Tourism Holdings Limited (NZX:THL) released its FY26 results on August 25, 2026, showing a 34% jump in underlying net profit after tax (NPAT) from continuing operations to NZ$46.1 million, while statutory NPAT turned positive at NZ$39.9 million after a NZ$14.1 million loss in FY25.
Revenue from services, mainly rentals, grew 11% to NZ$517.5 million, offset by a 22% decline in goods sales to NZ$335.4 million, leaving total continuing‑operation revenue down 5% at NZ$852.9 million. Underlying EBIT rose 17% to NZ$105.4 million and EBITDA increased 14% to NZ$222.4 million.
The company reduced net debt to NZ$436 million (NZ$435.5 million excluding lease liabilities) from NZ$492 million a year earlier, improving the equity ratio to 41% and bringing the net‑debt‑to‑EBITDA multiple down to 2.32x from 2.99x. Management targets a medium‑term net‑debt level of NZ$400 million.
Dividends were lifted 62% to 10.5 cents per share for the full year, with a final dividend of 7.5 cents per share, representing roughly 50% of underlying NPAT and staying within the 40‑60% payout policy.
Takeover interest intensified. An initial approach in June 2025 valued the shares at NZ$2.30. The BGH consortium later raised its proposal to NZ$3.10 per share, while a strategic acquirer offered between NZ$3.30 and NZ$3.40. At the time of the presentation THL shares traded at NZ$2.86, up 1.42% from the prior close of NZ$2.82, within a 52‑week range of NZ$1.97‑NZ$2.98.
Operational highlights included a 10% expansion of the rental fleet to 8,587 vehicles across New Zealand, Australia and North America, and a 40% surge in New Zealand forward bookings in the final four weeks of the year. RevPARV improved modestly to NZ$58,000 from NZ$57,400, while North America RevPARV held at US$31,300.
Cost‑saving initiatives delivered roughly NZ$5 million in underlying savings and an additional NZ$2.5 million from the planned closure of the Brisbane factory. Net operating cash flow jumped 67% to NZ$67.3 million.
The company announced a final dividend payable on October 2, 2026, with an ex‑dividend date of September 17 and a record date of September 18. Due diligence on the takeover proposals is expected to continue for about six weeks.
Chief Executive Grant Webster said the NZ$46.1 million result was “very content” given the Middle East conflict disruption, while CFO Ollie Farnsworth highlighted the net‑debt trajectory and cash‑flow improvement as signs of the business moving “in the right direction.”
