News

Mitsubishi Heavy Industries and Carnival Corporation & plc signs the final contract for AIDA newbuildings

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Top Headlines Top Headlines; Published: 02 November 2011 02 November 2011

Mitsubishi Heavy Industries, Ltd. (MHI) has completed shipbuilding contracts with Carnival Corporation & plc, for the construction of two large-sized cruise ships for Carnival's AIDA Cruises brand. Delivery of the two ships is scheduled for spring 2015 and spring 2016 from MHI's shipyard in Nagasaki. The shipbuilding contracts are subject to financing.

The two 125,000 gross tonnage, 3,250 passenger ships will be the largest ever constructed for AIDA Cruises. The event marks the second new shipbuilding order for MHI from the Carnival group and the third and fourth cruise ships built by MHI for the group. Earlier, MHI built two 116,000 gross ton ships for Princess Cruises: the Diamond Princess and Sapphire Princess, both delivered in 2004.

Carnival Corporation & plc is the largest cruise vacation group in the world, with a portfolio of 10 cruise brands operating in North America, Europe, Australia and Asia, including Costa Cruises, Princess Cruises and AIDA Cruises. Altogether the group currently operates 101 ships, with 10 new ships scheduled for delivery between 2012 and 2016.

Going forward MHI will continue to combine its accumulated comprehensive capabilities and advanced technologies in shipbuilding to attract further new orders for large cruise ships.

NCL Corporation reports 18% rise in third quarter net profit

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 01 November 2011 01 November 2011

NCL Corporation, parent company of Norwegian Cruise Line and NCL America, has reported a rise in net profit to $110.1 million in the third quarter from $93.0 million in the same period last year, while revenues increased to $666.6 million from $634.1 million.

Net yield increased 3.8%, mainly on higher ticket prices. “Benefits realized from ongoing business improvement initiatives coupled with non-recurring expenses in the third quarter of 2010 related to the launch of Norwegian Epic resulted in a decrease in Net Cruise Cost per Capacity Day of 2.0%, or 2.8% on a Constant Currency basis, after considering a 17.9% increase in the price of fuel to $598 per metric ton from $507 in 2010. Excluding fuel expense, Net Cruise Cost per Capacity Day decreased 5.3%, or 6.2% on a Constant Currency basis,” the company said in a statement.

"A strong summer season resulted in solid top-line growth in the quarter," said Kevin Sheehan, President and Chief Executive Officer of Norwegian Cruise Line. "Pricing was up across the fleet despite several voyages being impacted due to tropical weather conditions in the Northeast and Caribbean," continued Sheehan.

Interest expense, net of capitalized interest, increased to $49.9 million in the quarter compared to $46.2 million in 2010 due to higher average interest rates in the period resulting from the issuance of $250 million in senior notes in November of 2010.

RCCL warns of weaker full year 2011 than earlier forecast

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 27 October 2011 27 October 2011

Royal Caribbean Cruises Ltd (RCCL), the world’s second largest cruise shipping group, has revised lower its expectations for the full year 2011 earnings per share (EPS), but on the other hand the outlook for next year is encouraging.

“For the full year 2011, the company’s Constant-Currency Net Yield improvement expectations are essentially unchanged at 2% to 3%. Including currency movements, full year Net Yields are expected to increase approximately 4%,” RCCL said in a statement.

“Full year 2011 EPS is expected to be within a range of $2.70 to $2.80, a $0.15 reduction from prior guidance primarily due to the strengthening of the U.S. Dollar and the fuel option revaluation loss,” the company said..

As far as next year is concerned, RCCL said: “Though economic uncertainty is elevated and it is still early in the booking cycle, 2012 demand thus far has been solid. Booked load factors and pricing are both running ahead of this time last year, which supports the company’s expectation of continued yield accretion during 2012.”