STORY: Full speed ahead for Norwegian Cruise Line. The company raised its annual profit forecast Monday as it sailed past first-quarter estimates. It is benefiting from pent-up demand and strong on-board spending from its wealthy customers.
Easing of COVID-19 protocols on ships after long periods of restrictions has led to more leisure travel and higher spending on activities from casinos to spas.
Norwegian, which mostly caters to the affluent, has also been raising prices of its tickets to offset the impact from higher costs of fuel and food due to supply chain snags worsened by the Russia-Ukraine crisis.
One analyst tells Reuters he expects the cruise line to keep trimming operating costs where it can without impacting the guest experience.
Norwegian expects to report a profit in 2023 for the first time in three years.
Shares have jumped nearly 8-percent in early afternoon trading.