Carnival PLC (LSE:CCL) and Carnival Corp (NYSE:CCL) shares rose 9% after the cruise operator said it exceeded its financial targets 18 months early and drummed up its highest ever level of customer deposits.
Adjusted return on invested capital and adjusted EBITDA per available lower berth day both reached the highest levels in nearly two decades, the FTSE 100 company said in a second-quarter update.
Net income in the past three months was $565 million, an improvement of nearly $475 million compared to 2024, with earnings per share $0.42 on a diluted basis, as revenues came in at a record $6.3 billion, up nearly $550 million compared to the prior year.
Adjusted net income of $470 million, or $0.35 adjusted EPS, was more than triple the same quarter a year earlier, and outperformed March guidance by $185 million due to higher ticket prices, higher onboard spending and the timing of expenses between the quarters.
Customer deposits of $8.5 billion were an all-time high, helped by higher prices.
CEO Josh Weinstein said Carnvial remained "on track for a strong 4% net yield growth in the second half, consistent with what we forecasted back in December which was before the complex macroeconomic and geopolitical backdrop we have all experienced in the last few months.
"Combined, this has enabled us to raise full year guidance again."
For the full year, the company expects net yields to be up around 5% on last year, with adjusted cruise costs excluding fuel up 3.6% and adjusted net income up over 40%, which would be a $200 million improvement on previous guidance.
Adjusted EBITDA is expected to come in at approximately $6.9 billion, up over 10% compared to 2024.