Norwegian Lifts 2026 Adjusted Ebitda Outlook After Beat

The Tip Desk · October 30, 2026 · 4 min read

Adjusted EBITDA reached $937 million in the third quarter, $63 million above guidance, and the company now expects about $2.55 billion for the full year.

Norwegian Cruise Line Holdings Ltd. (NCLH) reported third-quarter Adjusted EBITDA of $937 million, $63 million above its $874 million outlook, and raised full-year 2026 Adjusted EBITDA to approximately $2.55 billion after a quarter it said was driven by stronger-than-expected close-in demand, onboard spend and lower-than-expected unit costs.

The global cruise company generated total revenue of $2.9 billion in the quarter ended September 30, 2026. GAAP net income was $491 million, or $1.07 a share, compared with $419 million a year earlier. Adjusted EPS was $1.12, $0.22 above guidance of $0.90.

Net Yield, the company’s Adjusted Gross Margin per Capacity Day, decreased 6.5% as reported and 6.7% on a constant-currency basis versus 2025, about 220 basis points better than guidance of an 8.9% decline. Gross margin per Capacity Day fell 16.7% as reported and 17.1% constant currency. Adjusted Net Cruise Cost excluding Fuel per Capacity Day was approximately $152, down 2.2% as reported and 2.3% constant currency versus 2025, about 140 basis points better than guidance of down 0.9%. Gross Cruise Cost per Capacity Day was approximately $301.

Fuel expense was $196 million. Fuel price per metric ton, net of hedges, increased to $819 from $744 in 2025. Consumption of 239,000 metric tons was slightly below projections.

Reflecting the third-quarter performance, the company now expects full-year 2026 Adjusted EPS of approximately $1.70, up from a second-quarter expectation of about $1.50. Full-year Adjusted Net Income is expected to be approximately $789 million. Full-year Net Yield on a constant-currency basis is expected to be down approximately 4.4% versus 2025, and Adjusted Net Cruise Cost excluding Fuel per Capacity Day down approximately 0.4% constant currency. Adjusted Operational EBITDA Margin for the full year is expected to be 33.7%.

For the fourth quarter, the company expects Adjusted EBITDA of $414 million and an Adjusted Operational EBITDA margin of 25.0%. Fourth-quarter Net Yield on a constant-currency basis remains unchanged from prior guidance, declining about 6.5%. The company said the outlook reflects a modestly improved underlying Net Yield performance, offset by an unfavorable mix impact from the delayed delivery of Seven Seas Prestige to late December and the cancellation of select voyages on Seven Seas Voyager transiting the Suez Canal. Fourth-quarter Adjusted Net Cruise Cost excluding fuel per Capacity Day is expected to be up 1.7% on a constant-currency basis versus 2025.

The company announced additional run-rate savings of about $100 million related to guest and crew air optimization and other tactical changes in promotional offerings, to phase in through 2028. It completed the sale of Oceania Sirena and entered a charter to operate the vessel through spring 2028, and entered a memorandum of agreement to sell Oceania Insignia with expected delivery in September 2027. Norwegian opened Great Tides Waterpark on September 4 at Great Stirrup Cay.

The booked position for the next 12 months has improved modestly since the last earnings release but remains below the company’s optimal range. Looking ahead to 2027, the company said pricing for the first half is ahead of levels at the same time last year while the booked position remains below the comparable prior-year position; for the second half, pricing is ahead with the booked position in line with the same time last year. Those trends, together with expected benefits of commercial initiatives, support the company’s expectation for full-year 2027 Net Yield growth of 1% to 2%, with a meaningful acceleration in the second half.

As of September 30, 2026, total debt was $15.1 billion and Net Debt was $14.8 billion. Net Leverage ended the quarter at 5.5x. On a pro forma basis after a $950 million senior-notes issuance due 2031 and an upsizing of the Revolving Loan Facility, liquidity would have been $2.1 billion. Chief Financial Officer Mark A. Kempa said the company has no significant debt maturities until 2029 and that reducing Net Leverage remains a top priority.

Newbuild-and-growth capital expenditures were $224 million in the third quarter, with other capital expenditures of $134 million.