Registered Seller of Travel. Our brands continue to resonate with consumers as demonstrated by our book position and pricing for the remainder of '23.
Norwegian Cruise Line Extends Future Cruise Credits to End of Year Over the next few months, I will be speaking with travel partners, team members, destination representatives, the investment community, and a whole host of constituents, while working closely with our executive team to fine tune our planning vision for the future, and I look forward to sharing details with you. Before we begin, I would like to cover a few items. Check your Regent Seven Seas Cruises here. Yes. Given their very efficient financing structures made possible to the unique nature of the industry's interconnected financing ecosystem, new ships are able to contribute immediately and are expected to be meaningful drivers of the company's future earnings growth and margin expansion. And in our last earnings release, we had called out that we had increased our contractual commitments by 1.2 billion euro. We have been working together along with our board of directors and the rest of the senior management team for some time now to ensure a seamless transition, and I am confident that NCLH will not skip a beat as we continue to push forward and capitalize on the momentum we are experiencing today. Thank you, Mark. disneylover89, May 3, 2022 in Norwegian Cruise Line. Company Number: U63030DL2017FTC324871. By proceeding, you agree to Cruise Critics. Thanks for that. We've covered a lot today, so I'll conclude our commentary here and open up the call for your questions. New hardware introductions generate excitement from those new to cruise and new to brand, as well as with our loyal past guests. And the thought process there was, it is very efficient and very extremely beneficial financing. Unfortunately not, however, if the new cruise fare is lower than the Future Cruise Credits value, a new Future Cruise Credit will be issued for the remaining balance. Turning to our next catalyst, we continue to take strategic actions across our business to improve operating efficiencies and rightsize our cost base to rebuild and enhance margins.
Norwegian Cruise Line (NCLH) Q1 2023 Earnings Call Transcript You can redeem any FCC by calling us! Norwegian Cruise Line ; Transfer cruise credits Please . Can I use My Future Cruise Credit towards the deposit of a cruise? To find out more, please. Don't rely on the cruise line to keep track of your credit; bookmark, print or save the email with your future cruise credit information so you have everything you'll need -- or your agent needs -- when you're ready to rebook. Each submission request will be individually handled and responded to. Well, ladies and gentlemen, once again, I want to thank everyone on this call, whether you're a travel partner, a vendor, a lender, or an analyst, you've supported us. This was primarily to finance improvements and modifications to newbuilds currently on order across our three brands. But as Mark just discussed, we believe, over time, this actually is going to be EBITDA and margin-accretive. I tried searching on the NCL site and cannot find it. Go to the "My Account" section of MyNCL, and you'll see your available FCCs in the My Coupons & Credits section. Refunds -- Which Should I Choose? Once the transfer takes place, the receiving guest is now the owner and the previous owner cannot request a transfer back. Turning to costs, adjusted net cruise costs, excluding fuel per capacity day, averaged $161.25, better than expected and approximately 14% lower than the run rate in the second half of 2022. I was just wondering if that 500 million was for 2023, or is that for the later deliveries that the 1.2 billion applies to? and related brands, logos and marks are registered trademarks and/or service marks in the United States and internationally. Hi, Steve. Now, shifting our focus to our outlook for the full year 2023. I'll take that one, too. Whether you booked directly with NCL or via a Travel Agent the Future Cruise Credit you receive is linked to NCL only and can be redeemed towards a future NCL cruise. Our booking window, which is our best forward-looking indicator, remains strong. Hi, everyone. And, Steve, thank you for the kind words at the initial start of your question. Thanks Mark. The amount of FCC that a cruise passenger qualifies for is calculated on the base fare that they paid, less any taxes, fees, upgrades or additional purchases like excursions. Get advice from Norwegian Cruise Line Future Cruise Credit experts & extra bonuses. Water/soda packages As government regulations evolve, our health and safety protocols will evolve as needed to ensure compliance. Will out of pocket costs (including items such as individually purchased air) incurred as a result of this cancellation be reimbursed? It has a monetary amount associated with it, and it is provided in lieu of a refund. Onboard credit Also, I guess that would relate to the first quarter, but just trying to zoom in a little bit on the first quarter versus second quarter and the change there. Today marks a significant milestone for me, as it is my 34th and final earnings call as president and CEO of this incredible company before my upcoming retirement, which was announced just over a month ago. Making the world smarter, happier, and richer. Can I use My Future Cruise Credit to upgrade my cabin? Why Is SoFi Stock Down After Earnings? So, in order to preserve cash for the long term and given the very efficient rates, we simply decided to finance more. This consists of approximately 700 million of cash and cash equivalents, nearly 600 million of availability under our revolver, and our 650 million undrawn commitment. Whether you're looking to sail the Magical Mediterranean, or are ready for a new tropical adventure, we've got you covered with special deals, extensive choice, expert advice, and an extra credit bonus, to use to save on hotels, tours, holiday packages & so much more! ET. You've challenged us. Tailor-made packages to help you build the dream holiday you need. And we're very pleased with that. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. Do you see yourself still on track to hit those targets? IMPORTANT: To learn more about how to prepare your clients for sailing please visit the pre-cruise requirements page at www.ncl.com/prepare-for-your-cruise/2021 for all required documents and protocols. See all the ways you can use your Savings Credits Credits below, then find out how many you're eligible for right away! Norwegian Cruise Line has extended its Future Cruise Credit (FCCs) booked by date until the end of the year. Or is that spread out over different years? #1.
Norwegian Cruise Line | FCC | How to Redeem Future Cruise Credits Future Cruise Credits acquired because of suspended sailings are brand-specific and can only be redeemed on the brand where the cancellation occurred. In 2015, I was given the opportunity to lead Norwegian Cruise Line Holdings into its next chapter, one where we brought together three of the industry's leading brands, Norwegian Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises to form the best cruise operator in the industry. Third, we are excited to deliver on our industry-leading growth profile, which we are confident we can profitably absorb, providing a meaningful boost to our future earnings power. Bon Voyage gifts and celebration packages Great. A good example of this is a recent announcement regarding the rollout of the Starlink low-latency broadband internet system in a phased manner across our fleet. Communication will be sent to you once the Future Cruise Credit is added. So, of course, our bookings need to be 20% higher. The last catalyst to highlight is our industry-leading newbuild pipeline shown on Slide 9, which Frank already touched on briefly. Asia-Pacific: I.C.E Vacations Asia Pacific Pty Ltd. Company Number: 54 105 542 176. We bought two Cruise Next certificates because we figured we would be returning to NCL for future cruises. Internet packages that are not part of the Free At Sea programme All guests who complete an online submission request (requesting to convert active FCCs to a monetary refund) agree that they are authorized to do so on behalf of all persons on the reservation as we are unable to issue partial refunds. Sorry, at this time their Future Cruise Credits are not stackable and can only be redeemed towards a single guests' cruise booking. Thanks for taking my question. I look forward to continuing to partner with Harry in his new role as we work to capitalize on the momentum we are experiencing in order to maximize value for all of our stakeholders. Yeah, Brandt, good morning. Morning, thanks. Thank you. A guest has been affected by one or more suspensions, Guest elected to cancel via our Peace of Mind (POM) policy, A guest is unable to meet any vaccination requirements. Am I guaranteed the same category on the new booking? Thank you, Jessica, and good morning, everyone. Our next question is from Brandt Montour with Barclays. Our next question is from Steve Wieczynski with Stifel. So, we have very efficient fixed rate financing for all of our newbuilds that are on scheduled to delivery through 2028 at an average rate of anywhere from 2% to 2.5 %. The two ships that will signal the moment when the entire Norwegian Cruise Line fleet is operational again are Norwegian Sun and Norwegian Spirit. Only one transfer or exchange of ownership will be allowed per FCC. We view this as a winning formula. Was there any noise in the quarter on the Free at Sea program? If I booked a fly cruise does my Future Cruise Credit cover the cost of the flight? Thanks. It's also on the back of bringing on some of our premium brand vessels. Thank you. *Terms & Conditions Package not available on sailings less than 5 days or charter sailings. So, you know, what am I missing there, Mark? And there's two choices. Good luck in retirement. 1. Partial value transfers or transfers of remaining FCC balance are not permitted. Just on the second half net per diem, you know, it's implied a decent step-up in the second half. Obviously, while there is a slight impact to load factor, the whole reason we're going to more longer premium itinerary intensive destinations is, number one, to get a better guest, to get higher pricing, and to maximize the value that we're getting out of each of our assets. Social Security Cuts May Be Coming. So, we feel good about our positioning over the next year, and we're going to do everything in our power to deliver on all our goals. This should result in a lower run rate cost level exiting 2023 than our full year reported results. Instead of getting the amount refunded to your credit card, you may be issued a certificate you can use towards your next Norwegian Cruise Line sailing. Instead of getting the amount refunded to your credit card, you may be issued a certificate you can use towards your next Norwegian Cruise Line sailing. Our record book position also gives us high visibility into the back half of the year and beyond. If you have booked any shore excursions, beverage packages, or other pre-cruise purchases, you will receive a refund to the original form of payment. Is that sort of more -- is that more of a factor now than it was in '19, and how should we think about that? What protocols have been implemented to address COVID-19? So, all of our newbuild orders, I'll remind everybody that we do not execute any newbuild orders without committed financing. Don't forget, we've partnered with NCL specifically, in order to give you the best service and tell you all you need to know. Capacity growth in 2023 is expected to be just shy of 20% compared to 2019, as we add over 5,000 berths to our world-class fleet. Dining/beverage packages that are not part of the Free At Sea programme When does My Future Cruise Credit expire? If I cancel a reservation using Peace of Mind can I use my FCC to rebook the same sailing? As we anticipate high volumes of inquiries, we kindly ask for your patience and allow up to 30 days for the review process to be completed. You've come to the right place. And have you seen any impact to export credit rates given the broader credit crunch? This is a strategic and cost-effective initiative to help address the consistent pain point we hear from guests regarding the reliability and speed of internet connectivity at sea. Which sailings qualify under Norwegians Peace of Mind policy? May 01, 2023, 10:00 a.m. Attachment of email from current FCC owner authorizing transfer. Pricing and yield are both expected to increase in the second half of the year, with the fourth quarter exhibiting the strongest growth versus 2019. Operator? Before turning the call over to Q&A, I'd like to leave you with some key takeaways which you can find on Slide 18. I have full confidence in the management team and their ability to take this company on to its next chapter. And then, maybe also kind of give us a look at '24. Before we get to the questions on the line, we first want to address a top question from our online shareholder Q&A platform, which provides all of our investors another avenue to submit and upvote questions for management. And, Frank, best wishes in retirement. What can I use the Future Cruise Credit towards in the future? Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. We are focused on better leveraging our scale as we embark on this period of transformational growth and translating this capacity growth into outside benefits to both the top and bottom line. We are targeting a 10% reduction in GHG intensity by 2026 and 25% by 2030. That's helpful. At that time, the receiving guest will be able to apply the coupon to the desired reservation. During the quarter, gross onboard revenue per passenger cruise day was nearly 30% higher than the comparable 2019 period. If the cruise fare for the new booking exceeds the Future Cruise Credit value, you will be responsible for the difference.
Never EVER Book an NCL Norwegian Cruise Until you check ALL These Future cruise credit guide: Everything you need to know - The Points Guy Future Cruise Credit Refund Requests - mia-ce.ncl.com Norwegian's Future Cruise Credit (FCC) is credit that you can use for your next Norwegian cruise. To offer our guests even more flexibility for future vacation planning, some who hold outstanding previously issued Future Cruise Credits (FCC) may now submit a request to convert their FCC to a monetary refund. And what's unique about that in the third and fourth quarter, obviously, we're taking -- we have a higher -- we have the higher operating cost brands of Oceania and Regent. And then, on the shift to longer cruises and more immersive cruise, the 3-point gap in overall occupancy, is that basically reflective of that change in the second quarter? Mesmerising beach & city stays in over 200,000 hotel & resort properties worldwide. Include the following information in the comments field: Completed FCC transfer request information as listed below. In terms of this gap of 3%, does that reflect what we're going forward? And we hope to deliver on that, and we're feeling good with what the outlook looks like today. Free expert cruise tips and news from Cruise Hive! But, overall, we believe that our air strategy is the right thing to do, given our strategic itinerary deployment. The onboard credit can be spent when onboard the cruise and cannot be used towards paying the cruise fare. Invest better with The Motley Fool. Please proceed with your question. A Future Cruise Credit (FCC) is essentially a voucher for future travel. These guests will receive a 150% refund of the fare paid in the form of a future cruise credit, which can be applied toward any cruise through to 31 December 2022, or a 100% refund of the fare paid. Sure, Jessica, happy to, and that's a great question. Future Cruise Credit will be credited to you via your Latitudes number and communication will be sent to you once the credit is added to your account. Cruise lines have issued millions of future cruise credits to customers since the COVID-19 pandemic began in lieu of refunds for canceled sailings far more than at any other point in the history of cruising.