Bill McColl
2 min read
In This Article:
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Carnival Corporation beat profit and sales forecasts and increased its outlook on more passengers, lower costs.
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Revenue of $6.33 billion was a second quarter record.
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The cruise line boosted its guidance despite what CEO Josh Weinstein called "the complex macroeconomic and geopolitical backdrop" today.
Carnival Corporation (CCL) was among the best-performing stocks in the S&P 500 Tuesday after the cruise line reported better-than-expected fiscal second-quarter results and boosted its guidance as it added passengers and cut costs.
The news also lifted shares of rivals Norwegian Cruise Line Holdings (NCLH) and Royal Caribbean Group (RCL).
Carnival posted adjusted earnings per share (EPS) of $0.35 on revenue increased more than 9% year-over-year to a Q2-record $6.33 billion. Both topped consensus estimates of analysts surveyed by Visible Alpha. The company also said it exceeded its 2026 financial targets 18 months early.
Passengers carried was up 3% to 3.4 million, and passenger cruise days grew 4% to 25.3 million. Cruise costs per available lower berth day (ALBD) fell 0.3%, and fuel consumption per ALBD was down more than 6%.
CEO Josh Weinstein called the performance "another phenomenal quarter," with the carrier more than tripling adjusted net income and having strong close-in demand.
Weinstein added that despite "the complex macroeconomic and geopolitical backdrop we have all experienced in the last few months," Carnival was raising its full-year outlook. It now sees adjusted net income more than 40% higher than in 2024, $200 million more than its March prediction. It anticipates adjusted EBITDA of $6.9 billion, compared to the earlier $6.7 billion.
The news sent shares of Carnival Corporation up nearly 10% and into positive territory for the year.
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