Carnival Corporation & plc, the Anglo American cruise shipping group, said it has raised its guidance for earnings per share (EPS) for the financial year to 30 November in light of strong start of the year.
“Based on current booking strength, the company forecasts full year 2016 adjusted earnings per share to be in the range of $3.20 to $3.40, compared to December guidance of $3.10 to $3.40 and 2015 adjusted earnings of $2.70 per share,” the company said in a statement.
Carnival Corporation & plc, the world’s largest cruise shipping group, said at this time, its cumulative advance bookings for the remainder of 2016 are well ahead of the prior year at slightly higher prices. “Since January, booking volumes for the remainder of the year are running ahead of last year's historically high levels at higher prices,” the company said in a statement.
President and Chief Executive Officer Arnold Donald noted, "Our ongoing guest experience innovations coupled with our increasingly effective marketing and communication efforts have driven additional demand for our brands, resulting in a strong booked position. The lower levels of inventory remaining for sale for the balance of the year, particularly for our peak summer period, positions our brands well for continued revenue yield growth and builds confidence in our full year earnings forecast."
Carnival Corporation & plc, the world’s largest cruise shipping group, has reported a strong rise in net profit in the three months to 28 February.
Group net profit rose to $142 million from $49 million in the same period a year earlier, while revenues rose to $3.65 billion from $3.53 billion
Net revenue yields, defined as net revenue per available lower berth day or "ALBD," increased 5.7% in constant currency, which was better than the company's December guidance of up 3.5% to 4.5%. Gross revenue yields decreased 0.4 % in current dollars due to changes in currency exchange rates, the Anglo-American company said in a statement.
Net cruise costs excluding fuel per ALBD increased 1.6% in constant currency and were lower than December guidance, up 2.5% to 3.5%, due to the timing of expenses between quarters.
Gross cruise costs including fuel per ALBD in current dollars decreased 6.0% due to changes in fuel prices and currency exchange rates. Changes in fuel prices (including fuel derivatives), net of changes in currency exchange rates, increased earnings by $0.03 per share.
President and Chief Executive Officer Arnold Donald commenting on these results: “Our teams delivered another strong quarter of operational improvement by creating increased demand for our brands and leveraging our scale which resulted in revenue yield improvement approaching 6 % and the near doubling of first quarter adjusted earnings. We thank our millions of loyal guests and valued travel professional partners around the globe for their patronage and support.”
“Our ongoing guest experience innovations coupled with our increasingly effective marketing and communication efforts have driven additional demand for our brands, resulting in a strong booked position. The lower levels of inventory remaining for sale for the balance of the year, particularly for our peak summer period, positions our brands well for continued revenue yield growth and builds confidence in our full year earnings forecast.”
“Additionally, the underlying strength of our operating performance, leading to sustained earnings and cash flow growth, has accelerated the return of capital to shareholders through our stepped up share repurchase program. Since resuming the share repurchase program, we have bought back approximately 27 million shares returning $1.3 billion to shareholders in the last six months.”
Carnival Corporation & plc, the world’s largest cruise shipping company, will publish its three months to 29 February interim report on 30 March. A conference call will take place at 3.00 pm BST, 10.00 am EDT.
Carnival Corporation & plc, the world’s largest cruise shipping group, said the Cuban government granted approval for the company to begin travel to Cuba starting on 1 May 2016, marking the first time in over 50 years a cruise ship can travel from the United States to Cuba.
Fathom will use the 704-passenger Adonia that will be transferred from P&O Cruises in the UK. The Southampton based company will continue to manage the vessel. The plans to launch the brand were unveiled in New York last summer.
“Fathom’s round-trip cruise itinerary between the U.S. and multiple destinations in Cuba offers a chance to experience a rich and vibrant culture that, until now, most U.S. travelers have only seen in photographs,” Carnival group said in a statement.