Carnival’s Q1 per-share profit jumped 95% to 39 cents a share, topping expectations by seven cents. Revenue grew over 3% to $3.65 billion, slightly above forecasts for $3.63 billion, marking the second straight quarter of earnings and sales acceleration for the cruise ship operator.
Gross cruise costs, including fuel, fell 6% during the quarter on changes in fuel costs and currency exchange rates.
Carnival said that advance bookings for the rest of 2016 are “well ahead of the prior year at slightly higher prices” and that since January, booking volumes for the year are “running ahead of last year’s historically high levels at higher prices.”
Carnival shares rose 5.5% to 52.37, and Royal Caribbean jumped 5.7%. CCL and RCL are Smart Investing in Turbulent Times stocks.