10-Q - CARNIVAL PLC (0001125259) (Filer)

Tue, Mar 25, 2:20 PM (32 days ago)

**Carnival Corporation & plc (CCL) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $5.81 billion, up 7.5% from $5.41 billion in Q1 2024. - Passenger ticket revenue: $3.83 billion, up 6%. - Onboard and other revenue: $1.98 billion, up 11%. - **Operating Income:** $543 million, up 97% from $276 million in Q1 2024. - **Net Income:** $(78) million, improved from $(214) million in Q1 2024. - **Earnings Per Share (EPS):** $(0.06), improved from $(0.17) in Q1 2024. - **Operating Cash Flow:** $925 million, down 47.8% from $1.77 billion in Q1 2024. **Profit Margins:** - **Operating Margin:** 9.35%, improved from 5.11% in Q1 2024. - **Net Margin:** -1.34%, improved from -3.94% in Q1 2024. **Cash Flow:** - **Operating Activities:** $925 million, down 47.8% from $1.77 billion in Q1 2024. - **Investing Activities:** $(605) million, improved from $(2.16) billion in Q1 2024. - **Financing Activities:** $(690) million, compared to $237 million in Q1 2024. **Earnings Changes & Trends:** - Improved revenue and operating income driven by higher ticket prices, increased capacity, and higher onboard spending. - Increased operating expenses due to higher capacity and increased ticket pricing. - Improved net income and EPS due to lower interest expense and debt extinguishment costs. - Volatility in fuel prices and increasing focus on greenhouse gas emissions may impact future financial results. **Future Operations Impact:** - **Debt:** $27.71 billion, with $25.49 billion in long-term debt. Carnival is in compliance with debt covenants. - **Liquidity:** $3.8 billion, including $0.8 billion in cash and cash equivalents and $2.9 billion in borrowings available under the revolving credit facility. - **Ship Commitments:** $0.9 billion for the remainder of 2025 and significant commitments through 2033. - **Uncertainties:** Geopolitical events, regulatory changes, and economic factors may impact future performance. **Segment Performance:** - **North America:** Revenue up 7.5%, operating income up 89.7%. - **Europe:** Revenue up 3.8%, operating income up 17.6%. - **Cruise Support & Tour and Other:** Minimal changes in revenue and operating income. **Management Discussion:** - Focus on managing fuel price risk, foreign currency exchange rates, and interest rate risks. - Continued investment in shipbuilding programs, repairs, and maintenance. - Compliance with debt covenants and plans to refinance future debt maturities.