Norwegian Cruise's Stock Tumbles After Downbeat Profit Outlook

Shares of Norwegian Cruise Line Holdings Ltd. tumbled 8.1% in premarket trade Tuesday, after the cruise operator reported a second-quarter profit that beat expectations, but provided a downbeat outlook. Earnings fell to $145.2 million, or 64 cents a share, from $158.5 million, or 69 cents a share, in the same period a year ago. Excluding non-recurring items, adjusted earnings per share came in at 85 cents, beating the FactSet consensus of 83 cents. Revenue rose to $1.19 billion from $1.09 billion, but was below the FactSet consensus of $1.22 billion, as weaker-than-expected passenger ticket revenue offset a beat in onboard and other revenue. Looking ahead, third-quarter adjusted EPS is expected to be $1.57 to $1.62, below the FactSet consensus of $1.78. Citing continued weak demand from North American consumers and a weaker British pound following the Brexit vote, the company no longer expects to achieve its 2017 adjusted EPS target of $5.00.