Viking Holdings tumbled Tuesday as lower advanced bookings hung over the cruise line's better-than-expected Q1 earnings results. Rival Royal Caribbean is working toward a buy point following its mixed results in late April.
Viking Earnings
Viking Holdings reported that its loss improved to 24 cents per share adjusted from a loss of $1.21 per share last year. Revenue spiked nearly 25% to $897.1 million, the third straight quarter of accelerating growth.
FactSet expected a loss of 29 cents per share on $841 million in sales.
Capacity passenger cruise days increased 14.9% during the quarter due to two new river vessels and a new ocean ship in 2024. Meanwhile, occupancy for the quarter was 94.5%.
As of May 11, Viking sold 92% of its capacity for passenger cruise days for the 2025 season and 37% of its capacity for the 2026 season. However, the 2026 booking rate was slightly lower than the same period last year. In Q1 2024, Viking reported it sold 39% of its capacity for the 2025 season.
Viking noted that the first-quarter results reflected the seasonality of its business, as river cruise season primarily takes place from April to October.
Elsewhere, Viking on Monday revealed its newest ship for the Nile River, called the Viking Thoth. The 82-guest ship is set for delivery in October. Viking also plans for four new ships in Egypt over the next two years, which will bring its Nile River fleet to 12 vessels by 2027.
In the earnings results, Viking said it expects to take delivery of one ocean ship and nine river vessels during the remainder of 2025.
Rival Results
Royal Caribbean on April 29 reported a 53% increase in earnings to $2.71 per share adjusted, beating analysts estimates for EPS of $2.55. But revenue's 7% rise to just under $4 billion slightly missed consensus for $4.01 billion.
Royal noted bookings were greater than last year, with continued strength in close-in bookings. Meanwhile, booked load factors are in-line with prior years at higher rates. There is also a higher level of guest spending for onboard and pre-cruise purchases at higher prices.
The cruise line lifted its 2025 earnings forecast to range from $14.55 per share to $15.55 per share, up from its previous forecast for $14.35 to $14.65 per share.
Norwegian Cruise Line on April 30 reported that earnings fell to 7 cents per share adjusted from 16 cents last year. Revenue declined about 3% to $2.13 billion. The results missed FactSet expectations for 9 cents per share adjusted on $2.15 billion in sales.
Norwegian reported its occupancy rate was 101.5% for the quarter, which was in-line with its guidance. However, the company said it has seen softening in its 12-month forward booked position, though that still remains within the optimal range.
Viking Stock Performance
Viking shares fell 5.1% to 44.67 on Tuesday, after sliding 2.4% on Monday. The stock bolted 11.5% to 48.23 last week.
Shares have rebounded more than 40% from their April 7 low of 31.79 as travel stocks rebound with the broader market as Trump tariff fears have eased.
VIK stock has been working up the right side of a cup base with a 53.14 buy point. The entry matches Viking's record high from early February.
Viking shares have pared their 2025 gains to 1.4%.
RCL stock is trading in its own cup base with a 277.08 buy point, which is at its record high from late January.
Royal Caribbean has rebounded nearly 52% from its April 7 low for about an 8% gain year-to-date.
You can follow Harrison Miller for more stock news and updates on X/Twitter @IBD_Harrison
