Norwegian Cruise Line Holdings Ltd. (NYSE: NCLH) observed a notable uptrend in its stock performance during the Tuesday session. The trend marked a remarkable 19.84% increase in NCLH stock to conclude trading at $19.09. This notable ascent in Norwegian Cruise Line stock was attributed to the unveiling of its quarterly financial performance.
Norwegian Cruise Line (NCLH) released its fiscal results for the fourth quarter and the entirety of the year concluding on December 31, 2023, while also offering insights into its projections for the first quarter and full year of 2024. The company generated total revenue amounting to $8.5 billion, indicating a significant 32% escalation compared to the corresponding period in 2019.
Moreover, it reported GAAP net income of $166.2 million, translating to an EPS of $0.39, thus reinstating full-year profitability for the first time since 2019. This achievement was propelled by the Company’s ongoing margin enhancement initiative, which contributed to the amelioration of operating costs.
Notably, Gross Cruise Costs per Capacity Day stood at approximately $301 for the year, while Adjusted Net Cruise Costs excluding Fuel per Capacity Day amounted to roughly $154, representing a notable 21% reduction compared to the same period in 2022. This marks a consistent four-quarter progression of year-over-year improvement in this metric.
NCLH also successfully welcomed the delivery of three ships, namely Oceania Cruises’ Vista, Norwegian’s Viva, and Regent’s Seven Seas Grandeur, marking the highest number of deliveries in a single year in the Company’s history. Furthermore, the company anticipated the refinancing of its $650 million backstop commitment from secured to unsecured status.
As part of this refinancing, the repayment of its $250 million 9.75% senior secured notes due in 2028, characterized by the highest interest rate debt, was also expected. The Norwegian Cruise Line brand continued to witness remarkable demand, evidenced by bookings and pricing surpassing 2023 levels throughout all four quarters of 2024.
Similarly, Oceania Cruises and Regent Seven Seas Cruises observed robust demand across all regions, with the exception of redeployed itineraries due to cancellations in the Middle East and Red Sea. The Company’s consumer demand remained healthy, reaching an all-time high in booked positions and pricing, reflecting some of the most successful booking periods in its history, commencing from Black Friday and Cyber Monday.
