APOLLO REVS UP ITS RESULTS
Written on the 22 February 2017 by Laura Daquino
APOLLO Tourism & Leisure (ASX: ATL) has hit its profit forecast in its maiden result as a publicly traded company.
The Brisbane company, which is charting a course of growth in the RV industry, posted a pro forma profit after tax of $9.7 million. This reflected a 131 per cent increase from first half 2016.
Apollo took revenues of $93 million over the period, up 18 per cent from $78 million in the prior corresponding period.
Luke Trouchet (pictured), Apollo managing director and CEO, says recent bookings and retail sales will boost the second half as well. He is confident the company will achieve a pro forma profit after tax of $12.4 million.
"The strong first half performance and implementation of a number of strategic initiatives place Apollo well on track to achieve our full year prospectus forecast," says Trouchet.
"The recent acquisition of Sydney RV and our investment in RV peer-to-peer company, Camplify, both contribute to Apollo's strategy of becoming a leading player in all segments of the RV market."
Trouchet previously told Business News Australia that Apollo is leveraging off the cultural shift to free and independent travel and an ageing Australian population who can afford to buy an RV.
In Australia, Apollo's recent acquisition of Sydney RV aligns with the company's strategy to establish additional retail locations, and will leverage its Winnebago, Adria and Talvor brands.
In other local news, the market reacted positively earlier this month when Apollo invested in Camplify, an online caravan and RV sharing community that connects caravan and RV owners with people looking to rent these vehicles.
Looking offshore, Apollo will open two new rental locations in May to service New York and Orlando in the US. This will expand the Brisbane company's footprint from the west coast of the US, making it easier to provide coast-to-coast one-way rentals.
Apollo has declared a fully franked interim dividend of 0.5c per share, representing 21 per cent of its statutory profit after tax. The dividend will be paid to shareholders on March 14, with a record date of February 28.
Apollo listed on the ASX at $1 on November 4 last year. It's currently trading at $1.28.
Business News Australia