CARNIVAL Corporation has reported record bookings and customer deposits over the last three months, with its second quarter results showing “we are clearly gaining momentum on an upward trajectory,” according to Chief Executive Officer Josh Weinstein (pictured). The company’s adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) was USD$681...
CARNIVAL Corporation has reported record bookings and customer deposits over the last three months, with its second quarter results showing “we are clearly gaining momentum on an upward trajectory,” according to Chief Executive Officer Josh Weinstein (pictured).
The company’s adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) was USD$681 million – but the net loss overall was USD$407 million due in main to its heavy debt burden.
Carnival saw acceleration of demand, with a new all-time-high for forward bookings, and total deposits reaching USD$7.2 billion, surpassing the previous quarterly record by USD$1 billion.
Weinstein noted the strong demand environment had enabled Carnival to raise ticket prices, even while at the same time maintaining record onboard spending levels, building occupancy and growing capacity.
Operating income for the quarter was USD$120 million, in the black for the first time since the post-pandemic resumption of guest operations.
Carnival saw record second quarter revenue of USD$4.9b, and booking lead times extended in North America and Australia to the furthest out ever seen.
Looking forward, Carnival expects occupancy of 100% plus for the full year, and an adjusted EBITDA of USD$4.1 billion to USD$4.25 billion.
Meanwhile, Carnival said it is expecting to approach “investment grade leverage metrics” by the end of 2026, under a newly launched SEA Change Program which specifies key strategic goals over the next three years.
The initiatives focus on Sustainability (more than 20% reduction in carbon intensity versus 2019), EBITDA (a 50% increase in adjusted earnings per passenger day – the highest level in almost 20 years), and Adjusted Return on Invested Capital (a doubling of yields to 12%).
Weinstein said Carnival would achieve the targets by focusing on initiatives to drive net yield growth while maintaining its “industry leading cost base and fuel efficiency” to improve margins and grow cash flow, which the company believes will enable further debt reduction.
