A joint venture cruise brand that Carnival plc, the British holding company in the Carnival Corporation & plc group, China Investment Corporation (CIC) and China State Shipbuilding Company (CSSC) agreed to set up last year could acquire the five cruise ship newbuildings on completion from a joint venture set up by CSSC and Fincantieri.
China Daily reported on 8 July that a joint venture ship owning company 60% controlled by the China State Shipbuilding Company (CSSC) and 40% by Fincantieri, the Italian shipbuilder, would build five 133,500 gross ton cruise ships at CSSC’s Shanghai Waigaoqiao Shipbuilding Company (SWS) unit, the first of which is due to enter service in 2021, the newspaper reported on its English language website.
By allowing the joint venture company set up between the two shipbuilders to take the risk of successfully completing the planned ships and acquiring them, either outright or e.g. through a bareboat charter agreement, Carnival group could insulate itself against the risk of problems with the construction of the planned ships.
A project to build two cruise liners for its AIDA Cruises unit in Germany at Mitsubishi Heavy Industries in Japan, which has not built cruise ships for more than a decade, run into serious delays due to problems at the yard. SWS has not built cruise ships before.
The gross tonnage of the planned SWS built vessels, 133,500, suggests that these could be based on the same design as Carnival Vista, Costa Diadema and a yet unnamed newbuilding for P&O Cruises Australia, all Carnival group units, from Fincantieri in Italy.
Global Ocean Cruise Market Analysis & Forecast by Odo Maritime Research is looking into the current state of the industry, the possibilities and threats that may lie ahead.
Extensive use of graphs, charts and tables in the 118 page report that is published in PDF format makes the information easy to absorb. The price of the report -£520, €650 or $860 – remains unchanged from two years ago, when we published our first issue.
Executive summary 8
Cruise industry in context 13
Tonnage supply 15
A bird’s eye view 15
Fleet capacity analysis 16
Space ratio analysis 17
Vessel size segmental analysis 21
Fleet age analysis 22
Small operators 25
Newbuilding prices analysis 26
Shipyards & newbuilding prices comparison 28
Newbuilding capacity delivery trend 37
Record orderbook & its implications 38
Deployment patterns 40
Cruise brands & market shares 45
Main ocean cruise brands 45
New & emerging brands 47
Mergers & acquisitions 48
Market shares 49
Port development & traffic analysis 55
Port development projects 55
Port traffic analysis 60
Source markets analysis 70
Business performances 76
The majors – Carnival Corp. & plc, RCCL, NCLH 76
Volume growth 76
Development of revenues 77
Development of net results 78
Development of revenue & net result per passenger 79
Development of total & onboard revenue 81
Development of onboard revenues’ share of total 82
Return on capital employed 83
Net yield & net cruise costs 85
Relative development of operating expenses – illustrations 87
Development of shareholders’ equity & debt 91
Earnings estimates by three listed majors 93
Smaller companies 94
Genting Hong Kong 94
Fred. Olsen Cruise Lines, Ltd. 96
Lindblad Expeditions Holdings, Inc. 97
Key observations on business performance 99
Risks & opportunities 100
Other considerations 102