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Carnival Corp & plc reports trebling of second quarter net profit

  • Written by Kari Reinikainen

Carnival Corporation & plc, the world’s largest cruise shipping group, said its net profit in three months to 31 May rose to $605 million from $222 million in the same period last year, while revenues increased to $3.70 billion from $3.59 billion.

In the first half of its financial year, the Anglo-American group reported a net profit of $747 million, an increase from $271 million. Revenues rose to $7.36 billion from $7.12 billion

Arnold Donald, CEO, stated: “Our strong secondquarter demonstrates continued momentum as we again achieved a near doubling of adjusted earnings per share. Our ongoing effort to drive demand for our brands in excess of our measured capacity growth has led to increased revenues and helped maintain the mid-point of our full year earnings guidance despite the recent currency movements and rises in fuel prices that combined represent negative $0.17 per share.”

Key metrics for the second quarter 2016 compared to the prior year were as follows: On a constant currency basis, net revenue yields (net revenue per available lower berthday or “ALBD”) increased 3.6% for the 2Q 2016, which was better than th ecompany’s guidance of up 1.5% to 2.5%.

Gross revenue yields increased 1.3%. Net cruise costs excluding fuel per ALBD decreased 1.9% in constant currency, compared to March guidance, up 0.5% to 1.5% due to the timing of expensesbetween   quarters. Gross   cruise   costs   including   fuel   per   ALBD   in   current   dollars decreased 5.4%.

Donald also noted several major milestones that will contribute to the future of the company including the re-mastering of Queen Mary 2, the opening of Holland America’s Denali square complex in Alaska and the introduction of AIDA Cruises’ AIDAprima, Holland America Line’s Koningsdam, and Carnival Cruise Line’s Carnival Vista. In addition, building on a legacy of pioneering achievements, Carnival group became the first cruise company to begin operating voyages from the US to Cuba in more than four decades through its Fathom brand -- a historic moment that captured world wide media coverage.

International Cruise Summit will bring together in Madrid experts of the cruise industry worldwide

  • Written by Teijo Niemelä

For two days, November 22nd and 23rd, some of the most influential professionals in the cruise industry, both national and international, will meet in Madrid. Cruise line executives, port authorities, destinations, travel agents, tour operators, shipping agents and industry suppliers … All of them will attend this new edition or the International Cruise Summit.

Present at the inauguration will be the President of Spanish Ports and other personalities from Tourspain, Madrid city council and Madrid Local Government. Delegates will attend roundtables and sessions which will discuss “The evolution of the cruise ships”, “The design of itineraries”,“The future of destination programmes”, “Selling the product”, “Passenger profiles” and “Purchases and logistics of cruise companies”.

More than 300 delegates from around the world will attend this unmissable event, which will be held at the NH Collection Madrid Eurobuilding Hotel.

ICS 2016 will have, among others speakers, prestigious personalities such as Pierfrancesco Vago (Chairman of CLIA Europe and Executive Chairman of MSC Cruises) who will handle the introduction and the state of the industry speeches. Also appearing on stage will be the following eminent speakers. Jorge Vilches (President & CEO of PULLMANTUR Group), Kerry Anastassiadis (CEO of CELESTYAL CRUISES), Shirley Henderson (Manager Shore Excursions CARNIVAL UK), Mark Robinson (President INTERCRUISES SHORESIDE & PORT SERVICES) Clare Ward (Senior Commercial Planning Manager FRED OLSEN CRUISE LINES) and Marcus Puttich (Head of Port Operations TUI CRUISES), Mario Zanetti (Vice President Revenue Management, Itinerary Planning, Air and Sea Operations COSTA CROCIERE) Helen Panagos (VP Marketing and Sales Crystal Yachts, Residences and Crystal Air Cruise Destination Experiences) CRYSTAL CRUISES and Gianluca Suprani (Head of Global Port Development and Shore Activities, MSC CRUISES).

This sixth edition will allow further enhancement of Spain’s image as the second European cruise tourist destination and the positioning of Madrid as a pivotal city in hosting international congresses. In addition, Spain will be further consolidated as a reference in the sector for its infrastructure, variety of destinations, including cultural diversions and / or entertainment for everyone. During 2015, 8.4 million cruise passengers visited the Spanish coast, which is 9.4% more than in 2014, setting a new record. Additionally, Barcelona become the most visited European port throughout the year and in the first eleven positions of this ranking, we find three Spanish ports, namely Balearic Islands, Las Palmas de Gran Canaria and Santa Cruz de Tenerife.


Rauma returns to shipbuilding with Mols-Linien order

  • Written by Kari Reinikainen

Rauma Marine Constructions, the Finnish company that took over the closure threated STX Finland’s Rauma yard in2014, has won is first newbuilding contract, a ferry from Mols-Linien, the listed Danish ferry company.

The vessel will be delivered in 2018 and it will be used in the service between the Danish mainland and the island of Bornholm.

The Rauma shipyard has built ferries and cruise ships in the past, when it was part of the STX Finland, Aker Yards and Finnyards groups.

The now ordered vessel will not have cabin accommodation for passengers, but the contract is important as it re-establishes Rauma as a newbuilding yard for passenger tonnage. The company has carried out major refits on large cruise ferries of the Tallink Grupp together with other work so far.

UK cruise industry’s economic impact growth rate trebled to 3.3% in 2015

  • Written by Kari Reinikainen

The UK cruise industry is now worth €3.26 billion (£2.58 billion) per year to the country's economy, a new report published by CLIA Europe shows.

The industry’s economic impact grew by 3.3% last year on 2014, a threefold increase of the 1% growth rate it experienced in 2014 on the previous year, CLIA Europe figures show. The industry’s growth rate in the UK was also higher than the 2% in all of Europe in 2015, the figures reveal

Employment in the UK cruise industry grew by 4.1% to 73,919 jobs and accounted for 20 percent of the market share in Europe. An estimated 16,397 of this total were directly employed by cruise lines and earned €605 million (£479 million), the equivalent of 22% of the total compensation impacts for Europe.

About 10,000 new jobs were created across Europe, with 360,571 now employed in cruise and cruise-related businesses. Wages and other benefits for European workers reached €11.05 billion (£8.72 billion).

The port of Southampton has maintained its position as the number one embarkation and disembarkation port in Northern Europe, with a total of 1.75 million passengers passing through in 2015.

“It was another successful year for British ports overall; in total over one million UK and international passengers visited a British port during a cruise, a figure that has more than doubled in six years,” CLIA Europe said in a statement.

Cruise industry’s output in Europe maintained 2% growth rate in 2015

  • Written by Kari Reinikainen

The cruise industry’s economic output in Europe reached €40.95 billion (£32.22 billion) in 2015, up 2% on the previous year, the same as its rate of expansion was in 2014 on the year before, CLIA Europe said in a statement.

The fresh figure is an all-time high.

The direct expenditures generated by the industry reached €16.89 billion (£13.39 billion), up from €16.6 billion (£13.17 billion) in 2014.

“The cruise industry continues to make significant contributions to Europe’s economic recovery,” said Pierfrancesco Vago, Chairman of CLIA Europe and Executive Chairman of MSC Cruises.

“The impact is clear. More Europeans are choosing a cruise holiday, more cruise passengers are choosing Europe as a destination, and more cruise ships are being built in European shipyards. This translates into great economic benefits for the entire continent, including coastal areas that were hit disproportionately hard by the economic downturn,” he added.


CBR 1/2016 contents

CBR 3/2015 contents