Carnival Q2 2024 Earnings Report
Key Takeaways
Carnival Corporation & plc announced record second quarter revenues of $5.8 billion and operating income of $560 million. The company raised full year 2024 net yield and adjusted net income guidance due to continued strong demand.
Second quarter net income improved by nearly $500 million compared to 2023 and adjusted net income outperformed March guidance by nearly $170 million.
Record second quarter operating income of $560 million, nearly five times 2023 levels, on record second quarter revenues of $5.8 billion.
Raised full year 2024 net yield guidance (in constant currency) to approximately 10.25 percent on continued strong demand and raised full year adjusted net income guidance by approximately $275 million.
Total customer deposits reached an all-time high of $8.3 billion, surpassing the previous record by $1.1 billion.
Carnival
Carnival
Forward Guidance
For the full year 2024, the company expects net yields to be up approximately 10.25 percent compared to 2023, and adjusted net income of approximately $1.55 billion.
Positive Outlook
- Net yields (in constant currency) up approximately 10.25 percent compared to 2023.
- Adjusted cruise costs excluding fuel per ALBD (in constant currency) approximately 0.5 percentage points better than March guidance.
- Adjusted EBITDA of approximately $5.83 billion, up nearly 40 percent compared to 2023.
- Adjusted net income of approximately $1.55 billion, better than March guidance by approximately $275 million.
- Adjusted return on invested capital (“ROIC”) of approximately 10 percent.
Challenges Ahead
- Net yields (in constant currency) up approximately 8.0 percent compared to 2023 levels for Q3 2024.
- Adjusted cruise costs excluding fuel per ALBD (in constant currency) up approximately 4.5 percent compared to the third quarter of 2023.
- Adjusted EBITDA of approximately $2.66 billion, up 20 percent compared to the third quarter of 2023.
- Adjusted net income of approximately $1.58 billion, up 35 percent compared to the third quarter of 2023.
- Contracted newbuild capital expenditures are $0.1 billion and non-newbuild capital expenditures are $1.0 billion for the remainder of 2024.