Tourism Holdings has issued a profit warning, arguing that the high New Zealand dollar is discouraging international tourists from visiting.The company said it expects to record a loss after tax of up to $1 million for the six months ending December 31, c
Tourism Holdings has issued a profit warning, arguing that the high New Zealand dollar is discouraging international tourists from visiting.
The company said it expects to record a loss after tax of up to $1 million for the six months ending December 31, compared to a net profit after tax of $1.37 million in the same period last year.
In the annual report sent to shareholders in September the company talked about a softening in the backpacker and United Kingdom markets and said that the strength of both the Australian and New Zealand dollars was contributing to lower spending by tourists.
"During September and October we have seen further adverse impacts from these factors on both first quarter performance versus last year and the forward bookings as we head into the high season," it said today.
The company will discuss the prospects for its full-year when it releases the interim result in February.
The company operates the Maui, Britz, Backpacker and Explore More rental brands and also runs Kiwi Experience budget tourism business as well as some tourism attractions. Its CI Munro business manufactures motor homes, camper vans and caravans.
