Carnival posts record Q1 earnings, boosts full year outlook

Published 21/03/2025, 14:18
Carnival posts record Q1 earnings, boosts full year outlook

MIAMI - Carnival Corporation (LON:CCL) & plc (NYSE/LSE: CCL; NYSE: CUK) reported a robust financial performance for the first quarter of 2025, with record revenues and operating income, prompting the company to raise its full-year guidance. The cruise operator announced that its first-quarter revenues reached $5.8 billion, marking an increase of over $400 million compared to the same period last year.

The company’s net yields significantly surpassed December’s guidance, driven by robust demand and strong onboard revenue, leading to a record operating income of $543 million, nearly double that of the previous year. Carnival (NYSE:CCL) also reported that its cumulative advanced bookings for the remainder of the year are consistent with last year’s record levels, with pricing at historical highs.

During the first quarter, Carnival aggressively managed its debt profile, refinancing $5.5 billion in debt. This strategic move is expected to save the company $145 million annually in interest while reducing the debt balance by an additional $0.5 billion.

The adjusted net income guidance for 2025 has been revised upward, with expectations of over a 30% increase compared to 2024, outperforming December’s guidance by $185 million. This positive adjustment reflects improved revenue and reduced interest expenses. Furthermore, Carnival anticipates achieving its 2026 SEA Change financial targets a year early, with adjusted return on invested capital and adjusted EBITDA per available lower berth reaching the highest levels in nearly two decades.

Carnival’s CEO Josh Weinstein commented on the first-quarter performance, highlighting the exceptional demand across the company’s portfolio and the resilience of the business amidst macroeconomic and geopolitical challenges. He also noted the importance of delivering valuable vacation experiences during times when consumers prioritize experiences, particularly with family and friends.

Looking ahead to the full year 2025, Carnival expects net yields to be approximately 4.7% higher than the previous year, with adjusted net income and adjusted EBITDA surpassing December’s guidance. For the second quarter of 2025, the company anticipates net yields to increase by approximately 4.4% compared to the strong levels of 2024.

Carnival’s financial report reflects the company’s continued success in the cruise industry and its effective management of finances and operations. The information is based on a press release statement from Carnival Corporation & plc.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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