Carnival Corporation reported on 20th December that the fourth quarter income for 2016 had increased from $270 million to $609 million, year on year. Ticket sales, onboard spending and bookings for shore excursions all rose significantly. Overall the corporation posted a record $2.8 billion profit for the full fiscal year 2016.
Arnold Donald, President and CEO for Carnival, stated that capacity would increase a further 2.6% next year. The CFO, David Bernstein, reported that bookings for 2017 were well ahead of 2016. The fourth quarter saw the introduction of Carnival’s Carnival Vista, Holland America’s Konigsdam and Seabourn’s luxury Seabourn Encore. Also in the quarter three new cruise ships were ordered from Meyer Werft, to be powered by LNG, two for Carnival Cruise and one for P&O.
Expenses were up on last year, with increases in payroll, fuel costs, food and overall operating costs affecting final profits. Donald reported: “We are anticipating another solid year in 2017… the underlying strength in out fundamental business leaves us well positioned to achieve sustained double digit return on invested capital”. It was agreed that China was a developing market, with a number of charters and sub-charters to be completed. Carnival was also actively looking to include Cuba in its programme, and had applied for authorisations for at least one of the Carnival brands to be approved by June 2017.
CLICK HERE TO RETURN TO OVERVIEW PAGE