Table Of Content
In 2023, we captured over 3.5 million new-to-cruise guests and remain well-positioned to continue to take share from land-based alternatives. In other words, we are gaining momentum in our ability to close the unwarranted value gap to land-based alternatives. And to aid in that effort, we can further champion the fact that while many land-based alternatives have pulled back on service levels, we still deliver incredible service to our guests, thanks to our amazing crew.
Carnival Corp. Schedules Year-End Earnings Call - Cruise Industry News
Carnival Corp. Schedules Year-End Earnings Call.
Posted: Thu, 14 Dec 2023 08:00:00 GMT [source]
Carnival (CCL) Q1 Earnings & Revenues Top Estimates, Rise Y/Y
The improvement was driven by delivering a 7.5% increase in net revenue per diem versus 2019, which was over double the 3.5% midpoint of our March guidance, while closing the double-digit occupancy GAAP at the start of the year to reach historical occupancy levels. Absolute spending per diems on board were consistent across all four quarters as we drove improvements in ticket prices on both sides of the Atlantic and ended the year with net yields of nearly 1% over 2019. During the fourth quarter of 2023, the company reduced its debt by another $725 million and for the full year made debt payments of $6 billion while ending the fourth quarter with $5.4 billion of liquidity, including cash and borrowings available under the revolving credit facility.
CCL Earnings Estimates and Actuals by Quarter
So, keep in mind that 2019 was the high watermark for occupancy, and we look back to like 2005, and the historical occupancy levels were in the range of 104% to 107%. So what we're saying is we will be solidly back to historical occupancy levels, but we weren't saying we're going to be back to the high watermark of 2019. Now clearly a lot of new-to-cruise will over index on the shorter cruises because they're trying it out for the first time and that lends itself to maybe also a younger crowd which is more comfortable just playing around on the net and doing things direct. But I mean, frankly speaking, historically, and I expect this to continue, our trade partners are absolutely critical in driving new-to-cruise to us. And we will rely on them for decades more and they have done a great job of really catching up to where we've been in the curve and year-over-year they're showing great strength as well.
Cruise Industry News Email Alerts
And the only thing I would add - let me just have one thing, Robin, which is our focus is on generating the most revenue possible when that ship leaves on its cruise. And that can be a combination of optimizing that price and occupancy relationship. So there's no magic to getting back to 2019, high watermark of 107% and we play in the fringes. We play in that 104% to 107% to make sure that when you combine that ending point along with the pricing, it's the happiest we can be. David, in terms of the cost, you gave some pretty good color around the impact to the - everything's going into the first quarter and why it's so high.
Cobranded Cards
The uptrend can be attributed to improved booking trends, courtesy of solid demand and increased advertising activities. Also, focus on strategic investments and fleet expansion bode well.The Zacks Consensus Estimate for this Zacks Rank #3 (Hold) company’s fiscal 2025 earnings per share (EPS) is pegged at $1.44, indicating 41.7% growth from the prior year’s reported levels. The earnings estimate for second-quarter fiscal 2024 suggests 96.8% growth from the year-ago reported figure. CCL delivered a trailing four-quarter earnings surprise of 21.9%, on average. Booking volumes during the fourth quarter continued at significantly elevated levels, above both prior year and 2019 comparable periods, while recent booking volumes for the two weeks around Black Friday and Cyber Monday reached an all-time high for that period.
Learn About Credit Cards
The stock has increased 39.8% in the past year.The Zacks Consensus Estimate for LVS’ 2023 sales and EPS indicates a rise of 108.4% and 217.5%, respectively, from the year-ago period’s estimated levels. Hilton Grand Vacations currently sports a Zacks Rank #1. HGV has a trailing four-quarter earnings surprise of 12.1%, on average. The Zacks Consensus Estimate for HGV’s 2023 sales and EPS indicates a rise of 7.1% and 10.8%, respectively, from the year-ago period’s levels.Crocs carries a Zacks Rank #2 (Buy). The company has a trailing four-quarter earnings surprise of 21.8%, on average. Shares of Crocs have increased 49.4% in the past year.The Zacks Consensus Estimate for CROX’s 2023 sales and EPS indicates a rise of 12.5% and 2.5%, respectively, from the year-ago period’s levels.
Future capital expenditures will fluctuate with foreign currency movements relative to the U.S. These figures do not include potential ship orders (stage payments and final delivery payments) that the company may place in the future. One thing to stress, right, we just came up with a fourth quarter, which everybody's loss over real quick but it was up 10.5 in price. That's what we're going to lap you know when we get through 2024. If you think about our booked business, we have the most to go in the fourth quarter. I wanted to circle back to your yield guidance and just looking at the recovery and occupancy to normal - to previous levels being maybe 600 to 700 basis points kind of implies that your per diem guidance is maybe less than 2% growth.
Carnival Co. & Earnings History by Quarter
In the quarter under review, the company reported adjusted loss per share of 55 cents, narrower than the Zacks Consensus Estimate of a loss of 62 cents. In the year-ago quarter, the company had reported a loss per share of $1.66. Additionally, building on the company’s leadership rejuvenation efforts, 7 of Weinstein’s 12 direct reports are new to the role (since the pause in guest cruise operations).
Carnival (CCL) Reports Q1 Loss, Tops Revenue Estimates
So it seems like, you might be taking a somewhat conservative view around onboard trends and then potentially underestimating the opportunity around, taking close in pricing. But nonetheless inflation with an average 3.5% increase across all our cost categories globally. Second, with occupancy returning to historical levels, the impact on costs should be 1.5 to 2 percentage points higher in 2024 as compared to 2023. The strong improvement in 2024 net yields is a result of the increase in all the component parts, higher ticket prices, higher onboard spending and higher occupancy with all three components improving on both sides of the Atlantic. Now turning toward 2024 full year, December guidance. We are forecasting a capacity increase of about 5.5% compared to 2023.
“Continued execution coupled with strengthening demand for our brands is driving increased confidence in our ongoing performance. We are pleased this has been recognized by S&P and Moody’s with their recent upgrades, as well as the recent upsizing and two-year extension of our revolving credit facility,” noted Carnival Corporation & plc’s Chief Financial Officer David Bernstein. The company experienced an early start to a robust wave season with record booking volumes for all future sailings that exceeded expectations, the company said in a statement.
It's packed with all of the company's key stats and salient decision making information. Including the Zacks Rank, Zacks Industry Rank, Style Scores, the Price, Consensus & Surprise chart, graphical estimate analysis and how a stocks stacks up to its peers. The industry with the best average Zacks Rank would be considered the top industry (1 out of 265), which would place it in the top 1% of Zacks Ranked Industries. The industry with the worst average Zacks Rank (265 out of 265) would place in the bottom 1%.
Carnival has been bearing the brunt of high expenses for quite some time. During the fiscal first quarter, operating costs and expenses increased 12% year over year to $3.7 billion. Several factors drove this uptick, including a 4.2% capacity rise in Available Lower Berth Days (ALBDs), elevated commissions, transportation costs and other expenses linked to higher ticket pricing and increased guest numbers. Additionally, higher onboard revenues led to a $43 million increase in onboard and other cost of sales, while repair and maintenance expenses, including dry-dock costs, rose by $30 million. Furthermore, a net unfavorable foreign currency translational impact and increased port expenses each contributed $25 million to the overall rise in expenses.
No comments:
Post a Comment