Carnival Corp’s quarterly earnings report used the word “record” 16 times as the Miami cruise giant delivered a $1.7bn profit that beat expectations.
The company said on Monday that it scored third-quarter records for operating income, adjusted Ebitda, net yields, passenger per-diem spending and its advanced booking position.
The world’s largest cruise ship operator also lifted its full-year expectations, although investors appeared to want more, as its stock price dipped 2.9% in morning trading.
New York and London-listed Carnival reported bottom-line net income of $1.7bn for its fiscal third quarter, up $662m from the same period last year.
Adjusted net income of $1.8bn translated into $1.27 in adjusted earnings per share, beating the average analyst bet of $1.15. Carnival also said in June that it expected $1.15 in adjusted EPS for the fiscal third quarter, which ended on 31 August.
Its operating income rose to a record $2.2bn, up 34% year on year.
Adjusted Ebitda also set a record, reaching $2.8bn. That was 25% higher than a year ago and beat the company’s June guidance by $160m.
Revenue soared to $7.9bn from $6.8bn, marking another all-time high. That was fuelled by record net yields, a measure of revenue per passenger per day minus certain costs, and net per diems, which were also a record when measured on a constant currency basis.
Chief executive Josh Weinstein described it as a “phenomenal” quarter.
“Our strong improvements were led by high-margin, same-ship yield growth, driving a 26% improvement in unit operating income, the highest level we have reached in 15 years,” he said in the earnings announcement.
“We are poised to deliver record operating performance for full year 2024, with adjusted Ebitda now expected to cross $6bn and adjusted return on invested capital to be approximately 10.5%.
“Strong demand enabled us to increase our full-year yield guidance for the third time this year and we improved our cost guidance driving more revenue to the bottom line.”
The company lifted its fourth-quarter net yield growth outlook to 5% and its 2024 guidance to 10.4%.
“Looking forward, the momentum continues as our enhanced commercial execution drives demand well in excess of our capacity growth, leaving us well positioned with an even stronger base of business for 2025, a record start to 2026 and firmly on the path toward our SEA Change targets,” Weinstein said.
“With nearly half of 2025 booked and less inventory remaining for sale than the prior year, we are leveraging strong demand to achieve record ticket pricing (in constant currency).
“Our brands continue to deliver robust bookings momentum, with all our brands ahead on price for 2025 sailings, based on the success of their demand generation efforts along with the exciting offerings and unparalleled experiences we consistently provide our guests.”
He said the company has also achieved record bookings for 2026.
