress should be measured through absolute revenue growth and market share gains (currently ~3%, targeting 5% by 2029). Sustained 20%+ growth in North America validates the strategy; deceleration below industry growth rates suggests competitive challenges.
3. EBT Margin (Return on Revenue)
SIXT Group aims to achieve the following returns and ratios in the long term and thus on a sustainable basis: A return on revenue of at least 10%. The 2024 EBT margin of approximately 8.4% fell below historical norms due to residual value pressures. Recovery toward the 10% target in 2025 would demonstrate management's ability to navigate industry headwinds; continued compression would suggest structural challenges.
XIV. Myth vs. Reality
MYTH: Car rental is a commodity business where only price matters. REALITY: Sixt's consistent outperformance demonstrates that premium positioning can generate superior returns even in traditionally commoditized industries. Customer segments exist that value service quality, vehicle selection, and experience over pure price minimization.
MYTH: Family control disadvantages public shareholders. REALITY: The Sixt family's voting control has enabled long-term strategic thinking that publicly-traded competitors, subject to quarterly earnings pressure, often cannot match. The counter-cyclical COVID investments that positioned Sixt for US expansion exemplify this advantage.
MYTH: European companies cannot succeed in the US market. REALITY: While European retail brands have often struggled in America, Sixt's premium positioning may resonate with US consumers increasingly accustomed to European luxury brands. Success remains to be proven at scale, but early results are encouraging.
MYTH: Digital disruption threatens traditional car rental companies. REALITY: Sixt's ONE platform demonstrates that traditional players can lead digital transformation rather than being disrupted by it. The integration of rental, sharing, and ride-hailing creates differentiated value that pure digital startups cannot easily replicate without fleet ownership.
XV. Conclusion: The Next 113 Years
The Sixt story encompasses themes that transcend any single company: the resilience of family business through catastrophic disruption, the value of premium positioning in commodity markets, the strategic discipline required to maintain independence while pursuing growth, and the challenge of generational succession in family enterprises.
I find it very impressive that this is just the fourth leadership in a 110-year history. From Martin Sixt's seven luxury automobiles in 1912 to the fourth generation's ambition of becoming a global mobility platform, the company has demonstrated remarkable continuity of vision while adapting to fundamentally transformed market conditions.
The strategic inflection points—the Budget partnership and breakup, the DriveNow joint venture and exit, the Sixt Leasing spinoff and sale, and now the US expansion—reveal a company willing to enter alliances when beneficial and exit them when independence offers greater value. This pragmatic approach to corporate structure has freed capital and management attention for highest-priority initiatives.
The current generation faces challenges their predecessors could not have imagined: the electrification of transportation, the emergence of autonomous vehicles, the transformation of mobility from product to service. Yet the Sixt playbook—premium positioning, operational excellence, disciplined capital allocation, and willingness to reinvent the business model—provides a template for navigating disruption.
For investors, Sixt offers exposure to several compelling themes: the growth of mobility services, the US car rental market expansion, digital transformation of traditional industries, and the potential advantages of family-controlled governance. The risks are equally clear: execution challenges in US expansion, residual value volatility, competitive intensity, and the complexities of Co-CEO leadership.
What distinguishes Sixt from most publicly traded companies is the alignment of time horizons. The Sixt family thinks in generations, not quarters. They survived two world wars, rebuilt from total destruction twice, and maintained control through more than a century of industry evolution. This perspective enables strategic patience that public-market pressures often prevent.
Whether Sixt succeeds in its American ambitions will determine whether the company remains a European regional champion or becomes a truly global mobility platform. The outcome matters not just for the Sixt family but for understanding whether premium positioning, family governance, and long-term strategic thinking can triumph in an industry dominated by scale-focused competitors.
The orange branding at Miami International Airport represents more than a car rental counter—it represents a century of family ambition, operational excellence, and the audacious belief that a Munich company founded before the First World War can compete with American giants on their home territory.
The next chapter of the Sixt story is being written now.
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