Viking has officially filed for an initial purchase offering (IPO) with the United States Securities and Exchanges Commission. Finance and investment publication Barrons says the IPO could be valued at more than $US10 billion.
The company was founded by Torstein Hagen in 1997, with the vision that travel could be more destination focused and culturally immersive.
The company expanded into the North American market in 2000, establishing a sales and marketing office in Los Angeles, California. Since then, Viking has rapidly expanded to a fleet of more than 90 vessels, offering river, ocean and expedition voyages on all seven continents.
Viking said its 2023 Europe itineraries are thriving. (photo via Viking)
For the year ended December 31, 2023, nearly 650,000 guests traveled with Viking. The company generated total revenue of US$4,710.5 million, a net loss of $1,858.6 million and Adjusted EBITDA of $1,090.3 million.
As of the same date, the company had US$1.5 billion of cash and cash equivalents and US$5.4 billion of Total Debt. The company said occupancy was 93.7% in 2023, a sharp rise from 78.4%in 2022.
“Our payback period for a Longship (river ship) is on average approximately four to five years. Our payback period for an ocean ship is on average about five to six years based on contributions to operations,” the company stated in its filing.
Viking says it will be the only “pure-play luxury public cruise line.” In its IPO filing, the company states:
“In contrast, the large public cruise lines have multiple brands that serve all three categories of the cruise market, with luxury representing only a small percentage of their overall capacity. Our total revenue per passenger was $7,251 for the year ended December 31, 2023. Viking defines the luxury category of the river cruise and ocean cruise markets. We believe these are the most attractive segments of the cruise industry and the global luxury leisure travel market given their growth potential,” Viking said.
Topics From This Article to Explore
