August 25, 2025 • 6 mins
Campervan company Tourism Holdings has reported a bottom line net loss, which they're claiming reflects the economic situation in the US.
Despite the weak results, the company's hopeful about incoming future growth, which is supported by forward rental bookings showing double-digit percentage revenue growth in all markets except the US
Tourism Holdings CEO Grant Webster explained further.
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Episode Transcript
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Speaker 1 (00:00):
Ever do the cl tough annual result for tourism holdings today,
but the Campavan Company is still bullish about the future.
THHL has posted a net loss after tax of nearly
twenty six million dollars, but that includes a number of
one off adjustments as such as non cash impairments and
so on. The company is still confident that it will
exceed one hundred million dollar net profit after tax a
(00:20):
year on average over the next three to four years.
Grant Webster is Tourism Holding CEO and with us he
Grant good a.
Speaker 2 (00:27):
How are you?
Speaker 1 (00:27):
I'm well, thank you. Do you reckon you're through the
worst of it?
Speaker 2 (00:30):
Yeah, we do. We think that we've passed the bottom
of the cycle learnings and as we say, you know,
it's an inflection point. We're ready to charge ahead.
Speaker 1 (00:38):
Now why do you think you're through the worst of it?
Speaker 2 (00:41):
Well, look, the first primary thing is we're a core
of our business is about rental revenue and that tourism
environment still remains really, really positive. Then on top of that,
we've got ahead of the sort of defleet excess issues
that we've had over the last the twelve eighteen months.
And the third one is we've got some really good
cost savings coming through the business. So you put those
(01:02):
three things together and it definitely looks more positive than
the outlook.
Speaker 1 (01:06):
Did I see somewhere that you're considering or are selling
off the UK division?
Speaker 2 (01:11):
It's under I know that it's political terms, but it's
under strategic reviews. So we're not saying definitely that we'll
sell it. But look that business has got about sixty
million dollars worth of funds New Zealand dollars and it's
not delivering a profit, has it for a little while.
So it's right for us to challenge ourselves pretty harshly
on where it sits and why it's with the business.
Speaker 1 (01:29):
Yeah, what about the tariffs? How are you finding them?
Speaker 2 (01:34):
Well, not a lot of fun, to be fair, I guess.
You know, it's interesting customers from the EU to the
US have been talking about price borders, and you know
the tariff's been the Trump drifector. So what is it
that really motivates and go to the US At the moment.
It's been challenging this year, but we see some upside
(01:56):
next year, but not for a few months to come.
Speaker 1 (01:58):
Hey, what happened to the buyer? Why did that fall over?
Speaker 2 (02:02):
Well? On August the fourth, we gave the feedback to
BGH Consortium that we thought the value of TL was
well north of three dollars. That offered two dollars thirty
this year. So it's been quite since then. So we'll
see what happens from here.
Speaker 1 (02:17):
Okay, do you are you expecting something else? Maybe like
a little rethink?
Speaker 2 (02:22):
Well, no doubt they are thinking to some extent, but
we know from watching what they do with other situations
that they'll either hold and what or who knows what,
So not really for us to speculate, but it'll be interesting.
Speaker 1 (02:35):
Grant, what do you reckon we need to do to
get tourists back in this country the way that they
were with us pre COVID. Is that even a good idea.
Speaker 2 (02:44):
Yes, it's a good idea. We have plenty of space
and availability in this country. We can definitely get back
to our pre COVID level numbers and beyond. Yes, there
are some infrastructure things that need to be sorted out
in places like Queen's Down, but don't let that stop
the ambition of tourism getting ahead of dairy again from
an export earning perspective, So what do we need to do.
(03:06):
We need to increase their capacity and that's been an issue.
We need to invest in events, and we need to
out the cruise industry. And we do those three things
and I think you'll see that numbers will really start
to increase dramatically.
Speaker 1 (03:17):
Are you talking about investing in events in Auckland in particular.
Speaker 2 (03:21):
Well, Auckland is the center of events in the country,
but you look in December last year, we had a
record December because of the World iron Man Games that
were on in Tulpo. So it doesn't have to be
Auckland centric. It can be across the country. To look
at the fief of Woman's World Cup. That made a
huge difference across the country. So let's not get overly
Auckland centric. But of course that's where most of the
(03:43):
events are held.
Speaker 1 (03:44):
I'm trying to figure out what went wrong. I mean,
we had all of these fantastic events and now we
don't anymore. So what happened?
Speaker 2 (03:50):
We stopped funding it?
Speaker 1 (03:51):
Who did well?
Speaker 2 (03:53):
Across the board? We the government funding that was going
into large scale events reduced and we haven't been supporting
them to the same extent, from both local councils and
central government.
Speaker 1 (04:04):
Okay, I know that Auckland Council's funding dropped off, but
are you saying the government's central government's funding dropped off too.
Speaker 2 (04:09):
We have not had the same amount of major event
funding as we did pre COVID.
Speaker 1 (04:16):
Okay, yeah, yeah, I think you might have a good
point there actually, And how do you feel about the
economy in New Zealand? You reckon, we've turned a corner.
Speaker 2 (04:24):
Oh, turning slowly. It's interesting, as you know, TL operates
around the world. We certainly see Australia as in a
better place than New Zealand right at the moment, and
from a tourism perspective, I think it's got a really
positive few years. A hit Canada actually has all the
tariff issues going on, but feels reasonably positive. New Zealand
(04:44):
definitely turning the corner. We've seen that in our action
manufacturing business is starting to get some contracts and transport
and so forth again, so starting to turn the corner.
But some time to come, you.
Speaker 1 (04:56):
Know, Grant. I feel like obviously a lot of what
we've gone through is is the whiplash that is the
result of all of the COVID spending and stuff like that.
So there's been like really crappy management of the economy,
both fiscally and monetary that we're now paying for. But
I wonder also, I'm starting to feel as if maybe
some of this is us just having to take the
medicine for some bad things we've been doing, like investing
(05:18):
in housing and stuff, and perhaps this is a correction
that we've been that's long overdue. Is that possible?
Speaker 2 (05:24):
I look, it's entirely possible. I think when you look
at New Zealand's ambition, it feels like that's a bit
of what we've lost. Yeah, you know, you look at
that attitude to say, actually we're going to take on
the rest of the world, We're going to grow into
other countries. You know, it's all everything seems sluggish and
so yeah, I look, I'm a firm believer and the
whole let's stay positive, let's be realistic about where we are,
(05:48):
and I think tourism is a good example of that. Right,
we really can grow this economy if we're open to
these kind of tourism opportunities. So let's get on with it.
Speaker 1 (05:57):
So what is it that caused us to lose our ambition?
Speaker 2 (06:00):
I do personally, I definitely think it was just that
drag of COVID and for some reason, when I look
around the rest of the world, other countries just and
I travel a fair bit for this business, other countries
feel like they're just leant into things and just got
on with things. To a greater extent, we seem to
have got ourselves into a bit of a rut. But
(06:20):
as you said, maybe turning the corner.
Speaker 1 (06:23):
Yeah, hopefully. Hey, Grant, thank you was always I really
appreciate talking to you. That's Grant Webster, Tourism Holding CEO.
Speaker 2 (06:28):
For more from Heather Duplessy Allen Drive, listen live to
news talks. It'd be from four pm weekdays, or follow
the podcast on iHeartRadio
Ever do the cl tough annual result for tourism holdings today,
but the Campavan Company is still bullish about the future.
THHL has posted a net loss after tax of nearly
twenty six million dollars, but that includes a number of
one off adjustments as such as non cash impairments and
so on. The company is still confident that it will
exceed one hundred million dollar net profit after tax a
(00:20):
year on average over the next three to four years.
Grant Webster is Tourism Holding CEO and with us he
Grant good a.
Speaker 2 (00:27):
How are you?
Speaker 1 (00:27):
I'm well, thank you. Do you reckon you're through the
worst of it?
Speaker 2 (00:30):
Yeah, we do. We think that we've passed the bottom
of the cycle learnings and as we say, you know,
it's an inflection point. We're ready to charge ahead.
Speaker 1 (00:38):
Now why do you think you're through the worst of it?
Speaker 2 (00:41):
Well, look, the first primary thing is we're a core
of our business is about rental revenue and that tourism
environment still remains really, really positive. Then on top of that,
we've got ahead of the sort of defleet excess issues
that we've had over the last the twelve eighteen months.
And the third one is we've got some really good
cost savings coming through the business. So you put those
(01:02):
three things together and it definitely looks more positive than
the outlook.
Speaker 1 (01:06):
Did I see somewhere that you're considering or are selling
off the UK division?
Speaker 2 (01:11):
It's under I know that it's political terms, but it's
under strategic reviews. So we're not saying definitely that we'll
sell it. But look that business has got about sixty
million dollars worth of funds New Zealand dollars and it's
not delivering a profit, has it for a little while.
So it's right for us to challenge ourselves pretty harshly
on where it sits and why it's with the business.
Speaker 1 (01:29):
Yeah, what about the tariffs? How are you finding them?
Speaker 2 (01:34):
Well, not a lot of fun, to be fair, I guess.
You know, it's interesting customers from the EU to the
US have been talking about price borders, and you know
the tariff's been the Trump drifector. So what is it
that really motivates and go to the US At the moment.
It's been challenging this year, but we see some upside
(01:56):
next year, but not for a few months to come.
Speaker 1 (01:58):
Hey, what happened to the buyer? Why did that fall over?
Speaker 2 (02:02):
Well? On August the fourth, we gave the feedback to
BGH Consortium that we thought the value of TL was
well north of three dollars. That offered two dollars thirty
this year. So it's been quite since then. So we'll
see what happens from here.
Speaker 1 (02:17):
Okay, do you are you expecting something else? Maybe like
a little rethink?
Speaker 2 (02:22):
Well, no doubt they are thinking to some extent, but
we know from watching what they do with other situations
that they'll either hold and what or who knows what,
So not really for us to speculate, but it'll be interesting.
Speaker 1 (02:35):
Grant, what do you reckon we need to do to
get tourists back in this country the way that they
were with us pre COVID. Is that even a good idea.
Speaker 2 (02:44):
Yes, it's a good idea. We have plenty of space
and availability in this country. We can definitely get back
to our pre COVID level numbers and beyond. Yes, there
are some infrastructure things that need to be sorted out
in places like Queen's Down, but don't let that stop
the ambition of tourism getting ahead of dairy again from
an export earning perspective, So what do we need to do.
(03:06):
We need to increase their capacity and that's been an issue.
We need to invest in events, and we need to
out the cruise industry. And we do those three things
and I think you'll see that numbers will really start
to increase dramatically.
Speaker 1 (03:17):
Are you talking about investing in events in Auckland in particular.
Speaker 2 (03:21):
Well, Auckland is the center of events in the country,
but you look in December last year, we had a
record December because of the World iron Man Games that
were on in Tulpo. So it doesn't have to be
Auckland centric. It can be across the country. To look
at the fief of Woman's World Cup. That made a
huge difference across the country. So let's not get overly
Auckland centric. But of course that's where most of the
(03:43):
events are held.
Speaker 1 (03:44):
I'm trying to figure out what went wrong. I mean,
we had all of these fantastic events and now we
don't anymore. So what happened?
Speaker 2 (03:50):
We stopped funding it?
Speaker 1 (03:51):
Who did well?
Speaker 2 (03:53):
Across the board? We the government funding that was going
into large scale events reduced and we haven't been supporting
them to the same extent, from both local councils and
central government.
Speaker 1 (04:04):
Okay, I know that Auckland Council's funding dropped off, but
are you saying the government's central government's funding dropped off too.
Speaker 2 (04:09):
We have not had the same amount of major event
funding as we did pre COVID.
Speaker 1 (04:16):
Okay, yeah, yeah, I think you might have a good
point there actually, And how do you feel about the
economy in New Zealand? You reckon, we've turned a corner.
Speaker 2 (04:24):
Oh, turning slowly. It's interesting, as you know, TL operates
around the world. We certainly see Australia as in a
better place than New Zealand right at the moment, and
from a tourism perspective, I think it's got a really
positive few years. A hit Canada actually has all the
tariff issues going on, but feels reasonably positive. New Zealand
(04:44):
definitely turning the corner. We've seen that in our action
manufacturing business is starting to get some contracts and transport
and so forth again, so starting to turn the corner.
But some time to come, you.
Speaker 1 (04:56):
Know, Grant. I feel like obviously a lot of what
we've gone through is is the whiplash that is the
result of all of the COVID spending and stuff like that.
So there's been like really crappy management of the economy,
both fiscally and monetary that we're now paying for. But
I wonder also, I'm starting to feel as if maybe
some of this is us just having to take the
medicine for some bad things we've been doing, like investing
(05:18):
in housing and stuff, and perhaps this is a correction
that we've been that's long overdue. Is that possible?
Speaker 2 (05:24):
I look, it's entirely possible. I think when you look
at New Zealand's ambition, it feels like that's a bit
of what we've lost. Yeah, you know, you look at
that attitude to say, actually we're going to take on
the rest of the world, We're going to grow into
other countries. You know, it's all everything seems sluggish and
so yeah, I look, I'm a firm believer and the
whole let's stay positive, let's be realistic about where we are,
(05:48):
and I think tourism is a good example of that. Right,
we really can grow this economy if we're open to
these kind of tourism opportunities. So let's get on with it.
Speaker 1 (05:57):
So what is it that caused us to lose our ambition?
Speaker 2 (06:00):
I do personally, I definitely think it was just that
drag of COVID and for some reason, when I look
around the rest of the world, other countries just and
I travel a fair bit for this business, other countries
feel like they're just leant into things and just got
on with things. To a greater extent, we seem to
have got ourselves into a bit of a rut. But
(06:20):
as you said, maybe turning the corner.
Speaker 1 (06:23):
Yeah, hopefully. Hey, Grant, thank you was always I really
appreciate talking to you. That's Grant Webster, Tourism Holding CEO.
Speaker 2 (06:28):
For more from Heather Duplessy Allen Drive, listen live to
news talks. It'd be from four pm weekdays, or follow
the podcast on iHeartRadio
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