MSC Cruises latest financial results

[Beamafar]

Looks like MSC Cruises is doing very well, indeed.

 

MSC Cruises has posted net income of 348 million euros on revenues of 2.6 billion euros for 2018, compared to net income of 311 million euros on revenues of 2.3 billion euros for 2017, according to its recently released annual report.

Ticket revenues were 2.1 billion euros and onboard revenues 690 million euros for 2018, up from ticket revenues of 1.7 billion euros and onboard revenues of 569 million euros for 2017.

On a per passenger day basis, the ticket revenue was 121.51 euros and onboard revenue 40.68 euros for 2018, compared to 123.65 euros and 41.48 euros respectively for 2017.

 

https://www.cruiseindustrynews.com/cruise-news/20740-msc-cruises-posts-2018-financial-results.html

[Captain-John]

The model works - for now. Same with NCL etc. I believe all reporting strong profits, and all aiming to get the per head per day spend up.

 

Didn't think we'd get a peek at MSC's figures as thought privately owned. Glad the average person spends 40 Euros each a day onboard - I'm pleased to say I spend nowhere near that (unless they don't include the notional price of a drinks package into the ticket revenue figure). 570 Euros a week for a couple - on what?! Shorex's? Right enough the odd diamond ring or fancy watch sold in the shops will push that figure up.....

 

Fascinating insight into the commercial side of cruising nonetheless.

[sfaaa]

This is interesting. Why would MSC release private financial numbers unless it is thinking of doing an IPO.

[8420PR]

Here is the full 2018 annual report, from which I assume the news story comes from:

https://www.msccruises.com/en-gl/Assets/MSC Cruises Annual Report - 31.12.18.pdf

 

The reports are available for at least the last 4 years (maybe longer), so I doubt related to any imminent IPO..

[LakeWobegon]

Yes. They are the fourth largest cruise line now and building 13 new ships in the next years and have boldly stated they've reserved every available spot in every ship building yard for a cruise ship around the world in the next X? years? Probably part of the strategy to say we're just as relevant as the big 3 in the cruise industry.

[Hlitner]

19 hours ago, sfaaa said:

This is interesting. Why would MSC release private financial numbers unless it is thinking of doing an IPO.

Wondering the same!  I have never seen such detailed financials from a privately held company.  Strange.

 

Hank

[Norwegian Cruiser 73]

Excellent Bea, Thank's for posting. The figures looks very promising for the future for MSC Cruises. With cruising getting more and more popular year for year they are in a good position to fill their new ships in the future. And the megaships seems to make big profits for all lines. 

[scpirate]

On 4/23/2019 at 2:35 PM, sfaaa said:

This is interesting. Why would MSC release private financial numbers unless it is thinking of doing an IPO.

Might be going to sell out to carnival. Trying to get them to pony up the bucks by showing good numbers.

[thetaro]

With all these cruise lines building new big ships, one would wonder which line would go under when the recession hits.

[Captain-John]

3 hours ago, thetaro said:

With all these cruise lines building new big ships, one would wonder which line would go under when the recession hits.

 

Exactly - have always said this - the capacity in the industry will be ridiculously high should consumer confidence be hit in future.

 

Heavy discounts for those that avoid being impacted and can still afford to cruise - hadn't thought of the companies just folding right enough.

[ready2cruzagain]

9 hours ago, scpirate said:

Might be going to sell out to carnival. Trying to get them to pony up the bucks by showing good numbers.

 

Oh my! I sure hope not! That would be the end of me sailing on them!  Don't get me wrong, I have sailed on Carnival 19 times but they have taken away and taken away and I do not like what they offer now. 

Edited April 28, 2019 by ready2cruzagain

[dexddd]

I could actually see MSC buying NCL.

[LakeWobegon]

With the current number of ships on order across the industry, capacity will be increased by 40% within the next 10 years. A recession would have a definite impact but it matters how long the recession would last. Regardless, it could indeed be good for one cruise line over the other which could buy a competitor at a cheaper price if they were in trouble. I don't think an acquisition has anything to do with this. If Carnival or Royal or whomever wanted to buy or invest in a major stake in MSC, they would simply ask them for the numbers in advance of doing so. 

[cmukid87]

Unfortunately they have thousands of my dollars to include in that report.