Norwegian Cruise Line stock jumps on earnings beat

Investing.com -- Norwegian Cruise Line Holdings Ltd. ( NCLH ) reported third-quarter results that exceeded analyst expectations, sending shares over 5% higher premarket.

Adjusted earnings per share was $1.12, above the consensus estimate of $0.94. Revenue reached $2.9 billion, topping the $2.88 billion consensus and representing a modest increase from $2.94 billion in the prior-year period.

The company's third quarter performance was driven by stronger-than-expected close-in demand and onboard spending, along with continued cost discipline. Adjusted EBITDA came in at $937 million, exceeding guidance of $874 million by $63 million. Net Yield declined 6.7% on a constant currency basis, approximately 220 basis points better than the company's guidance of an 8.9% decline. Shares rose 5.5% following the announcement.

"We delivered third quarter results that came in above guidance, all while continuing to strengthen our commercial capabilities, improve operating efficiency and enhance the guest experience," said John W. Chidsey, Chief Executive Officer. "As we implement the next phase of our turnaround, we are focused on sharpening Norwegian Cruise Line's brand positioning, improving marketing effectiveness and taking a more disciplined approach to revenue management."

Norwegian raised its full-year 2026 guidance, with adjusted EBITDA now expected to be approximately $2.55 billion and adjusted EPS of approximately $1.70. For the fourth quarter, the company expects adjusted EBITDA of $414 million and adjusted EPS of approximately -$0.12.

Looking ahead to 2027, Norwegian expects net yield growth of 1% to 2%, with meaningful acceleration in the second half of the year. The company announced additional run-rate savings of approximately $100 million related to guest and crew air optimization.

The company also announced that Meghan Montana, currently Chief Strategy Officer, will become Chief Financial Officer effective January 1, 2027, succeeding Mark A. Kempa.