Lindblad Expeditions (LIND) - 2025 Q2 - Quarterly Results

Second Quarter 2025 Performance Highlights Key Financial and Operational Highlights Lindblad Expeditions Holdings, Inc. achieved significant financial and operational growth in Q2 2025, with total revenue up 23% year-over-year, Adjusted EBITDA increasing by 139%, and occupancy rising to 86% Key Financial and Operational Metrics for Q2 2025 | Metric | Q2 2025 | Q2 2024 | Change | Change Rate | | :--- | :--- | :--- | :--- | :--- | | Total Revenue (USD Million) | $167.9 | - | $31.4 | 23% | | Net Loss (Attributable to Shareholders) (USD Million) | $9.7 | $25.8 | Improved by $16.1 | - | | Adjusted EBITDA (USD Million) | $24.8 | - | $14.5 | 139% | | Lindblad Segment Net Yield Per Available Guest Night (USD) | $1,241 | - | - | 13% | | Occupancy Rate | 86% | 78% | 8% | - | CEO Commentary CEO Natalya Leahy commended the team's achievements, highlighting strong momentum in revenue growth, increased occupancy, and substantial Adjusted EBITDA growth, while reaffirming a strategic focus on value creation through sustained revenue and cost innovation - The company achieved 23% revenue growth, 86% occupancy (with a 5% increase in capacity), and 139% Adjusted EBITDA growth[4] - The company's strategic focus is on sustained revenue growth and rigorous cost innovation to unlock meaningful value[4] Detailed Financial Results for Q2 2025 Tour Revenues Total tour revenues for Q2 2025 reached $167.9 million, a 23% year-over-year increase, driven by growth in both the Lindblad and Land Experiences segments Q2 2025 Tour Revenue Overview | Metric | Q2 2025 (USD Million) | Q2 2024 (USD Million) | Change (USD Million) | Change Rate | | :--- | :--- | :--- | :--- | :--- | | Total Tour Revenues | 167.9 | 136.5 | 31.4 | 23% | Lindblad Segment Tour Revenues Lindblad segment tour revenues increased by 19% to $111.0 million, primarily due to higher pricing and improved occupancy rates Lindblad Segment Tour Revenues | Metric | Q2 2025 (USD Million) | Q2 2024 (USD Million) | Change (USD Million) | Change Rate | | :--- | :--- | :--- | :--- | :--- | | Lindblad Tour Revenues | 111.0 | 93.1 | 17.9 | 19% | | Net Yield Per Available Guest Night (USD) | $1,241 | - | - | 13% | | Occupancy Rate | 86% | 78% | - | - | Land Experiences Segment Tour Revenues Land Experiences segment tour revenues grew 31% to $56.9 million, driven by more itineraries, higher pricing, and the contribution from the Wineland-Thomson Adventures acquisition Land Experiences Segment Tour Revenues | Metric | Q2 2025 (USD Million) | Q2 2024 (USD Million) | Change (USD Million) | Change Rate | | :--- | :--- | :--- | :--- | :--- | | Land Experiences Tour Revenues | 56.9 | 43.4 | 13.5 | 31% | - Growth was primarily driven by operating more itineraries, higher pricing, and the full contribution from Wineland-Thomson Adventures (acquired in Q3 2024)[7] Net Income Net loss attributable to shareholders for Q2 2025 significantly narrowed to $9.7 million ($0.18 per share), an improvement of $16.1 million year-over-year, primarily due to improved operating performance, employee retention tax credits, and foreign exchange gains Q2 2025 Net Loss Overview | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | Net Loss (Attributable to Shareholders) (USD Million) | $9.7 | $25.8 | Improved by $16.1 | | Diluted Loss Per Share (USD) | $0.18 | $0.48 | Improved by $0.30 | - The improvement in net loss primarily reflects enhanced operating performance, along with $3.4 million in employee retention tax credits, $0.8 million in foreign exchange gains, and a reduction in tax expenses from $4.5 million to $0.5 million compared to the prior year period[9] Adjusted EBITDA Adjusted EBITDA for Q2 2025 reached $24.8 million, a 139% year-over-year increase, primarily driven by strong growth in both the Lindblad and Land Experiences segments Q2 2025 Adjusted EBITDA Overview | Metric | Q2 2025 (USD Million) | Q2 2024 (USD Million) | Change (USD Million) | Change Rate | | :--- | :--- | :--- | :--- | :--- | | Total Adjusted EBITDA | 24.8 | 10.4 | 14.5 | 139% | Lindblad Segment Adjusted EBITDA Lindblad segment Adjusted EBITDA increased 150% to $16.3 million, primarily due to higher tour revenues and employee retention tax credits, partially offset by increased royalties, commissions, and marketing expenses Lindblad Segment Adjusted EBITDA | Metric | Q2 2025 (USD Million) | Q2 2024 (USD Million) | Change (USD Million) | Change Rate | | :--- | :--- | :--- | :--- | :--- | | Lindblad Adjusted EBITDA | 16.3 | 6.5 | 9.8 | 150% | - Growth was primarily attributable to increased tour revenues and employee retention tax credits, partially offset by higher royalties and commissions related to increased revenue, and increased marketing expenses to drive long-term growth initiatives[11] Land Experiences Segment Adjusted EBITDA Land Experiences segment Adjusted EBITDA grew 121% to $8.5 million, driven by increased tour revenues, the addition of Wineland-Thomson Adventures, and employee retention tax credits Land Experiences Segment Adjusted EBITDA | Metric | Q2 2025 (USD Million) | Q2 2024 (USD Million) | Change (USD Million) | Change Rate | | :--- | :--- | :--- | :--- | :--- | | Land Experiences Adjusted EBITDA | 8.5 | 3.8 | 4.7 | 121% | - Growth was primarily attributable to increased tour revenues, the addition of Wineland-Thomson Adventures (acquired in Q3 2024), and employee retention tax credits, partially offset by increased operating and personnel costs and higher marketing expenses to drive future growth[12] Financial Position and Outlook Balance Sheet and Liquidity As of June 30, 2025, the company's cash, cash equivalents, and restricted cash totaled $247.3 million, an increase from year-end 2024, primarily due to operating cash flow, with total debt at $635.0 million and compliance with all debt covenants Cash and Debt Status | Metric | June 30, 2025 (USD Million) | Dec 31, 2024 (USD Million) | Change (USD Million) | | :--- | :--- | :--- | :--- | | Cash, Cash Equivalents, and Restricted Cash | 247.3 | 216.1 | 31.2 | | Total Debt | 635.0 | - | - | - The increase in cash primarily reflects $77.6 million in operating cash flow, mainly from increased future travel bookings, partially offset by $44.7 million in cash expenditures for property and equipment purchases and the addition of National Geographic Delfina and National Geographic Gemini[14] - The company is in compliance with all applicable debt covenants[15] 2025 Full Year Outlook The company projects full-year 2025 tour revenues to be between $725 million and $750 million, with Adjusted EBITDA expected to range from $108 million to $115 million 2025 Full Year Financial Guidance | Metric | Full Year 2025 Guidance (USD Million) | | :--- | :--- | | Tour Revenues | $725 - $750 | | Adjusted EBITDA | $108 - $115 | Stock Repurchase Plan The company is executing a $35.0 million stock repurchase program, having repurchased $23.0 million in stock and warrants as of July 31, 2025, with $12.0 million remaining for repurchases Stock Repurchase Plan Status (as of July 31, 2025) | Metric | Amount/Quantity | | :--- | :--- | | Total Program Amount (USD Million) | $35.0 | | Amount Repurchased (USD Million) | $23.0 | | Shares Repurchased | 875,218 shares | | Warrants Repurchased | 6.0 million warrants | | Remaining Program Amount (USD Million) | $12.0 | | Common Shares Outstanding | 54.8 million shares | Company Information About Lindblad Expeditions Holdings, Inc. Lindblad Expeditions Holdings, Inc. is a global leader in expedition travel, offering immersive, educational journeys across six brands, focused on connecting travelers with the world's most inspiring natural and cultural landscapes - The company is a global leader in expedition travel, offering immersive, educational journeys across six brands and covering seven continents[21] - Key brands include National Geographic-Lindblad Expeditions in partnership with National Geographic, and land-based adventure brands Natural Habitat Adventures, Off the Beaten Path, DuVine Cycling + Adventure Co., Classic Journeys, and Wineland-Thomson Adventures[21] - The company is committed to responsible exploration, aiming to foster a deep appreciation for the world[21][22] Non-GAAP Financial Measures Explanation The company utilizes non-GAAP financial measures such as Adjusted EBITDA, occupancy, net yield, and net cruise cost to analyze performance and financial condition, believing these provide deeper insights, but emphasizes they are not substitutes for GAAP financial information - The company uses non-GAAP financial measures (such as Adjusted EBITDA, occupancy, net yield, and net cruise cost) to analyze performance and financial condition, considering them the most relevant metrics for measuring performance[17] - These non-GAAP metrics provide extended insights into revenue and cost performance but are not defined by specific rules or regulations, thus may not be comparable to metrics used by other companies[17] - The presentation of non-GAAP financial information should not be considered in isolation, as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP[18] Forward-Looking Statements and Risk Factors This press release contains forward-looking statements involving risks and uncertainties that could cause actual results to differ materially from expectations, including economic factors, operational disruptions, cost increases, employee management, acquisition integration, regulatory compliance, debt, litigation, and climate change - Forward-looking statements include the company's financial projections and may contain words such as 'expect', 'believe', 'may', 'estimate', 'anticipate', and similar expressions[23] - Key risks and uncertainties include adverse macroeconomic factors, voyage cancellations or rescheduling, rising fuel prices, loss of key personnel, operational disruptions, growth management and acquisition integration, relationship with National Geographic, regulatory compliance, significant indebtedness, litigation, adverse weather conditions, and competition[23] - The company undertakes no obligation to publicly update any forward-looking statements and advises investors to carefully consider these factors[23] Condensed Consolidated Financial Statements Condensed Consolidated Balance Sheets As of June 30, 2025, the company reported total assets of $936.5 million, total liabilities of $1,080.6 million, and a shareholder deficit of $263.8 million Condensed Consolidated Balance Sheets (Summary, USD Thousands) | Metric | June 30, 2025 (USD Thousands) | Dec 31, 2024 (USD Thousands) | | :--- | :--- | :--- | | Cash and Cash Equivalents | $200,929 | $183,941 | | Restricted Cash | $46,398 | $32,202 | | Total Assets | $936,523 | $876,905 | | Unearned Passenger Revenues | $381,692 | $318,666 | | Total Liabilities | $1,080,566 | $1,022,440 | | Shareholder Deficit | $(263,809) | $(253,114) | Condensed Consolidated Statements of Operations For Q2 2025, the company reported tour revenues of $167.9 million, operating income of $4.407 million, a net loss of $6.968 million, a net loss attributable to shareholders of $9.741 million, and a diluted loss per share of $0.18 Condensed Consolidated Statements of Operations (Summary, USD Thousands) | Metric | Q2 2025 (USD Thousands) | Q2 2024 (USD Thousands) | H1 2025 (USD Thousands) | H1 2024 (USD Thousands) | | :--- | :--- | :--- | :--- | :--- | | Tour Revenues | $167,945 | $136,499 | $347,666 | $290,113 | | Operating Income (Loss) | $4,407 | $(8,208) | $15,021 | $(357) | | Net Loss | $(6,968) | $(23,994) | $(5,958) | $(28,203) | | Net Loss Attributable to Lindblad Expeditions Holdings, Inc. | $(8,518) | $(24,667) | $(7,358) | $(28,645) | | Net Loss Attributable to Shareholders | $(9,741) | $(25,817) | $(9,784) | $(30,932) | | Diluted Loss Per Share (USD) | $(0.18) | $(0.48) | $(0.18) | $(0.58) | Condensed Consolidated Statements of Cash Flows In the first half of 2025, operating activities provided $77.614 million in cash, investing activities used $44.741 million, and financing activities used $1.401 million, resulting in a net increase of $31.184 million in cash, cash equivalents, and restricted cash Condensed Consolidated Statements of Cash Flows (Summary, USD Thousands) | Metric | H1 2025 (USD Thousands) | H1 2024 (USD Thousands) | | :--- | :--- | :--- | | Net Cash Provided by Operating Activities | $77,614 | $62,566 | | Net Cash Used in Investing Activities | $(44,741) | $(13,893) | | Net Cash Used in Financing Activities | $(1,401) | $(18,357) | | Net Increase in Cash, Cash Equivalents, and Restricted Cash | $31,184 | $30,316 | | End of Period Cash, Cash Equivalents, and Restricted Cash | $247,327 | $217,660 | Supplemental Financial Schedules Reconciliation of Adjusted EBITDA This section provides detailed reconciliations of net loss or operating income to Adjusted EBITDA, covering both the consolidated level and the Lindblad and Land Experiences segments Consolidated Adjusted EBITDA Reconciliation (USD Thousands) | Metric | Q2 2025 (USD Thousands) | Q2 2024 (USD Thousands) | H1 2025 (USD Thousands) | H1 2024 (USD Thousands) | | :--- | :--- | :--- | :--- | :--- | | Net Loss | $(6,968) | $(23,994) | $(5,958) | $(28,203) | | Interest Expense, Net | $11,617 | $11,321 | $23,247 | $22,906 | | Income Tax Expense (Benefit) | $547 | $4,453 | $(939) | $4,697 | | Depreciation and Amortization | $14,674 | $13,637 | $29,969 | $24,954 | | Stock-Based Compensation | $5,392 | $2,718 | $9,119 | $4,833 | | Adjusted EBITDA | $24,841 | $10,384 | $54,823 | $31,990 | Lindblad Segment Adjusted EBITDA Reconciliation (USD Thousands) | Metric | Q2 2025 (USD Thousands) | Q2 2024 (USD Thousands) | H1 2025 (USD Thousands) | H1 2024 (USD Thousands) | | :--- | :--- | :--- | :--- | :--- | | Operating (Loss) Income | $(2,070) | $(9,372) | $6,316 | $(1,589) | | Depreciation and Amortization | $13,252 | $12,749 | $27,312 | $23,231 | | Stock-Based Compensation | $5,135 | $2,541 | $8,862 | $4,656 | | Adjusted EBITDA | $16,330 | $6,541 | $42,649 | $27,013 | Land Experiences Segment Adjusted EBITDA Reconciliation (USD Thousands) | Metric | Q2 2025 (USD Thousands) | Q2 2024 (USD Thousands) | H1 2025 (USD Thousands) | H1 2024 (USD Thousands) | | :--- | :--- | :--- | :--- | :--- | | Operating Income | $6,477 | $1,164 | $8,705 | $1,232 | | Depreciation and Amortization | $1,422 | $888 | $2,657 | $1,723 | | Transaction-Related Costs | $355 | $1,614 | $555 | $1,845 | | Stock-Based Compensation | $257 | $177 | $257 | $177 | | Adjusted EBITDA | $8,511 | $3,843 | $12,174 | $4,977 | Reconciliation of Free Cash Flow For the first half of 2025, the company's free cash flow was $48.455 million, slightly lower than $48.673 million in the prior year period Free Cash Flow Reconciliation (USD Thousands) | Metric | H1 2025 (USD Thousands) | H1 2024 (USD Thousands) | | :--- | :--- | :--- | | Net Cash Provided by Operating Activities | $77,614 | $62,566 | | Less: Purchases of Property and Equipment | $(29,159) | $(13,893) | | Free Cash Flow | $48,455 | $48,673 | Operational Metrics and Yield Calculation (Lindblad Segment) The Lindblad segment achieved an 86% occupancy rate in Q2 2025, with total yield per available guest night at $1,362 and net yield at $1,241, both showing year-over-year growth Lindblad Segment Operational Metrics (Q2 2025 vs Q2 2024) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Available Guest Nights | 81,515 | 77,404 | | Sold Guest Nights | 70,198 | 60,174 | | Occupancy Rate | 86% | 78% | | Number of Guests | 9,937 | 7,773 | | Number of Voyages | 153 | 121 | Lindblad Segment Yield Per Available Guest Night Calculation (USD Thousands, except per available guest night yield) | Metric | Q2 2025 (USD Thousands) | Q2 2024 (USD Thousands) | | :--- | :--- | :--- | | Tour Revenues | $111,045 | $93,053 | | Net Yield | $101,177 | $84,642 | | Total Yield Per Available Guest Night (USD) | $1,362 | $1,202 | | Net Yield Per Available Guest Night (USD) | $1,241 | $1,094 | Cruise Cost Calculation (Lindblad Segment) The Lindblad segment's Adjusted Net Cruise Cost Excluding Fuel per Available Guest Night was $989 in Q2 2025, an increase from $936 in the prior year period Lindblad Segment Cruise Cost Calculation (USD Thousands, except per available guest night cost) | Metric | Q2 2025 (USD Thousands) | Q2 2024 (USD Thousands) | | :--- | :--- | :--- | | Total Cruise Cost | $99,863 | $89,676 | | Net Cruise Cost | $89,995 | $81,265 | | Net Cruise Cost Excluding Fuel | $85,774 | $75,581 | | Adjusted Net Cruise Cost Excluding Fuel | $80,626 | $72,417 | | Total Cruise Cost Per Available Guest Night (USD) | $1,225 | $1,159 | | Net Cruise Cost Per Available Guest Night (USD) | $1,104 | $1,050 | | Net Cruise Cost Excluding Fuel Per Available Guest Night (USD) | $1,052 | $976 | | Adjusted Net Cruise Cost Excluding Fuel Per Available Guest Night (USD) | $989 | $936 | Reconciliation of 2025 Adjusted EBITDA Guidance The company provided a reconciliation for its full-year 2025 Adjusted EBITDA guidance, projecting a range of $108 million to $115 million, based on factors such as pre-tax loss, depreciation and amortization, interest expense, and stock-based compensation 2025 Full Year Adjusted EBITDA Guidance Reconciliation (USD Million) | Metric | Full Year 2025 Guidance (USD Million) | | :--- | :--- | | Pre-Tax Loss | $(15) to $(5) | | Depreciation and Amortization | $61 to $60 | | Interest Expense, Net | $46 to $46 | | Stock-Based Compensation | $16 to $16 | | Other | $0 to $(2) | | Adjusted EBITDA | $108 to $115 | Definitions of Operational and Financial Metrics This section details the definitions of various non-GAAP operational and financial metrics used by the company to assess performance, including Adjusted EBITDA, occupancy, net yield, and various cruise cost metrics - Adjusted EBITDA: Net income (loss) adjusted for depreciation and amortization, net interest expense, other income (expense), income tax (expense) benefit, foreign currency (gain) loss, gain (loss) on asset dispositions, restructuring costs, and other supplemental adjustments (such as stock-based compensation, executive severance, debt refinancing costs, acquisition-related expenses, and other non-recurring expenses)[37] - Available Guest Nights: A measure of capacity available for sale, representing double occupancy per cabin (single occupancy for single cabins) multiplied by the number of cruise days in the period, also including guest nights for limited land programs[39] - Occupancy Rate: Calculated by dividing sold guest nights by available guest nights[46] - Net Yield: Tour revenues less commissions and other direct costs of tour revenues[43] - Net Cruise Cost: Total cruise cost less commissions and certain other direct costs of passenger ticket revenues and other tour revenues[41]