Tourism Holdings has reduced its net profit after tax (NPAT) guidance for the 2023/24 financial year from around $75 million to between $50m and $53m.
The company cited the negative impact of the weakening economy on its regions and business divisions, as well as a decline in vehicle sales volumes and margins globally.
A slowdown in forward booking intakes for the Australasian shoulder season is also expected to contribute to a poorer rental performance.
However, Tourism Holdings has retained its goal of $100m NPAT in the 2025/26 financial year.
The company will engage with its banking syndicate to amend its covenant package, and it anticipates impairment in relation to the UK/Ireland business division.
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