Norwegian Cruise Line Holdings Reports Strong Fourth Quarter and Full Year 2024 Financial Results

Core Insights - Norwegian Cruise Line Holdings reported a record total revenue of $9.5 billion for 2024, marking an approximate 11$910.3 million, a significant increase of 448% from 2023, with earnings per share (EPS) rising 386% to $1.89 [5][6] - Adjusted EBITDA for 2024 grew by 32$2.45 billion, compared to $1.86 billion in 2023, with adjusted EPS reaching$1.82 [5][6] Financial Performance - The company generated a record fourth quarter total revenue of $2.1 billion, a ~6$254.5 million, a $361 million increase from Q4 2023, with EPS increasing to$0.52 [13] - Full year 2024 Adjusted EBITDA was $2.45 billion, with a gross margin per Capacity Day up 23$13.1 billion, with net leverage improving to 5.3x, a two-turn reduction from the previous year [5][16] - The company successfully refinanced $1.8 billion of debt and upsized its revolving credit facility from$1.2 billion to $1.7 billion [13][18] 2025 Guidance - For 2025, the company expects Adjusted EBITDA to be approximately$2.72 billion, an 11% increase from 2024, with adjusted net income projected at $1.07 billion [5][11] - Full year 2025 Adjusted EPS is expected to be around$2.05, reflecting a 13% year-over-year increase [11][21] - The company anticipates a 3% increase in net yield on a constant currency basis for 2025 [11][21] Strategic Initiatives - Norwegian Cruise Line Holdings launched a transformative newbuild program, planning to add eight new vessels, which will provide approximately 25,000 additional berths [6][11] - The company is committed to its "Charting the Course" strategy, aiming to achieve specific financial targets by 2026 [3][11] Booking Environment - The company continues to experience strong consumer demand, with a full year 2024 occupancy rate of approximately 104.9% and a fourth quarter occupancy of 100.8% [15] - Advance ticket sales balance at the end of Q4 2024 was $3.2 billion, indicating robust future bookings [15]