Carnival Q1 2024 Earnings Report
Key Takeaways
Carnival Corporation & plc reported record first quarter revenues of $5.4 billion and all-time record booking levels, with significant improvements in net yields and net per diems compared to 2023. The company's bottom line improved by nearly $500 million compared to 2023, and adjusted net loss was better than December guidance, driven by continued strength in demand and higher ticket prices.
Record first quarter revenues of $5.4 billion with record net yields and record net per diems significantly exceeding 2023 levels.
First quarter bottom line improved by nearly $500 million compared to 2023, with adjusted net loss better than December guidance.
Booking volumes hit an all-time high with prices considerably higher year over year.
Total customer deposits reached a first quarter record of $7.0 billion, surpassing the previous first quarter record by $1.3 billion.
Carnival
Carnival
Carnival Revenue by Segment
Forward Guidance
For the full year 2024, net yields are expected to be up approximately 9.5 percent compared to 2023, and adjusted EBITDA is expected to be approximately $5.63 billion. For the second quarter of 2024, net yields are expected to be up approximately 10.5 percent compared to 2023 levels, and adjusted EBITDA is expected to be approximately $1.05 billion.
Positive Outlook
- Net yields (in constant currency) up approximately 9.5 percent compared to 2023.
- Adjusted cruise costs excluding fuel (in constant currency) are $35 million better than December guidance.
- Adjusted EBITDA of approximately $5.63 billion, over 30 percent growth compared to 2023.
- Net yields (in constant currency) up approximately 10.5 percent compared to 2023 levels for Q2.
- Adjusted EBITDA of approximately $1.05 billion, over 50 percent growth compared to the second quarter of 2023.
Challenges Ahead
- Guidance does not include the current estimated impact of up to $10 million on both adjusted EBITDA and adjusted net income for the full year 2024 due to the event in Baltimore.
- Adjusted cruise costs excluding fuel per ALBD (in constant currency) 0.5 percentage points higher than December guidance as a result of lower ALBD’s from the Red Sea rerouting.
- The Red Sea rerouting has an impact of approximately $130 million or $0.09 adjusted EPS through November 2024.
- Net yields (in constant currency) include the unfavorable impact from the Red Sea rerouting of 0.5 percentage points for Q2.
- Adjusted cruise costs excluding fuel per ALBD (in constant currency) up approximately 3.0 percent compared to the second quarter of 2023, including the unfavorable impact of 1.3 percentage points as a result of lower ALBD’s from the Red Sea rerouting.
Revenue & Expenses
Visualization of income flow from segment revenue to net income