Cruise lines spy calmer waters, return to profit

It has been a terrible couple of years for cruise lines.

Their ships have been stuck in port, bookings have all-but dried up, and losses have piled up into the billions.

But now some of the big names spy calmer waters ahead.

On Wednesday (November 3) Norwegian Cruise Line Holdings said it expected to return to profit in the second half of next year.

By then it expects to have its full fleet back in operation, and cabin occupancy again at pre-crisis levels.

Over the latest quarter about 57% of its cabins were occupied.

That follows a similar outlook from bigger rival Royal Caribbean last week.

It says bookings for 2022 are back to about normal levels.

Now analysts say pent-up demand and strong household savings should give the cruise industry a boost.

However, both firms face lingering wariness among customers, meaning any new upsurge in cases could yet sink a recovery.

Norwegian has also had to spend heavily to get its ships fit for service again.

The firm actually expects its cash burn to rise over the coming quarter.

Both it and Royal Caribbean also missed forecasts for revenue over the latest period.

Even so, the outlook for cruising appears sunnier than it has been for some time.

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting