Lindblad Expeditions (US:LIND)2020-05-02 22:21Financial Data and Key Metrics Changes - The company reported a 9% decline in total revenue to $81.2 million for Q1 2020 compared to the same period in 2019, with adjusted EBITDA declining 52% to $10.6 million [24][35] - The net loss available to common stockholders was $1.9 million or $0.04 per diluted share, compared to a net income of $14.7 million or $0.31 per diluted share in Q1 2019 [24][25] - EBITDA for the Lindblad segment was $10.6 million, down $11.5 million from the same period in 2019 [23] Business Line Data and Key Metrics Changes - The Lindblad segment experienced a 12% decrease in available guest nights due to 18 voyage disruptions and cancellations, with occupancy slightly declining to 89% [22] - Revenue for the Lindblad segment decreased by 9%, despite a 3% increase in net yields to $1,030 per night [22] - Natural Habitat's revenue declined 14% to $11.7 million, with EBITDA down 55% to $0.5 million [24] Market Data and Key Metrics Changes - Reservations as of the end of February 2020 were up 25% compared to the same point in 2019, with 86% of the original projected guest ticket revenues sold [20][21] - The company had substantial reservations for expeditions scheduled for the latter half of 2020, with 8% more bookings compared to the same date in 2019 [31] Company Strategy and Development Direction - The company is focused on enhancing liquidity and reducing costs, with plans to lower monthly cash burn from over $30 million to $10 million to $15 million while ships are laid up [29][30] - A working group has been established to develop protocols for reactivating operations, including medical solutions and logistics [9][12] - The company plans to activate certain voyages in the third quarter using charter aircraft for guest transportation [37] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the significant impact of COVID-19 on operations and expressed optimism about future travel demand, noting that guests are eager to explore again [15][17] - The company is preparing for a gradual return to operations, emphasizing the importance of reliable testing and safety protocols [14][50] - Management has withdrawn full-year revenue and EBITDA guidance due to the uncertainty surrounding the pandemic [35] Other Important Information - The company raised an additional $45 million in capital by drawing down on its revolving credit facility, ending the quarter with $137 million in unrestricted cash [27] - The company returned a $6.6 million loan from the PPP program to support smaller businesses in the travel industry [10][11] Q&A Session Summary Question: How is the company planning to get ships operational again? - The company has created a plan to activate certain voyages in the third quarter using charter aircraft for guest transportation [37] Question: Can you provide clarity on the cash burn and net outflow? - The majority of guests are opting for future travel credits rather than refunds, with the net outflow expected to be manageable [38][39] Question: What are the logistics involved in restarting operations? - The company has fewer logistical challenges compared to larger cruise lines, as it requires minimal external support [47][48] Question: How will the company handle potential future outbreaks? - The company believes that advancements in testing, treatment, and vaccines will allow for safer operations in the future [50] Question: What is the status of the National Geographic Resolution? - The company anticipates taking delivery of the National Geographic Resolution in late 2021, with payments scheduled based on milestones [62] Question: What is the expected maintenance capex for the year? - The company expects maintenance capex to be below $10 million for 2020, significantly reduced from initial forecasts [66]