Tourism Holdings

Tourism Holdings Limited, commonly styled as thl, is a New Zealand tourism company whose principal business is the rental of campervans and recreational vehicles. The company began as a scenic helicopter sightseeing operation known as The Helicopter Line, but subsequently developed into a diversified tourism group with vehicle-rental, manufacturing, transport, visitor-attraction, and guided-tour activities. Its central business is the Rentals Group, which operates recreational-vehicle brands across New Zealand, Australia, the United States, Canada, the United Kingdom, and Ireland. The portfolio has included Maui, Britz, Mighty, Road Bear, KEA Campers, United Campervans, Alpha Campervans, and other regional operations. The brands serve different customer segments, ranging from premium and luxury motorhome travelers to backpackers, younger visitors, and lower-cost renters. The company has also offered rental cars and four-wheel-drive vehicles in selected markets. Tourism Holdings expanded through acquisitions and consolidation within the campervan sector. Road Bear, a United States recreational-vehicle rental company, was acquired in 2010. The Australian operations of KEA Campers were acquired in 2012, and a later transaction brought United Vehicle Rentals and KEA Campers New Zealand into the THL group. In 2015, the company launched Mighway, a peer-to-peer motorhome-rental platform in New Zealand. In 2016, THL announced the acquisition of United States-based El Monte Rents, strengthening its position in the American RV-rental market. The company has also reshaped its portfolio by divesting or exiting several non-core businesses. From 2007 onward, it sold or unwound interests in operations including Milford Sound Red Boats, Kelly Tarlton's Antarctic Encounter & Underwater World, GreatSights New Zealand, Fullers Bay of Islands, Johnston's Coachlines, and its wholesale-packaging unit. These disposals reduced the group's exposure to some traditional sightseeing and transport businesses and placed greater emphasis on vehicle rental and related tourism services. Tourism Holdings owns or manages additional tourism activities in New Zealand. These have included Kiwi Experience, a youth- and backpacker-oriented bus-tour business, and visitor attractions and guided activities in the Waitomo region, including tours of the Waitomo Glowworm, Ruakuri, and Aranui caves and black-water rafting. Its Action Manufacturing business produces motorhomes, campervans, caravans, and other special-purpose vehicles for the group's rental operations and external operators, supplying markets in New Zealand and Australia. The business has experienced cyclical conditions associated with international visitor numbers, exchange rates, tourism demand, fleet utilization, and vehicle values. In 2009, after the disposal of several businesses, the company reported a substantial decline in annual net profit and noted that continuing operations had made a loss. Management later reported a significant recovery in profitability in 2014. The company remains an active, publicly listed tourism operator, with recreational-vehicle rental as its defining international activity.

Tourism Holdings developed from The Helicopter Line, a scenic helicopter sightseeing business in New Zealand. Over time, the company broadened its tourism activities and became a diversified operator covering sightseeing, transport, visitor attractions, and vehicle rental. Its later identity was increasingly associated with campervans and motorhomes rather than helicopter sightseeing alone. A major strategic change occurred from 2007, when THL began disposing of a number of business units. Assets and interests sold, placed into joint ventures, or subsequently exited included Milford Sound Red Boats, Kelly Tarlton's Antarctic Encounter & Underwater World, GreatSights New Zealand, Fullers Bay of Islands, Johnston's Coachlines, and the wholesale-packaging business. Because some of these transactions occurred during the 2009 financial year, the affected activities were reported as discontinued operations. The disposals narrowed the group's portfolio and increased the relative importance of continuing rental and tourism operations. The 2009 financial year was difficult. Chief executive Trevor Hall resigned and was replaced by Grant Webster. For the year ended 30 June, THL reported net profit of NZ$2.9 million, down from NZ$14.3 million in the previous year. The company said discontinued operations made a small profit, while continuing operations recorded a loss. The result reflected both challenging tourism conditions and the effects of restructuring the business portfolio. THL pursued international and domestic consolidation in the recreational-vehicle market during the following decade. It acquired Road Bear in the United States in December 2010, establishing a stronger American rental presence. In June 2012 it announced the acquisition of KEA Campers' Australian operations. Later that year, it proposed combining United Vehicle Rentals and KEA Campers New Zealand with THL. The proposal was presented as a response to falling visitor numbers from important European markets and the effect of a strong New Zealand dollar on destination affordability. Shareholders approved the transaction at a special meeting on 19 October 2012, and it became effective on 1 November. The resulting portfolio covered several customer segments. Maui focused on premium motorhomes in New Zealand and Australia; Britz served mainstream campervan and motorhome renters; and Mighty was created in 2012 by combining the Backpacker and Explore More brands for a lower-cost and youth-oriented audience. United Campervans, Alpha Campervans, and KEA Campers added further New Zealand offerings, while Road Bear provided an American platform. THL also launched Mighway in November 2015 as a New Zealand peer-to-peer motorhome-rental service. The group expanded its manufacturing capabilities through Action Manufacturing in Hamilton. The business makes motorhomes, campervans, caravans, and special-purpose vehicles for THL's own rental operations and for other operators, supplying both New Zealand and Australia. This manufacturing capability supports fleet development and gives the group a role beyond tourism distribution and vehicle hire. In December 2016, THL announced the planned acquisition of El Monte Rents, a major United States RV-rental company. The transaction was described as strengthening THL's American position and providing an opportunity to align the acquired operation more closely with the company's New Zealand and Australian model. Alongside the rental portfolio, THL continued to operate or manage tourism businesses such as Kiwi Experience and Waitomo cave and black-water rafting activities. The company reported a substantial improvement in profitability in 2014. On 25 August 2014, it announced a 192 percent increase in net profit after tax to NZ$11.1 million and a gross annual dividend of 11 cents, while forecasting fiscal-2015 net profit after tax of at least NZ$15 million. Tourism Holdings has remained listed on the New Zealand Stock Exchange since 1986. Its operating model continues to be exposed to international travel demand, visitor flows, currency movements, vehicle acquisition costs, and the seasonal nature of tourism, but its international RV-rental network gives it a broader geographic base than its original New Zealand sightseeing business.

• 2016

  El Monte Rents acquisition announced

  [1]Tourism Holdingsen.wikipedia.org

  THL announced the planned acquisition of United States RV-hire business El Monte Rents.

• 2015

  Mighway launched

  [1]Tourism Holdingsen.wikipedia.org

  The company introduced Mighway, a New Zealand peer-to-peer motorhome-rental platform.

• 2014

  Profitability turnaround announced

  [1]Tourism Holdingsen.wikipedia.org

  THL announced a major recovery in profitability, including reported net profit after tax of NZ$11.1 million for calendar 2014.

• 2012

  KEA Campers Australia acquired

  [1]Tourism Holdingsen.wikipedia.org

  THL acquired KEA Campers' Australian operations and expanded its premium motorhome offering.

• 2012

  United and KEA combination approved

  [1]Tourism Holdingsen.wikipedia.org

  Shareholders approved the merger of THL with United Vehicle Rentals and KEA Campers New Zealand, effective 1 November.

• 2010

  Road Bear acquired

  [1]Tourism Holdingsen.wikipedia.org

  THL purchased United States RV-rental operator Road Bear.

• 2009

  Leadership change and weak annual result

  [1]Tourism Holdingsen.wikipedia.org

  Trevor Hall resigned as chief executive, Grant Webster replaced him, and THL reported net profit of NZ$2.9 million for the year ended 30 June.

• 2007

  Portfolio divestment program begins

  [1]Tourism Holdingsen.wikipedia.org

  THL began selling or exiting several sightseeing, transport, attraction, and wholesale-packaging businesses.

• 1986

  Listed on the New Zealand Stock Exchange

  [1]Tourism Holdingsen.wikipedia.org

  Tourism Holdings has been listed on the New Zealand Stock Exchange since 1986.

An international tourism group built around recreational-vehicle rental, with complementary vehicle manufacturing and New Zealand visitor-experience businesses. Its rental portfolio spans premium, mainstream, luxury, and value-oriented customer segments.

• Premium motorhome rental

  Maui

  Maui is a premium motorhome-rental brand operating in New Zealand and Australia. Its fleet has included motorhomes ranging from two-berth to six-berth vehicles, alongside selected car and four-wheel-drive rentals. The brand is oriented toward travelers seeking a more comfortable and higher-specification self-drive touring experience.

• Campervan and motorhome rental

  Britz

  Britz provides campervan and motorhome rentals in New Zealand and Australia. Its offering has included two-, four-, and six-berth vehicles, with rental cars also available in the two markets. The brand serves visitors who want a broad range of self-drive touring vehicles rather than a single premium configuration.

• Value and youth-oriented campervan rental · 2012

  Mighty

  Mighty was created in mid-2012 by combining the Backpacker and Explore More campervan brands. It was designed to address lower-cost and youth-oriented demand, giving THL a distinct value proposition within the New Zealand and Australian campervan market.

• Peer-to-peer motorhome rental · 2015

  Mighway

  Mighway is a peer-to-peer motorhome-rental platform launched in New Zealand in November 2015. Rather than relying solely on a centrally owned fleet, the platform connects motorhome owners with travelers seeking rental vehicles.

• United States RV rental

  Road Bear

  Road Bear is a United States recreational-vehicle rental business acquired by THL in December 2010. Its reported depot network included Los Angeles, San Francisco, Las Vegas, Denver, New York, and Orlando, giving THL a substantial American operating platform.

• Luxury motorhome rental

  KEA Campers

  KEA Campers provides luxury motorhomes aimed particularly at higher-end international travelers, including European visitors. THL added the Australian operations in 2012 and later brought the New Zealand KEA business into its group through the United and KEA combination.

• Campervan rental

  United Campervans and Alpha Campervans

  United Campervans and Alpha Campervans became part of the THL group through the 2012 combination with United Vehicle Rentals. United was described as operating a premium fleet of automatic Mercedes-Benz vehicles, while Alpha served as a secondary campervan fleet.

• Special-purpose vehicle manufacturing

  Action Manufacturing

  Action Manufacturing, based in Hamilton, New Zealand, manufactures motorhomes, campervans, caravans, and other special-purpose vehicles. It supplies THL's rental operations and other operators, serving customers in New Zealand and Australia.

• Youth and backpacker bus tours

  Kiwi Experience

  Kiwi Experience is a youth- and backpacker-oriented bus-tour operation in New Zealand. It forms part of THL's tourism-operations activities and complements the group's self-drive rental products with organized visitor transportation.

• Cave and adventure tourism

  Waitomo visitor experiences

  THL has operated or managed visitor experiences in New Zealand's Waitomo region, including tours of Waitomo Glowworm Cave, Ruakuri Cave, and Aranui Cave, as well as black-water rafting activities.

• 2016

  Proposed acquisition of El Monte RentsM&A

  Background

  THL aimed to expand its scale in the United States RV-rental market and use its existing operating model to develop the acquired business.

  Action taken

  THL announced the acquisition of El Monte Rents for approximately NZ$65.3 million, funded through debt from existing lenders and the issue of 3.4 million THL shares.

  Aftermath

  The transaction was expected to give THL a stronger position in the United States and an opportunity to reshape the acquired operations around the New Zealand and Australian model.

  Acquisition consideration. NZ$65.3 million (2016 announcement)

  Source

• 2015

  Launch of MighwayProduct launch

  Background

  THL sought to extend its rental model beyond a wholly company-owned fleet and participate in emerging peer-to-peer travel platforms.

  Action taken

  The company launched Mighway in New Zealand as a peer-to-peer motorhome-rental platform.

  Aftermath

  Mighway added a platform-based offering to THL's conventional rental brands.

  Source

• 2012

  Combination with United Vehicle Rentals and KEA Campers New ZealandM&A

  Background

  The New Zealand campervan market faced weaker visitor numbers from important European markets and pressure from a strong New Zealand dollar. THL presented consolidation as a way to lower operating costs and respond to market conditions.

  Action taken

  Shareholders approved the proposed combination on 19 October 2012, with the transaction becoming effective on 1 November 2012.

  Aftermath

  United Campervans, Alpha Campervans, and KEA Campers became part of the THL group, broadening its domestic rental portfolio.

  Source

• 2007

  Divestment of non-core tourism businessesStrategy

  Background

  THL was operating a broad collection of sightseeing, transport, attraction, and related tourism businesses. The company began a program to reduce or exit a number of these activities.

  Action taken

  The group sold or unwound interests in Milford Sound Red Boats, Kelly Tarlton's Antarctic Encounter & Underwater World, GreatSights New Zealand, Fullers Bay of Islands, Johnston's Coachlines, and its wholesale-packaging unit.

  Aftermath

  The businesses were treated as discontinued operations where applicable, leaving recreational-vehicle rental and selected tourism activities more central to the continuing group.

  Source

1. 1Tourism Holdingsen.wikipedia.org