Carnival Corporation & plc, the world’s largest cruise shipping group, has unveiled third quarter net profit of $1.3 billion, up from $1.2 billion in the same period in the previous financial year. The company beat forecasts of industry analysts.
Reported U.S. GAAP net income, which includes unrealized gains on fuel derivatives of $136 million, was $1.3 billion, or $1.71 diluted earnings per share.
Net income for the third quarter of 2011 was $1.3 billion, or $1.69 diluted earnings per share. Revenues for the third quarter of 2012 were $4.7 billion compared to $5.1 billion for the prior year.
Analysts in New York and London had forecast earnings share (EPS) of $1.44. The highest forecast by analysts is $1.46 and the lowest $1.41, according to Thomson Reuters data posted on the company's website. In the third quarter of the 2011 financial year, Carnival reported EPS of $1.69 per share.
Carnival Corporation & plc Chairman and CEO Micky Arison noted that third quarter non-GAAP earnings were better than anticipated in the company’s June guidance due primarily to a combination of higher than expected revenue yields and lower than expected costs, partly due to the timing of certain expenses.
Commenting on the third quarter, Arison said, “The significant efforts of our brand management teams were successful in partially mitigating the decline in cruise ticket prices. Onboard revenue yields (constant dollars excluding Costa) improved three percent during the quarter. Our brand managements’ continued focus on cost containment contributed to a three percent reduction in cruise costs (constant dollars excluding fuel) as well as a 6% reduction in fuel consumption on a unit basis.”
