Norwegian Cruise Line Holdings' bottom line remains in the red as it idles its fleet during the pandemic.
The Frank Del Rio-led owner of 28 ships posted a $715m deficit for the second quarter, compared with a $240m profit during the same period last year.
Adjusted net loss came in at $666m, including a $48.8m non-cash loss related to debt, versus an adjusted profit of $282m a year earlier.
That result amounted to an adjusted $2.78 loss per share, missing analyst consensus of $2.26 loss per share and falling well below last year's $1.30 earnings per share.
Revenue plummeted to $16.9m from $1.7bn for the second quarter of 2019 as a result of receiving virtually no revenue during a fleet lay-up that is expected to last until October.
New debt
The company has taken on $10.3bn in debt to stay afloat during the pandemic that includes $1.15bn in notes offered last month. It also offered $350m in equity in July.
“In recent weeks, we have taken further action to bolster our liquidity position in response to the pandemic, including our highly successful $1.5bn gross triple-tranche capital raise in July, which we believe positions us to withstand a scenario of prolonged voyage suspensions,” chief executive Del Rio said.
The company's booking volumes remain below historical levels but its overall booked position and pricing for 2021 are within historical ranges, including those made with future cruise credits.
However, the New York-listed company could not give earnings guidance for the third quarter and the remainder of 2020, other than to say it expects to record losses for the two remaining quarters of and all of 2020.
"The Covid-19 pandemic has had a significant impact on the company’s financial position and results of operation," Norwegian said.
"If the temporary suspension of sailings is further extended, the company’s liquidity and financial position would likely continue to be impacted."
Norwegian posted a $2.59bn loss for the first half that included a $1.4bn loss for the first quarter. By comparison, it recorded a $358m profit for the first half of 2019.
Revenue for the first six months came in at $1.26bn versus $3.07bn during the first half of 2019.
Norwegian's shares, which trade on the Nasdaq stock market under the ticker symbol NCLH, lost as much as $0.12 within the first half-hour of trading in New York on Thursday.
