Carnival Corporation boosts 2014 expectations
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Carnival Corporation has increased its financial expectations for the year after seeing an increase in non-GAPP net income and revenue in the third quarter.
The cruise giant posted a non-GAAP net income of US$1.2 billion for Q3 2014 compared to US$1.1bn last year, with revenue up to US$4.9bn.
Its numbers were driven by higher onboard spend and growth in its Asia operations, with Europe also performing well as Costa Cruises recovers.
New product and marketing campaigns have also raised awareness with consumers and shifted prices.
Arnold Donald, president and CEO of Carnival Corporation said: “Strong close-in demand and higher onboard spending helped drive significantly better than expected third quarter results and 15% year-over-year earnings improvement.
“Our Asia operations performed particularly well during the quarter, driven by a double-digit yield increase in our China program, further solidifying our industry leading presence in this important emerging cruise market.
He added: “Our continental European operations also enjoyed strong yield and profit improvement in the quarter, reflecting continued progress for the Costa brand. In addition, our summer Caribbean product successfully attracted nearly 20% more guests than the prior year, reinforcing the popularity of the world’s largest cruising region.”
Bookings for the first half of 2015 are ahead of last year and at higher prices.
“The sustained improvement in booking trends as we have progressed through the year combined with yield increases in the second half of 2014 builds confidence that we will see continued yield growth in 2015 and beyond,” said Donald.
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