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].
Norwegian Cruise Line Holdings Reports First Quarter 2025 Financial Results