Carnival Beats Q1 Estimates with Record $6.2B Revenue
Carnival Corporation (CCL) announced a strong start to its fiscal year on March 27, 2026, reporting record first-quarter operating results that exceeded Wall Street forecasts. The cruise operator posted revenue of $6.17 billion, beating the consensus estimate of $6.11 billion. Adjusted earnings per share came in at 20 cents, a 50% year-over-year increase and above the average analyst expectation of 18 cents per share. The performance was driven by exceptionally strong booking volumes and sustained consumer demand for cruises.
Full-Year Guidance Cut Sends Stock Down 1.3%
Despite the strong quarterly performance, Carnival's stock fell 1.27% after the company lowered its financial outlook for the full fiscal year 2026. Management revised its adjusted EBITDA forecast down to approximately $7.19 billion from a prior estimate of $7.63 billion. Consequently, the adjusted EPS forecast was reduced from $2.48 to $2.21. The company attributed the revision to rising fuel costs, with its guidance based on Brent crude prices averaging $90 per barrel in the near term. The stock's decline contributed to a 17.83% year-to-date drop, though it remains up 27.23% over the past 12 months.
Customer Deposits Hit Record $8M as Bookings Surge
Beneath the revised guidance, Carnival's operational metrics show powerful underlying strength and significant revenue visibility. The company reported that total customer deposits reached a record $8 million, an increase of nearly 10% from the previous year's high. Booking activity for the remainder of 2026 is up by double digits, with nearly 85% of the year's capacity already sold. This tight inventory position and strong demand signal a solid foundation for future yield growth, which is reflected in Wall Street's consensus "Strong Buy" rating and an average price target of $35.31, implying a potential 43.41% upside from its current price.
Edgen Stock·Mar 28 2026, 01:20
