Lindblad Expeditions (LIND)2025-05-06 20:12Acquisition and Expansion - The company completed the acquisition of Torcatt Enterprises Limitada for $16.0 million, expanding its vessel and guest capacity in the Galápagos Islands[74]. - The company operates a fleet of 12 owned expedition ships and seven seasonal charter vessels, focusing on remote destinations such as Alaska, the Arctic, and the Galápagos Islands[65]. Financial Performance - Tour revenues for Q1 2025 increased by $26.1 million, or 17%, to $179.7 million compared to $153.6 million in Q1 2024, driven by a 3% increase in guest nights sold and a 7% increase in guests traveled[99]. - The cost of tours rose by $8.4 million, or 10%, to $92.8 million in Q1 2025, primarily due to operating additional voyages and higher costs[100]. - General and administrative expenses increased by $5.5 million, or 20%, to $32.7 million in Q1 2025, mainly due to higher personnel costs and stock-based compensation[101]. - Selling and marketing expenses grew by $5.5 million, or 24%, to $28.2 million in Q1 2025, attributed to higher commissions and increased marketing spend[102]. - Depreciation and amortization expenses increased by $4.0 million, or 35%, to $15.3 million in Q1 2025, related to asset depreciation and amortization from the Thomson Group acquisition[103]. - Net income for Q1 2025 was $1.0 million, a significant improvement of $5.2 million compared to a net loss of $4.2 million in Q1 2024[99]. - Adjusted EBITDA for the company increased by $8.4 million, or 39%, to $29.98 million in Q1 2025 compared to $21.61 million in Q1 2024[107]. - For the three months ended March 31, 2025, the company reported a net income of $1,011,000 compared to a net loss of $4,210,000 for the same period in 2024, indicating a significant turnaround in performance[116]. - Adjusted EBITDA for the consolidated entity increased to $29,982,000 in Q1 2025, up from $21,606,000 in Q1 2024, reflecting a growth of approximately 38.7%[116]. - The Lindblad Segment's Adjusted EBITDA rose to $26,320,000 in Q1 2025 from $20,472,000 in Q1 2024, representing an increase of about 28.5%[118]. - The Land Experiences Segment saw its Adjusted EBITDA increase to $3,662,000 in Q1 2025, up from $1,134,000 in Q1 2024, marking a substantial growth of approximately 223.5%[118]. Operational Metrics - The company utilizes various operational and financial metrics, including Adjusted EBITDA, Net Yields, and Occupancy, to assess performance and financial condition[80]. - The company’s operational metrics include Available Guest Nights, Gross Yield per Available Guest Night, and Net Yield per Available Guest Night, which are critical for performance evaluation[84][88]. - The company reported that its Lindblad brand tour revenues are traditionally larger in the first and third quarters, influenced by seasonal demand[96]. Debt and Cash Management - As of March 31, 2025, the company had $188.9 million in unrestricted cash and cash equivalents, alongside $46.4 million in restricted cash[119]. - The company reported long-term debt obligations of $635.0 million as of March 31, 2025, with expectations that cash on hand and future operating cash inflows will be sufficient to meet obligations for at least the next 12 months[120]. - Net cash provided by operating activities increased to $48.4 million for the three months ended March 31, 2025, compared to $43.9 million for the same period in 2024, reflecting an improvement of $4.5 million[121]. - Net cash used in investing activities rose to $29.0 million in Q1 2025 from $6.5 million in Q1 2024, primarily due to the acquisition of Torcatt Enterprises Limitada and capital expenditures on vessels[122]. - The company had a working capital deficit of $124.7 million as of March 31, 2025, compared to a deficit of $114.0 million as of December 31, 2024[129]. - As of March 31, 2025, the company was in compliance with all covenants related to its debt facilities[127]. Strategic Partnerships and Sustainability - The relationship with National Geographic has been extended through 2040, enhancing guest experiences through expert-led expeditions[65]. - The company emphasizes eco-conscious travel through partnerships with organizations like the World Wildlife Fund, enhancing its sustainability initiatives[67]. Risks and Challenges - The company faces risks such as geopolitical factors, fuel price fluctuations, and competition, which could impact its financial performance[62]. - The company operates two segments: the Lindblad segment and the Land Experiences segment, which includes various adventure travel brands[73].