Steiner Leisure Limited Q2 2008 Earnings Call Transcript

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2008-08-04 22:51:15.0

Tags: Call Transcript, Quarter, Earnings, Princess, Scripting Languages, Software/Web Development, Web Development, Seeking Alpha

Question-and-Answer Session

Operator

At this time, we will open to a Q&A. (Operator instructions) Steve Wieczynski, your line is open for question, simply state your company name.

Steve WieczynskiStifel Nicolaus

Yes, good morning, Stifel Nicolaus. Couple of question for you guys. First, how is the current environment kind of looking, as you look out past the second quarter into July, has it gotten softer or is it stronger?

Stephen Lazarus

Steve, actually, July seems to be holding as – I mean July is typically a pretty descent month for us. The ships are well positioned and well entrenched into their itineraries right now. So we’re not seeing softness in July following what we have seen in June. It’s holding nicely and in some cases, a little better than June itself.

Steve WieczynskiStifel Nicolaus

Got you. Can you, as you normally do, kind of run through the new ships you expect for ’08?

Leonard Fluxman

Sure. As I mentioned, we have just got on the Carnival New Splendor which has an incredible spa, kind of similar to the spa that we introduced on Costa ships and we also just took – we took the Eurodam into service as well and we began operations on that so that in the very end of the second quarter, so that will impact the third quarter for full quarter. Princess introduces the Ruby Princess in the third quarter, kind of like mid to late November and as you may recall, we took the Independence in the second quarter. We also added, as I mentioned, three small Ibero cruises which is market expansion for us. So, that is kind of the new capacity that came in as well as the small (inaudible) ship.

Steve WieczynskiStifel Nicolaus

So, year-end number should be somewhere around – looks like 128? Is that right?

Leonard Fluxman

Yes, provided that there are no unforeseen drydocks. As you may recall, we report everything on average but the absolute number will be closer to that. Yes.

Steve WieczynskiStifel Nicolaus

Okay. And then, do you have a number for ’09 or do not give that yet?

Leonard Fluxman

Not at this point. Some of the ships may be pulled out of service, not yet announced, etc. so we typically would not be able to give you that kind of visibility right now.

Steve WieczynskiStifel Nicolaus

Got you. Is there any update on the Solstice class?

 

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