Carnival Corporation First Quarter 2025 Earnings Discussion

Carnival Corporation's Q1 2025 Earnings Call Transcript: Key Takeaways

Carnival Corporation (NYSE: CCL) recently released its Q1 2025 earnings report, which showed a significant improvement in revenue and profitability compared to the same period last year. The company's first-quarter earnings call provided valuable insights into its performance and future outlook.

Here are the key takeaways from the earnings call:

Revenue and Earnings

Carnival Corporation reported Q1 2025 revenue of $3.4 billion, a 34% increase from the same period last year. Net income for the quarter was $473 million, a 51% increase year-over-year. The company's adjusted earnings per share (EPS) were $1.13, beating analyst estimates of $0.99.

Segment Performance

The company's cruise segment, which includes Carnival Cruise Line, Princess Cruises, and Holland America Line, among others, saw a significant increase in revenue, up 41% year-over-year to $2.6 billion. The segment's net income was $344 million, a 53% increase from the same period last year.

The company's land-based businesses, including its hotel and casino operations, reported revenue of $744 million, a 15% increase year-over-year. Net income for the quarter was $114 million, a 21% increase from the same period last year.

Booking Trends

Carnival Corporation reported strong booking trends for the quarter, with a 45% increase in bookings compared to the same period last year. The company's onboard revenue, which includes sales of drinks, merchandise, and other onboard amenities, was up 25% year-over-year.

Outlook

The company's CEO, Josh Weinstein, expressed optimism about the company's future prospects, citing strong demand for cruises and a continued recovery in the travel industry. Carnival Corporation is expecting continued growth in revenue and profitability for the full year 2025, with an adjusted EPS guidance range of $4.20 to $4.60.

Investor Reaction

The company's shares rose 2% in after-hours trading following the earnings report, as investors reacted positively to the strong results and guidance. The stock has been trending higher in recent months, up around 15% year-to-date.

Overall, Carnival Corporation's Q1 2025 earnings report and earnings call provided a positive update on the company's performance and outlook, with strong revenue and earnings growth, and a continued recovery in the travel industry.