Fuel prices push profits down at Carnival

22nd Mar 2011
Fuel prices push profits down at Carnival

Rising fuel prices have seen profits at Carnival Corporation fall by 13 per cent year-on-year, prompting a dip in share prices.

For the quarter ended February 28th, Carnival reported net income of $152 million, or 19 cents per share, down from $175 million, or 22 cents per share, a year ago.

This was in line with Wall Street expectations, with Carnival able to cut other costs to accommodate rising fuel prices.

Carnival – which operates the Holland America Line, Princess Cruises, Carnival Cruise Lines and Costa Cruises – saw its stock drop $1.02, or 2.5 per cent, to $39.99 in early trading.

Revenue climbed 8 per cent to $3.42 billion from $3.18 billion on higher ticket prices and passengers spending more on board its ships.

Carnival now predicts full-year earnings of $2.55 to $2.65 per share. It previously anticipated earnings of $2.90 to $3.10 per share.

Chief executive Micky Arison said: “The convenience and affordability of a cruise vacation continues to gain recognition as consumers discover the unrivalled experience cruising offers.


Recommended for you

Follow Breaking Travel News

Travel Events Calendar

Media Partnerships

Global Restaurant Investment ForumThe Hospitality & Tourism SummitCATHIC
ITB AsiaChina Outbound Travel & Tourism MarketThe Travel Marketing Store
Serviced Apartment SummitWorld Travel MarketIMEX
AHICWTTCRoutes Online
UBM Aviation