NCLH Q1 2025 Earnings

Call Details

• Call Title: Norwegian Cruise Line Q1 2025 Earnings Call
• Date: April 30, 2025 at 12:00 PM UTC
• Management Team:
  • Sarah Inman (Investor Relations)
  • Harry Sommer (Chief Executive Officer)
  • Mark Kempa (Chief Financial Officer)

Call Summary

Financial Performance

• Adjusted EBITDA for Q1 2025 was $453 million, which was above guidance of $435 million.
• Adjusted EPS for the quarter was $0.07, with a $0.05 negative impact from foreign exchange losses.
• Adjusted net income for Q1 2025 was $31 million, and the quarter included $23 million of foreign currency losses versus $13 million of FX gains in the prior year.
• Trailing 12-month adjusted operational EBITDA margin expanded to 35.5%, up 280 basis points versus the prior year.
• Net yield for the quarter came in ahead at 1.2%, driven by net per diem growth of 4.3%.
• Adjusted net cruise cost excluding fuel increased 3% to $169 per capacity day for the quarter, with an $8 per capacity day impact from dry docks.

Guidance

• Full-year 2025 net yield growth is guided to a range of 2% to 3% on a constant currency basis.
• Full-year adjusted EBITDA guidance is maintained at $2.72 billion despite the lower yield outlook.
• Full-year adjusted EPS guidance is maintained at $2.05, with a $0.04 FX headwind offset by a reduced share count from an early April convertible note transaction.
• Adjusted net cruise cost excluding fuel full-year guidance was tightened to a growth range of 0% to 1.25%.
• Second quarter 2025 occupancy is expected at approximately 103.2, approximately 2.7% below prior year, with net yield growth of roughly 2.5% and net per diem growth of 5.2%.
• Second quarter 2025 adjusted EBITDA is expected to be approximately $670 million and adjusted EPS is expected at $0.51.