“By year-end, we expect to deliver over $200 million in savings, and we have high confidence in delivering our $300 million plus savings target through 2026,” said Harry Sommer, president and CEO of Norwegian Cruise Line Holdings.

Sommer was speaking on the company’s second quarter earnings call with Wall Street analysts, and made it clear that the cost savings efforts won’t impact the guest experience.

“But I want to be clear, the cost savings come off initiatives focused on better purchasing, economies of scale and more efficiencies, all with an eye to always be improving the guest experience,” he explained.

On the flipside, Sommer said the cost savings “have proven so successful that we’ve been able to invest a portion of our savings generated to upgrade significant portions of our culinary offerings across the fleet to further elevate our already outstanding product. “

Sommer noted that the company is offering higher quality food on all 34 vessels in its fleet.

The $300 million cost savings program has largely driven by the company’s transformation office.

“And most importantly, as we’ve continued to say, we are doing all of this, and we are protecting the guest experience, protecting the brand,” said Mark Kempa, CFO.

“All of our guest satisfaction scores continue to be up. So that is the purpose of doing this in a methodical way, and we’re going to maintain that. Finally, on that, we’ve always said this was an initial three-year program, but it doesn’t stop there. We will continue to focus, and we will continue to harness this muscle over time,” Kempa added.

Sommer said that there may have been a misunderstanding from consumers and investors that the company was in some way diminishing the guest product.

“It is the furthest thing from the truth. I want to be as clear and articulate on this as possible. We look at every single expense if we believe it will even modestly decline the guest experience, we just simply won’t do it,” he said.