Campervan company Tourism Holdings made an after-tax operating loss of $500,000, in the December half year, down from a $4.2 million profit a year ago.
The loss for the latest six months was at the better end of the company's November guidance for a loss between $500,000 and $1m.
THL reported revenues up 8 per cent to $108.5m.
Despite the loss the company declared a two cents a share dividend to be paid on March 22.
Operating profit before finance costs was down to $5.3m from $11.4m in the previous corresponding period which was boosted by the Rugby World Cup in 2011.
The latest half year was hit by $1.4m in costs for the merger of rentals companies KEA and United, which THL bought for $70m last year.
In the previous half year there was a one-off $4.5m contribution to earnings from tourists here for the Rugby World Cup.
THL said good progress had been made on the integration of KEA Campers and United Campervans with its own New Zealand rentals business following their merger at the end of October last year.
THL said net debt at December 31, 2012 stood at $134m, $8m better than forecast.
"We are on target with all planned cost savings and synergies," the company said.
Chairman Keith Smith said the company still faced "significant challenges" in the core in-bound tourist markets from Europe, Britain and the United States.
"However, we are satisfied our first half result was on track with expectations for the period," he said.
"And as the success of the merger demonstrates, THL is making good progress reconfiguring the business for these conditions."