Carnival beats estimates, sees resilient travel demand
STORY: One part of the economy that’s staying afloat?
Cruise ships – as Carnival Corporation on Monday reported a smaller-than-expected quarterly loss and beat revenue estimates…
helped by resilient demand for leisure travel, higher ticket prices and strong on-board spending.
Carnival in fact recorded its highest ever quarterly booking volumes in both North America and Europe for the January-March period – and said it was well booked for the remainder of the year on the back of higher ticket prices.
Consumers at higher income levels who remain undeterred by inflation helped boost those booking volumes and occupancy rates – and also contributed to strong on-board spending in casinos, spas and other ship amenities.
Carnival, however, did see some clouds in its future, forecasting a larger-than-expected annual loss due to a stronger dollar and high fuel prices that were hurting its profit margins – something that likely helped drive its stock down in Monday morning trading.
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