LIND — Lindblad Expeditions Holdings, Inc.

Summary of Lindblad Expeditions Q3 2025 Earnings Call

1. Key Financial Results and Metrics

• Total Revenue: $240 million, up 16.6% year-over-year.
• Lindblad Segment Revenue: $138 million, a 13.4% increase.
• Land Experience Segment Revenue: $103 million, up 21.1%.
• Occupancy Rate: 88%, a 6 percentage point increase from the previous year.
• Net Yield per Available Guest Night: $1,314, a 9% increase, marking the highest yield for Q3 in company history.
• Adjusted EBITDA: $57.3 million, a 25% increase, with margins expanding to 23.8%.
• Net Income: Approximately breakeven at $0.00 per diluted share, impacted by $23.5 million in debt refinancing expenses.
• Cash Position: Total cash of $290.1 million, up $74 million from the end of 2024.

2. Strategic Updates and Business Highlights

• Achieved record guest Net Promoter Scores, reflecting strong customer satisfaction.
• Successful marketing initiatives, including partnerships with Disney and National Geographic, driving increased bookings, particularly in family-friendly destinations.
• Expansion of charter offerings and new itineraries for 2027, including European river cruises and additional voyages.
• Continued focus on cost innovation, resulting in renegotiated leases and lower interest rates from debt refinancing.
• Strong performance from the onboard sales program, which tripled bookings year-over-year.

3. Forward Guidance and Outlook

• Net Yield Guidance: Expected to increase by 12.5% to 14% year-over-year.
• Revenue Guidance: Raised to $745 million - $760 million, up from $725 million - $750 million.
• EBITDA Guidance: Increased to $119 million - $123 million, from a previous range of $108 million - $115 million.
• Strong booking momentum for 2026 and 2027, with significant increases noted in net booking costs.

4. Bad News, Challenges, or Points of Concern

• Anticipated pressure on Q4 EBITDA due to increased marketing expenses and a higher number of dry/wet docks compared to the previous year.
• Potential headwinds from macroeconomic factors, although the impact on demand has been minimal thus far.
• Expected increase in royalties in 2026, which may affect profitability.

5. Notable Q&A Insights

• Management indicated that while they are seeing strong demand and booking trends, they are cautious about projecting yield growth for 2026, which may not match the double-digit increases seen in 2025.
• The company is actively evaluating various growth opportunities, including charters, acquisitions, and new builds, but emphasized a balanced approach to leverage and financial health.
• There is confidence in maintaining price integrity moving into next year, with a focus on avoiding discounting while capitalizing on strong demand.

Overall, Lindblad Expeditions reported a strong Q3 performance, with solid revenue growth and strategic initiatives positioning the company well for future growth, despite some anticipated challenges in the upcoming quarter.