News

Carnival Corporation & plc final quarter and full year net profit fall

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 20 December 2013 20 December 2013

Carnival Corporation & plc has reported fourth quarter GAAP net income, which included net unrealized gains on fuel derivatives of $31 million, of $66 million, or $0.08 diluted EPS. For the fourth quarter of 2012, U.S. GAAP net income was $93 million, or $0.12 diluted EPS. Revenues for the fourth quarter of 2013 were $3.7 billion compared to $3.6 billion for the prior year. The company’s financial year ends on 30 November.

Full financial year 2013 GAAP net income was $1.1 billion, or $1.39 diluted EPS compared to $1.3 billion, or $1.67 per share for the prior year. Revenues for the full year 2013 were $15.5 billion compared to $15.4 billion for the prior year.

Carnival Corporation & plc President and Chief Executive Officer Arnold Donald noted that fourth quarter earnings on a non-GAAP basis were better than anticipated in the company’s September guidance due primarily to better than expected cruise ticket prices and onboard spending for Carnival Cruise Lines. Donald added, “Accelerated progress in Carnival Cruise Lines’ brand recovery had a positive impact on fourth quarter results. A steady stream of innovative product initiatives, the launch of a nationwide marketing campaign and travel agent outreach program, as well as an industry-leading vacation guarantee fueled the brand’s improvement.”

Key metrics for the fourth quarter 2013 compared to the prior year were as follows:

• On a constant dollar basis, net revenue yields (net revenue per available lower berth day or “ALBD”) decreased 2.1 percent for 4Q 2013, which was better than the company’s September guidance, down 3.0 to 4.0 percent. Gross revenue yields decreased 0.9 percent in current dollars.

• Net cruise costs excluding fuel per ALBD increased 6.5 percent in constant dollars, driven by higher advertising spend. Costs were higher than September guidance, up 3.5 to 4.5 percent due primarily to the timing of expenses. Gross cruise costs including fuel per ALBD in current dollars increased 1.6 percent.

• Fuel prices declined 6.3 percent to $671 per metric ton for 4Q 2013 from $716 per metric ton in 4Q 2012 and were better than the September guidance of $687 per metric ton.

American Cruise Lines building four new ships

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Top Headlines Top Headlines; Published: 16 December 2013 16 December 2013

American Cruise Lines – the largest U.S. cruise company – today announced that it is building four new riverboats for American river cruising. Construction has already begun on the first two ships, with the first to begin cruising in in the spring of 2015. The first two new riverboats will carry between 150 and 200 guests and will cruise the Mississippi River system and the Columbia and Snake Rivers. The four new ships will enter service between 2015 and 2017. They will bring all the latest amenities and comforts to each area cruised, including the largest staterooms, private balconies, and spacious dining and lounge venues.

At least one of the four new ships will operate cruises along the Columbia and Snake Rivers from the Pacific Coast to the Idaho border, more than 500 miles inland. It will be specially built for cruising in the Pacific Northwest with historic accents and modern conveniences. Every stateroom is designed to have panoramic views, private balconies, and room service. The art collection is being carefully selected to highlight the Lewis and Clark expedition and the Native American tribes who helped them. During the cruise, guests will learn about the Lewis and Clark expedition while enjoying the comforts of the finest ship to ever sail this region. The itinerary will be similar to American Cruise Lines’ existing itinerary on the Columbia and Snake Rivers aboard Queen of the West, which underwent extensive renovation in 2010.

In 2012, American Cruise Lines revolutionized Mississippi River cruising by bringing an unprecedented level of refinement and service to the river through its introduction of Queen of the Mississippi, the first new ship on the river in nearly twenty years. The additional new ships will have many of the same features and carry approximately 150 to 200 guests. They will have the largest staterooms ever with sliding glass doors for panoramic views, room service, and other amenities unique to American Cruise Lines.

“There is a longstanding history of riverboating in America,” said Timothy Beebe, Vice President of American Cruise Lines. “Since the 1800s, each new riverboat has sought to outdo the last by offering more amenities, comforts, and service than its predecessors. The Columbia and Snake Rivers have not seen a new riverboat in over ten years, so the upgrade is overdue, and the new ship on the Mississippi River will complement the Queen of the Mississippi beautifully.”

The announcement comes on the heels of a recent American Cruise Lines press release which revealed the company has experienced annual growth of more than 25% in each of the past three years. The company is the leader in US river cruising and has an ambitious growth plan to provide its superior service to more people each year.

Viking to build further two cruise liners at Fincantieri

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 16 December 2013 16 December 2013

Viking Cruises and Fincantieri announced today the signing of a contract for the construction of two additional ocean cruise ships, the shipyard said in a statement.

The order brings the number of 47,800 gross ton vessels Viking has on order at the Italian state owned yard for its new Viking Ocean Cruises unit to four, with the first ship due for delivery in 2015.

The new ships will be sister ships to those ordered last year. Deliveries are scheduled for mid 2016 and early 2017. The contract will be effective subject to financing and other customary closing conditions.

This new contract reinforces the already strong commercial relationship between Viking and Fincantieri. On this basis Fincantieri and Viking are discussing additional high-profile joint projects in other cruise segments to further enlarge the scope of the partnership.

Torstein Hagen, Chairman of Viking Cruises, commented on the announcement: “The interest in and popularity of our current ocean itineraries has been incredible, and they are selling at an unprecedented rate. This new order allows us to offer consumers in our other markets the opportunity to explore the world in ways they have never experienced beforethrough our destination-focused itineraries”.

Giuseppe Bono, CEO of Fincantieri, said: "This new order strengthens our partnership with Viking, a group that is displaying remarkable dynamism and ability to achieve important market goals. Bono continued: "Fincantieri has got its fill this year of the new build orders offered by the market. This once again demonstrates our determination and ability to compete without which it would have been hard to achieve these excellent results. We hope that the next few years will provide more and greater satisfaction that we'll need to pursue with the passion and cultural openness demanded by the competitive environment".