Tesla (TSLA) rental demand appears to be off to a brisk start for Hertz (HTZ).

"Demand has been very, very solid," Hertz CEO Stephen Scherr said in an exclusive Yahoo Finance Live interview Tuesday (video above). "We’re seeing demand not just among leisure travelers but also among corporate travelers, where in fact corporations want their employees in an electric vehicle to satisfy some of their own carbon footprint objectives."

Hertz inked a deal late in 2021 to purchase 100,000 Tesla Model 3s for its fleet by the end of 2022. The company has since added the Tesla Model Y to the mix. Besides Tesla, the company also recently signed EV deals with General Motors (GM) and Polestar (PSNY).