Carnival quarterly financials good, except for fuel cost

Yields are up, but earnings took a beating from higher fuel prices. Such is the good and bad news shared by Carnival Corporation when comparing its most recently ended fiscal quarter with the same quarter year-prior.

A 19% drop in net income for the quarter ended February 28 was driven by a 63% increase in fuel prices. Revenues rose 2.7% across all 12 Carnival-owned brands to $2.46 billion, with net income of $280 million. The net revenue per lower passenger berth per day , called net yield, increased 1.2%, suggesting strengthening pricing.

The executive summary? Cruising is growing, demand is up, the business is sound, but darn that OPEC.

The impact of the results on Carnival's stock was muddied since the fire onboard Star Princess was announced during the earnings conference call. Carnival's brands are: Carnival Cruise Lines, Holland America, Princess, Seabourn, Windstar, AIDA Cruises, Costa, Cunard, Ocean Village, P&O, Swan Hellenic, and P&O Australia.

Carnival's Earnings Announcement