Lindblad Expeditions Holding today reported financial results for the quarter ended June 30, 2018.
Sven-Olof Lindblad, President and Chief Executive Officer, said: “Lindblad delivered another quarter of strong financial results during the second quarter as the strategic investments we have made to expand capacity and develop our sales and marketing infrastructure continue to deliver significant returns. As we have added inventory, we have also been able to increase our occupancy and yields from increased demand across our existing loyal customer base and a growing population of new guests who are seeking high quality and immersive expedition experiences. Given the robust demand for authentic adventure travel, we announced last month that we will be building an additional new polar ice class vessel. This will be the fourth new build for Lindblad and allow us to add to our proven track record of delivering unparalleled expeditions to the world’s most remarkable destinations.”
Second quarter tour revenues of $69.5 million increased $13.9 million, or 25%, as compared to the same period in 2017. The increase was driven by growth of $12.3 million at the Lindblad segment and a $1.6 million increase at Natural Habitat.
Lindblad segment tour revenues of $59.6 million increased $12.3 million, or 26%, compared to the second quarter a year ago primarily due to an 18% increase in Available Guest Nights, mostly from the launch of the National Geographic Quest in July 2017 and fewer planned drydock days in the second quarter of 2018 due to timing. The year on year growth also reflects an increase in Occupancy from 85% to 90% due to higher demand across the fleet and a 6% increase in Net Yield to $1,002 due to increased prices and changes in itineraries.
Natural Habitat revenues of $9.9 million increased $1.6 million, or 19%, compared to the second quarter a year ago due primarily to higher ticket revenue from additional departures and increased pricing.
Net income available to common stockholders for the second quarter was $0.1 million, $0.00 per diluted share, as compared with net loss available to common stockholders of $2.5 million, $0.06 per diluted share, in the second quarter of 2017. The $2.7 million improvement primarily reflects the higher operating results and $1.1 million of lower stock-based compensation expense in the current year, partially offset by a $1.1 million loss on foreign currency, a $1.1 million increase in depreciation and amortization, primarily due to the addition of the National Geographic Quest to the fleet in July 2017, and a $0.8 million increase in interest expense primarily related to refinancing the Company’s credit facility during the first quarter of 2018.
Second quarter Adjusted EBITDA of $11.5 million increased $6.2 million, or 117%, as compared to the same period in 2017. The increase was driven by growth of $6.3 million at the Lindblad segment slightly offset by a $0.2 million decrease at Natural Habitat.
Lindblad segment Adjusted EBITDA of $12.0 million increased $6.3 million, or 112%, as compared to the second quarter a year ago as the increased tour revenues were partially offset by operating costs on the National Geographic Quest . The second quarter also included higher operating costs due to the additional guest nights, increased fuel costs across the fleet due to higher pricing, increased commission expense related to the revenue growth and higher personnel costs.
Natural Habitat Adjusted EBITDA was a loss of $0.5 million, a $0.2 million or 45% decrease compared to the second quarter a year ago as the revenue growth was more than offset by increased operating costs related to additional departures and higher marketing and personnel costs to drive long-term growth initiatives.