• Underlying NPAT of $26.5 million, down $13.2 million on pcp
• Rental revenue up 8% and rental fleet up 11%, but RV sales decline persists
• New Zealand Rentals & Sales achieves another record EBIT performance

Tourism Holdings Ltd (thl) has reported its FY25 interim results, with underlying NPAT of $26.5 million, down $13.2 million on the prior corresponding period. The core rental business has grown, with rental revenue increasing by 8% and the rental fleet expanding by 11%. However, the decline reflects the persisting challenges in RV sales, particularly in the Australian market. The UK and North America have continued to underperform, while New Zealand Rentals & Sales has gone from strength to strength, growing EBIT despite holding a larger fleet. The Board has a clear focus on driving improvement in the underperforming divisions. thl has remained active with numerous projects, including the transition to a single digital platform and investments in new properties, positioning the company well ahead of a recovery. The company is on track to meet its goal of delivering an NPAT benefit of at least $12M in FY27 from its cost reduction and optimisation initiatives. Looking ahead, thl remains focused on increasing underlying NPAT in FY25, but acknowledges the risks and uncertainty in the coming period, with the degree of recovery in North American vehicle sales and potential tariff impacts being key factors.

thl expects gross and net fleet capital expenditure for FY25 to be lower than in recent years, a prudent strategy in the current market conditions. The company is unable to provide an accurate profit guidance range for FY25 at this time due to the uncertainty in vehicle sales and other factors, but will provide earnings guidance in the fourth quarter of FY25.

thl remains confident in the global rental outlook and continues to reinforce that there are no indicators of a structural change in the demand for RVs in its operating markets. The company's ongoing efforts in cost out and optimisation, efficiencies, investment in people, and leveraging merger benefits underpin its confidence in a strong rebound in future performance.