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Lindblad first quarter net profit takes sharp dive on voyage cancellations

Lindblad Expeditions, the lised US based expedition cruise and travel company, has reported a sharp fall in net profit for the first three months of the year due to technical problems that forced the company to cancel cruises..

Net profit dived to $0.6 million from $10.5 million in the same period last year, while revenues rose slightly, to $63.1 million from $61.6 million.

The increase in revenues was primarily due to contributions from Natural Habitat, which was acquired in May 2016, mostly offset by lower Lindblad segment revenues due in large part to an estimated $9.1 million impact from voyage cancellations.

“These voyage cancellations included four highly booked expeditions on the National Geographic Orion to repair the engine and the cancellation of two highly booked expeditions on the National Geographic Sea Lion to repair the air conditioning system. Excluding the impact of these voyage cancellations, the Company estimates that total Company tour revenue would have increased 17% to $72.3 million,” Lindblad said in a statement.

The company forecast full year revenues to grow by 14% to 16% to up to $281 million and EBITDA to rise between 12% and 17% to up to $49 million.

“This outlook includes the estimated $9.1 million revenue impact and estimated $6.5 million adjusted EBITDA impact associated with the cancellation of four voyages on the National Geographic Orion and two voyages on the National Geographic Sea Lion for necessary repairs, Lindblad said.

As of 1 May 1,  the Lindblad segment had 92% of full year 2017 projected guest ticket revenues on the books versus 93% of full year 2016 revenue at the same time last year. The Company also continues to anticipate it will achieve its long-range revenue and adjusted EBITDA targets, it added.