Miami-based cruise company Norwegian Cruise Line Holdings (NCLH) reported record earnings in the fourth quarter and full year 2017, mainly due to robust revenue growth.
For the year ended December 31, 2017, the company generated a net income of USD 759.9 million, up from USD 633.1 million reported in the previous year, while its revenue for the period stood at USD 5.4 billion, rising 10.7% from USD 4.9 billion seen in 2016.
The increase was primarily attributed to a 6% rise in capacity days due to the delivery of Norwegian Joy in April 2017, Regent’s Seven Seas Explorer in June 2016 and Oceania Cruises’ Sirena in April 2016 and strong organic pricing growth across all core markets.
The company’s net income for the fourth quarter of 2017 reached USD 98.8 million, compared to USD 72.2 million reported in the same quarter a year earlier. NCL’s revenue for the quarter was up by 11.1% at USD 1.24 billion, compared to USD 1.12 billion seen in the fourth quarter of 2016.
“The strong, record performance we delivered in 2017 was the perfect end to a historic year as we celebrate the five year anniversary of our initial public offering,” Frank Del Rio, president and chief executive officer of Norwegian Cruise Line Holdings Ltd, said.
Looking at 2018, the company said that strong financial track record continues as the fifth consecutive year of double-digit EPS growth is anticipated. 2018 booked position was at all-time high entering the year with load factor and pricing higher than prior year across all three NCL brands driven by strong demand across all core markets.
“The continued strong global demand for our portfolio of brands will enable us to further grow revenue, resulting in our sixth consecutive year of net yield growth. This, coupled with the benefit of the launch of Norwegian Bliss and a continued focus on costs, will drive 2018 earnings to record highs,” said Wendy Beck, executive vice president and chief financial officer of Norwegian Cruise Line Holdings Ltd.