Norwegian Cruise Line Holdings Reports Strong Third Quarter 2024 Financial Results
Norwegian Cruise Line Holdings reported strong Q3 2024 results with record revenue of $2.8 billion, up 11% year-over-year. GAAP net income increased 37% to $474.9 million, with EPS rising 34% to $0.95. Adjusted EBITDA grew 24% to a record $931.0 million. The company raised its full-year guidance for the fourth time, projecting Adjusted EBITDA of approximately $2.425 billion and Adjusted EPS of $1.65. Strong demand across all brands and itineraries led to Net Yield growth of 8.7%. Total debt stood at $13.4 billion with Net Leverage at 5.58x, showing a ~1.75x reduction from December 2023.
Norwegian Cruise Line Holdings ha riportato risultati solidi per il terzo trimestre del 2024, con un fatturato record di $2,8 miliardi, in aumento dell'11% rispetto all'anno precedente. Il reddito netto GAAP è aumentato del 37%, raggiungendo $474,9 milioni, mentre l'EPS è salito del 34% a $0,95. EBITDA rettificato è cresciuto del 24%, raggiungendo un record di $931,0 milioni. L'azienda ha alzato le previsioni per l'intero anno per la quarta volta, prevedendo un EBITDA rettificato di circa $2,425 miliardi e un EPS rettificato di $1,65. La forte domanda su tutti i marchi e itinerari ha portato a una crescita del Margine Netto dell'8,7%. Il debito totale si attestava a $13,4 miliardi, con una leva netta di 5,58x, mostrando una riduzione di ~1,75x rispetto a dicembre 2023.
Norwegian Cruise Line Holdings reportó resultados sólidos para el tercer trimestre de 2024, con un ingreso récord de $2.8 mil millones, un aumento del 11% interanual. El ingreso neto GAAP aumentó un 37% a $474.9 millones, y el EPS subió un 34% a $0.95. El EBITDA ajustado creció un 24% hasta alcanzar un récord de $931.0 millones. La compañía elevó su pronóstico para todo el año por cuarta vez, proyectando un EBITDA ajustado de aproximadamente $2.425 mil millones y un EPS ajustado de $1.65. La fuerte demanda en todas las marcas y itinerarios llevó a un crecimiento del rendimiento neto del 8.7%. La deuda total se situó en $13.4 mil millones, con un apalancamiento neto de 5.58x, mostrando una reducción de ~1.75x desde diciembre de 2023.
노르웨이 크루즈 라인 홀딩스는 2024년 3분기 실적을 발표하며 28억 달러의 기록적인 수익을 보고했습니다. 이는 전년 대비 11% 증가한 수치입니다. GAAP 순이익은 37% 증가하여 4억 7490만 달러에 달했으며, EPS는 34% 상승하여 $0.95에 도달했습니다. 조정된 EBITDA는 24% 성장하여 기록적인 9억 3100만 달러에 이르렀습니다. 회사는 연간 전망을 네 번째로 상향 조정하며 조정된 EBITDA가 약 24억 2500만 달러, 조정된 EPS가 $1.65에 이를 것으로 예상하고 있습니다. 모든 브랜드와 여정에서 강한 수요가 있었으며, 그로 인해 순수익률이 8.7% 증가했습니다. 총 부채는 134억 달러에 달하며, 순 레버리지는 5.58배로, 2023년 12월 대비 약 1.75배 감소했습니다.
Norwegian Cruise Line Holdings a rapporté de solides résultats pour le troisième trimestre 2024, avec un chiffre d'affaires record de 2,8 milliards de dollars, en hausse de 11 % par rapport à l'année précédente. Le résultat net GAAP a augmenté de 37 % pour atteindre 474,9 millions de dollars, avec un BPA en hausse de 34 % à 0,95 dollar. Le EBITDA ajusté a crû de 24 % pour s'établir à un record de 931,0 millions de dollars. La société a relevé ses prévisions annuelles pour la quatrième fois, projetant un EBITDA ajusté d'environ 2,425 milliards de dollars et un BPA ajusté de 1,65 dollar. La forte demande sur toutes les marques et itinéraires a entraîné une croissance du rendement net de 8,7 %. La dette totale s'élevait à 13,4 milliards de dollars, avec un levier net de 5,58x, montrant une réduction d'environ 1,75x par rapport à décembre 2023.
Norwegian Cruise Line Holdings meldete starke Ergebnisse für das dritte Quartal 2024 mit einem Rekordumsatz von 2,8 Milliarden Dollar, was einem Anstieg von 11 % im Jahresvergleich entspricht. Der GAAP-Nettoeinkommen stieg um 37 % auf 474,9 Millionen Dollar, während das EPS um 34 % auf 0,95 Dollar anstieg. Das bereinigte EBITDA wuchs um 24 % auf einen Rekordwert von 931,0 Millionen Dollar. Das Unternehmen hob die Jahresprognose zum vierten Mal an und rechnet mit einem bereinigten EBITDA von etwa 2,425 Milliarden Dollar und einem bereinigten EPS von 1,65 Dollar. Die starke Nachfrage über alle Marken und Reiserouten führte zu einem Anstieg der Nettorendite von 8,7 %. Die Gesamtschulden beliefen sich auf 13,4 Milliarden Dollar, bei einem Nettoschuldenhebel von 5,58x, was eine Reduzierung von etwa 1,75x seit Dezember 2023 zeigt.
- Record Q3 revenue of $2.8B, up 11% YoY
- GAAP net income increased 37% to $474.9M
- Adjusted EBITDA grew 24% to $931.0M
- Net Yield growth of 8.7%, beating guidance by 260 basis points
- Fourth guidance raise for 2024, projecting 30% YoY Adjusted EBITDA growth
- Net Leverage reduced by ~1.75x from December 2023
- Total debt remains high at $13.4B
- Foreign exchange rates negatively impacted EPS by $0.06 in Q3
Insights
NCLH delivered exceptional Q3 results with
The company's focus on margin enhancement is paying off, with gross margin per Capacity Day up
Full-year guidance was raised for the fourth time, with Adjusted EBITDA now projected at
Third quarter revenue up ~
Company beats third quarter guidance across all key metrics and raises full year guidance for fourth time
MIAMI, Oct. 31, 2024 (GLOBE NEWSWIRE) -- Norwegian Cruise Line Holdings Ltd. (NYSE: NCLH) (together with NCL Corporation Ltd. (“NCLC”), “Norwegian Cruise Line Holdings”, “Norwegian”, “NCLH” or the “Company”) today reported financial results for the third quarter ended September 30, 2024 and provided guidance for the fourth quarter and full year 2024.
Third Quarter 2024 Highlights
- Generated record third quarter total revenue of
$2.8 billion , an ~11% increase compared to the same period in 2023 on4% capacity growth. GAAP net income was$474.9 million , a37% increase compared to third quarter 2023, with EPS increasing$0.24 , or34% , to$0.95 . Performance was driven by strong revenue growth and continued execution on cost reductions and efficiencies, which offset a$0.06 per share negative impact from foreign exchange rates in the quarter. - The Company’s sustained focus on margin enhancement drove another quarter of improvement in operating costs. Gross Cruise Costs per Capacity Day was approximately
$314 for the quarter. Adjusted Net Cruise Cost excluding Fuel per Capacity Day was approximately$155 on an as reported and Constant Currency basis, and was better than guidance of$156 due to timing differences of costs which will now shift to the fourth quarter.1 - Adjusted EBITDA grew
24% to$931.0 million , a quarterly record high, compared to$752.1 million for the same period of 2023 and above guidance of approximately$870 million . Adjusted EPS grew$0.24 , or31% , to$0.99 , exceeding guidance of$0.92 . - Gross margin per Capacity Day was up
19% versus 2023 on an as reported and up20% on a Constant Currency basis. Net Yield growth beat guidance by 260 basis points, increasing over prior year by approximately8.7% on an as reported and9.0% on a Constant Currency basis due to strong demand and pricing across our deployment, particularly in Alaska and Canada-New England, as well as onboard spend. - Total debt was
$13.4 billion . Net Leverage was 5.58x for the 12-months ended September 30, 2024, an ~1.75x reduction from December 31, 2023. - Successfully issued
$315 million of6.250% senior notes due 2030. The net proceeds, together with cash on hand, were used to redeem$315 million aggregate principal amount of the3.625% senior notes due 2024.
1 See “Terminology”, “Non-GAAP Financial Measures” and “Outlook” below for additional information about Adjusted Net Cruise Cost excluding Fuel per Capacity Day, Adjusted EPS, Adjusted EBITDA and other non-GAAP financial measures.
2024 Outlook
- 2024 full year Net Yield guidance on a Constant Currency basis increased 120 basis points from the prior guidance to approximately
9.4% from8.2% . The increase in guidance is driven by strong demand across all three brands and itineraries in the second half of 2024. - 2024 full year Adjusted EBITDA guidance increased
$75 million from the prior guidance to approximately$2.42 5 billion from$2.35 0 billion. This raise is due to better than expected third quarter results and increased guidance for the fourth quarter of 2024. - Adjusted Operational EBITDA Margin for the full year 2024 increased to
35.3% , up from previous guidance of34.5% . - Full year 2024 Adjusted Net Cruise Cost excluding Fuel per Capacity Day guidance remained unchanged at flat to prior year excluding the impact of Dry-docks, as cost savings measures fully offset inflation and increased variable compensation due to strong performance of the business.
- Full year Adjusted Net Income guidance increased
$65 million from prior guidance to approximately$855 million from$790 million , and Adjusted EPS guidance increased approximately8% , or$0.12 t o$1.65 from$1.53 . - Net Leverage is expected to end the year at ~5.4 times, a reduction of almost two turns compared to 2023.
- On track to achieve double-digit Adjusted ROIC by year-end.
- Remain committed to Charting the Course targets; progressing towards achieving 2026 goals.
"Our exceptional third quarter results, with record revenue, net income and Adjusted EBITDA, surpassed guidance across all key metrics, underscoring the strength of our business, the attractiveness of our product offering across all brands and the superior execution and delivery by our teams both shoreside and shipboard," said Harry Sommer, President and chief executive officer of Norwegian Cruise Line Holdings Ltd. "Fueled by robust demand and our relentless focus on cost control and margin enhancement, we're raising our full-year guidance for a fourth time and expect 2024 to be our best year2 for revenue, Net Yield growth and Adjusted EBITDA. We now project Adjusted EBITDA to be
2 We expect 2024 to result in record revenue, Adjusted EBITDA and Net Yield growth as compared to each full year since the company’s initial public offering when normalizing yearly Net Yield growth for acquisitions such as the acquisition of Prestige Cruise Holdings in 2014.
Booking Environment Update
With the majority of the new bookings now being made for voyages in 2025 and beyond, the Company continues to experience strong consumer demand for its offerings across itineraries and brands. As a result, the Company remains at the upper range of its optimal booked position on a 12-month forward basis. Occupancy was
Liquidity and Financial Position
The Company is committed to prioritizing efforts to optimize its balance sheet and reduce leverage. As of September 30, 2024, the Company had total debt of
At quarter-end, liquidity was
“This quarter, we made significant strides in strengthening our financial position. We successfully refinanced
Outlook and Guidance
In addition to announcing the results for the third quarter 2024, the Company also provided guidance for the fourth quarter and full year 2024, along with accompanying sensitivities. The Company does not provide certain estimated future results on a GAAP basis because the Company is unable to predict, with reasonable certainty, the future movement of foreign exchange rates or the future impact of certain gains and charges. These items are uncertain and will depend on several factors, including industry conditions, and could be material to the Company’s results computed in accordance with GAAP. The Company has not provided reconciliations between the Company’s 2024 guidance and the most directly comparable GAAP measures because it would be too difficult to prepare a reliable U.S. GAAP quantitative reconciliation without unreasonable effort.
| 2024 Guidance | ||||
| Fourth Quarter 2024 | Full Year 2024 | |||
| As Reported | Constant Currency | As Reported | Constant Currency | |
| Net Yield | ~ ~ | ~ ~ | ~ ~ | ~ ~ |
| Adjusted Net Cruise Cost Excluding Fuel per Capacity Day1 | ~ ~ | ~ ~ | ~ ~ | ~ ~ |
| Capacity Days | ~5.85 million | ~23.46 million | ||
| Occupancy | ~ | ~ | ||
| Adjusted EBITDA | ~ | ~ | ||
| Adjusted Net Income | ~ | ~ | ||
| Adjusted EPS2 | ~ | ~ | ||
| Diluted Weighted-Average Shares Outstanding3 | ~445 million | ~515 million | ||
| Depreciation and Amortization | ~ | ~ | ||
| Adjusted Interest Expense, net4 | ~ | ~ | ||
| Effect of a Adjusted EBITDA / Adjusted EPS | ~ ~ | ~ ~ | ||
| Effect of a Cruise Cost Excluding Fuel per Capacity Day on Adjusted EBITDA / Adjusted EPS | ~ ~ | ~ ~ | ||
- Q4 2024 includes an approximate 370 basis point, or approximately
$6 impact of increased Dry-dock days and related costs. Full Year 2024 includes an approximate 300 basis point, or approximately$5 , impact of increased Dry-dock days and related costs. Excluding this impact, the Adjusted Net Cruise Cost Excluding Fuel per Capacity Day would be declining slightly in the fourth quarter amounting to$150 as reported and$149 in Constant Currency and essentially flat year-over-year, amounting to$155 as reported and$154 in Constant Currency in 2024. - Based on guidance and using diluted weighted-average shares outstanding of approximately 445 million for the fourth quarter of 2024 and 515 million for full year 2024. Adjusted EPS for the fourth quarter 2024 assumes that none of the Company’s outstanding exchangeable notes are dilutive and therefore are not included in diluted weighted-average shares outstanding and full year 2024 assumes that all four of the Company’s exchangeable notes are fully dilutive and therefore excludes approximately
$62 million of interest expense, respectively, associated with the Company’s exchangeable notes. - Q4 2024 assumes all three of the Company’s exchangeable notes are anti-dilutive and therefore are not included in diluted weighted-average shares outstanding and full year 2024 assumes all four of the Company’s exchangeable notes are dilutive and therefore are included in diluted weighted-average shares outstanding.
- Based on the Company’s September 30, 2024 outstanding variable rate debt balance, a one percentage point increase in annual SOFR interest rates would increase the Company’s annual interest expense by approximately
$6 million excluding the effects of capitalization of interest.
The following reflects the foreign currency exchange rates the Company used in its fourth quarter and full year 2024 guidance.
| Current Guidance | |||
| Euro | $ | 1.11 | |
| British pound | $ | 1.34 | |
| Australian Dollar | $ | 0.69 | |
| Canadian Dollar | $ | 0.74 | |
Fuel
The Company reported fuel expense of
| Fourth Quarter 2024 | Full Year 2024 | ||||||
| Fuel consumption in metric tons1 | 246,000 | 995,000 | |||||
| Fuel price per metric ton, net of hedges2 | $ | 700 | $ | 714 | |||
| Effect on Adjusted EPS of a | $ | 0.02 | $ | 0.02 | |||
- Fuel consumption for the full year 2024 is expected to be split approximately evenly between heavy fuel oil and marine gas oil.
- Fuel prices are based on forward curves as of 10/25/2024.
As of October 29, 2024, the Company had hedged approximately
| 2024 | 2025 | 2026 | ||||||||
| % of HFO Consumption Hedged1 | 40 | % | 46 | % | 20 | % | ||||
| Blended HFO Hedge Price / Metric Ton | $ | 397 | $ | 410 | $ | 373 | ||||
| % of MGO Consumption Hedged | 62 | % | 54 | % | 22 | % | ||||
| Blended MGO Hedge Price / Metric Ton | $ | 743 | $ | 721 | $ | 667 | ||||
| Total % of Consumption Hedged | 51 | % | 51 | % | 21 | % | ||||
- Hedged derivatives include accounting hedges as well as economic hedges.
Capital Expenditures
Non-newbuild capital expenditures for the third quarter of 2024 were
Newbuild-related capital expenditures, net of export credit financing, are expected to be approximately
Company Updates and Other Business Highlights:
Fleet and Brand Updates
- Norwegian Cruise Line recently announced new brand positioning, unveiling the all-new ‘More At Sea' package. An upgrade over the previous ‘Free At Sea’ promotion, this new direction will provide even more benefits and premium inclusions to provide our guests a best in-class product. Learn more here.
- Oceania Cruises revealed Your World Included™, a new brand value promise that features an updated selection of always included amenities for guests. The updated inclusions began on October 1, 2024 for all new reservations on sailings departing on or after January 1, 2025. Learn more here.
- Norwegian Cruise Line opened for sale the all-new Norwegian Luna, the sister ship to Norwegian Aqua. The ship is set to debut in April 2026 with seven-day voyages from Miami. Learn more here.
- Regent Seven Seas commenced construction on Seven Seas PrestigeTM with the ship’s steel cutting ceremony at the Fincantieri-Marghera shipyard in Venice, Italy. Learn more here.
- Norwegian Cruse Line and the National Hocky League® (NHL) announced a multiyear U.S. partnership, naming Norwegian Cruise Line the official cruise line of the NHL. Learn more here.
Conference Call
The Company has scheduled a conference call for Thursday, October 31, 2024 at 9:00 a.m. Eastern Time to discuss third quarter results and provide a business update. A link to the live webcast along with a slide presentation can be found on the Company’s Investor Relations website at https://www.nclhltd.com/investors. A replay of the conference call will also be available on the website for 30 days after the call.
About Norwegian Cruise Line Holdings Ltd.
Norwegian Cruise Line Holdings Ltd. (NYSE: NCLH) is a leading global cruise company which operates Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises. With a combined fleet of 32 ships and approximately 66,500 berths, NCLH offers itineraries to approximately 700 destinations worldwide. NCLH expects to add 13 additional ships across its three brands through 2036, which will add approximately 41,000 berths to its fleet. To learn more, visit www.nclhltd.com.
Terminology
Adjusted EBITDA. EBITDA adjusted for other income (expense), net and other supplemental adjustments.
Adjusted EPS. Adjusted Net Income (Loss) divided by the number of diluted weighted-average shares outstanding.
Adjusted Gross Margin. Gross margin adjusted for payroll and related, fuel, food, other and ship depreciation. Gross margin is calculated pursuant to GAAP as total revenue less total cruise operating expense and ship depreciation.
Adjusted Net Cruise Cost Excluding Fuel. Net Cruise Cost less fuel expense adjusted for supplemental adjustments.
Adjusted Net Income (Loss). Net income (loss), adjusted for the effect of dilutive securities and other supplemental adjustments.
Adjusted Operational EBITDA Margin. Adjusted EBITDA divided by Adjusted Gross Margin.
Adjusted ROIC. An amount expressed as a percentage equal to (i) Adjusted EBITDA less depreciation and amortization plus other supplemental adjustments, divided by (ii) the sum of total long-term debt and shareholders’ equity as of the end of a respective quarter, averaged for the most recent five fiscal quarters ending with the last date of the applicable fiscal year.
Berths. Double occupancy capacity per cabin (single occupancy per studio cabin) even though many cabins can accommodate three or more passengers.
Capacity Days. Berths available for sale multiplied by the number of cruise days for the period for ships in service.
Constant Currency. A calculation whereby foreign currency-denominated revenues and expenses in a period are converted at the U.S. dollar exchange rate of a comparable period in order to eliminate the effects of foreign exchange fluctuations.
Dry-dock. A process whereby a ship is positioned in a large basin where all of the fresh/sea water is pumped out in order to carry out cleaning and repairs of those parts of a ship which are below the water line.
EBITDA. Earnings before interest, taxes, and depreciation and amortization.
EPS. Diluted earnings (loss) per share.
GAAP. Generally accepted accounting principles in the U.S.
Gross Cruise Cost. The sum of total cruise operating expense and marketing, general and administrative expense.
Net Cruise Cost. Gross Cruise Cost less commissions, transportation and other expense and onboard and other expense.
Net Cruise Cost Excluding Fuel. Net Cruise Cost less fuel expense.
Net Debt. Long-term debt, including current portion, less cash and cash equivalents.
Net Leverage. Net Debt divided by Adjusted EBITDA for the trailing twelve-months.
Net Per Diem. Adjusted Gross Margin divided by Passenger Cruise Days.
Net Yield. Adjusted Gross Margin per Capacity Day.
Occupancy, Occupancy Percentage or Load Factor. The ratio of Passenger Cruise Days to Capacity Days. A percentage in excess of
Passenger Cruise Days. The number of passengers carried for the period, multiplied by the number of days in their respective cruises.
Revolving Loan Facility.
Non-GAAP Financial Measures
We use certain non-GAAP financial measures, such as Adjusted Gross Margin, Adjusted Operational EBITDA Margin, Net Yield, Net Cruise Cost, Adjusted Net Cruise Cost Excluding Fuel, Adjusted EBITDA, Net Leverage, Net Debt, Adjusted Net Income (Loss), Adjusted EPS, Adjusted ROIC and Net Per Diem, to enable us to analyze our performance. See “Terminology” for the definitions of these and other non-GAAP financial measures. Our management believes the presentation of Adjusted ROIC provides a useful performance metric to both management and investors for evaluating our effective use of capital and has used it as a performance measure for our incentive compensation. We utilize Adjusted Gross Margin, Net Yield, and Net Per Diem to manage our business on a day-to-day basis because they reflect revenue earned net of certain direct variable costs. We utilize Adjusted Operational EBITDA Margin to assess operating performance. We also utilize Net Cruise Cost and Adjusted Net Cruise Cost Excluding Fuel to manage our business on a day-to-day basis. In measuring our ability to control costs in a manner that positively impacts net income (loss), we believe changes in Adjusted Gross Margin, Adjusted Operational EBITDA Margin, Net Yield, Net Cruise Cost and Adjusted Net Cruise Cost Excluding Fuel to be the most relevant indicators of our performance.
As our business includes the sourcing of passengers and deployment of vessels outside of the U.S., a portion of our revenue and expenses are denominated in foreign currencies, particularly British pound, Canadian dollar, Euro and Australian dollar which are subject to fluctuations in currency exchange rates versus our reporting currency, the U.S. dollar. In order to monitor results excluding these fluctuations, we calculate certain non-GAAP measures on a Constant Currency basis, whereby current period revenue and expenses denominated in foreign currencies are converted to U.S. dollars using currency exchange rates of the comparable period. We believe that presenting these non-GAAP measures on both a reported and Constant Currency basis is useful in providing a more comprehensive view of trends in our business.
We believe that Adjusted EBITDA is appropriate as a supplemental financial measure as it is used by management to assess operating performance. We also believe that Adjusted EBITDA is a useful measure in determining our performance as it reflects certain operating drivers of our business, such as sales growth, operating costs, marketing, general and administrative expense and other operating income and expense. In addition, management uses Adjusted EBITDA as a performance measure for our incentive compensation. Adjusted EBITDA is not a defined term under GAAP nor is it intended to be a measure of liquidity or cash flows from operations or a measure comparable to net income (loss), as it does not take into account certain requirements such as capital expenditures and related depreciation, principal and interest payments and tax payments and it includes other supplemental adjustments.
In addition, Adjusted Net Income (Loss) and Adjusted EPS are non-GAAP financial measures that exclude certain amounts and are used to supplement GAAP net income (loss) and EPS. We use Adjusted Net Income (Loss) and Adjusted EPS as key performance measures of our earnings performance. We believe that both management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting and analyzing future periods. These non-GAAP financial measures also facilitate management’s internal comparison to our historical performance. In addition, management uses Adjusted EPS as a performance measure for our incentive compensation. The amounts excluded in the presentation of these non-GAAP financial measures may vary from period to period; accordingly, our presentation of Adjusted Net Income (Loss) and Adjusted EPS may not be indicative of future adjustments or results.
Net Leverage and Net Debt are performance measures that we believe provide management and investors a more complete understanding of our leverage position and borrowing capacity after factoring in cash and cash equivalents.
You are encouraged to evaluate each adjustment used in calculating our non-GAAP financial measures and the reasons we consider our non-GAAP financial measures appropriate for supplemental analysis. In evaluating our non-GAAP financial measures, you should be aware that in the future we may incur expenses similar to the adjustments in our presentation. Our non-GAAP financial measures have limitations as analytical tools, and you should not consider these measures in isolation or as a substitute for analysis of our results as reported under GAAP. Our presentation of our non-GAAP financial measures should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items. Our non-GAAP financial measures may not be comparable to other companies. Please see a historical reconciliation of these measures to the most comparable GAAP measure presented in our consolidated financial statements below.
Cautionary Statement Concerning Forward-Looking Statements
Some of the statements, estimates or projections contained in this release are “forward-looking statements” within the meaning of the U.S. federal securities laws intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts contained, or incorporated by reference, in this release, including, without limitation, our expectations regarding our future financial position, including our liquidity requirements and future capital expenditures, plans, prospects, actions taken or strategies being considered with respect to our liquidity position, including with respect to refinancing, amending the terms of, or extending the maturity of our indebtedness, our ability to comply with covenants under our debt agreements, expectations regarding our exchangeable notes, valuation and appraisals of our assets, expectations regarding our deferred tax assets, expected fleet additions and cancellations, including expected timing thereof, our expectations regarding the impact of macroeconomic conditions and recent global events, and expectations relating to our sustainability program and decarbonization efforts may be forward-looking statements. Many, but not all, of these statements can be found by looking for words like “expect,” “anticipate,” “goal,” “project,” “plan,” “believe,” “seek,” “will,” “may,” “forecast,” “estimate,” “intend,” “future” and similar words. Forward-looking statements do not guarantee future performance and may involve risks, uncertainties and other factors which could cause our actual results, performance or achievements to differ materially from the future results, performance or achievements expressed or implied in those forward-looking statements. Examples of these risks, uncertainties and other factors include, but are not limited to the impact of: adverse general economic factors, such as fluctuating or increasing levels of interest rates, inflation, unemployment, underemployment and the volatility of fuel prices, declines in the securities and real estate markets, and perceptions of these conditions that decrease the level of disposable income of consumers or consumer confidence; implementing precautions in coordination with regulators and global public health authorities to protect the health, safety and security of guests, crew and the communities we visit and to comply with related regulatory restrictions; our indebtedness and restrictions in the agreements governing our indebtedness that require us to maintain minimum levels of liquidity and be in compliance with maintenance covenants and otherwise limit our flexibility in operating our business, including the significant portion of assets that are collateral under these agreements; our ability to work with lenders and others or otherwise pursue options to defer, renegotiate, refinance or restructure our existing debt profile, near-term debt amortization, newbuild related payments and other obligations and to work with credit card processors to satisfy current or potential future demands for collateral on cash advanced from customers relating to future cruises; our need for additional financing or financing to optimize our balance sheet, which may not be available on favorable terms, or at all, and our outstanding exchangeable notes and any future financing which may be dilutive to existing shareholders; the unavailability of ports of call; future increases in the price of, or major changes, disruptions or reduction in, commercial airline services; changes involving the tax and environmental regulatory regimes in which we operate, including new regulations aimed at reducing greenhouse gas emissions; the accuracy of any appraisals of our assets; our success in controlling operating expenses and capital expenditures; trends in, or changes to, future bookings and our ability to take future reservations and receive deposits related thereto; adverse events impacting the security of travel, or customer perceptions of the security of travel, such as terrorist acts, armed conflict, such as Russia’s invasion of Ukraine or the Israel-Hamas war, or threats thereof, acts of piracy, and other international events; public health crises, and their effect on the ability or desire of people to travel (including on cruises); adverse incidents involving cruise ships; our ability to maintain and strengthen our brand; breaches in data security or other disturbances to our information technology systems and other networks or our actual or perceived failure to comply with requirements regarding data privacy and protection; changes in fuel prices and the type of fuel we are permitted to use and/or other cruise operating costs; mechanical malfunctions and repairs, delays in our shipbuilding program, maintenance and refurbishments and the consolidation of qualified shipyard facilities; the risks and increased costs associated with operating internationally; our inability to recruit or retain qualified personnel or the loss of key personnel or employee relations issues; impacts related to climate change and our ability to achieve our climate-related or other sustainability goals; our inability to obtain adequate insurance coverage; pending or threatened litigation, investigations and enforcement actions; volatility and disruptions in the global credit and financial markets, which may adversely affect our ability to borrow and could increase our counterparty credit risks, including those under our credit facilities, derivatives, contingent obligations, insurance contracts and new ship progress payment guarantees; any further impairment of our trademarks, trade names or goodwill; our reliance on third parties to provide hotel management services for certain ships and certain other services; fluctuations in foreign currency exchange rates; our expansion into new markets and investments in new markets and land-based destination projects; overcapacity in key markets or globally; and other factors set forth under “Risk Factors” in our most recently filed Annual Report on Form 10-K and subsequent filings with the Securities and Exchange Commission. The above examples are not exhaustive and new risks emerge from time to time. There may be additional risks that we currently consider immaterial or which are unknown. Such forward-looking statements are based on our current beliefs, assumptions, expectations, estimates and projections regarding our present and future business strategies and the environment in which we expect to operate in the future. You are cautioned not to place undue reliance on the forward-looking statements included in this release, which speak only as of the date made. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in our expectations with regard thereto or any change of events, conditions or circumstances on which any such statement was based, except as required by law.
Investor Relations & Media Contacts
Sarah Inmon
(786) 812-3233
InvestorRelations@nclcorp.com
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| (in thousands, except share and per share data) | ||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||
| September 30, | September 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenue | ||||||||||||||||
| Passenger ticket | $ | 1,944,921 | $ | 1,733,594 | $ | 5,006,811 | $ | 4,420,909 | ||||||||
| Onboard and other | 861,657 | 802,443 | 2,363,474 | 2,142,559 | ||||||||||||
| Total revenue | 2,806,578 | 2,536,037 | 7,370,285 | 6,563,468 | ||||||||||||
| Cruise operating expense | ||||||||||||||||
| Commissions, transportation and other | 564,614 | 546,026 | 1,501,863 | 1,462,565 | ||||||||||||
| Onboard and other | 211,753 | 188,694 | 515,496 | 470,271 | ||||||||||||
| Payroll and related | 337,430 | 323,862 | 1,012,289 | 936,237 | ||||||||||||
| Fuel | 164,934 | 170,893 | 537,632 | 530,003 | ||||||||||||
| Food | 78,096 | 87,839 | 239,850 | 271,575 | ||||||||||||
| Other | 182,112 | 165,432 | 573,987 | 476,123 | ||||||||||||
| Total cruise operating expense | 1,538,939 | 1,482,746 | 4,381,117 | 4,146,774 | ||||||||||||
| Other operating expense | ||||||||||||||||
| Marketing, general and administrative | 358,001 | 325,365 | 1,074,241 | 1,013,600 | ||||||||||||
| Depreciation and amortization | 218,428 | 204,608 | 663,762 | 596,513 | ||||||||||||
| Total other operating expense | 576,429 | 529,973 | 1,738,003 | 1,610,113 | ||||||||||||
| Operating income | 691,210 | 523,318 | 1,251,165 | 806,581 | ||||||||||||
| Non-operating income (expense) | ||||||||||||||||
| Interest expense, net | (175,216 | ) | (181,201 | ) | (571,865 | ) | (530,150 | ) | ||||||||
| Other income (expense), net | (34,146 | ) | 12,060 | (14,113 | ) | (4,938 | ) | |||||||||
| Total non-operating income (expense) | (209,362 | ) | (169,141 | ) | (585,978 | ) | (535,088 | ) | ||||||||
| Net income before income taxes | 481,848 | 354,177 | 665,187 | 271,493 | ||||||||||||
| Income tax benefit (expense) | (6,916 | ) | (8,309 | ) | (9,466 | ) | 1,170 | |||||||||
| Net income | $ | 474,932 | $ | 345,868 | $ | 655,721 | $ | 272,663 | ||||||||
| Weighted-average shares outstanding | ||||||||||||||||
| Basic | 439,697,135 | 425,398,415 | 433,790,997 | 424,087,517 | ||||||||||||
| Diluted | 514,878,919 | 511,585,445 | 514,002,031 | 460,819,375 | ||||||||||||
| Earnings per share | ||||||||||||||||
| Basic | $ | 1.08 | $ | 0.81 | $ | 1.51 | $ | 0.64 | ||||||||
| Diluted | $ | 0.95 | $ | 0.71 | $ | 1.37 | $ | 0.62 | ||||||||
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||||||||||||
| CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| (in thousands) | ||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||
| September 30, | September 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Net income | $ | 474,932 | $ | 345,868 | $ | 655,721 | $ | 272,663 | ||||||||
| Other comprehensive income (loss): | ||||||||||||||||
| Shipboard Retirement Plan | 94 | 63 | 283 | 191 | ||||||||||||
| Cash flow hedges: | ||||||||||||||||
| Net unrealized gain (loss) | (56,078 | ) | 57,885 | (7,668 | ) | 34,833 | ||||||||||
| Amount realized and reclassified into earnings | 2,630 | (6,563 | ) | (3,853 | ) | (13,890 | ) | |||||||||
| Total other comprehensive income (loss) | (53,354 | ) | 51,385 | (11,238 | ) | 21,134 | ||||||||||
| Total comprehensive income | $ | 421,578 | $ | 397,253 | $ | 644,483 | $ | 293,797 | ||||||||
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||||
| CONSOLIDATED BALANCE SHEETS | ||||||||
| (Unaudited) | ||||||||
| (in thousands, except share data) | ||||||||
| September 30, | December 31, | |||||||
| 2024 | 2023 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 332,521 | $ | 402,415 | ||||
| Accounts receivable, net | 200,841 | 280,271 | ||||||
| Inventories | 145,056 | 157,646 | ||||||
| Prepaid expenses and other assets | 500,815 | 472,816 | ||||||
| Total current assets | 1,179,233 | 1,313,148 | ||||||
| Property and equipment, net | 16,743,936 | 16,433,292 | ||||||
| Goodwill | 135,764 | 98,134 | ||||||
| Trade names | 500,525 | 500,525 | ||||||
| Other long-term assets | 1,226,545 | 1,147,891 | ||||||
| Total assets | $ | 19,786,003 | $ | 19,492,990 | ||||
| Liabilities and shareholders’ equity | ||||||||
| Current liabilities: | ||||||||
| Current portion of long-term debt | $ | 1,653,460 | $ | 1,744,778 | ||||
| Accounts payable | 172,937 | 174,338 | ||||||
| Accrued expenses and other liabilities | 1,067,532 | 1,058,919 | ||||||
| Advance ticket sales | 3,144,586 | 3,060,666 | ||||||
| Total current liabilities | 6,038,515 | 6,038,701 | ||||||
| Long-term debt | 11,751,743 | 12,314,147 | ||||||
| Other long-term liabilities | 860,415 | 839,335 | ||||||
| Total liabilities | 18,650,673 | 19,192,183 | ||||||
| Commitments and contingencies | ||||||||
| Shareholders’ equity: | ||||||||
| Ordinary shares, and outstanding at September 30, 2024 and 425,546,570 shares issued and outstanding at December 31, 2023 | 440 | 425 | ||||||
| Additional paid-in capital | 7,898,982 | 7,708,957 | ||||||
| Accumulated other comprehensive income (loss) | (519,676 | ) | (508,438 | ) | ||||
| Accumulated deficit | (6,244,416 | ) | (6,900,137 | ) | ||||
| Total shareholders’ equity | 1,135,330 | 300,807 | ||||||
| Total liabilities and shareholders’ equity | $ | 19,786,003 | $ | 19,492,990 | ||||
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||||
| CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
| (Unaudited) | ||||||||
| (in thousands) | ||||||||
| Nine Months Ended | ||||||||
| September 30, | ||||||||
| 2024 | 2023 | |||||||
| Cash flows from operating activities | ||||||||
| Net income | $ | 655,721 | $ | 272,663 | ||||
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
| Depreciation and amortization expense | 726,877 | 649,958 | ||||||
| (Gain) loss on derivatives | (712 | ) | 9,338 | |||||
| Loss on extinguishment of debt | 29,175 | 2,801 | ||||||
| Provision for bad debts and inventory obsolescence | 3,668 | 3,640 | ||||||
| Gain on involuntary conversion of assets | (4,605 | ) | (4,583 | ) | ||||
| Share-based compensation expense | 65,570 | 96,254 | ||||||
| Net foreign currency adjustments on euro-denominated debt | 6,811 | (2,027 | ) | |||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable, net | 72,341 | 80,064 | ||||||
| Inventories | 12,160 | (18,120 | ) | |||||
| Prepaid expenses and other assets | 26,244 | 437,465 | ||||||
| Accounts payable | (8,388 | ) | (60,971 | ) | ||||
| Accrued expenses and other liabilities | (25,154 | ) | (139,188 | ) | ||||
| Advance ticket sales | 90,859 | 419,420 | ||||||
| Net cash provided by operating activities | 1,650,567 | 1,746,714 | ||||||
| Cash flows from investing activities | ||||||||
| Additions to property and equipment, net | (967,516 | ) | (2,102,698 | ) | ||||
| Cash paid on settlement of derivatives | — | (118,610 | ) | |||||
| Acquisition, net of cash acquired | (27,322 | ) | — | |||||
| Other | 9,164 | 14,678 | ||||||
| Net cash used in investing activities | (985,674 | ) | (2,206,630 | ) | ||||
| Cash flows from financing activities | ||||||||
| Repayments of long-term debt | (1,268,605 | ) | (2,629,681 | ) | ||||
| Proceeds from long-term debt | 688,901 | 2,989,183 | ||||||
| Proceeds from employee related plans | — | 5,307 | ||||||
| Net share settlement of restricted share units | (22,058 | ) | (25,271 | ) | ||||
| Early redemption premium | (19,166 | ) | — | |||||
| Deferred financing fees | (113,859 | ) | (145,051 | ) | ||||
| Net cash provided by (used in) financing activities | (734,787 | ) | 194,487 | |||||
| Net decrease in cash and cash equivalents | (69,894 | ) | (265,429 | ) | ||||
| Cash and cash equivalents at beginning of the period | 402,415 | 946,987 | ||||||
| Cash and cash equivalents at end of the period | $ | 332,521 | $ | 681,558 | ||||
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||||||||
| NON-GAAP RECONCILING INFORMATION | ||||||||||||
| (Unaudited) | ||||||||||||
| The following table sets forth selected statistical information: | ||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||
| September 30, | September 30, | |||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||
| Passengers carried | 812,529 | 740,658 | 2,261,006 | 2,067,653 | ||||||||
| Passenger Cruise Days | 6,521,610 | 6,176,403 | 18,711,554 | 17,455,259 | ||||||||
| Capacity Days | 6,033,707 | 5,820,448 | 17,611,107 | 16,749,283 | ||||||||
| Occupancy Percentage | 108.1 | % | 106.1 | % | 106.2 | % | 104.2 | % | ||||
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||||||||||||||
| NON-GAAP RECONCILING INFORMATION | ||||||||||||||||||
| (Unaudited) | ||||||||||||||||||
| Adjusted Gross Margin, Net Per Diem, and Net Yield were calculated as follows (in thousands, except Net Yield, Net Per Diem, Capacity Days, Passenger Cruise Days, per Passenger Cruise Day and Capacity Day data): | ||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||
| September 30, | September 30, | |||||||||||||||||
| 2024 | 2024 | |||||||||||||||||
| Constant Currency | Constant Currency | |||||||||||||||||
| 2024 | compared to 2023 | 2023 | 2024 | compared to 2023 | 2023 | |||||||||||||
| Total revenue | $ | 2,806,578 | $ | 2,813,354 | $ | 2,536,037 | $ | 7,370,285 | $ | 7,372,603 | $ | 6,563,468 | ||||||
| Less: | ||||||||||||||||||
| Total cruise operating expense | 1,538,939 | 1,540,922 | 1,482,746 | 4,381,117 | 4,379,606 | 4,146,774 | ||||||||||||
| Ship depreciation | 202,994 | 202,994 | 190,549 | 617,439 | 617,439 | 555,617 | ||||||||||||
| Gross margin | 1,064,645 | 1,069,438 | 862,742 | 2,371,729 | 2,375,558 | 1,861,077 | ||||||||||||
| Ship depreciation | 202,994 | 202,994 | 190,549 | 617,439 | 617,439 | 555,617 | ||||||||||||
| Payroll and related | 337,430 | 337,437 | 323,862 | 1,012,289 | 1,012,223 | 936,237 | ||||||||||||
| Fuel | 164,934 | 164,940 | 170,893 | 537,632 | 537,606 | 530,003 | ||||||||||||
| Food | 78,096 | 78,209 | 87,839 | 239,850 | 239,925 | 271,575 | ||||||||||||
| Other | 182,112 | 182,458 | 165,432 | 573,987 | 572,273 | 476,123 | ||||||||||||
| Adjusted Gross Margin | $ | 2,030,211 | $ | 2,035,476 | $ | 1,801,317 | $ | 5,352,926 | $ | 5,355,024 | $ | 4,630,632 | ||||||
| Passenger Cruise Days | 6,521,610 | 6,521,610 | 6,176,403 | 18,711,554 | 18,711,554 | 17,455,259 | ||||||||||||
| Capacity Days | 6,033,707 | 6,033,707 | 5,820,448 | 17,611,107 | 17,611,107 | 16,749,283 | ||||||||||||
| Total revenue per Passenger Cruise Day | $ | 430.35 | $ | 431.39 | $ | 410.60 | $ | 393.89 | $ | 394.01 | $ | 376.02 | ||||||
| Gross margin per Passenger Cruise Day | $ | 163.25 | $ | 163.98 | $ | 139.68 | $ | 126.75 | $ | 126.96 | $ | 106.62 | ||||||
| Net Per Diem | $ | 311.31 | $ | 312.11 | $ | 291.64 | $ | 286.08 | $ | 286.19 | $ | 265.29 | ||||||
| Gross margin per Capacity Day | $ | 176.45 | $ | 177.24 | $ | 148.23 | $ | 134.67 | $ | 134.89 | $ | 111.11 | ||||||
| Net Yield | $ | 336.48 | $ | 337.35 | $ | 309.48 | $ | 303.95 | $ | 304.07 | $ | 276.47 | ||||||
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||||||||||||||
| NON-GAAP RECONCILING INFORMATION | ||||||||||||||||||
| (Unaudited) | ||||||||||||||||||
| Gross Cruise Cost, Net Cruise Cost, Net Cruise Cost Excluding Fuel and Adjusted Net Cruise Cost Excluding Fuel were calculated as follows (in thousands, except Capacity Days and per Capacity Day data): | ||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||
| September 30, | September 30, | |||||||||||||||||
| 2024 | 2024 | |||||||||||||||||
| Constant Currency | Constant Currency | |||||||||||||||||
| 2024 | compared to 2023 | 2023 | 2024 | compared to 2023 | 2023 | |||||||||||||
| Total cruise operating expense | $ | 1,538,939 | $ | 1,540,922 | $ | 1,482,746 | $ | 4,381,117 | $ | 4,379,606 | $ | 4,146,774 | ||||||
| Marketing, general and administrative expense | 358,001 | 357,386 | 325,365 | 1,074,241 | 1,073,576 | 1,013,600 | ||||||||||||
| Gross Cruise Cost | 1,896,940 | 1,898,308 | 1,808,111 | 5,455,358 | 5,453,182 | 5,160,374 | ||||||||||||
| Less: | ||||||||||||||||||
| Commissions, transportation and other expense | 564,614 | 566,125 | 546,026 | 1,501,863 | 1,502,083 | 1,462,565 | ||||||||||||
| Onboard and other expense | 211,753 | 211,753 | 188,694 | 515,496 | 515,496 | 470,271 | ||||||||||||
| Net Cruise Cost | 1,120,573 | 1,120,430 | 1,073,391 | 3,437,999 | 3,435,603 | 3,227,538 | ||||||||||||
| Less: Fuel expense | 164,934 | 164,940 | 170,893 | 537,632 | 537,606 | 530,003 | ||||||||||||
| Net Cruise Cost Excluding Fuel | 955,639 | 955,490 | 902,498 | 2,900,367 | 2,897,997 | 2,697,535 | ||||||||||||
| Less Other Non-GAAP Adjustments: | ||||||||||||||||||
| Non-cash deferred compensation (1) | 719 | 719 | 578 | 2,156 | 2,156 | 1,734 | ||||||||||||
| Non-cash share-based compensation (2) | 20,638 | 20,638 | 23,563 | 65,570 | 65,570 | 96,254 | ||||||||||||
| Adjusted Net Cruise Cost Excluding Fuel | $ | 934,282 | $ | 934,133 | $ | 878,357 | $ | 2,832,641 | $ | 2,830,271 | $ | 2,599,547 | ||||||
| Capacity Days | 6,033,707 | 6,033,707 | 5,820,448 | 17,611,107 | 17,611,107 | 16,749,283 | ||||||||||||
| Gross Cruise Cost per Capacity Day | $ | 314.39 | $ | 314.62 | $ | 310.65 | $ | 309.77 | $ | 309.64 | $ | 308.10 | ||||||
| Net Cruise Cost per Capacity Day | $ | 185.72 | $ | 185.70 | $ | 184.42 | $ | 195.22 | $ | 195.08 | $ | 192.70 | ||||||
| Net Cruise Cost Excluding Fuel per Capacity Day | $ | 158.38 | $ | 158.36 | $ | 155.06 | $ | 164.69 | $ | 164.56 | $ | 161.05 | ||||||
| Adjusted Net Cruise Cost Excluding Fuel per Capacity Day | $ | 154.84 | $ | 154.82 | $ | 150.91 | $ | 160.84 | $ | 160.71 | $ | 155.20 | ||||||
- Non-cash deferred compensation expenses related to the crew pension plan and other crew expenses, which are included in payroll and related expense.
- Non-cash share-based compensation expenses related to equity awards, which are included in marketing, general and administrative expense and payroll and related expense.
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | |||||||||||||
| NON-GAAP RECONCILING INFORMATION | |||||||||||||
| (Unaudited) | |||||||||||||
| Adjusted Net Income and Adjusted EPS were calculated as follows (in thousands, except share and per share data): | |||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||
| September 30, | September 30, | ||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||
| Net income | $ | 474,932 | $ | 345,868 | $ | 655,721 | $ | 272,663 | |||||
| Effect of dilutive securities - exchangeable notes | 14,965 | 17,510 | 48,323 | 13,809 | |||||||||
| Net income and assumed conversion of exchangeable notes | 489,897 | 363,378 | 704,044 | 286,472 | |||||||||
| Non-GAAP Adjustments: | |||||||||||||
| Non-cash deferred compensation (1) | 1,232 | 1,009 | 3,697 | 3,029 | |||||||||
| Non-cash share-based compensation (2) | 20,638 | 23,563 | 65,570 | 96,254 | |||||||||
| Extinguishment and modification of debt (3) | 175 | — | 29,175 | 3,153 | |||||||||
| Adjusted Net Income | $ | 511,942 | $ | 387,950 | $ | 802,486 | $ | 388,908 | |||||
| Diluted weighted-average shares outstanding - Net income and Adjusted Net Income | 514,878,919 | 511,585,445 | 514,002,031 | 460,819,375 | |||||||||
| Diluted EPS | $ | 0.95 | $ | 0.71 | $ | 1.37 | $ | 0.62 | |||||
| Adjusted EPS | $ | 0.99 | $ | 0.76 | $ | 1.56 | $ | 0.84 | |||||
- Non-cash deferred compensation expenses related to the crew pension plan and other crew expenses, which are included in payroll and related expense and other income (expense), net.
- Non-cash share-based compensation expenses related to equity awards, which are included in marketing, general and administrative expense and payroll and related expense.
- Losses on extinguishment of debt and modification of debt are included in interest expense, net.
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||||||||||
| NON-GAAP RECONCILING INFORMATION | ||||||||||||||
| (Unaudited) | ||||||||||||||
| EBITDA and Adjusted EBITDA were calculated as follows (in thousands): | ||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||
| September 30, | September 30, | |||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||
| Net income | $ | 474,932 | $ | 345,868 | $ | 655,721 | $ | 272,663 | ||||||
| Interest expense, net | 175,216 | 181,201 | 571,865 | 530,150 | ||||||||||
| Income tax (benefit) expense | 6,916 | 8,309 | 9,466 | (1,170 | ) | |||||||||
| Depreciation and amortization expense | 218,428 | 204,608 | 663,762 | 596,513 | ||||||||||
| EBITDA | 875,492 | 739,986 | 1,900,814 | 1,398,156 | ||||||||||
| Other (income) expense, net (1) | 34,146 | (12,060 | ) | 14,113 | 4,938 | |||||||||
| Other Non-GAAP Adjustments: | ||||||||||||||
| Non-cash deferred compensation (2) | 719 | 578 | 2,156 | 1,734 | ||||||||||
| Non-cash share-based compensation (3) | 20,638 | 23,563 | 65,570 | 96,254 | ||||||||||
| Adjusted EBITDA | $ | 930,995 | $ | 752,067 | $ | 1,982,653 | $ | 1,501,082 | ||||||
- Primarily consists of gains and losses, net for foreign currency remeasurements.
- Non-cash deferred compensation expenses related to the crew pension plan and other crew expenses, which are included in payroll and related expense.
- Non-cash share-based compensation expenses related to equity awards, which are included in marketing, general and administrative expense and payroll and related expense.
| NORWEGIAN CRUISE LINE HOLDINGS LTD. | ||||||
| NON-GAAP RECONCILING INFORMATION | ||||||
| (Unaudited) | ||||||
| Net Debt and Net Leverage were calculated as follows (in thousands): | ||||||
| September 30, | December 31, | |||||
| 2024 | 2023 | |||||
| Long-term debt | $ | 11,751,743 | $ | 12,314,147 | ||
| Current portion of long-term debt | 1,653,460 | 1,744,778 | ||||
| Total Debt | 13,405,203 | 14,058,925 | ||||
| Less: Cash and cash equivalents | 332,521 | 402,415 | ||||
| Net Debt | $ | 13,072,682 | $ | 13,656,510 | ||
| Adjusted EBITDA for the twelve months ended | $ | 2,342,302 | $ | 1,860,731 | ||
| Net Leverage | 5.58x | 7.34x | ||||
NORWEGIAN CRUISE LINE HOLDINGS LTD.
FAQ
What was Norwegian Cruise Line Holdings (NCLH) revenue in Q3 2024?
How much did NCLH's net income grow in Q3 2024?
What is NCLH's full-year 2024 Adjusted EBITDA guidance?
What was NCLH's total debt as of Q3 2024?
