Mon, Jul 28, 2014 6:11 PM EDT 0:57
Norwegian Cruise Line's second quarter demonstrated that the company's investments in new ships and fleet modernization are paying dividends. Adjusted earnings per share came in at $0.58, $0.01 above Wall Street expectations. The result represented the seventh consecutive quarter in which Norwegian Cruise Line surpassed consensus earnings expectations. Net revenue growth clocked in at 18.9% year over year, below consensus estimates for 23.7% growth, marking the fifth straight quarter that Norwegian Cruise Line was light in terms of revenue. The revenue shortfall could be attributed to what chief executive officer Kevin Sheehan characterized a "promotional environment", likely in the Caribbean market, which led to on-board revenue growth outpacing ticket growth. Brian Sozzi returns to his recent interview with Sheehan to reveal why the quarter was strong on the bottom line.