CARNIVAL CORPORATION & PLC OUTPERFORMS FOURTH QUARTER GUIDANCE, REPORTS RECORD FULL YEAR OPERATING RESULTS AND EXPECTS 20 PERCENT EARNINGS GROWTH IN 2025

 

Expects to hit 2026 SEA Change EBITDA target one year early

MIAMI, Dec. 20, 2024 /PRNewswire/ -- Carnival Corporation & plc (NYSE/LSE: CCL; NYSE: CUK) announced financial results for the fourth quarter and full year 2024 and provided an outlook for the first quarter and full year 2025.

Key Highlights 

Full year revenues hit an all-time high of $25 billion, over 15 percent higher than the prior year, with continued strength in demand. Full year net income of $1.9 billion; adjusted net income1 of $1.9 billion outperforms September guidance by over $130 million. Record full year adjusted EBITDA1 of $6.1 billion, over 40 percent higher than the prior year. Record full year operating income of $3.6 billion, over 80 percent higher than the prior year. Adjusted return on invested capital1 ("ROIC") of 11 percent. Record fourth quarter revenues of $5.9 billion, 10 percent higher than prior year, delivering record adjusted EBITDA. Cumulative advanced booked position for full year 2025 is at an all-time high for both price (in constant currency) and occupancy. Adjusted EBITDA per available lower berth1 ("ALBD") for 2025 expected to be the highest in almost two decades, achieving 2026 SEA Change target one year in advance.

"This has been an incredibly strong finish to a record year. Revenues hit an all-time high driven by a strong demand environment that we elevated throughout the year, enabling us to outperform our initial 2024 guidance by $700 million and deliver nearly $2 billion more to the bottom line, year over year," commented Carnival Corporation & plc's Chief Executive Officer Josh Weinstein. "The progress was broad based as we drove strong pricing in 2024 as compared to 2023 across our major cruise lines and trades."

"We are delivering long-term value for our shareholders through improved operational execution across our brands, essentially on a same ship basis. We ended 2024 with adjusted ROIC of 11 percent, comfortably above our cost of capital. In fact, with one year down, we're already over 80 percent of the way toward achieving our 2026 SEA Change EBITDA and adjusted ROIC targets," Weinstein continued.

According to Weinstein, there is even more in store to continue the momentum as the company is actively working on an enhanced destination strategy to provide guests with yet another reason to take a cruise vacation offered exclusively by Carnival Corporation & plc's portfolio of cruise lines. The company is also working to increase awareness and consideration for cruise travel globally.

"2025 is shaping up to be another banner year, with yield growth expected to far outpace historical growth rates and again exceed unit cost growth, thanks to the efforts of our amazing team members. They have delivered a step-change improvement in 2024 which sets us up for a fantastic 2025 and beyond, while delivering unforgettable happiness to over 13.5 million guests last year," Weinstein noted.

Fourth Quarter 2024 Results

Net income was $303 million, or $0.23 diluted EPS, versus a net loss of $48 million in 2023. Adjusted net income of $186 million, or $0.14 adjusted EPS1, outperformed September guidance by $126 million, driven by higher ticket prices, higher onboard spending and improved costs. Record fourth quarter adjusted EBITDA of $1.2 billion was 29 percent higher than 2023 and outperformed September guidance by $80 million. Record fourth quarter revenues of $5.9 billion, exceeded 2023 levels by 10 percent. Gross margin yields exceeded 2023 levels by 20 percent. Record net yields1 (in constant currency) exceeded 2023 levels by 6.7 percent and were better than September guidance. Gross margin per diems were 19 percent higher than 2023. Record net per diems1 (in constant currency) were 5.3 percent higher than 2023 with both ticket prices and onboard spending up. Cruise costs per ALBD increased 4.1 percent compared to 2023. Adjusted cruise costs excluding fuel per ALBD1 (in constant currency) increased 7.4 percent compared to 2023 and were better than September guidance. Total customer deposits reached a fourth quarter record of $6.8 billion, surpassing the previous fourth quarter record of $6.4 billion (as of November 30, 2023), reflecting growth in both ticket prices and pre-cruise onboard sales.

1 See "Non-GAAP Financial Measures" at the end of this release for additional information.

Bookings

Even with less inventory available, booking volumes taken during the fourth quarter of 2024 for 2025 were higher than the prior year for a strong 2024, despite the traditionally slower period around the election. Booking volumes taken during the fourth quarter for 2026 continued to break records, reflecting sustained demand even for further out sailings.

"Our brands effectively capitalized on their ongoing strength in demand, achieving higher prices (in constant currency) than last year and reinforcing our record-breaking booked position. In fact, with nearly two-thirds of 2025 already booked, we are expecting another year of strong yield improvement, outpacing historical growth rates and on top of two back-to-back years of mid-to-high single digit per diem growth. This validates the success of our demand generation efforts on our optimized portfolio," Weinstein noted.

The cumulative advanced booked position for full year 2025 is at an all-time high for both price (in constant currency) and occupancy. Price (in constant currency) and occupancy are higher than 2024 for all four quarters of 2025.

2025 Outlook 

For the full year 2025, the company expects:

Net yields (in constant currency) approximately 4.2 percent higher than record 2024 levels based on continued strength in demand. Adjusted cruise costs excluding fuel per ALBD (in constant currency) up approximately 3.7 percent compared to 2024, in part due to higher dry-dock days, higher advertising expense and operating costs for the company's new exclusive destination, Celebration Key. Adjusted net income of approximately $2.3 billion, over 20 percent higher than 2024. Adjusted EBITDA of approximately $6.6 billion, up approximately $500 million compared to 2024. Adjusted EBITDA per ALBD to reach its 2026 SEA Change target one year in advance. Adjusted ROIC of approximately 11.7 percent.

See "Guidance" and "Reconciliation of Forecasted Data" for additional information on the company's 2025 outlook.

Financing and Capital Activity

"With the benefit of well managed near term maturity towers and improved leverage metrics, we expect to opportunistically capitalize on improved interest rates while proactively managing our maturity towers for 2027 and beyond. In 2025, interest expense is currently expected to be over $200 million lower than 2024 and over $500 million lower compared to 2023,"  commented Carnival Corporation & plc's Chief Financial Officer David Bernstein.

"We are laser focused on continuing our efforts to further reduce interest expense and rebuilding an investment grade balance sheet. Just this year, we achieved a 4.3x net debt to adjusted EBITDA1 ratio, nearly a two and a half turn improvement from 2023, positioning us three-fourths of the way to our initial leverage target," Bernstein added.

During 2024, the company made debt prepayments of $3.3 billion, bringing its total prepayments to $7.3 billion since the beginning of 2023. In addition, the company has reduced its debt balance by over $8 billion from its peak in January 2023, ending the year with $27.5 billion of debt. As of November 30, 2024, the company's debt maturities for full year 2025 and 2026 are $1.5 billion and $2.7 billion.

During the quarter, the company obtained three new export credit facilities, bringing its total committed financings related to ship deliveries to $7.8 billion, continuing its strategy to finance its newbuild program at preferential interest rates.

1 See "Non-GAAP Financial Measures" at the end of this release for additional information

Sustainability 

The company continues to achieve meaningful progress towards its sustainability goals. In 2024, the company:

Reduced its absolute greenhouse gas ("GHG") emissions from ship fuel by approximately 11 percent as compared to its peak year of 2011, despite capacity growth of nearly 37 percent over the same period. Reached 85 percent of its GHG emission intensity goal, on track to achieve more than a 20 percent reduction by the end of 2026 compared to 2019, a goal that was previously pulled forward by four years. Now leads the industry with ten LNG powered ships and nearly 20 percent of its fleet capacity, following the delivery of Sun Princess. Continued to have the most ships in the industry capable of plugging into shore power and now more than two-thirds of its ships are equipped with shore power capability. Delivered 44 percent reduction in food waste per person relative to its 2019 baseline, surpassing its interim goal one year ahead of schedule and approaching its 2030 goal to reduce food waste by 50 percent.

Other Recent Highlights 

Sun Princess, Princess Cruises' newest ship, recognized as the Best Mega Cruise Ship in the United States by Condé Nast Traveler's 2024 Readers' Choice Awards (learn more here). Carnival Cruise Line earned top honors in multiple categories of the 2024 Travel Weekly Readers' Choice Awards, including Best Short Itinerary for the third consecutive year, Best Domestic Cruise Line for the ninth consecutive year and Best Travel Advisor Loyalty Program (learn more here). Seabourn was honored with a total of 45 travel awards and accolades in 2024 (learn more here), including Condé Nast Traveler's 2024 Readers' Choice Awards as the Best Small-Ship Cruise Line and Best Expedition Cruise Line (learn more here). Princess Cruises launched its new global advertising campaign bringing back the magic of "The Love Boat," featuring Hannah Waddingham of Ted Lasso fame (learn more here). Princess Cruises reported record-breaking bookings for the Black Friday through Cyber Monday weekend period, 32 percent higher than the same period in 2023 (learn more here). Half Moon Cay, the award-winning exclusive island in The Bahamas known for its naturally beautiful beaches and crystal-clear waters, renamed to 'RelaxAway, Half Moon Cay' in support of its enhancements and the experience guests can expect when immersed in this tropical paradise (learn more here). P&O Cruises (UK) announced it will be the headline sponsor of the Pride of Britain Awards in 2025, the biggest show of its kind on British television (learn more here). Cunard was named Walpole's British Luxury Brand of the Year, reinforcing its position as a leader in luxury travel (learn more here). Recognized as one of: The Top 250 Best-Managed Companies in 2024 by the Wall Street Journal (learn more here). The World's Top Companies for Women in 2024 by Forbes (learn more here). Europe's Diversity Leaders in 2025 by Financial Times (learn more here).

Guidance

(See "Reconciliation of Forecasted Data")

 

 

1Q 2025

 

Full Year 2025

Year over year change

 

Current Dollars

 

Constant Currency

 

Current Dollars

 

Constant Currency

Net yields

 

Approx. 3.5%

 

Approx. 4.6%

 

Approx. 3.2%

 

Approx. 4.2%

Adjusted cruise costs excluding fuel per ALBD

 

Approx. 2.4%

 

Approx. 3.4%

 

Approx. 2.7%

 

Approx. 3.7%

 

 

 

2025

 

 

1Q

 

2Q

 

3Q

 

4Q

 

Full Year

ALBDs (in millions) (a)

 

23.6

 

24.3

 

24.6

 

23.9

 

96.3

Capacity growth compared to prior year

 

2.5 %

 

3.4 %

 

(2.5) %

 

(0.0) %

 

0.8 %

(a)   See "Notes to Statistical Information"

 

 

1Q 2025

 

Full Year 2025

Fuel consumption in metric tons (in millions)

0.7

 

2.9

Fuel cost per metric ton consumed (excluding European Union Allowance ("EUA"))

$                     616

 

$                     617

Fuel expense (including EUA expense) (in billions)

$                    0.45

CARNIVAL CORPORATION & PLC TO HOLD CONFERENCE CALL ON FOURTH QUARTER EARNINGS

MIAMI, Dec. 11, 2024  -- Carnival Corporation & plc (NYSE/LSE: CCL; NYSE: CUK) has scheduled a conference call with analysts for Friday, December 20, 2024, at 10 a.m. (EST); 3 p.m. (GMT) to discuss the company's fourth quarter financial results which are expected to be released that morning.

A simulcast of the call will be available via the company's websites at www.carnivalcorp.com and www.carnivalplc.com.

About Carnival Corporation & plc Carnival Corporation & plc is the largest global cruise company, and among the largest leisure travel companies, with a portfolio of world-class cruise lines – AIDA Cruises, Carnival Cruise Line, Costa Cruises, Cunard, Holland America Line, P&O Cruises (Australia), P&O Cruises (UK), Princess Cruises, and Seabourn.

Additional information can be found on www.carnivalcorp.com, www.aida.de, www.carnival.com, www.costacruise.com, www.cunard.com, www.hollandamerica.com, www.pocruises.com.au, www.pocruises.com, www.princess.com, and www.seabourn.com. 

For information on Carnival Corporation's industry-leading sustainability initiatives, visit www.carnivalsustainability.com.

MEDIA CONTACT: Jody Venturoni, 1 469 797 6380; INVESTOR RELATIONS CONTACT: Beth Roberts, 1 305 406 4832

VALENCIA, Calif., Dec. 5, 2024 /CNW/ -- Cunard is excited to announce an era-defining refurbishment of Queen Elizabeth, paving the way for her highly anticipated inaugural Caribbean program sailing from Miami and her debut Alaska season from Seattle in 2025.

The luxurious 2,000 guest ship will undergo a significant refit from February 25 to March 13, 2025, in Seatrium's Admiralty Yard in Singapore, preparing her for a new Alaska season from Seattle in June and a dazzling debut voyage from Miami to the Caribbean on October 16. The Caribbean season will begin with a 12-night roundtrip sailing from Miami, offering guests the chance to visit Bridgetown's UNESCO- listed Garrison and bustling markets of Castries, St Lucia.

VALENCIA, Calif., Dec. 5, 2024 /PRNewswire/ -- Cunard is excited to announce an era-defining refurbishment of Queen Elizabeth, paving the way for her highly anticipated inaugural Caribbean program sailing from Miami and her debut Alaska season from Seattle in 2025.

The luxurious 2,000 guest ship will undergo a significant refit from February 25 to March 13, 2025, in Seatrium's Admiralty Yard in Singapore, preparing her for a new Alaska season from Seattle in June and a dazzling debut voyage from Miami to the Caribbean on October 16. The Caribbean season will begin with a 12-night roundtrip sailing from Miami, offering guests the chance to visit Bridgetown's UNESCO- listed Garrison and bustling markets of Castries, St Lucia.

CARNIVAL PLC - VOTING RIGHTS AND CAPITAL

In accordance with the FCA’s Disclosure and Transparency Rules, at 9:00 a.m. Eastern Time on 30 November 2024 Carnival plc had 217,401,886 issued ordinary shares of US $1.66 each admitted to trading. Carnival plc holds 29,718,429 ordinary shares in Treasury.

Although Carnival plc has 187,683,457 issued and outstanding ordinary shares, the 24,901,144 ordinary shares held by Carnival Investments Limited and 17,975,128 ordinary shares held by Carnival Corporation do not carry the right to vote (in accordance with the Articles of Association of Carnival plc).

Therefore, the total number of voting rights in Carnival plc is 144,807,185. The above figure of 144,807,185 may be used by shareholders (and others with notification obligations) as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, Carnival plc under the FCA's Disclosure and Transparency Rules.

5 December 2024

SEATTLE, Dec. 5, 2024 /PRNewswire/ -- Seabourn, the leader in ultra-luxury cruising and expedition travel, unveiled its exclusive annual "Sail of the Year" event, which features exceptional savings and benefits on select 2025 and 2026 worldwide ocean and expedition voyages on the line's fleet of ultra-luxury ships. Available now until February 18, 2025, Seabourn's "Sail of the Year" event includes the following exclusive benefits:

VALENCIA, Calif., Dec. 3, 2024 /PRNewswire/ -- Cunard has reported record-breaking bookings in 2024, following an exceptional year and the launch of its highly anticipated ship, Queen Anne. From January 1 to October 31 this year, Cunard recorded an impressive 73,000 additional guest reservations compared to the same period in 2023, representing a 23% year-on-year increase.

This performance marks the highest number of guests booked between January 1 and October 31 than in any equivalent period on record. Both the UK and North American markets contributed significantly to this success, with a 24% increase in guests booking from the UK and 29% more from North America compared to 2023.

VALENCIA, Calif., Dec. 3, 2024 /CNW/ -- Cunard has reported record-breaking bookings in 2024, following an exceptional year and the launch of its highly anticipated ship, Queen Anne. From January 1 to October 31 this year, Cunard recorded an impressive 73,000 additional guest reservations compared to the same period in 2023, representing a 23% year-on-year increase.

This performance marks the highest number of guests booked between January 1 and October 31 than in any equivalent period on record. Both the UK and North American markets contributed significantly to this success, with a 24% increase in guests booking from the UK and 29% more from North America compared to 2023.

VALENCIA, Calif., Nov. 27, 2024 /CNW/ -- Cunard has announced an exciting new partnership with Talk Art podcasters Russell Tovey and Robert Diament that will help guests explore Queen Anne's iconic art collection*.

The 3,000-guest Queen, which departed on her maiden voyage in May, boasts the largest curated art collection at sea and is packed with bold and contemporary pieces from more than 300 artists and designers.

This new collaboration sees Russell and Robert create an immersive, self-guided Art Tour to celebrate Queen Anne's many masterpieces. This new podcast-style tour launched this month and formed part of the ship's enriching activities program, showcasing more than 40 individual pieces of art across the ship.

VALENCIA, Calif., Nov. 27, 2024 /PRNewswire/ -- Cunard has announced an exciting new partnership with Talk Art podcasters Russell Tovey and Robert Diament that will help guests explore Queen Anne's iconic art collection*.

The 3,000-guest Queen, which departed on her maiden voyage in May, boasts the largest curated art collection at sea and is packed with bold and contemporary pieces from more than 300 artists and designers.

This new collaboration sees Russell and Robert create an immersive, self-guided Art Tour to celebrate Queen Anne's many masterpieces. This new podcast-style tour launched this month and formed part of the ship's enriching activities program, showcasing more than 40 individual pieces of art across the ship.