Carnival (CCL) Q4 2024 earnings summary

Executive summary

• Achieved record full-year revenues of $25 billion in 2024, with net income of $1.9 billion and adjusted EBITDA of $6.1 billion, driven by strong demand, higher prices, and robust commercial execution.

• Outperformed fourth quarter guidance on all key financial measures, including net yields, adjusted EBITDA, and net income, with net income exceeding expectations by over $125 million.

• Operational execution and marketing investments led to double-digit growth in both new-to-cruise and repeat guests, with onboard spending accelerating each quarter.

• Delivered three new ships in 2024—Carnival Jubilee, Sun Princess, and Queen Anne—and expanded exclusive Caribbean destinations, enhancing guest experience and future growth.

• Sustainability efforts resulted in a 17.5% reduction in greenhouse gas emissions intensity versus 2019, and a 44% reduction in food waste per person since 2019.

Financial highlights

• Full-year 2024 adjusted EBITDA reached $6.1 billion, $500 million above guidance, and adjusted net income was $1.9 billion, $700 million above guidance.

• Fourth quarter revenues reached a record $5.9 billion, with net income of $303 million and adjusted net income of $186 million, both exceeding guidance.

• Net yields for 2024 increased 11% year-over-year; per diems for Q4 improved over 5% year-over-year.

• Customer deposits at year-end were $6.8 billion, a record, up $1.9 billion from 4Q19.

• Ended 2024 with $27.5 billion in debt, down over $8 billion from January 2023 peak.

Outlook and guidance

• 2025 net yields expected to be 4.2% higher than record 2024 levels, with nearly two-thirds of 2025 capacity already booked at higher prices and occupancy.

• Adjusted cruise costs excluding fuel per ALBD projected to rise 3.7% in 2025, impacted by new destination expenses, dry dock days, inflation, and higher advertising.

• Adjusted EBITDA expected at $6.6 billion and adjusted net income at $2.3 billion for 2025, with adjusted EPS of $1.70.

• On track to achieve investment-grade leverage metrics (3.5x net debt/EBITDA) by 2026.

• Interest expense in 2025 expected to be over $200 million lower than 2024 and $500 million lower than 2023.