Carnival Corporation has credited the “robustness” of the company’s business model after net income hit $427 million in the final quarter despite “negative headwinds” facing European source markets and Hurricane Dorian.
Across 2019, the parent company of Cunard, P&O Cruises, Princess Cruises, Holland America Line, Seabourn and Carnival Cruise Line, achieved record total revenues of $20.8 billion – up from $18.9 billion in 2018.
Net income in the fourth quarter decreased by $65 million compared to the same period the year before.
But the company exceeded its fourth quarter guidance even though booking volumes were impacted by Hurricane Dorian in the Bahamas in September and decreased demand in European source markets.
Carnival Corporation president and chief executive Arnold Donald said: “We overcame a high number of unusual events compounded by a significant downturn in leisure travel demand for our large source markets in Continental Europe.
More: Delivery of Carnival Mardi Gras delayed until late October
“In that environment, to achieve record revenues and adjusted earnings is an accomplishment for any consumer company, a credit to our 150,000 team members and demonstrates the robustness of our business model.”
In a statement, looking at the year ahead, the company said it expects earnings per share to be between $4.30 and $4.60 – compared to 2019 earnings per share of $4.40.
Donald also added: “Globally, we are also taking actions to further stimulate demand and increase our cost efficiencies in 2020 and beyond.
“With annual cash from operations of $5.5 billion, our balance sheet is strong as are our brands and we believe we are well positioned to return to double-digit earnings growth.”
Donald added that the company remains committed to being “a leader in the development of environmentally-friendly fuel solutions”.
Earlier on Friday, Carnival announced new ship Mardi Gras was
The delayed Carnival Mardi Gras and Costa Cruises ship Costa Smeralda, which launched on December 6, are both LNG-fuelled vessels.