Dramatic Profitability Turnaround
Net income surged to $104.7M in Q1 FY2026 compared to a net loss of $40.3M in Q1 FY2025, representing a 359.7% year-over-year improvement, signaling a meaningful recovery in the cruise business.
Norwegian Cruise Line Holdings Ltd. is expected to release its Q2 2026 10-Q filing in the upcoming earnings season. Last quarter: NCLH delivered a strong Q1 FY2026 with net income swinging to $104.7M from a prior-year loss of $40.3M, driven by a 15.9% jump in operating income and robust operating cash flow of $811.5M, though the balance sheet remains highly leveraged with a debt-to-equity ratio of 8.79.
Drawn from management commentary in the Q1 2026 10-Q:
Net income surged to $104.7M in Q1 FY2026 compared to a net loss of $40.3M in Q1 FY2025, representing a 359.7% year-over-year improvement, signaling a meaningful recovery in the cruise business.
Operating income grew 15.9% year-over-year to $232.9M despite cost of revenue rising 5.7% to $1.38B and SG&A expenses climbing 17.5% to $459.7M, indicating that revenue growth is outpacing cost inflation.
Operating cash flow increased 19.5% year-over-year to $811.5M, reflecting improved earnings quality and working capital dynamics, providing meaningful liquidity to service the company's substantial debt load.
Cost of Revenue
$1.38B
++5.67% YoY
EPS (Basic)
$0.23
++355.56% YoY
Operating Income
$232.94M
++15.93% YoY
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