Omicron is affecting bookings, but Carnival Corp. maintains positive outlook
Carnival Corp. said in its fourth-quarter earnings statement Monday that the omicron variant of Covid-19 has had an impact on bookings on near-term sailings.
Nevertheless, the cruise giant sounded a positive note on bookings, particularly into the second half of 2022 and first half of 2023, and expects to be profitable in the second half of 2022.
Carnival said bookings for the second half of 2022 and first half of 2023 are at the higher end of historical ranges and at higher prices.
- Related: Princess Cruises showcases design of new Enchanted Princess
In the fourth quarter, which ended Nov. 30, revenue per passenger cruise day increased about 4% compared with 2019, which was driven in part by “exceptionally strong” onboard revenue, Carnival said.
Booking volume for the fourth quarter exceeded Q3, and customer deposits increased $360 million, to $3.5 billion, marking growth for the third straight quarter.
CEO Arnold Donald said the company had $9.4 billion of liquidity with “significantly improved cash-flow generation ahead, as ship operating cash flow and customer deposits continue to build.”
“During 2021, we believe we have clearly maximized our return to service and strengthened our financial position to withstand potential volatility on our path to profitability,” he added.
Carnival Corp. recorded $1.29 billion in revenue during the quarter, compared with $34 million in Q4 2020. Its quarterly loss was $2.62 billion, compared with $2.22 billion a year earlier.
Carnival said that it expected net cruise costs (minus fuel) per available lower berth day next year to be significantly higher than in 2019, due in part to expenses related to ship restarts, inflation and the costs of maintaining health and safety protocols.
Source: Read Full Article
