Carnival Corp & plc, the world’s
largest cruise shipping group, says it will pursue strategic growth as stated earlier
in spite of weak global economy.
“We remain focused on
strategic growth through the addition of two to three new ships per year and
expect to continue to return excess cash to shareholders. Based on the above
guidance, we estimate our cash from operations will approach $4 billion in
2012, while our capital investment commitment will be $2.6 billion. We expect
to generate significant free cash flow in 2012 and beyond, which should provide
further opportunities to return cash to shareholders,” said Chhairman and CEO
Micky Arison in a statement.
During 2012, the company will introduce three new ships. Costa
Fascinosa is scheduled for delivery in April, while AIDAmar and Carnival Breeze
are scheduled for delivery in May. Recently, P&O Cruises (Australia) sold
Pacific Sun which will leave the fleet in July 2012.
Carnival Corp & plc, the
world’s largest cruise shipping group, expects its net income for the current
financial year fall short of the $1.91 billion reported for 12 months to 30
November 2011, while net revenue yields should increase slightly.
At the present time, cumulative
advance bookings for 2012 are at slightly higher prices with slightly lower
occupancies compared to the prior year. For the last six weeks, booking volumes
for the first three quarters of 2012 are running well ahead of the prior year
at lower prices.
Based on current booking
trends, the company forecasts full year 2012 net revenue yields, on a constant
dollar basis, to be up 1.0 to 2.0 percent. The company expects net cruise costs
excluding fuel per ALBD for the full year 2012 to be in line with the prior
year on a constant dollar basis. At current exchange rates, full year 2012 net
income is expected to be reduced by $135 million or $0.17 per share compared to
2011 due to changes in currency exchange rates.
Taking all the above factors
into consideration, the company forecasts full year 2012 non- GAAP diluted
earnings per share to be in the range of $2.55 to $2.85, compared to 2011 non-
GAAP diluted earnings of $2.42 per share.
Looking forward, Chairman and CEO Micky Arison
stated, “Our base of business for 2012 is solid and we are experiencing strong
booking volumes leading into wave season, our heaviest booking period which
begins in early January. Despite the uncertain economic environment, we
anticipate a continued slow recovery in yields in 2012 driven by ongoing
consumer recognition that our cruises provide an exceptional value.”
Carnival Corporation &
plc has reported fourth quarter net income of $217 million compared to $248
million on the last three months of its previous financial year. Revenues
increased to $3.69 billion in the period to 30 November from $3.39 billion in the same period last year. Full year net profit fell to
$1.91 billion from $1.98 billion, while revenue increased to $12.1 billion from
Chairman and CEO Micky Arison
noted that earnings on a non-GAAP basis were in line with the company’s
September guidance for the fourth quarter of 2011.
Commenting on 2011 full year
results, Arison said, “On the whole, 2011 was an encouraging year for our
global portfolio of cruise brands. Our North American brands performed well,
achieving an almost four percent revenue yield increase, while our European,
Australian and Asian brand yields were in line with the prior year (constant
dollars) despite having been significantly impacted by the geo-political unrest
in the Middle East and North Africa. Higher revenue yields partially offset a
32 percent increase in fuel prices, which reduced earnings by $535 million or
$0.68 per share for the year.”
P&O Cruises Australia has sold the 1986
built Pacific Sun of 47,262 gross tons to undisclosed buyers. The ship will make
its last cruise under the Carnival Corp & plc brand from Brisbane on 1 July
next year, according to a report on news.com.au
The ship was built for Carnival Cruise
Lines at the now defunct Kockums shipyard in Malmo in Sweden as Jubilee and
transferred to the Australian company in 2004. Its sister ship Celebration that
entered service in 1987 is currently trading as Grand Celebration of sister
company Iberocruceros. All three companies are part of Carnival Corp & plc
P&O Cruises Australia continues to
operate three former Princess Cruises’ vessels, Pacific Dawn, Pacific Jewel and
Pacific Pearl, which were built between 1989 and 1991. All have received major
refits prior to their entry into service with P&O Cruises Australia. Pacific Sun has recently been transferred
under the Maltese flag, while the other three ships of P&O Cruises
Australia fly the Red Ensign of the British merchant fleet.
Thomas Cook plc, Europe's second largest tour operator, has unveiled a £398 million pre tax loss for 12 months to 30 September 2011 on revenues of £9.81 billion, compared to a profit of £42 million on revenues of £8.89 billion a year earlier, the company said in a statement.
•Revenue increased 10% (8% at constant currency) to £9,809m on volume, price and mix gains and benefits from acquisitions;
•Good performances in Central Europe, Northern Europe and Airlines Germany offset by a fall in UK profit and the impact of MENA disruption, particularly in France resulting in a 16% reduction in underlying profit to £304m;
•Exceptional charges of £573m resulted in a loss before tax of £398m (2010: £42m profit). The charges are largely non-cash and include £428m of impairments and write-downs. Cash exceptionals were £90m (2010: £158m);
•Free cash inflow improved by £50m to £18m despite the fall in profits;
•Implementation of UK turnaround plan underway. Turnaround expected to deliver £110m annualised improvement in profitability, following a phased build-up over three years;
•Further progress on asset disposals made, with the sale of five hotels in Spain, that will result in an estimated net debt reduction of £81m;
•Cautious stance on winter capacity taken in UK, Central and West & East.
Sam Weihagen, Group Chief Executive, Thomas Cook Group plc said: “This has been a very challenging year for the Group, despite which we still delivered an underlying operating profit of over £300m. We have instigated significant management changes and implemented a turnaround plan in the UK to address our areas of underperformance. We continue to take action to substantially strengthen the balance sheet and the Board is undertaking a full strategic review. I am confident that these changes will improve profitability and build a stable foundation from which to rebuild shareholder value. Customers have been very supportive in recent weeks and are continuing to book with Thomas Cook. Bookings outside the UK were broadly unaffected by news of our refinancing and in the UK bookings have recovered well. For over 170 years Thomas Cook has provided customers with fantastic holiday experiences and we will continue to do so.”