Following its announcement of strong fourth-quarter and full-year 2024 results on Friday, Carnival Corp (CCL, Financials) saw its shares surge 6.77% to $26.88. Strong demand and operational efficiency drove the notable comeback in the cruise sector that the findings underlined.
A dramatic change from a $48 million net loss in the same time previous year, the business generated net profits of $302 million, or $0.23 per diluted share for the fourth quarter. At $186 millionor $0.14 per shareadjusted net income exceeded analysts’ projections of $0.08 per share. With passenger ticket revenue rising to $3.85 billion and onboard revenue rising 10.5% to $2.08 billion, quarterly revenue jumped 10% to a record $5.94 billion. Strong customer demand reflected in higher occupancy rates103%.
Reaching an all-time high of $25 billion, income increased over 15% from the year before. For the whole year With adjusted EBITDA achieving a record $6.1 billion, a 40% year-over-year rise, net income came out to be $1.9 billion. Furthermore noted by Carnival are record amounts of advanced reservations for 2025 for occupancy as well as pricing.
Supported by increase in consumer travel and leisure expenditure, the company’s performance shows a strong comeback from pandemic-era difficulties. With reference to good booking patterns and operational enhancements, CEO Josh Weinstein expressed hope for further expansion.
As Carnival looks forward to 2025, its explosive increase in income and profitability highlights the strength of the cruise industry, therefore preparing the business for future development.
This article first appeared on GuruFocus.
