2024 shaped up to be an “exceptional year” for Viking, with the cruise line reporting a 20.5% jump in total revenue in the fourth quarter.
Viking reported to the US stock market that revenue climbed to US$1.35 billion over the three-month period, driven by higher capacity and increased revenue per passenger cruise day (PCD). These latest results contributed to a strong picture for the financial year.
“We had an exceptional year in 2024, with net yields increasing by 7.4% and adjusted gross margin growing by 14.0% year-over-year,” Torstein Hagen, Chairman and CEO said. “Our growth in capacity and strong demand from our expanding customer base were key drivers of this success.”
The fourth-quarter period was certainly a busy one, with Viking taking delivery of the Viking Vela, an ocean ship that now operates in Europe. The company also placed orders for eight river longships with four to be delivered in 2027 and the remainder in 2028. It also entered into option agreements for a further eight river vessels, with four potentially coming in 2029 and a further four in 2030.
On top of that, Viking announced it would build two addition river ships to sail Egyptian waters, both scheduled for delivery in 2027.
Subscribe to LATTE Cruise’s free eNewsletter to keep up to date with everything in the luxury cruise space.Looking ahead, Viking is poised for continued growth in 2025, with a 12% increase in operating capacity. As of February 2025, the cruise line had already sold 88% of its 2025 capacity and recorded US$5.3 billion in advance bookings, up 26% compared to the previous year.
“Bookings continue to break records, with January 31st setting a new all-time high for revenue booked in a single day,” Viking President and CFO, Leah Talactac said.
“These metrics position us well for 2025 and also validate how well our products resonate with our target customers and the success of our demand generation strategies.”
It looks set to be a big year for the cruise line, with a significant investment in new ships to see 11 vessels join its fleet in 2025. The company’s strong financial position and robust demand for its cruises, position it well for another successful year.
However, Talactac also warned of challenges ahead. “We are seeing that February is a little bit slower,” she said in an earnings call. “This is probably a reflection of the uncertainties in the world.”
