A strong rental and vehicle sales market in New Zealand underpinned the result, for its year to June, with Tourism Holdings offering up new guidance for 2018, targeting profit in a range of $36 million to $39 million.
Revenue rose 22% to $340.2 million, earnings before interest, tax, depreciation and amortisation (ebitda) grew 19% to $87.5 million and reported profit was up 24%, from $24.4 million a year ago to $30.2 million.
Tourism Holding's chairman Rob Campbell said the result was greater than expected for the second-half trading, due mainly to a strong performance from rentals in New Zealand, but it also included higher-than-expected margins on the sale of the older El Monte fleet in the United States.
All business units showed progress during the year in earnings before interest and tax (ebit) growth and on return on funds employed, in the operating country's currency.
Fleet numbers were up 43% to 5624 vehicles, being 2063 in the US, 1830 in New Zealand, 1525 in Australia and 206 in the UK.
''The New Zealand rentals and sales business had an excellent year, with some benefit from the Lions tour, a strong shoulder season and higher yields in a high growth market. Ebit of $24 million was up over 50% on the prior year,'' Mr Campbell said.
Tourism Holdings 11c dividend bought the full year to 21c, while its shares were up 1.8% at $4.50 following the announcement.
Forsyth Barr broker Damian Foster said the ''strong'' result topping June guidance of $29.5 million was supported by a lower effective tax rate.
''Tourism Holdings has enjoyed another year of strong earnings growth, which we expect to continue through full-year 2018, particularly given the El Monte acquisition earnings accretion in first-half 2018,'' Mr Foster said.
He said next year's new profit guidance of $36 million to $39 million, was below Forsyth Barr's estimate of $41 million, noting Tourism Holding's management had a track record of being conservative.
Craigs Investment Partners broker Peter McIntyre said said it was ''another strong result'', especially from New Zealand and in a much more competitive environment during the past five years.
He said Tourism Holdings' annual meeting in October would reveal more of the peak season operations in New Zealand and Australia, and also progress of El Monte would be more advanced, Mr McIntyre said.
Mr Foster said the New Zealand fleet number was up 7%.
Tourism Holding's chief executive Grant Webster said while the year's review should be dominated by December acquisition announcements, he announced the 2018 profit guidance, of between $36 million and $39 million, which would include the first full-year contribution from El Monte.
The December $91 million acquisition of 1970-founded El Monte took Tourism Holdings into No 2 provider position in the US, plus there were separate investments in Roadtrippers, a leading US travel and technology company and piloting of the mobile app Mighway.
