Story
Norwegian Cruise Line Shares Rise After Upgrading Q3 Outlook
Summary
The cruise operator expects third-quarter results to beat its previous forecast, citing stronger-than-expected revenue performance and adding to recent positive momentum in the travel sector.
Norwegian Cruise Line Holdings (NCLH) shares gained in premarket trading Wednesday after the company announced it expects third-quarter results to surpass its prior forecast, driven by stronger-than-expected revenue.
Upgraded Forecast
The company stated that its performance for the quarter will exceed the guidance it issued in July, which projected an adjusted earnings per share of $0.90 and adjusted EBITDA of $874 million. Norwegian did not provide specific updated figures for its third-quarter earnings or revenue in its latest announcement.
The cruise line reaffirmed its full-year guidance for 2026. Looking further ahead, the company also issued a new forecast for its full-year 2027 net interest expense, expecting it to be in the range of $860 million to $880 million.
Market Reaction and Sector Strength
AdIn response to the news, NCLH stock was up nearly 2% in premarket trading. The gains build on a 3.4% rise during Tuesday's session, which was largely fueled by a positive report from a major competitor, indicating broad investor confidence in the cruise industry.
This announcement from Norwegian follows a strong update from Carnival Corp. (CCL) on Tuesday. Carnival raised its full-year adjusted earnings-per-share forecast, sending its shares soaring by as much as 13.4%, their largest intraday gain since April 8.
Carnival reported that both booked occupancy and pricing for 2027 are at record levels. The company also noted that bookings for 2028 were off to an "excellent start," with both occupancy and prices ahead of the same period last year.
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