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Norwegian Cruise Line Holdings(NCLH)

F

Financial data as of Dec 31, 2025Declining · Consumer Discretionary

FCF Margin-11.9%Free Cash Flow / Revenue
Cash Conversion—Operating CF / Net Income
Free Cash Flow-$1.2B
Revenue$9.8B
Net Cash-$14.4BNet debt position
Debt / FCFN/AElevated debt burden
Current Ratio0.21Tight short-term liquidity
YoY FCF Growth-86.2%3 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseF
→
-1Current ratio below 1.0 (0.21)
→
-1Significant YoY FCF decline (-86.2%)
→
-0.5Highly volatile FCF (consistency: 2.42)
→
FinalF

Analysis Summary

Concerns

  • Negative FCF margin (-11.9%)
  • Net debt position ($14.4B)
  • Current ratio below 1.0 — tight short-term liquidity
  • Only 3 positive FCF quarters recently
  • Significant YoY FCF decline (-86.2%)
  • Highly volatile quarterly FCF
Heavy CapEx — Operating cash flow is strong (21% margin) but most is reinvestedCash conversion ratio unavailable or not meaningful

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin-11.9%
Net Margin4.3%
Operating CF Margin21.3%
CapEx Ratio33.2%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$14.4BNet debt position
Debt / FCFN/AElevated debt burden
Current Ratio0.21Tight liquidity
Debt / Equity6.61High leverage

Quarterly FCF Trend

-86.2% YoYDeclining (-86.2%)

Free cash flow per quarter

Sector Comparison — Consumer Discretionary

FCF Margin ranked against sector peers

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Detailed Metrics

Company NameNorwegian Cruise Line Holdings
SectorConsumer Discretionary
Free Cash Flow-$1.2B
Revenue$9.8B
Net Income$423.2M
Operating Cash Flow$2.1B
Capital Expenditure$3.3B
FCF Margin-11.9%
Cash Conversion Rate—
Net Margin4.3%
Total Debt$14.6B
Total Cash$209.9M
Net Cash-$14.4B
Current Ratio0.21
Debt / Equity6.61
Debt / FCFN/A
YoY FCF Growth-86.2%
Positive Quarters3 of 5
Trend DirectionDeclining
Report DateDec 31, 2025
GradeF
Data SourceYahoo Finance

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