Worst camper van sales in decades hits Tourism Holdings profit

Tuesday, 25 February 2025

Tourism Holdings revenue from camper van sales was down 4% in the first half of the 2025 year.

It has been the most difficult period for camper van sales in decades, Tourism Holdings says - and that’s contributed to a big decline in the company’s half year after tax profit.

The camper van company has reported net after-tax profit of $25.3 million for the six months to December 31, a 36% decline on the previous financial year.

Underlying profit after tax was also down, by 33% to $26.5m, but its revenue results were more complex.

Tourism Holdings, which is the world’s largest commercial camper van operator, builds, rents and sells camper vans.

The company’s rental fleet expanded by 11% and its rental revenue was up 8% to $232m, but its sale of goods revenue was down 4% to $206m, the results showed.

Tourism Holdings’ decline in profit reflects camper van sales challenges, the company says.

Ex-rental sales were down 9%, largely due to a 43% reduction in North America, while on a same-store basis rental sales were down 18%, and there were lower margins for ex-rental and retail camper van sales.

The company’s chairperson Cathy Quinn said the decline in profit was despite growth in the core rental business, and reflected the persisting challenges in camper van sales.

Those “significant” challenges meant that by some measures it had been the most difficult period for the camper van sales industry in decades, she said.

“We believe Tourism Holdings has maintained its performance relatively well compared to many counterparts in the industry.”

In New Zealand, it had increased rental revenue by 25% during a period in which inbound visitor growth was only 6%, chief executive Grant Webster said.

“The most notable decline has been in our Australian division, mainly due to challenges in the retail dealerships, which have seen the greatest impact from the current cycle.”

But it had some big projects under way, such as the transition to a single digital platform across multiple areas, and it had launched its bespoke fleet management and booking system in Canada, he said.

Tourism Holdings rental revenue in New Zealand increased by 25%, chief executive Grant Webster says.

It had also invested in new properties like Waitomokia in Auckland and Perth in Australia, and was progressing well with cost reduction and optimisation initiatives.

The company was focused on increasing underlying profit this calendar year, but said there were risks, including a more prolonged downturn in camper van sales that could delay its recovery until the following year.

Uncertainty around vehicle sales meant it was difficult to provide accurate profit guidance for 2025 at this point, but guidance would be released later in the year, it said.

“We remain confident in the global rental outlook and continue to reinforce that there are no indicators of a structural change in the demand for camper vans in our operating markets.

“This combined with our ongoing efforts in cost out and optimisation, efficiencies, investment in people and leveraging merger benefits, underpins our confidence in a strong rebound in future performance.”

Tourism Holdings owns the Maui, Britz, Mighty, Kea Australia and Motek Vehicle Sales brands. It also operates several tourism businesses in New Zealand, including Waitomo Glowworm Caves and Kiwi Experience.