Norwegian earnings fall on refinancing expenses

Norwegian Cruise Line had a profit on operations in the second quarter but reported a net loss of $8.8 million because of $70.1 million in refinancing expenses.

In the second quarter of 2012, Norwegian had a $36 million net profit.

Norwegian wrote off deferred financing fees and paid premiums for the redemption of senior secured notes in a refinancing of credit facilities secured by some of its ships. The refinancing is expected to reduce future interest expenses.

Without the transaction expenses, Norwegian said it would have earned $60.2 million or 29 cents a share in the second quarter.

Revenue, meanwhile, rose to $644 million from $583 million a year earlier.

Norwegian said it expects profits for the key third quarter to fall between $163 million and $173 million, with profits for all of 2013 ranging between $265 million and $286 million.

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