Core Insights - The cruise industry is experiencing fluctuations in consumer confidence and travel budgets, impacting bookings and revenue expectations [2][3][4] Company Performance - Norwegian Cruise Line Holdings reported first-quarter revenue of $2.13 billion, slightly below the $2.15 billion estimate, with adjusted earnings per share of 7 cents compared to the expected 9 cents [1] - The company adjusted its net yield growth guidance down to a range of 2% to 3% and anticipates revenue pressures for the year, although it maintained its EBITDA and adjusted earnings per share guidance [3] - Royal Caribbean reported results that exceeded Wall Street expectations and raised its full-year guidance, despite its shares being down about 8% year to date [5] Market Trends - The cruise industry is observing a trend where travelers are increasingly opting for cruises during economic downturns due to perceived value compared to land-based vacations [4] - On-board spending for Norwegian remained steady in April, indicating a potential return to normalcy in consumer behavior [6] - Despite some challenges, there is a belief that consumers will continue to prioritize vacations, viewing them as essential experiences [6]

Core Viewpoint - Norwegian Cruise Line Holdings Ltd. (NCLH) reported first-quarter 2025 results that missed earnings and revenue estimates, leading to an 8.5% decline in shares during pre-market trading [1][3]. Financial Performance - Adjusted earnings per share for Q1 2025 were 7 cents, missing the Zacks Consensus Estimate of 9 cents, and down from 16 cents in the prior-year quarter [3]. - Quarterly revenues totaled $2,127.6 million, missing the consensus mark of $2,148 million and representing a 3% year-over-year decline [3]. - Passenger ticket revenues were $1.41 billion, down from $1.46 billion in the prior-year quarter, while onboard and other revenues decreased to $708.9 million from $731.4 million [3][4]. Expenses and Operating Results - Total cruise operating expenses decreased by 6% year over year to $1.30 billion, attributed to lower commissions, transportation, and other costs, as well as reduced fuel and food costs [5]. - Gross cruise costs per Capacity Day were $297.39, slightly down from $298.11 in the prior year, while adjusted net cruise costs per Capacity Day were about $169.33, compared to $169.45 in the previous year [6]. Balance Sheet - As of March 31, 2025, cash and cash equivalents stood at $184.4 million, down from $190.8 million at the end of 2024, while long-term debt increased to $12.9 billion from $11.8 billion [7]. Booking Update - Despite a softening in 12-month forward booking trends, the company maintained its desired booking range, with Q1 2025 occupancy at 101.5%, slightly lower than the previous year due to increased dry-dock activity [8]. - Advance ticket sales, including long-term bookings, rose 2.6% year over year, reaching $3.9 billion by the end of the quarter [8]. Guidance - For Q2 2025, NCLH anticipates occupancy of approximately 103.2% and Capacity Days of about 6.06 million, with adjusted interest expenses expected to be around $175 million [9]. - For the full year 2025, the company expects occupancy of approximately 102.5%, down from prior guidance of 103.4%, and adjusted EPS of $2.05 [10][11].

Core Insights - Oceania Cruises is launching a comprehensive revamp of its onboard entertainment program across its fleet, with many new experiences debuting on Oceania Allura™ in July 2025 [1][5] Group 1: New Entertainment Offerings - The Blue Horizons Party will be introduced fleetwide, designed to inspire connection and joy among guests [2][6] - The entertainment program includes four categories: Enrich, Entertain, Unwind, and Celebrate, each offering unique experiences [3][4] Group 2: Wellness and Enrichment - Oceania Cruises emphasizes wellness with new guided stretch and yoga sessions tailored to all fitness levels, complementing its wellness brand Aquamar® [7] - The entertainment offerings will include a guest speaker series and creative workshops, enhancing the overall guest experience [8] Group 3: Company Overview - Oceania Cruises operates eight small luxury ships, accommodating a maximum of 1,250 guests, and offers destination-rich itineraries across more than 600 ports globally [10] - The company is a subsidiary of Norwegian Cruise Line Holdings Ltd. and has two additional ships scheduled for delivery in 2027 and 2028 or 2029 [10][11]

Norwegian Cruise Line (NCLH) came out with quarterly earnings of $0.07 per share, missing the Zacks Consensus Estimate of $0.09 per share. This compares to earnings of $0.16 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -22.22%. A quarter ago, it was expected that this cruise operator would post earnings of $0.11 per share when it actually produced earnings of $0.26, delivering a surprise of 136.36%.Over the last four quarte ...

Financial Data and Key Metrics Changes - The company reported adjusted EBITDA of $453 million, exceeding guidance of $435 million, with a trailing twelve-month margin of 35.5%, reflecting a 280 basis point improvement year-over-year [7][24][33] - Adjusted EPS for the quarter was $0.07, slightly below guidance due to a $0.05 foreign exchange headwind [8][24] - Net yields increased by 1.2%, driven by a 4.3% growth in net per diem, outperforming expectations [7][25] Business Line Data and Key Metrics Changes - The delivery of the new ship Norwegian Aqua was highlighted as a key initiative, showcasing enhancements aimed at improving guest experience while optimizing financial performance [6][8] - Significant progress was made in modernizing the existing fleet, with dry docks completed for Norwegian Bliss and Norwegian Breakaway, introducing new guest-focused enhancements [16][18] Market Data and Key Metrics Changes - Advanced ticket sales were up 3%, while occupancy was reported at 101.5%, down year-over-year due to increased dry dock days [19][24] - The company noted a 10% year-over-year increase in Caribbean capacity for Q4, which is expected to positively impact demand [20][21] Company Strategy and Development Direction - The company is focused on balancing return on investment (ROI) with return on experience (ROX), with initiatives including fleet optimization and enhancements to private island Great Stirrup Cay [6][12] - The strategic expansion of close-to-home itineraries is expected to improve the demand profile in the mid to long term [21][39] Management's Comments on Operating Environment and Future Outlook - Management acknowledged macroeconomic uncertainties but expressed confidence in the long-term fundamentals of the cruise industry, which accounts for only 2% of the global vacation market [39][41] - The company is maintaining its full-year adjusted EBITDA and adjusted EPS guidance, reflecting confidence in its ability to execute despite potential top-line pressures [21][41] Other Important Information - The company has identified initiatives supporting $300 million in cost efficiencies across the organization, with a commitment to optimizing revenue and controlling costs [22][33] - The company is actively managing its balance sheet, with a focus on reducing leverage and maintaining a strong liquidity position [35][37] Q&A Session Summary Question: Could you elaborate on recent changes in the booked position for 2025 and early 2026? - Management noted some choppiness in bookings related to Q3 itineraries but indicated a return to normality in recent weeks, with bookings for 2026 ahead of historical levels [45][46] Question: Have you seen any notable change with recent onboard spending? - Onboard revenue trends remain strong, with guests continuing to spend at solid levels once onboard [51][75] Question: Can you break down bookings for the Norwegian brand versus luxury brands? - All three brands are experiencing similar booking patterns, with pressure primarily on Q3 Europe itineraries [63][65] Question: How do you think about the ROI of the investments in Great Stirrup Cay? - Investments in Great Stirrup Cay are expected to drive marketability and onboard spend, with a goal of increasing annual visitors from 400,000 to over 1,000,000 [91][92] Question: Is the greater mix of Caribbean and Fun and Sun itineraries a yield tailwind? - The company believes the mix will provide a yield tailwind, benefiting from both higher occupancy and lower operational costs [93][94]

Q1 2025 Performance - Net Yield increased by 1.2% compared to 2024, exceeding guidance by 70 bps[8] - Adjusted EPS was $0.07, which includes a negative impact of $0.05 from FX[8] - Adjusted EBITDA was $453 million, surpassing the guidance of approximately $435 million[8] - Adjusted NCC ex Fuel per Capacity Day was $169, a 1.2% increase compared to 2024, excluding an $8 dry-dock impact, and better than the guidance of $171[8] - Net Leverage ended the quarter at 5.7x, aligning with guidance[8] Fleet and Capacity - The company has 20 ships with approximately 60,000 berths, 7 ships on order, and expects ~$10B revenue in 2025[6] - Oceania Cruises has 7 ships with approximately 6,300 berths, 3 ships on order, and expects 3 million guests carried in 2025[6] - There are 6 Regent Seven Seas Cruises ships with approximately 4,100 berths and 2 ships on order[6] - Advanced Ticket Sales balance increased by approximately 3% to $3.9 billion compared to Q1 2024[29] Guidance and Outlook - The company is targeting Q2 2025 Net Yield Growth of approximately 2.5% and FY 2025 Net Yield Growth of approximately 2.0% to 3.0%[26] - Full year 2025 Adjusted EBITDA is guided at approximately $2.72 billion[37] - Full year 2025 Adjusted EPS is guided at approximately $2.05[37]

EXHIBIT 99.1 Norwegian Cruise Line Holdings Reports First Quarter 2025 Financial Results Company delivers solid first quarter performance Full year 2025 profitability guidance maintained MIAMI, April 30, 2025 (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 first quarter ended March 31, 2025 and provided guidance for the second qua ...

Core Viewpoint - Norwegian Cruise Line Holdings Ltd. reported solid first quarter results for 2025, maintaining its profitability guidance for the full year despite macroeconomic challenges [2][4][10]. Financial Performance - Total revenue for the first quarter of 2025 was $2.1 billion, a decrease of approximately 3% compared to the first quarter of 2024 [6][7]. - The company reported a GAAP net loss of $40.3 million, with an EPS of ($0.09), reflecting a decline of $57.6 million compared to the same period in 2024 [6][7]. - Adjusted EBITDA was $453 million, slightly down by 2% from $464 million in 2024, but above the guidance of $435 million [6][7]. - Adjusted EPS was $0.07, slightly below guidance due to foreign exchange losses [6][7]. Operational Highlights - The company welcomed the delivery of Norwegian Aqua, its first Prima Plus Class vessel, and completed refurbishments on Norwegian Bliss and Norwegian Breakaway [4][6]. - Gross margin per Capacity Day increased by 5% on an as-reported basis and 7% on a Constant Currency basis compared to 2024 [7]. - Net Yield growth was approximately 0.6% on an as-reported basis, exceeding the guidance of 0.5% [7]. Debt and Liquidity - Total debt stood at $14.0 billion, with a net leverage ratio of 5.7x as of March 31, 2025, an increase of 0.4x from December 31, 2024 [8][12]. - The company had liquidity of $1.4 billion, including $184.4 million in cash and cash equivalents [13][12]. Future Guidance - The company maintained its full year 2025 Adjusted EBITDA guidance at approximately $2.72 billion, representing an 11% increase year-over-year [15]. - Full year 2025 Adjusted EPS guidance remains unchanged at $2.05, reflecting a 13% increase compared to 2024 [15]. - The company expects Net Yield to increase between 2.0% and 3.0% on a Constant Currency basis for 2025, slightly revised from previous guidance of ~3.0% [15]. Booking Environment - The company noted a softening in its 12-month forward booked position but remains within an optimal range, with occupancy at 101.5% for the first quarter of 2025 [11][10]. - Advance ticket sales balance at the end of the first quarter was $3.9 billion, up 2.6% year-over-year [11]. Capital Expenditures - The company reported newbuild-and-growth capital expenditures of $1.361 billion for the first quarter of 2025, with expectations of approximately $2.6 billion for the full year [28].

The current level reflects a downward revision of 6.2% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period. Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robu ...

Company Performance - Norwegian Cruise Line (NCLH) closed at $17.15, with a +0.88% change from the previous day, lagging behind the S&P 500's daily gain of 2.03% [1] - Over the last month, NCLH shares decreased by 15.93%, underperforming the Consumer Discretionary sector's loss of 4.94% and the S&P 500's loss of 5.07% [1] Upcoming Earnings - The company's earnings report is scheduled for April 30, 2025, with an expected EPS of $0.09, reflecting a 43.75% decline from the same quarter last year [2] - Quarterly revenue is forecasted at $2.15 billion, down 2.04% from the previous year [2] Full-Year Estimates - Full-year Zacks Consensus Estimates predict earnings of $2.06 per share and revenue of $10.15 billion, indicating year-over-year increases of +13.19% and +7.11%, respectively [3] - Recent changes in analyst estimates suggest a dynamic business environment, with positive revisions indicating confidence in the company's performance [3] Valuation Metrics - NCLH has a Forward P/E ratio of 8.27, significantly lower than the industry average of 16.98 [6] - The company also has a PEG ratio of 0.23, compared to the industry average PEG ratio of 1.17 [6] Industry Context - The Leisure and Recreation Services industry, which includes NCLH, is part of the Consumer Discretionary sector and holds a Zacks Industry Rank of 139, placing it in the bottom 44% of over 250 industries [7] - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks, with top-rated industries outperforming lower-rated ones by a factor of 2 to 1 [7]