Higher ticket prices and increased on-board spending helped boost quarterly profits at cruise operator Norwegian Cruise Line.
The company saw second quarter profits rise by 29% to $125.5 million from $95.7 million in the same period last year, according to its latest trading statement.
Net revenue for the three months to June 30 was up by almost 20% to $418 million, helped by the introduction of Norwegian Epic, the line’s largest ship, in June last year. Net yield improved by 4.2% year-on-year.
Cruise costs were up due to higher fuel prices. The price of fuel in the second quarter increased 17.1% to $595 per metric ton from $508 in 2010.
As the company continues to increase the sourcing of foreign passengers and deploy more vessels outside of North America, foreign currency fluctuations have an increasing effect on its financial results, the firm said.
President and chief executive Kevin Sheehan said: “I’m pleased to see continued strong net yield growth throughout the fleet.
“Controllable costs were kept in check despite this environment of high fuel prices, while initiatives aimed at improving the guest experience resulted in record satisfaction scores in the quarter.”
The company has recently unveiled plans for two ‘Project Breakaway’ ships for delivery in 2013 and 2014 together with its Haven ‘ship within a ship’ concept.