Viking Holdings Ltd (NYSE:VIK) Reports Q2 2025 Revenue Beat and Strong EBITDA Growth

Viking Holdings Ltd (NYSE:VIK) reported second-quarter 2025 financial results that demonstrated robust operational performance, though the market reaction appeared muted in pre-market trading. The cruise operator posted revenue of $1.88 billion, representing an 18.5% year-over-year increase, which slightly exceeded analyst expectations of $1.86 billion. Earnings per share came in at $0.99, narrowly missing the consensus estimate of $1.00 per share.

Financial Performance Versus Expectations

The company’s revenue outperformance was driven by increased capacity passenger cruise days, higher occupancy rates, and improved revenue per passenger cruise day. Total revenue reached $1.88 billion compared to $1.59 billion in the same quarter last year. Despite this growth, the slight miss on EPS appears to have influenced early market sentiment, with shares trading approximately 1.08% lower in pre-market activity following the announcement.

Adjusted EBITDA showed significant strength, climbing 28.5% to $632.9 million, underscoring efficient cost management and operational leverage. Net income attributable to Viking Holdings Ltd reached $439 million, a substantial improvement from $160 million in the prior-year period, though last year’s results were impacted by non-recurring items including warrant revaluation losses and expenses related to preference shares that converted before the company’s initial public offering.

Operational Highlights and Forward Outlook

The company reported strong booking trends, with 96% of its 2025 capacity already sold for core products and 55% sold for the 2026 season as of August 10. Advance bookings for 2025 reached $5.64 billion, representing a 21% increase compared to the same point last year, while 2026 advance bookings stood at $3.88 billion, up 13% year-over-year.

Chairman and CEO Torstein Hagen attributed the strong results to the company’s destination-focused travel experiences and core demographic strength. The company continues to expand its fleet, having taken delivery of two new vessels during the quarter – the ocean ship Viking Vesta and the river vessel Viking Amun, which will operate in Egypt. Viking also announced plans to begin operating two river vessels in India starting in 2027 and 2028.

From a liquidity perspective, the company maintained a strong balance sheet with $2.6 billion in cash and cash equivalents as of June 30, alongside an undrawn revolver facility of $375 million. Net leverage stood at 2.1x, reflecting manageable debt levels relative to earnings.

Market Context and Analyst Estimates

The company’s performance comes amid mixed signals in the travel sector, with some competitors experiencing demand softness. Viking’s focus on premium, destination-oriented cruising appears to be insulating it from broader industry headwinds, as evidenced by its strong booking patterns and yield improvement.

Looking ahead, analysts project third-quarter revenue of approximately $2.01 billion and full-year 2025 revenue of $6.40 billion. The company did not provide specific financial guidance in its release, making direct comparisons to analyst estimates difficult. However, the robust advance booking position and continued fleet expansion suggest management remains confident in its growth trajectory.

For investors seeking more detailed earnings analysis and forward estimates, additional information is available through Viking’s earnings and estimates page.

Disclaimer: This article is not investment advice and should not be construed as a recommendation to buy or sell any security. Readers should conduct their own research and consult with a qualified financial advisor before making investment decisions.