Cruise operator Carnival beats Street on boost from ticket prices
Petty Officer 2nd Class Jonathan Klingenberg | U.S. Coast Guard | Reuters
Two Carnival cruise ships dock at a cruise terminal in the aftermath of Tropical Storm Harvey in Galveston, Texas, in this September 1, 2017 photo.
Carnival, the world’s largest cruise operator, reported better-than-expected quarterly results on Tuesday as higher ticket prices helped offset a hit from hurricanes.
Shares of the company, which owns the Queen Mary II and Queen Elizabeth cruisers through its Cunard line, were up 3 percent at $68.50 in early trading.
The company’s net income fell 10.3 percent to $546 million, or 76 cents per share, in the fourth quarter ended Nov. 30, hurt by an 11-cent hit from hurricanes in the Caribbean.
However, the company earned 63 cents per share, excluding items. Analysts on average had expected a profit of 51 cents, according to Thomson Reuters I/B/E/S.
Net revenue yields, a keenly watched metric that measures spending per available berth, climbed 6.5 percent on a constant currency basis.
Revenue increased 8.2 percent to $4.26 billion, above analysts’ average estimate of $4.15 billion.
The company also forecast 2018 adjusted earnings per share of $4.00 to $4.30, largely below analysts’ estimate of $4.29