July 31 (Reuters) - Norwegian Cruise Line Holdings on Wednesday raised its full-year profit forecast for a third time this year, riding on sustained demand for holidays on the sea as well as higher itinerary prices, sending its shares up 4.5% before the bell.
As people continue to splurge more on experiences and services over discretionary goods, operators have seen record booking rates for affordable cruise vacations, giving them enough opportunity to increase ticket prices.
"As we raise our full-year guidance a third time, we expect our adjusted profit to grow approximately 120% compared to 2023," said CEO Harry Sommer.
Norwegian had most recently raised its profit forecast on its investor day in May, less than three weeks after it raised it at its first-quarter earnings.
The cruise operator now expects an adjusted profit of $1.53 per share for fiscal 2024, compared with its previous forecast of $1.42.
On an adjusted basis, it earned 40 cents per share in the second quarter, compared with analysts' estimates of 35 cents.
Rivals Carnival and Royal Caribbean Group have in recent weeks also raised their profit forecasts, despite lingering concerns around impact from elevated costs.
The Miami-based company said it continues to experience strong consumer demand as the majority of its new bookings are pivoting to 2025 sailings.
However, its quarterly revenue rose to $2.37 billion, falling short of LSEG estimates of $2.38 billion.
Norwegian reported passenger ticket revenues of $1.60 billion, versus expectations of $1.61 billion. Its onboard and other revenues came in at $770.42 million, compared with estimates of $785.7 million.
Investor expectations have also risen this year after strong booking trends and record demand boosted quarterly earnings and shares last year.
Shares of Carnival and Royal Caribbean were up 1.5% and 1.2%, respectively, in premarket trading.
Demand for sea holidays remain robust
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