Viking Holdings Ltd. (Bermuda) Q1 FY2025 earnings call

• Tor Hagen noted strong first quarter results with 7.1% increase in net deals and 14.9% capacity increase, leading to nearly $900 million in revenue. 2025 capacity is 92% sold, and 2026 core capacity is 37% sold. Highlighted unique strengths like advance booking curves and direct marketing engine. Announced Viking Libra (hydrogen-powered cruise ship), ordered 2 additional Ocean ships, and delivered Viking Nerthus.
• Leah Talactac discussed consolidated revenue up 24.9% YoY to ~$900M, adjusted gross margin up 23.8% to $613M, adjusted EBITDA $73M (improvement vs 2024). Detailed segment performance for River and Ocean, and balance sheet details including cash, debt, and deferred revenue.

For the River segment, capacity PCDs increased 22.3% year-over-year, mainly driven by new ships and additional European sailings. Occupancy was 93.9%, about 180 basis points higher than last year. Adjusted gross margin grew 21.5% year-over-year, and net yield was $593, down 2.7% year-over-year. For the Ocean segment, capacity PCDs increased 10.4% year-over-year due to the addition of the Viking Vela. Occupancy was 94.4%, in line with last year. Adjusted gross margin increased 25.3% year-over-year to $395 million, and net yield was $499, up 13.6% compared to the previous year.

2025 capacity is practically sold out with 92% of capacity PCDs booked. 2026 core capacity is 37% sold. April and May bookings are up year-over-year. Expect mid-single digit yield growth alongside capacity growth if macroeconomic conditions remain stable.

Macro-economic uncertainties exist, though operations in Europe insulate from many trade tensions. Geopolitical risks related to shipbuilding in European yards pose potential operational challenges.

Q: Speak on business outside Europe and Viking Libra sustainability benefits A: Have opportunities in other regions like Shanghai and India. Viking Libra is hydrogen-powered, showing zero emission direction, allowing longer ships with more cabins, and aligning with industry trends towards sustainability Q: World cruise impact on 2025 and 2026 booking curves A: 2025 had one World Cruise vs two in 2024, affecting net yield. Curves show full season performance, and expected season trend can be seen from curves