Norwegian Cruise Line Holdings reported third-quarter results that beat guidance, driven by stronger-than-expected close-in demand and onboard spending. The company also managed lower-than-expected unit costs through continued cost discipline and expense timing.
The results mark early traction for the cruise operator's turnaround plan following a leadership overhaul. Activist investor Elliott Investment Management disclosed a stake exceeding 10% in February and pushed for board changes that brought five new members. Elliott had accused Norwegian of falling behind rivals after "a decade of strategic misjudgments and poor execution."
CEO John Chidsey, who came from Subway and Burger King to replace Harry Sommer in February, attributed the company's prior underperformance to "self-inflicted" wounds.
Second-half 2027 bookings are tracking on par with last year at higher prices. Analysts caution the company still trails rivals that are already growing yields.