Tourism Holdings Limited has upgraded its FY26 underlying net profit after tax to around $46 million, beating earlier guidance. The company reports strong vehicle sales in New Zealand and robust late bookings, particularly in North America, while net debt ended lower than expected.
- FY26 uNPAT upgraded to ~$46 million
- Net debt at $436 million, below prior estimates
- Strong vehicle sales in New Zealand
- North America bookings surge over 50%
- Australia and New Zealand bookings recovering post-geopolitical disruption
Upgraded Profit Outlook for FY26
Tourism Holdings Limited (NZX:THL, ASX:THL) has revised its underlying net profit after tax (uNPAT) guidance for the 2026 financial year upwards to approximately $46 million, surpassing the $40 million to $43 million range it flagged in May. This update, based on unaudited management accounts and pending final audit adjustments, reflects a better-than-expected finish to the year.
The key contributors to this improved performance include favourable year-end interest outcomes, a surge in late bookings across all markets, and vehicle sales in New Zealand hitting the upper end of expectations. These factors combined have bolstered the company’s earnings from continuing operations.
Net Debt Ends Below Forecast
thl’s net debt position as of 30 June 2026 came in at $436 million, notably lower than the $460 million to $470 million range the company had anticipated just two months earlier. This variance is primarily attributed to timing differences around the financial year-end. When normalised over a four-week period from mid-June to mid-July, net debt averaged $453 million, aligning more closely with prior expectations.
Robust Forward Bookings Signal Confidence
Looking ahead, forward bookings remain encouraging, particularly in North America where recent USA bookings have surged by more than 50% compared to the prior year. Australia and New Zealand have also seen a return to growth after experiencing disruptions linked to geopolitical tensions in the Middle East between March and June.
Despite ongoing global uncertainties, thl expresses increasing confidence in the outlook for the upcoming FY27 Southern Hemisphere summer season. The company anticipates improved growth opportunities in its core markets of Australia and New Zealand, suggesting a positive trajectory for its tourism and recreational vehicle rental operations.
Next Steps and Market Position
thl plans to release its audited full-year results and Integrated Report on 25 August 2026. As the largest commercial RV rental operator globally, with a diverse portfolio spanning rental brands, manufacturing, retail dealerships, travel technology, and tourism attractions, thl’s upgraded financial performance and strong booking momentum position it well for the year ahead.
This announcement follows the company’s earlier profit guidance revision and net debt forecast update in May, which occurred amid ongoing acquisition discussions and geopolitical headwinds. The improved FY26 earnings and solid forward bookings could influence investor sentiment as thl navigates these dynamics.
Bottom Line?
With FY26 results beating expectations and forward bookings accelerating, thl’s upcoming audited results will be a key indicator of sustained momentum amid global uncertainties.
Questions in the middle?
- How will geopolitical tensions continue to influence bookings in Australia and New Zealand?
- Can thl maintain strong vehicle sales momentum in New Zealand through FY27?
- What impact will the ongoing acquisition interest have on thl’s strategic direction?