This post was originally published on this site
Spectators watch on as the “Norwegian ENCORE” cruise ship makes its way over the river Ems near Emden, Germany, in 2019.
AFP/Getty Images
Norwegian Cruise Line Holdings Ltd. stock fell in the extended session Monday after the cruise operator reported worse-than-feared third-quarter losses and sales that dwindled to the millions of dollars rather than billions.
Norwegian NCLH, +26.75% said it lost $677.4 million, or $2.50 a share, in the quarter, contrasting with a profit of $450.6 million, or $2.09 a share, in the year-ago quarter.
Adjusted for one-time items, Norwegian reported a loss of $638.7 million, or $2.35 a share, versus a profit of $481.5 million, or $2.23 a share, a year ago.
Revenue fell to $6.5 million, from $1.9 billion in a year ago “due to the complete suspension of voyages in the quarter,” Norwegian said.
Analysts surveyed by FactSet had expected Norwegian to report an adjusted loss of $2.25 a share on sales of $10.6 million.
Demand for future cruises continues, especially for departures in the second half of 2021 and beyond, Norwegian said in a statement. The company also highlighted “pent up” demand for its cruises.
First-half-of-the-year bookings, however, remain “below historical ranges as expected due to the current uncertain environment.” Pricing for full-year 2021 is in line with pre-pandemic levels, even after including the dilutive impact of future cruise credits, the company said.
As of Sept. 30, Norwegian had $1.2 billion in advance ticket sales, including the long-term portion of advance ticket sales, which includes approximately $850 million of future cruise credits, it said.
Shares of Norwegian have lost 63% so far this year, contrasting with gains around 10% for the S&P 500 index SPX, +1.17%.
