8-KOther Events

CARNIVAL CORP 8-K Report (Mar 22, 2004)

Filed March 22, 2004For Securities:CCL

Summary

Carnival Corporation & plc reported strong first-quarter 2004 results, with net income of $203 million, or $0.25 diluted EPS, on revenues of $2.0 billion. This represents a significant increase compared to the pro forma net income of $147 million, or $0.18 diluted EPS, on pro forma revenues of $1.6 billion for the same quarter in 2003. The company attributes the robust performance to the successful integration of P&O Princess, a strong wave season driven by attractive pricing, and the positive impact of the weaker U.S. dollar on international yields. The company also highlighted the successful introduction of its new flagship, the Queen Mary 2, and the launch of several other new vessels across its brands, including Carnival Miracle, Diamond Princess, and Caribbean Princess. Management expressed optimism for the remainder of 2004, forecasting continued year-over-year improvement in financial results, with updated full-year EPS guidance of $2.05 to $2.15, an increase from previous projections. Booking levels remain strong, indicating sustained demand for their cruise offerings.

Key Highlights

  • 1First quarter 2004 net income increased to $203 million ($0.25 diluted EPS) from pro forma $147 million ($0.18 diluted EPS) in Q1 2003.
  • 2First quarter 2004 revenues grew to $2.0 billion from pro forma $1.6 billion in Q1 2003, driven by the inclusion of Carnival plc revenues and increased capacity.
  • 3Net revenue yields increased 4.1% on a pro forma basis, benefiting from the weak U.S. dollar against the euro and sterling.
  • 4The company successfully launched the Queen Mary 2 and several other new ships, enhancing its fleet and market presence.
  • 5Booking levels for the remainder of 2004 are 62% higher than the same period last year, relative to a 17.8% pro forma capacity increase.
  • 6Full-year 2004 earnings per share guidance was raised to $2.05 - $2.15, up from $2.02.
  • 7The company anticipates continued year-over-year improvement in financial results for the full year 2004.

Frequently Asked Questions

Carnival Corporation & plc reported strong results for the first quarter ended February 29, 2004. Net income was $203 million, or $0.25 diluted EPS, on revenues of $2.0 billion. This compares favorably to pro forma net income of $147 million, or $0.18 diluted EPS, on pro forma revenues of $1.6 billion for the same quarter in 2003.

The improved performance was attributed to several factors, including the successful integration of P&O Princess into the 'dual listed company' (DLC) structure, a strong wave season with higher booking levels, the positive impact of a weaker U.S. dollar on international revenue yields, and cost synergies achieved from the merger. The introduction of new ships also contributed to capacity growth and market presence.

Carnival Corporation & plc is optimistic about the remainder of 2004. Booking levels are strong, and the company has raised its full-year earnings per share guidance to $2.05 to $2.15, up from the previous forecast of $2.02. Management expects continued year-over-year improvement in financial results throughout the year.

Yes, the company highlighted the highly successful introduction of its new flagship, the 150,000-ton Queen Mary 2, in January 2004. Additionally, new vessels Carnival Miracle, Diamond Princess, and Caribbean Princess were launched or delivered in late February/early March, bolstering the company's capacity and product offerings across several brands.