10-QPeriod: Q2 FY2026

CARNIVAL CORP Quarterly Report for Q2 Ended May 31, 2026

Filed June 26, 2026For Securities:CCL

Summary

Carnival Corporation reported solid revenue growth for the six months ended May 31, 2026, with total revenues reaching $12.83 billion, an increase of 5.7% compared to the prior year period. This growth was primarily driven by a 4.5% rise in passenger ticket revenues and a 7.8% increase in onboard and other revenues, reflecting both capacity expansion and higher guest spending. Net income for the six months was $801 million, a significant improvement from $494 million in the same period last year, largely due to an increase in operating income and a reduction in interest expense. The company's balance sheet shows a healthy liquidity position with $2.26 billion in cash and cash equivalents and $4.5 billion available under its revolving credit facility as of May 31, 2026. Customer deposits also saw a substantial increase to $8.46 billion, indicating strong future booking trends. Despite a notable increase in operating expenses, primarily due to higher fuel prices, the nonrecurrence of ship sale gains from the prior year, and increased payroll costs, the company managed to improve its overall profitability. The company also completed a significant DLC unification and redomiciliation in May 2026, streamlining its corporate structure.

Financial Highlights

49 data points
Beta

Revenue

$6.66B

Net Income

$537.00M

8.1% Net Margin

EPS (Diluted)

$0.39

Total Assets

$52.23B

Cash & Equivalents

$2.24B

Free Cash Flow

$1.75B

Financial Statements
Beta
Revenue$6.66B
SG&A Expenses$863.00M
Operating Income$851.00M
Net Income$537.00M
EPS (Basic)$0.39
EPS (Diluted)$0.39
Shares Outstanding (Basic)1.38B
Shares Outstanding (Diluted)1.39B

Key Highlights

  • 1Total revenues increased by 5.7% to $12.83 billion for the six months ended May 31, 2026, compared to $12.14 billion in the prior year.
  • 2Net income significantly improved to $801 million for the six months ended May 31, 2026, from $494 million in the prior year.
  • 3Operating income for the six months decreased slightly by $19 million to $1.46 billion, impacted by higher operating expenses.
  • 4Interest expense, net decreased by 20% to $577 million for the six months ended May 31, 2026, due to lower debt levels and interest rates.
  • 5Liquidity remains strong with $2.26 billion in cash and cash equivalents and $4.5 billion available under the revolving credit facility as of May 31, 2026.
  • 6Customer deposits increased to $8.46 billion, signaling robust future booking demand.
  • 7The company completed its DLC unification and redomiciliation in May 2026, simplifying its corporate structure.

Frequently Asked Questions

The increase in revenue was primarily driven by a 4.5% rise in passenger ticket revenues and a 7.8% increase in onboard and other revenues for the six months ended May 31, 2026. This was supported by a 1.2% capacity increase (ALBDs) and higher onboard spending by guests.

Consolidated operating expenses increased by 6.7% to $8.2 billion for the six months ended May 31, 2026. Key factors contributing to this increase included net unfavorable foreign currency translation impacts, the nonrecurrence of gains from ship sales in the prior year, higher fuel prices, increased payroll and related expenses (partially due to crew travel costs from the Middle East conflict), and higher emission allowance costs.

As of May 31, 2026, Carnival Corporation reported strong liquidity with $2.26 billion in cash and cash equivalents. Additionally, the company had $4.5 billion available for borrowing under its multicurrency revolving credit facility, and $10.8 billion in undrawn export credit facilities for future ship deliveries.

Yes, Carnival Corporation completed a significant DLC (Dual Listed Company) unification and redomiciliation in May 2026. This involved unifying the dual listed company structure under a single entity, Carnival Corporation Ltd., listed solely on the NYSE, and migrating its legal incorporation from Panama to Bermuda. This is expected to streamline the corporate structure.