Carnival Corporation 10-Q Report Highlights Risks

Carnival Corporation & plc has recently released its 10-Q report, providing a detailed insight into the company's financial performance. Carnival is a global leisure travel services provider, operating in North America, Australia, Europe, Asia, and internationally. The company operates through four segments: NAA Cruise Operations, Europe Cruise Operations, Cruise Support, and Tour and Other, offering services under various renowned brands such as Carnival Cruise Line, Princess Cruises, Holland America Line, and more.

The report highlights the various factors that may affect the company's future results. These include geopolitical uncertainty, pandemics, incidents concerning ships or guests, changes in laws and regulations, climate change, data security breaches, and fuel price fluctuations, among others.

The statistical information provided in the report shows the company's performance for the three months ended February 29/28, 2024. Notably, the Passenger Cruise Days (PCDs) increased to 23.5 million from 20.2 million in the same period in 2023, and the Occupancy percentage rose to 102% from 91%.

In terms of financials, the report reveals that the company's consolidated passenger ticket revenues increased by 26% to $3.6 billion in 2024 from $2.9 billion in 2023. Additionally, the onboard and other revenues increased by 15% to $1.8 billion in 2024 from $1.6 billion in 2023.

The report also outlines the costs and expenses incurred by the company, which increased by 12% to $3.7 billion in 2024 from $3.3 billion in 2023. These increases were driven by factors such as higher commissions, transportation costs, repair and maintenance expenses, and port expenses, among others.

The market has reacted to these announcements by moving the company's shares 0.6% to a price of $17.12. Check out the company's full 10-Q submission here.

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