Carnival Corp (NYSE:CCL) beat market expectations for its second quarter, as the cruise operator reported a “surprise” profit.
At $5.78 billion, revenue for the quarter exceeded Wall Street forecasts.
The company also reported adjusted earnings per share of $0.11, versus a projected narrow loss of $0.01 per share.
Net income rose by nearly $500 million, and operating income was up nearly fivefold to $560 million.
Carnival highlighted higher ticket prices, higher onboard spending, and what it described as strategic improvements in commercial operations.
Pointing to strong demand, it now expects adjusted earnings per share of $1.15 for the third quarter, and $1.18 for the full year 2024.
Customer deposits hit an all-time high of $8.3 billion, comfortably above it prior record by $1.1 billion, and, said its cumulative booked position for the rest of 2024 and 2025 was ‘the best on record’ in terms of price and occupancy rate.
“We have made incredible strides in improving our commercial operations, strategically reallocating our portfolio composition and formulating growth plans,” chief executive Josh Weinstein said in a statement.
“We closed yet another quarter delivering records, this time across revenues, operating income, customer deposits and booking levels, exceeding our guidance on every measure.”
Weinstein added: “Based on continued strong demand trends, we are taking up our expectations for the year with net yields now forecasted to top ten percent and propelling us towards double-digit returns on invested capital.”
In New York, Carnival stock was up nearly 9%, closing Tuesday’s session at $17.82.
