The parent of Norwegian Cruise Line, Oceania, and Regent Seven Seas posted a third-quarter profit of $345.9 million. However, it trimmed the full-year outlook on higher-than-expected costs.
Maui fires and Israel conflict
The company flagged higher food and labor costs while it took a financial hit from the Maui wildfires. The fallout from the fires is still impacting bookings. Norwegian Cruise Lines has a ship, Pride of America, permanently based in the Hawaii Islands.
Unsurprisingly, it has seen many cancelations due to the conflict in Israel. NCL and Oceania Cruises have canceled port calls in Israel and the region until 2024.
Unsurprisingly, it has seen many cancelations due to the conflict in Israel.
These two issues have impacted fourth-quarter revenues. “We are prudently moderating short-term expectations and keeping a close eye on rapidly evolving global macroeconomic and geopolitical events,” said Norwegian Cruise Line Holdings CEO Harry Sommer.
“One of the main strengths in our industry is our ability to reposition our assets, which is what we’ve done with the heightened tensions in the Middle East,” Summer added. Elsewhere, demand remains strong.
Tags: Harry Sommer, Norwegian Cruise Line Holdings Ltd. (NCLH)
