Carnival Corp & plc, the world's largest cruise shipping group,says that since September, booking volumes for the first three quarters, including Costa, are running in line with the strong volumes experienced last year at slightly lower prices. At this time, cumulative advance bookings for 2013 continue to be behind the prior year at slightly lower prices.
Based on current booking trends, the company forecasts full year 2013 net revenue yields, on a constant dollar basis, to be up 1 to 2 percent. Revenue yields (constant dollars) are expected to decline 2 to 3 percent in the first quarter and improve sequentially during the remainder of 2013 based on a recovery in ticket prices and occupancy for the North American brands and Costa. However, the company’s European brands continue to be negatively impacted by a deteriorating economic environment.
The company expects net cruise costs excluding fuel per ALBD for the full year 2013 to be up 1 to 2 percent on a constant dollar basis. Taking the above factors into consideration, the company forecasts full year 2013 non-GAAP diluted earnings per share to be in the range of $2.20 to $2.40, compared to 2012 non-GAAP diluted earnings of $1.88 per share.
Looking forward, Chairman and CEO Micky Arison stated: “We remain well positioned for a recovery in 2013 and beyond evidenced by the demonstrated resilience of our global portfolio of cruise brands as consumers continue to capitalize on cruising’s superior value versus land-based vacation alternatives. We continue to focus on a measured growth strategy through the introduction of two to three new ships per year and the development of emerging cruise markets in Asia.”Arison added, “Based on 2013 guidance, we estimate that cash from operations will reach $3.3 billion for the year while our capital commitments will be just $2.0 billion. As a result, we anticipate significant free cash flow in 2013, which we intend to continue to return to shareholders.”
During 2013, the company expects to carry over 10 million guests on its global fleet and will introduce two new ships, the 2,192-passenger AIDAstella which is scheduled for delivery in March and the 3,560-passenger Royal Princess, which is scheduled for delivery in May.
