Tag Archives: Norwegian Jade

Sheehan: NCL pricing has softened

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By Tom Stieghorst

Norwegian Cruise Line Holdings CEO Kevin Sheehan told Wall Street analysts on Tuesday that pricing has softened some since the late fourth quarter, when it was selling 2014 inventory at double-digit increases from the year before.

At the time, Sheehan said load factors were higher for the second, third and fourth quarters and lower for the first quarter, when Norwegian has 72% of its capacity in the Caribbean.

Sheehan said he had hoped to continue pricing unchanged.

“Unfortunately, that didn’t play out. As that period progressed, we needed to adjust our pricing somewhat to get to the finish line,” he said.

In a conference call, one analyst wondered when Norwegian’s newest ships, the Norwegian Breakaway and Getaway, would be recognized as so good as to be above the competitive scrum of promotional competition.

“We are obviously waiting for that moment in time,” Sheehan said.

He said that keeping ships in Europe rather than bringing them back to the U.S. has proven to be the correct strategy for 2014.

“We’re feeling a little bit better about the Wave season as we get through each week,” Sheehan said.

Norwegian Cruise Line’s profit up 33% in Q3

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Norwegian Cruise Line’s profit up 33% in Q3

By Tom Stieghorst
Norwegian Cruise Line Holdings said it earned $170.9 million in the third quarter, up from $128.4 million a year earlier.

Revenue grew 18% to $797.8 million, up from $674.4 million.

“Improved ticket pricing and onboard spend, along with better-than-expected results from business-improvement initiatives drove incremental earnings in the quarter,” CEO Kevin Sheehan said in a prepared statement.

Norwegian forecast that it will earn between $276 million and $286 million for the year.

The company has scheduled a conference call to discuss the results at 10 a.m. Oct. 29.

Norwegian reports improved profits despite ‘unexpected challenges’

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Norwegian reports improved profits despite ‘unexpected challenges’

By Phil Davies

Norwegian reports improved profits despite 'unexpected challenges'Norwegian Cruise Line has delivered improved profits for 2012 of $169 million against $127 million the previous year despite the year’s “unexpected challenges”.

The result for a period when the cruise industry had to deal with the impact of the Costa Concordia disaster was announced after the company’s recent move to become a public company.

Full year revenue was up by 2.6% to $2.27 billion with an improvement in yields put down to increased fares and onboard revenue.

Norwegian posted a fourth quarter net profit of $5.6 million against a loss of $1.9 million in the same period in 2011, despite a rise in fuel costs.

Looking forward, the company expects a further improvement in net yields of between 3.5% and 5.5%.

The line takes delivery of Norwegian Breakaway, the first of two new ships, in April, along with a Breakaway Plus vessel due to enter service for in autumn 2015.

President and chief executive Kevin Sheehan said: “While 2012 included some unexpected challenges in the macro environment, our results demonstrate our ability to manage our operations through these external factors and report healthy growth.

“We are very pleased to begin our journey as a public company by posting strong results for 2012.

“In addition, our fourth quarter results marked our 18th consecutive quarter of year-over-year adjusted EBITDA growth.

“2013 marks the beginning of the next chapter of Norwegian’s growth story,” he added.

“The delivery of our Breakaway and Breakaway Plus class vessels, designed to improve on the already successful platform of Norwegian Epic, along with our strong product proposition that offers a consistent experience throughout our fleet, has Norwegian well positioned for 2013 and beyond.”