Carnival Corp has more than doubled its quarterly profits as a result of a greater than expected rebound in passenger spending.
The cruise giant reported net income of USD222 million for 2Q15 versus USD98 million in 2Q14. Excluding non-cash and special items, adjusted net income was USD193 million for the most recent period versus USD73 million the year before. Adjusted earnings per share of USD0.25 handily topped analyst expectations for adjusted earnings of USD0.16/share.
Carnival Corp achieved a 4.1% increase in net revenue yields, the best measure of passenger spending, versus previously predicted growth of two to three percent.
“We more than doubled our second quarter earnings versus the comparable period a year ago and significantly exceeded our quarterly earnings guidance,” said Carnival Corp CEO Arnold Donald. “Our initiatives to create demand and leverage our scale benefited both cruise ticket prices and onboard revenues, contributing to revenue yield improvement.”
The company disclosed that advance bookings for the next three quarters are “well ahead of the prior year at slightly lower prices due to currency impacts”. Carnival Corp expects adjusted earnings of USD2.35-2.50/share for full-year 2015, up from USD1.93/share last year.