Tourism Holdings, which merged its campervan rental business with two rivals last month, forecast a first-half loss on costs of the transaction and changes to accounting treatment of its US fleet.
The net loss will be $500,000 to $1 million in the six months ended Dec. 31, down from a year-earlier profit of $4.2 million. Earnings before interest and tax would be $4.2 million to $5 million, down from $11.5 million a year earlier.
The Auckland-based company gave the forecasts at its annual meeting yesterday and released the same guidance to the NZX today.
Costs associated with the $69.5 million merger with rivals United Campervans and KEA Campers would amount to $1.3 million. A change in the accounting treatment of fleet rebates in the US from 'point of purchase' to 'point of sale' would lop a further $1.2 million off ebit.
The first-half would also compare unfavourably with the same period of 2011, when the Rugby World Cup drove up demand for the company's campervans.
