v3.26.1
Segment Information
 6 Months Ended
May 31, 2026
Segment Reporting [Abstract]  
Segment Information Segment Information
The chief operating decision maker (“CODM”), who is our Chief Executive Officer, assesses performance and makes decisions to allocate resources based upon review of the results across all of our segments. The operating segments within each of our reportable segments have been aggregated based on the similarity of their economic and other characteristics, including geographic guest sourcing. Our four reportable segments are comprised of (1) North America cruise operations (“North America”), (2) Europe cruise operations (“Europe”), (3) Cruise Support and (4) Tour and Other.

Our Cruise Support segment includes our portfolio of leading port destinations and exclusive islands as well as other services, all of which are operated for the benefit of our cruise lines. Our Tour and Other segment represents the hotel and transportation operations of Holland America Princess Alaska Tours and other operations.

Our CODM uses adjusted operating income (loss) in assessing segment performance and determining how to allocate resources. This metric is used to review segment operating trends and monitor variances against the plan and prior year results. Resource allocation primarily occurs during the annual capital appropriation process.
The below tables include our calculation of adjusted operating income (loss), our significant segment expenses, and a reconciliation of adjusted operating income (loss) to income before income taxes:

 Three Months Ended May 31, 2026
(in millions)North AmericaEuropeCruise SupportTour and OtherTotal
Total Revenues$4,412 $2,122 $95 $34 $6,663 
Cruise and tour operating expenses:
Commissions, transportation and other507 303 (32)(d)— 
Onboard and other538 138 22 — 
Payroll and related380 274 45 — 
Fuel390 204 0 — 
Food274 114 1 — 
Other operating (a)694 302 30 42 
Total Cruise and tour operating expenses2,784 1,334 65 42 4,225 
Adjusted selling and administrative expense (b)(c)493 260 87 5 845 
Depreciation and amortization expense477 203 37 7 723 
Adjusted Operating Income (Loss)658 326 (94)(21)869 
Restructuring expenses(0)
Other(17)
Interest income12 
Interest expense, net of capitalized interest(285)
Other income (expense), net(23)
Income Before Income Taxes$555 
Capital Expenditures$535 $184 $145 $11 $875 

(a)Represents other operating expenses, which include port costs that do not vary with guest head counts; repairs and maintenance, including minor improvements and dry-dock expenses; hotel costs; entertainment; freight and logistics; insurance premiums; tour and other expense for our hotel and transportation operations and all other ship operating expenses.
(b)Excludes restructuring expenses.
(c)Excludes certain one-time costs and other gains and losses that are not part of our core operating business.
(d)Includes intercompany port fees, taxes and charges to our cruise segments related to our port destinations and exclusive islands, which eliminate in consolidation.
 Three Months Ended May 31, 2025
(in millions)North AmericaEuropeCruise SupportTour and OtherTotal
Total Revenues$4,214 $2,011 $73 $31 $6,328 
Cruise and tour operating expenses:
Commissions, transportation and other491 310 (21)(d)— 
Onboard and other526 133 13 — 
Payroll and related358 246 36 — 
Fuel310 157 0 — 
Food262 109 0 — 
Other operating (a)(b)697 310 17 32 
Total Cruise and tour operating expenses2,644 1,265 46 32 3,987 
Adjusted selling and administrative expense (c)470 248 90 5 814 
Depreciation and amortization expense450 187 50 6 692 
Adjusted Operating Income (Loss)650 311 (113)(12)835 
Gains on ship sales and impairments101 
Restructuring expenses(2)
Interest income12 
Interest expense, net of capitalized interest(341)
Debt extinguishment and modification costs(4)
Other income (expense), net(16)
Income Before Income Taxes$585 
Capital Expenditures$505 $158 $173 $14 $850 

(a)Represents other operating expenses, which include port costs that do not vary with guest head counts; repairs and maintenance, including minor improvements and dry-dock expenses; hotel costs; entertainment; freight and logistics; insurance premiums; tour and other expenses for our hotel and transportation operations and all other ship operating expenses.
(b)Excludes gains on ship sales and impairments.
(c)Excludes restructuring expenses.
(d)Includes intercompany port fees, taxes and charges to our cruise segments related to our port destinations and exclusive islands, which eliminate in consolidation.
 Six Months Ended May 31, 2026
(in millions)North AmericaEuropeCruise SupportTour and OtherTotal
Total Revenues$8,431 $4,191 $172 $34 $12,828 
Cruise and tour operating expenses:
Commissions, transportation and other975 745 (70)(d)— 
Onboard and other1,003 271 42 — 
Payroll and related755 542 86 — 
Fuel660 331 1 — 
Food542 227 2 — 
Other operating (a)1,300 640 58 55 
Total Cruise and tour operating expenses5,236 2,756 118 55 8,165 
Adjusted selling and administrative expense (b)(c)1,030 543 170 10 1,753 
Depreciation and amortization expense937 397 71 14 1,419 
Adjusted Operating Income (Loss)1,228 496 (187)(45)1,492 
Restructuring expenses(0)
Other(34)
Interest income24 
Interest expense, net of capitalized interest(577)
Other income (expense), net(70)
Income Before Income Taxes$835 
Capital Expenditures$799 $356 $258 $28 $1,441 

(a)Represents other operating expenses, which include port costs that do not vary with guest head counts; repairs and maintenance, including minor improvements and dry-dock expenses; hotel costs; entertainment; freight and logistics; insurance premiums; tour and other expenses for our hotel and transportation operations and all other ship operating expenses.
(b)Excludes restructuring expenses.
(c)Excludes certain one-time costs and other gains and losses that are not part of our core operating business.
(d)Includes intercompany port fees, taxes and charges to our cruise segments related to our port destinations and exclusive islands, which eliminate in consolidation.
 Six Months Ended May 31, 2025
(in millions)North AmericaEuropeCruise SupportTour and OtherTotal
Total Revenues$8,120 $3,841 $145 $33 $12,139 
Cruise and tour operating expenses:
Commissions, transportation and other948 729 (47)(d)— 
Onboard and other999 246 25 — 
Payroll and related717 493 70 — 
Fuel629 303 1 — 
Food519 206 0 — 
Other operating (a)(b)1,268 557 42 47 
Total Cruise and tour operating expenses5,080 2,536 91 47 7,753 
Adjusted selling and administrative expense (c)991 499 163 9 1,661 
Depreciation and amortization expense884 356 95 12 1,346 
Adjusted Operating Income (Loss)1,166 451 (204)(34)1,378 
Gains on ship sales and impairments101 
Restructuring expenses(2)
Interest income18 
Interest expense, net of capitalized interest(718)
Debt extinguishment and modification costs(255)
Other income (expense), net(4)
Income Before Income Taxes$517 
Capital Expenditures$796 $278 $355 $30 $1,458 

(a)Represents other operating expenses, which include port costs that do not vary with guest head counts; repairs and maintenance, including minor improvements and dry-dock expenses; hotel costs; entertainment; freight and logistics; insurance premiums; tour and other expenses for our hotel and transportation operations and all other ship operating expenses.
(b)Excludes gains on ship sales and impairments.
(c)Excludes restructuring expenses.
(d)Includes intercompany port fees, taxes and charges to our cruise segments related to our port destinations and exclusive islands, which eliminate in consolidation.

Total assets were as follows:

(in millions)May 31, 2026November 30, 2025
North America$31,399 $31,400 
Europe16,202 16,030 
Cruise Support4,200 3,836 
Tour and Other427 421 
$52,228 $51,687 

Substantially all of our long-lived assets consist of our ships and move between geographic areas.