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FY19 FULL YEAR RESULTS PRESENTATION

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FY20 INTERIM RESULTS PRESENTATION

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FY20 INTERIM RESULTS PRESENTATION

Disclaimer

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This presentation contains forward-looking statements and projections. These reflect thl’s current expectations, based on what it thinks are reasonable assumptions. The statements are based on information available to thl at the date of this presentation and are not guarantees or predictions of future performance. For any number of reasons, the future could be different and the assumptions on which the forward-looking statements and projections are based could be wrong. thl gives no warranty or representation as to its future financial performance or any future

• matter. Except as required by law or NZX listing rules, thl is not obliged to update this presentation after its release, even if things change

materially. This presentation has been prepared for publication in New Zealand and may not be released or distributed in the United States. This presentation is for information purposes only and does not constitute financial advice. It is not an offer of securities, or a proposal or invitation to make any such offer, in the United States or any other jurisdiction, and may not be relied upon in connection with any purchase of thl

• securities. thl securities have not been, and will not be, registered under the US Securities Act of 1933 and may not be offered or sold in the

United States, except in transactions exempt from, or not subject to, the registration of the US Securities Act and applicable US State securities

• laws. Past performance information given in this presentation is given for illustrative purposes only and should not be relied upon as an indication
• f future performance.

This presentation may contain a number of non-GAAP financial measures. Because they are not defined by NZ GAAP or IFRS, thl’s calculation of these measures may differ from similarly titled measures presented by other companies and they should not be considered in isolation from, or construed as an alternative to, other financial measures determined in accordance with NZ GAAP. This presentation does not take into account any specific investors objectives and does not constitute financial or investment advice. Investors are encouraged to make an independent assessment of thl. The information contained in this presentation should be read in conjunction with thl’s latest financial statements, which are available at: www.thlonline.com.

FY20 INTERIM RESULTS PRESENTATION

General notes

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• All financials are in NZ dollars unless stated otherwise (throughout presentation).
• All comparisons are against prior corresponding period.
• The average NZD:AUD cross-rate (average of the 6 month rates) for H1 FY20 was 0.9433 (H1 FY19 –

0.9251).

• The average NZD:USD cross-rate (average of the 6 month rates) for H1 FY20 was 0.6453 (H1 FY19 –

0.6705).

• Return On Funds Employed (ROFE) is a non-GAAP measure that thl uses to measure performance of

business units, and the Group, in relation to the financial resources utilised. ROFE is calculated as EBIT divided by average monthly net funds employed. Net funds employed are measured as total assets, less non-interest bearing liabilities and cash on hand. The lease liability as a result of IFRS 16 is not considered to be part of funds employed. Accordingly, the interest expense arising from IFRS 16 is also deducted from EBIT for the purposes of ROFE. The calculation is done in NZ dollars.

• The balance sheet is converted at the closing rate as at 31 December 2019. The USD cross-rate used

was 0.6735 (H1 FY19 – 0.6713); the AUD cross-rate used was 0.9617 (H1 FY19 – 0.9520) and the GBP cross-rate used was 0.5136 (H1 FY19 – 0.5290).

• Our forecast FY20 NPAT of around $24M assumed a NZD:AUD cross-rate of 0.93 and NZD:USD cross-

rate of 0.66.

FY20 INTERIM RESULTS PRESENTATION

IFRS 16 | Leases

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thl’s H1 FY20 results include changes in financial disclosures resulting from the adoption of IFRS 16:

• Right-of-use assets ($68.8M as at 31 December 2019) and lease liabilities ($80.5M as at 31 December 2019) have been recognised on

the thl balance sheet, grossing up total assets and total liabilities.

• Opening retained earnings as at 1 July 2019 has been adjusted downwards by $7.6M, net of tax.
• FY19 amounts in the financial statements remain as previously reported.
• The impact on thl’s H1 FY20 income statement is a negative impact of $0.4M on NPAT, a positive impact of $1.5M on EBIT, and a

positive impact of $5.1M on EBITDA. These have resulted from a change in lease expense classification from operating expenses of $5.1M to:

• Financing costs of $2.0M;
• Depreciation of $3.6M; and
• Net NPAT impact of negative $0.4M.
• The impact on thl’s H1 FY20 cash flow statement is that operating lease payments ($5.1M) have now been recognised as:
• Interest expense ($2.0M) in operating activities; and
• Lease liability principal repayment $3.1M in financing activities.
• thl’s banking covenants are calculated on a frozen GAAP basis.

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

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Summary

• Net profit after tax of $13.1M – down on the prior period, largely driven by performance in the USA

vehicle sales market and investment in Togo Group.

• Interim dividend of 10 cents per share declared, fully imputed. Cash dividend yield of 7.8%*.
• The global rentals businesses continue to perform well, delivering revenue growth in New Zealand and

Australia and stable revenue in the USA.

• New Zealand and Australia have had solid performances in vehicle sales from both a volume and

margin perspective.

• USA vehicle sales remain a key challenge and focus for the remainder of FY20.
• Future-Fit implementation team well underway with benchmarking assessments against the FFB goals.
• Net debt of $181M as at 31 December 2019 – expected to be $135M to $145M at end of FY20 due to

the lag of right sizing of fleet in the USA.

• Reviewing the nature of thl’s future investment into Togo Group.
• FY20 NPAT expectation remains at around $24M**.

* Based on the closing share price on 26 February 2020 of $2.55 and assumption of 20cps total FY20 dividend. ** Based on the assumed cross-rates noted on page 4.

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

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OPERATING PROFIT BEFORE FINANCING COSTS AND TAX (EBIT)

$31.0M

(H1 2019 - $34.7M) INTERIM DIVIDEND1

10CPS

(H1 2019 - 13CPS)

+3%

• 11%

EBIT EXCLUDING IMPACT OF IFRS 16

$29.5M

(H1 2019 - $34.7M)

• 25%
• 15%

Half year in review

As at 31 December 2019

1 100% imputed in H1 2020; 50% imputed in H1 2019.

2 As at 31 December.

3 Represents thl’s share of NPBT losses.

REVENUE (RENTALS & SERVICES)

$148.4M

(H1 2019 - $144.3M)

• 23%

INVESTMENT IN TOGO GROUP3

$7.3M

(H1 2019 - $5.4M)

NET PROFIT AFTER TAX (NPAT)

$13.1M

(H1 2019 - $17.5M) REVENUE (VEHICLE SALES)

$59.1M

(H1 2019 - $62.9M)

• 6%

NET DEBT2

$181M

(H1 2019 - $226M)

• 20%

FY20 INTERIM RESULTS PRESENTATION

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Financial highlights

• Revenue of $207.5M, up $0.2M.
• EBIT of $31.0M, down 11%.
• NPAT of $13.1M, down 25%.
• EBIT growth for the Rentals New Zealand

and Rentals Australia businesses.

• Excluding the impact of IFRS 16, interest

expense was down $0.4M as a result of lower debt across the half year.

NZD $M Dec-19 Dec-18 VAR % Operating revenue 207.5 207.3 0.2 0% Earnings before interest and tax (1) 31.0 34.7 (3.7) (11%) Operating profit before tax (2) 18.7 25.0 (6.2) (25%) Profit after tax 13.1 17.5 (4.4) (25%) (1) H1 FY20 includes a $1.5M benefit relating to the adoption of IFRS 16. (2) H1 FY20 includes a $0.5M expense relating to the adoption of IFRS 16. * Includes additional $2.0M expense relating to the adoption of IFRS 16.

OPERATING PROFIT BEFORE TAX $M

25.0 18.7

0.4 0.4 1.6 (6.1) (0.1) (1.1) (1.4) – 5.0 10.0 15.0 20.0 25.0 30.0 35.0

Profit Before Tax H1 FY19 Rentals NZ Rentals AU Rentals USA Tourism Group Group Services & Other JV & Associates Net Interest * Profit Before Tax H1 FY20

NZ$m

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

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Balance sheet

• Net debt as at 31 December 2019 was $181M.
• The key factors impacting net debt in H1 FY20 were the $50M

received from the thl rights offer, investment in Togo Group and new fleet capital expenditure.

• Our Net debt:EBITDA was 1.7x, down on the prior year

primarily due to the equity raise completed in July 2019.

• We consider that our current Net debt:EBITDA ratio provides

us with capacity for acquisitions and growth initiatives.

• Net debt at the end of FY20 is expected to be in the range of

$135M to $145M, in line with our previous expectations.

• Our review of existing borrowing sources and target capital

structure is underway and will be completed prior to year end. Net debt

$181M

Last year

$226M

Net debt Net debt:EBITDA*

1.7x

Last year

2.0x

* Net debt:EBITDA is calculated using a 12 month EBITDA on a frozen GAAP basis. Net debt used for the calculation includes LOC and derivatives balance. 178 199 226 202 181 1.7 1.9 2.0 1.9 1.7 – 0.5 1.0 1.5 2.0 2.5 3.0 – 50 100 150 200 250

Dec 17 Jun 18 Dec 18 Jun 19 Dec 19

Net debt LOC Net debt: EBITDA

Note: Net debt and Net debt:EBITDA do not include lease liabilities relating to the adoption of IFRS 16.

NZD ($M) Net debt:EBITDA (x)

FY20 INTERIM RESULTS PRESENTATION

Dividend

Fully imputed

Interim FY19 – 13 cents (50% imputed)

Interim Dividend

10 cents

10

• Interim dividend of 10cps, fully imputed.
• Cash dividend yield of 7.8%.*
• Total dividend paid is expected to be

approximately $14.8M (compared to $16.1M in the pcp). Compared to the pcp, dividend per share reflects the greater number of shares on issue.

• We expect to continue to assess our

dividend pay-out in FY20 excluding our investment in Togo Group.

• The interim dividend will not be eligible for

the thl Dividend Reinvestment Plan (DRP).

• Record date: 4 May 2020.
• Payment date: 11 May 2020.

* Based on the closing share price on 26 February 2020 of $2.55 and assumption of 20cps total FY20 dividend.

9 10 13 13 10 10 11 14 14

FY16 FY17 FY18 FY19 FY20

Interim Final

FY20 INTERIM RESULTS PRESENTATION

Togo Group

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• Togo RV
• App re-design released on 24 February with new user interface and

additional features including ‘RV Living’.

• Further features expected by end of March 2020.
• Roadtrippers Plus
• Over 20,000 new subscriptions during H1 FY20.
• 37,000+ active Roadtrippers Plus subscribers as at February 2020.
• Recent launch of ‘Extraordinary Places’ feature.
• Outdoria Group (46%)
• CamperMate has approximately 6 million sessions each month over

the summer period.

• Freedom camping project underway in New Zealand, providing real-

time capacity information on freedom campgrounds to CamperMate users.

• Data sales to local governments/councils providing strong contribution

to revenue.

FY20 INTERIM RESULTS PRESENTATION

Technology investment

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Togo Fleet

• The Togo Fleet product operations

system was successfully launched within thl in October 2019.

• Product operations is delivering

efficiencies including fleet scheduling, inventory management, vehicle collections and relocations.

• Togo Fleet scheduling operated

effectively with booking cancellations in Australia due to bush fires.

• Further features to be incorporated by

the end of FY20 include booking, and customer and agent management systems for New Zealand and Australia.

Togo Insights (Telematics)

• New generation in-vehicle tablets and

telematics devices are being installed in all rental vehicles in New Zealand and Australia.

• Telematics units allowed us to locate and

communicate with our rentals customers during the bush fire events in Australia.

Togo Group

• thl’s share of NPBT losses in Togo Group in

H1 FY20 was NZ$7.3M.

• FY20 investment in Togo Group is now

expected to be US$10M (previously US$8.5M).

• The nature of thl’s future investment into

Togo Group is under review.

FY20 INTERIM RESULTS PRESENTATION FY19 FULL YEAR RESULTS PRESENTATION

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Divisional Review

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

Divisional EBIT

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*In H1, the majority of EBIT relates to the USA business due to seasonality.

Revenue by Geography

38% 22% 40%

New Zealand Rentals & Sales Australia USA

H1 FY20 H1 FY19 EBIT before Group Services and Other* H1 FY20 H1 FY19

$M

FY20 FY19 VAR VAR %

thl Rentals New Zealand 7.5 7.0 0.4 6% Australia 8.6 8.2 0.4 5% USA 12.4 18.4 (6.1) (33%) Total Rentals 28.5 33.7 (5.2) (15%) Tourism Group 4.3 4.4 (0.1) (3%) Total operating divisions 32.8 38.1 (5.3) (14%) Group Support Services & Other (1.8) (3.4) 1.6 47% Total EBIT 31.0 34.7 (3.7) (11%) Split Australia 8.6 8.2 0.4 5% USA 12.4 18.4 (6.1) (33%) NZ 10.0 8.1 1.9 23% Total EBIT 31.0 34.7 (3.7) (11%) 6 Months to December Prior to IFRS 16 Impact of IFRS 16 H1 FY20 Australia 8.2 0.4 8.6 USA 11.8 0.6 12.4 NZ 9.6 0.4 10.0 Total EBIT 29.5 1.5 31.0 40% 22% 38%

New Zealand Rentals & Sales Australia USA

18% 22% 48% 12%

New Zealand Rentals & Sales Australia USA Tourism Group

23% 26% 38% 13%

New Zealand Rentals & Sales Australia USA Tourism Group

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

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New Zealand rentals

“Continued core growth”

• The New Zealand business has once again performed well

and delivered year on year growth.

• EBIT of $7.5M, an increase of 6% on the pcp.
• Rental revenue growth of 5%, with both total booked days

and yield up on the pcp.

• Vehicle sales revenue growth of 14%.
• A total of 311 vehicles sold (inclusive of non-fleet vehicles),

compared to 270 in the pcp. Sales of minivan vehicles, which comprised the greatest shortfall in sales in FY19, have been positive in FY20 to date.

• Forward bookings for H2 FY20 are positive, with low single

digit percentage growth expected.

(1) EBIT excluding the impact from the adoption of IFRS 16 is $7.1M. (2) Exclude sales of non-fleet vehicles.

NZD $M Dec-19 Dec-18 VAR VAR %

Rental income 40.5 38.5 2.0 5% Sale of goods 25.8 22.7 3.1 14% Costs (58.8) (54.1) (4.7) (9%) EBIT(1) 7.5 7.0 0.4 6%

Half Year

Units:

Dec-19 Dec-18

VAR

VAR %

Opening Fleet 2,332 2,083 249 12% Fleet Sales(2) (269) (199) 70 35% Fleet Purchases 570 677 (107) (16%) Closing Fleet 2,633 2,561 72 3% Vehicle Fleet

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

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Australia rentals

“Delivering growth in a competitive environment”

• EBIT result of AUD$8.2M, up $0.6M on the prior year – an

increase of 7%.

• Rental revenue up 4% through growth in booked days, despite a

small reduction in yield from increased competition.

• Vehicle sales revenue fell by 9% due to a shift in the mix of

vehicles sold towards smaller RVs. Total vehicle sales contribution improved on the pcp due to growth in average sales margins on consistent vehicle sales volumes.

• Impact of Australian bush fires estimated to be ~NZ$1M.
• The second half of FY20 has been impacted by recent events. As

a result, H2 FY20 rental revenue is expected to be below H2 FY19.

(1) Excludes sales of buyback vehicles. (2) EBIT excluding the impact from the adoption of IFRS 16 is NZD $8.2M (AUD $7.8M). (3) Includes sales of buyback vehicles, but excludes sales of non-fleet vehicles.

NZD $M Dec-19 Dec-18 VAR VAR %

Rental income 37.7 37.0 0.7 2% Sale of goods(1) 7.6 8.5 (0.9) (11%) Costs (36.7) (37.3) 0.6 2% EBIT(2) 8.6 8.2 0.4 5%

Half Year

AUD $M Dec-19 Dec-18 VAR VAR %

Rental income 35.6 34.2 1.4 4% Sale of goods(1) 7.2 7.9 (0.7) (9%) Costs (34.6) (34.5) (0.1) 0% EBIT(2) 8.2 7.6 0.6 7% Units:

Dec-19 Dec-18

VAR

%

Opening Fleet 1,641 1,539 102 7% Fleet Sales(3) (324) (324)

• Fleet Purchases

379 437 (58) (13%) Closing Fleet 1,696 1,652 44 3%

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

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USA rentals

“Difficult vehicle sales conditions continue”

• Continued difficulty in the vehicle sales market has resulted in EBIT of

US$8.0M (down 35% on the pcp), despite consistent performance in rental revenue.

• Rental revenue of US$33.9M was flat on the pcp in USD terms – but

experienced growth of 4% (NZ$2.0M) in NZD terms due to favourable exchange rate fluctuations.

• Fleet size during upcoming peak season will be approximately 20%

smaller due to right sizing of fleet. Focus for H2 FY20 and early FY21 is to maximise revenue through improved utilisation and yield on our smaller fleet size.

• Vehicle sales performance is covered in the next slide.

(1) EBIT excluding the impact from the adoption of IFRS 16 is NZD $11.8M (USD $7.6M).

NZD $M Dec-19 Dec-18 VAR %

Rental income 52.4 50.4 2.0 4% Sale of goods 25.7 31.7 (6.1) (19%) Costs (65.7) (63.7) (2.0) (3%) EBIT(1) 12.4 18.4 (6.1) (33%)

Half Year

USD $M Dec-19 Dec-18 VAR %

Rental income 33.9 33.9 0.0 0% Sale of goods 16.1 20.9 (4.8) (23%) Costs (41.9) (42.4) 0.5 1% EBIT(1) 8.0 12.4 (4.3) (35%) Units:

Dec-19 Dec-18

VAR % Opening Fleet 2,440 2,109 331 16% Fleet Sales (351) (400) (49) (12%) Fleet Purchases 3

• 3
• Closing Fleet

2,092 1,709 383 22% Vehicle Fleet

FY20 INTERIM RESULTS PRESENTATION

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Update on USA performance and review

• Despite 37% decline in average sales margin in H1

FY20 on the pcp, there has been a small improvement in the second quarter of FY20 compared to the first quarter (US$4,748 vs. US$3,872).

• This is partly a reflection of the channel and product

mix in Q2 compared to Q1, which had some large wholesale transactions at lower margins.

• There has been some anecdotal evidence of

improvement in visitor numbers at recent RV shows, as well as improvement in dealer sentiment.

• Fleet depreciation in H1 FY20 approximately US$0.8M

greater than in the pcp, due to excess fleet held across the period.

Progress People The targeted changes to head count and roles have been implemented. Property Two branches have been closed. Further potential closures are being explored. Funds employed On track to achieve target of a reduction in funds employed of US$20M by the end of FY20.

USD Q2FY20 Q2FY19 VAR %

Motorhome fleet sales (units) 107 157 (50) (32%) Gain on sale of motorhome fleet after selling costs ($M) 0.5 0.9 (0.4) (46%) Total average gain on sale after selling costs ($) 4,748 5,939 (1,191) (20%)

USD Q1FY20 Q1FY19 VAR %

Motorhome fleet sales (units) 244 243 1 0% Gain on sale of motorhome fleet after selling costs ($M) 0.9 1.7 (0.8) (45%) Total average gain on sale after selling costs ($) 3,872 7,021 (3,149) (45%)

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

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Tourism

“Continued strong ROFE performance”

• The Tourism Group delivered an EBIT result of $4.3M – down 3%

from $4.4M in the pcp.

• The Waitomo business EBIT was below the pcp. Total revenue

declined due to a fall in passenger numbers.

• Kiwi Experience delivered an improvement in EBIT on the pcp

despite a decline in revenue, due to good cost controls being put in place.

• New product lines of small group tours and snow tours in Kiwi

Experience have launched.

• Some impact expected in H2 FY20 due to containment measures

relating to COVID-19.

NZD $M

Dec-19 Dec-18

VAR % Revenue 17.8 18.4 (0.7) (4%) Costs (13.5) (14.0) 0.5 4% EBIT 4.3 4.4 (0.1) (3%) Half Year

FY20 INTERIM RESULTS PRESENTATION FY19 FULL YEAR RESULTS PRESENTATION

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Equity Investments

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

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Equity investments

• These part-owned businesses are not controlled by thl and are equity
• accounted. The results are not reported in Earnings Before Interest &

Tax (EBIT), and are not included in our ROFE calculations.

• Action Manufacturing (50%)
• NPBT of $1.4M a strong improvement on the prior year, up 151%

($0.9M).

• The pcp included opening losses relating to the acquisition of

Fairfax Industries.

• Positive outlook for the remainder of FY20.
• Just go (49%)
• NPAT down 28% on the pcp.
• We believe uncertainty with Brexit impacted vehicle sales against

plan.

• Positive first six months in new location in Edinburgh, Scotland.
• Togo Group (50%)
• thl’s share of NPBT losses in Togo Group in H1 FY20 was NZ$7.3M –

34% higher than in the pcp.

NZD $M Dec-19 Dec-18 VAR % Action Manufacturing 1.4 0.6 0.9 151% Just go 0.2 0.3 (0.1) (28%) Togo Group (7.3) (5.4) (1.9) (34%) Total (5.7) (4.6) (1.1) (24%) Equity Investments

FY20 INTERIM RESULTS PRESENTATION

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Group support services and other

• Group support service costs of

$1.8M, down 47% on the prior year.

• The variance is primarily

attributable to the transaction costs incurred in the first half of FY19 relating to the discontinued sale of the Tourism businesses and other acquisition opportunities.

NZD $M Dec-19 Dec-18 VAR % Revenue – – –

• Costs

(1.8) (3.4) 1.6 47% EBIT (1.8) (3.4) 1.6 47%

FY20 INTERIM RESULTS PRESENTATION FY19 FULL YEAR RESULTS PRESENTATION

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Outlook

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

FY20 capital expenditure

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Gross Capital Expenditure ($M) Proceeds from Fleet Sales ($M) Net Capital Expenditure ($M)

Note: Fleet purchased/sold under buyback arrangements are not treated as additions/sales of fixed assets, but are treated as operating leases under IFRS reporting. For the purposes of the above, the purchases and sales values under buyback arrangements are included. The above also includes non-fleet capital expenditure, which has been categorised as core capital expenditure.

• FY20 gross capital expenditure is

forecast at approximately $133M.

• Fleet purchases have been reduced

in FY20 as we adjust fleet, release capital and generate a positive

• perating cash flow for the USA

business.

• Approximately 55% is expected to

be core expenditure and 45% flex expenditure.

• Total fleet sales proceeds

expected to be around $129M, ~6% up on prior year.

• Net capital expenditure is

expected to be around $4M, due to the substantial reduction of capital expenditure in the USA.

81 112 143 121 ~129

FY16 FY17 FY18 FY19 FY20 Forecast

Core Flex

46 58 58 76 ~4

FY16 FY17 FY18 FY19 FY20 Forecast

Net Capex

126 171 201 197 ~133

FY16 FY17 FY18 FY19 FY20 Forecast

Core Flex

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

25

Outlook

• On 5 February 2020 we announced that our expectations for FY20 NPAT were around NZ$24M, with the

primary relevant factors being:

• USA vehicle sales weakness;
• The impact of bush fires in Australia;
• Containment measures relating to COVID-19; and
• Ongoing investment in Togo Group.
• Our expectation remains that thl’s FY20 NPAT will be around $24M.*
• thl is reviewing the nature of its future investment into Togo Group.
• Net debt at the end of FY20 is expected to be $135M to $145M, in line with our previous expectations.
• Gross capital expenditure in FY20 is expected to be approximately $133M, with net capital expenditure of

approximately $4M.

• The full FY20 dividend is expected to be at the upper end of our dividend policy of 75% - 90% of NPAT. We

continue to exclude our investment in Togo Group for dividend purposes.

• We will provide a further update to the market prior to our FY20 annual results release in August.

* Based on the assumed cross-rates noted on page 4.

FY20 INTERIM RESULTS PRESENTATION FY19 FULL YEAR RESULTS PRESENTATION

26

Supporting Analysis

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

Income statement summary

27

* Note: the FY19 earnings per share calculations have been adjusted for the bonus element of the capital raise. $M FY20 FY19 VAR VAR % Sale of services 148.4 144.3 4.1 3% Sale of goods 59.1 62.9 (3.9) (6%) Total revenue 207.5 207.3 0.2 0% Costs 145.4 147.2 (1.9) (1%) EBITDA 62.1 60.0 2.1 3% Depreciation & Amortisation 31.1 25.3 5.8 23% EBIT 31.0 34.7 (3.7) (11%) Interest (6.6) (5.2) (1.4) (28%) Share of Joint Ventures (5.9) (4.9) (1.0) (21%) Share of Associates 0.2 0.3 (0.1) (28%) Profit before taxation 18.7 25.0 (6.2) (25%) Taxation (5.7) (7.5) 1.8 24% Profit attributable to thl shareholders 13.1 17.5 (4.4) (25%) Basic EPS (in cents) 8.9 14.0 *

6 Months to December

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

Revenue

28

$M FY20 FY19 VAR VAR %

thl Rentals - Rental Revenue New Zealand 40.5 38.5 2.0 5% Australia 37.7 37.0 0.7 2% USA 52.4 50.4 2.0 4% 130.6 125.9 4.7 4% thl Rentals - Sale of Goods New Zealand 25.8 22.7 3.1 14% Australia 7.6 8.5 (0.9) (11%) USA 25.7 31.7 (6.1) (19%) 59.1 62.9 (3.9) (6%) Tourism Group 17.8 18.4 (0.7) (4%) Total Revenue 207.5 207.3 0.2 0% Split Australia 45.3 45.5 (0.2) (0%) USA 78.1 82.2 (4.1) (5%) NZ and other 84.1 79.6 4.5 6% 207.5 207.3 0.2 0% Revenue Split Sale of Services 148.4 144.3 4.1 3% Sale of Goods 59.1 62.9 (3.9) (6%) 207.5 207.3 0.2 0% 6 months to December

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

Divisional summary

29

* Operating cash flow includes the sale and purchase of rental assets. $M REVENUE DIVISIONAL EBIT AVE FUNDS EMPLOYED OPERATING CASHFLOW* REVENUE DIVISIONAL EBIT AVE FUNDS EMPLOYED OPERATING CASHFLOW*

Rentals New Zealand 66.3 7.5 155.4 (24.2) 61.2 7.0 155.7 (19.4) Rentals Australia 45.3 8.6 83.0 (1.3) 45.5 8.2 84.0 (3.5) Rentals USA 78.1 12.4 164.6 24.2 82.2 18.4 139.1 19.8 Tourism Group 17.8 4.3 20.6 5.8 18.4 4.4 22.0 6.6 Group Support Services/Other – (1.8) 4.4 (3.5) – (3.4) 1.8 (10.6) thl 100% owned entities 207.5 31.0 428.0 0.9 207.3 34.7 402.5 (7.1) Joint Ventures (5.9) 56.9 (4.9) 53.4 Associates 0.2 4.7 0.3 4.2 Group Total 207.5 25.3 489.6 0.9 207.3 30.1 460.1 (7.1)

31-Dec-19 31-Dec-18

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

EBITDA

30

EBITDA

$M FY20 FY19 VAR VAR %

EBIT 31.0 34.7 (3.7) (11%) Add back non-cash items: Depreciation 30.6 24.7 5.8 24% Amortisation 0.5 0.6 (0.0) (8%) EBITDA 62.1 60.0 2.1 3%

6 Months to December EBITDA excluding IFRS 16 $M FY20 FY19 VAR VAR % EBIT 29.5 34.7 (5.2) (15%) Add back non-cash items: Depreciation 26.9 24.7 2.2 9% Amortisation 0.5 0.6 (0.0) (8%) EBITDA excluding IFRS 16 57.0 60.0 (3.0) (5%) 6 Months to December

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

Balance sheet

31

As at

$M DEC 19 DEC 18 VAR Equity 314.9 250.7 64.3 Non current liabilities 209.5 247.0 (37.5) Current liabilities 65.2 75.1 (9.9) Lease liabilities (IFRS 16) 80.5 0.0 80.5 Total source of funds 670.1 572.7 97.4 Intangible assets and goodwill 43.6 44.2 (0.6) Investments in associates and joint ventures 58.1 56.8 1.3 Property, plant and equipment 403.6 379.1 24.5 Right-of-use assets (IFRS 16) 68.8 0.0 68.8 Non-current derivative financial instruments 0.0 0.7 (0.7) Current assets 96.0 91.9 4.1 Total use of funds 670.1 572.7 97.4 Net debt position (exclude IFRS 16 lease liabilities) 181.0 225.6 (44.6) Net tangible assets (NTA) 271.3 206.4 64.9 NTA per share $1.83 $1.67 Book value of net assets per share $2.13 $2.03 Debt / debt + equity ratio (net of Intangibles) 40% 52% Equity ratio (net of Intangibles) 43% 39% AUD exchange rate at period end 0.9617 0.9520 USD exchange rate at period end 0.6735 0.6713

FY20 INTERIM RESULTS PRESENTATION FY20 INTERIM RESULTS PRESENTATION

Gain on vehicle sales and gross profit

32

6 Months to December

$M FY20 FY19 VAR VAR %

Proceeds from sales of motorhome fleet 51.0 52.7 (1.7) (3%) Net book value of vehicles sold (incl writeoffs) 44.3 45.6 (1.3) (3%) Gain on sales of motorhome fleet before selling costs 6.7 7.1 (0.5) (6%) Vehicle sales costs (warranty only) 0.4 0.4 0.0 6% Gain on sales of motorhome fleet after selling costs 6.3 6.7 (0.4) (6%) Gross profit on non-fleet vehicles, retail and accessory sales 1.5 1.8 (0.3) (17%) Reported gross profit 7.8 8.5 (0.7) (8%) Total average gain on sale ($000) after selling costs 8.2 8.9 (0.7) (8%) Fleet motorhomes sold (incl writeoffs, excl buybacks) AU 144 147 (3) (2%) NZ 269 199 70 35% US 351 400 (49) (12%) Total fleet motorhomes sold (units), excl. buybacks 764 746 18 2% Flex fleet sales on buy-backs excluded from above FY20 FY19 AU 180 177 FY20 FY19 Total fleet sales 324 324

AU

269 199

NZ

351 400

US 944 923