Carnival Corporation Sets Sail on Record-Breaking Quarter
Carnival Corporation has kicked off 2026 with a bang, reporting record-breaking first-quarter results that exceeded expectations. The company's CEO, Josh Weinstein, attributed the success to higher yields and better cost performance, reflecting healthy fundamentals and solid execution across the business.
Despite the ongoing conflict in the Middle East, Carnival remained hopeful for a resolution and focused on delivering exceptional experiences to its guests. With closing demand remaining robust, guests continued to spend more onboard, leading to stronger pricing and increased revenues. The company's record-breaking first-quarter results included net yields, operating income, EBITDA, and customer deposits.
The trend of guests engaging earlier in the vacation journey by purchasing more inclusive packages, excursions, and experiences before sailing also contributed to higher onboard revenue. This shift reflects the value that Carnival's cruise lines deliver to their customers. The company's bookings for current-year sailings increased 10% year-over-year, adding to its record-breaking book position for the remainder of the year at historically high prices.
Cumulative future-year bookings also reached a first-quarter record, further solidifying Carnival's confidence in the trajectory of its business. As a result, customer deposits reached a new first-quarter record of almost $8 billion, surpassing last year's mark by nearly 10%. This achievement is all the more impressive considering the unpredictable macroeconomic and geopolitical backdrop.
The company's CEO, Josh Weinstein, emphasized that this start to the year supports increasing its full-year outlook operationally by approximately $150 million compared to its December view. This improvement helps absorb a $500 million fuel headwind, despite an EBITDA forecast of $7 billion. The quarter and updated outlook demonstrate how far Carnival has come over the last several years, driven by efforts such as restructuring the organization, reconstituting global leadership, actively managing the portfolio, sharpening commercial operations, harnessing destination footprints, improving pricing, fortifying the balance sheet, and embedding greater rigor across the business.
