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Norwegian Cruise Line Holdings (NCLH)

F

Financial data as of Dec 31, 2024Declining · Consumer Discretionary

FCF Margin8.8%Free Cash Flow / Revenue
Cash Conversion225.2%Operating CF / Net Income
Free Cash Flow$838.9M
Revenue$9.5B
Net Cash-$12.9BNet debt position
Debt / FCF15.6xElevated debt burden
Current Ratio0.17Tight short-term liquidity
YoY FCF Growth-271.6%2 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseC
→
-2Extreme debt-to-FCF ratio (15.6x)
→
-1Current ratio below 1.0 (0.17)
→
-1Significant YoY FCF decline (-271.6%)
→
-1Only 2 positive quarters recently
→
-0.5Highly volatile FCF (consistency: 1.95)
→
FinalF

Analysis Summary

Strengths

  • Excellent cash conversion (225%)

Concerns

  • Low FCF margin (8.8%)
  • Heavy debt position ($12.9B)
  • High debt-to-FCF ratio (15.6x)
  • Current ratio below 1.0 — tight short-term liquidity
  • Only 2 positive FCF quarters recently
  • Significant YoY FCF decline (-271.6%)
  • Highly volatile quarterly FCF
  • Significant FCF decline (-271.6% YoY)

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin8.8%
Net Margin9.6%
Operating CF Margin21.6%
CapEx Ratio12.8%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$12.9BNet debt position
Debt / FCF15.6xElevated debt burden
Current Ratio0.17Tight liquidity
Debt / Equity9.19High leverage

Quarterly FCF Trend

-271.6% YoYDeclining (-271.6%)

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$838.9M
Revenue$9.5B
Net Income$910.3M
Operating Cash Flow$2.0B
Capital Expenditure$1.2B
FCF Margin8.8%
Cash Conversion Rate225.2%
Net Margin9.6%
Total Debt$13.1B
Total Cash$190.8M
Net Cash-$12.9B
Current Ratio0.17
Debt / Equity9.19
Debt / FCF15.6x
YoY FCF Growth-271.6%
Positive Quarters2 of 5
Trend DirectionDeclining
Report DateDec 31, 2024
GradeF
Data SourceYahoo Finance

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