Norwegian Cruise Line is raising its full-year outlook after beating earnings expectations

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Adjusted EPS of $1.12 topped the company's $0.90 guidance; its full-year adjusted EPS outlook is about $1.70, up from about $1.50

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Norwegian Cruise Line $NCLH Holdings raised its full-year 2026 guidance after third-quarter results beat its own forecasts, the company said on Thursday. It expects full-year adjusted earnings of about $1.70 a share and adjusted EBITDA of about $2.55 billion.

For the quarter, adjusted earnings were $1.12 a share, against company guidance of $0.90. Adjusted EBITDA was $937 million, against guidance of $874 million. Net income under generally accepted accounting principles was $491 million, or $1.07 a share, up from $419 million a year earlier. Total revenue was $2.95 billion, compared with $2.94 billion a year earlier.

According to The Wall Street Journal, FactSet's survey of analysts had projected revenue of $2.88 billion and adjusted earnings of 93 cents per share. Norwegian Cruise Line Holdings stock was up 10% in premarket trading on Thursday.

The company said the results were lifted by late bookings and passenger spending onboard that both beat its expectations, and that tight control over expenses kept per-unit costs below what it had projected. Net yield fell 6.5% in the quarter, compared with guidance of an 8.9% decline.

Full-year net yield on a constant-currency basis is expected to be down about 4.4% from 2025. For the fourth quarter, the company expects adjusted EBITDA of $414 million and net yield down about 6.5%, unchanged from prior guidance.

The updated outlook follows a July forecast cut, when the company had trimmed its full-year adjusted earnings forecast to about $1.50 a share. At that time it put adjusted EBITDA at about $2.5 billion and net yield down about 5%. The company cited demand headwinds at its Norwegian Cruise Line brand tied to operational missteps and instability in the Middle East.

"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," John W. Chidsey, chairperson and chief executive officer, said in a statement.

Looking to 2027, the company expects net yield growth of 1% to 2%, with a meaningful acceleration in the second half. Its booked position over the coming year has edged up slightly from where it stood at the time of the previous earnings report, though it still falls short of the level the company considers ideal, the company said.

As of Sept. 30, total debt was $15.1 billion and net leverage was 5.5x. The company completed a $950 million senior notes issuance on Oct. 15 and increased its revolving loan facility.

In a separate filing, Norwegian announced that Meghan Montana will become chief financial officer on Jan. 1, 2027. Montana, currently chief strategy officer, succeeds Mark A. Kempa, who moves to a special adviser role.

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