OneSpaWorld Holdings Limited (NASDAQ:OSW) Q4 2022 Earnings Call Transcript

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Assia Georgieva: I was thinking more about logistics of getting the staff to the ships and all that. But that’s probably a small piece relative to the revenue generation.

Leonard Fluxman: Yes. Actually, looking at the number, just trying to see where you got the 500 staff, from I think it’s more like 150 staffs. But look, all of that’s in the guidance.

Assia Georgieva: I may have misheard.

Leonard Fluxman: Maybe yes, because I don’t think we’re jumping by 500 in the quarter. I think if you take a look at the numbers we gave out, it’s closer to about 150 staff.

Assia Georgieva: Okay. I’m sorry. My bad. And the second question, we’re still quite a ways away from the European summer season. But in terms of the numbers that I’m seeing from my pricing surveys, which cover about 30,000 voyages, it seems the Caribbean is doing extremely well, a lot more North American passenger demand than European. And given that you work with so many brands that are focused even during the winter months on European sourcing, whether it’s to the Middle East or in the med. Are you seeing this dichotomy? Or is that something that I’m seeing about it?

Leonard Fluxman: Look, certainly, the Caribbean is performing fantastically, and we’ve had a lot of ships here in the fourth quarter. As you well know, they’ll start to reposition late — sort of middle of April, beginning of May, to the various destinations such as Alaska and the med primarily. The med was a little soft last year. I’m expecting the med to be better this year. I think you’re going to see — given exchange rates extend on a strong dollar, I think Americans are going to continue to travel and experience perhaps things that they weren’t able to do last year and take advantage of that. So yes, look, I mean Americans by far, North Americans particularly spend the best. But we do see the Europeans now coming as they’ve lowered the COVID restrictions. We’ve seen a lot more Europeans come into the Caribbean geographies as well this year.

Assia Georgieva: Well, there — does seem to be demand on both sides of the Atlantic in terms of travel. And I think last year, especially with the airlines, we saw how busy they were. So hopefully, we’ll have a more streamlined, but just a busy season. And last question, in terms of MSC, is there an opportunity there? Is it something that we can consider, again, as a potential customer?

Leonard Fluxman: There are some things you wake up in the morning and you just hope it happens. And MSC would be lovely to have. It’s definitely on my bucket list. And ultimately, hopefully, one day, I mean, maybe we can convince them to let us help them out. But at this point in time, there’s nothing to report.

Assia Georgieva: Okay. I appreciate that. Leonard, sorry for the very direct questions.

Leonard Fluxman: I’m used to it.

Assia Georgieva: Again, thank you so much.

Leonard Fluxman: Okay. You’re welcome

Operator: At this time, we have no more questions. This concludes our question-and-answer session. I would like to turn the conference back over to Leonard Fluxman for any closing remarks.

Leonard Fluxman: All right. Thanks, David. Thanks again, everybody, for joining us today. It is definitely a great year, a good return to service. We continue to look forward to 2023 with a positive outlook, and we look forward to speaking with you when we report first quarter results in May. Thanks, everyone. Bye-bye.

Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.

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