NCL Posts Another Profit!
August 12, 2009
Norwegian Cruise Line is finally pulling themselves out of the big hole they dug themselves into. NCL recently released their Q2 earnings, and things are looking up for the third largest cruise line. NCL posted a profit of $15.4 million. This time last year they had a loss of $27 million. Lets dive into the figures:
- NCL’s revenue fell to $478 million. Last year it was $525 million.
- Ship’s occupancy was up to 109% percent compared to 107% last year. (NOTE: A ship is considered 100% full when all lower berths are occupied. A higher than 100% occupancy rate means that all lower berths and some upper berths/sofa’s are occupied)
NCL contributed several things to these numbers
- NCL’s reduction of their Hawaiian operation, NCL America, contributed to higher profitability for that operation. With the other two ships gone, the m/s Pride of America can now garner higher fares.
- Lower fuel prices helped keep down costs.
- NCL corporate strategic plan is paying off. The reduction of responsibility of Colin Veitch and the emergence of Kevin Sheehan helped the line take a fresh approach. Sheehan went through the entire NCL operation and refined it and cut waste.
In closing, I wish NCL the best of luck. Competition can only help the consumer in the end. Here’s to NCL and best of luck to their launch of the Norwegian Epic, which I will cover closely through this blog so stay tuned.