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Record Net Income and Strategic Growth Plans

This article was first published on: GuruFocus.

Net income: $454 million, an increase of nearly 2.5 times over the previous year, exceeding the forecast figure by $154 million.
Efficiency Increase: The 5.4% increase from the previous year was 110 basis points better than forecasts.
Fuelless Travel Costs: Up 0.5% from the previous year, 2.7 points better than forecasts.
Deleveraging and Refinancing: Investable net debt/adjusted EBITDA ratio was 3.4x.
Debt Reduction: It’s down more than $10 billion since the peak less than three years ago.
2026 Return Guide: An increase of around 2.5% is expected.
2026 Fuelless Cruise Costs: An increase of approximately 3.25% is expected.
2026 Net Income Guide: More than $3.45 billion, an improvement of more than 12% compared to 2025.
2026 EBITDA: It is estimated to be 7.6 billion dollars.
Dividend Resumption: The starting fee is $0.15 per quarter.
Share Buybacks: The last of the convertible debentures were called, issuing 18 million shares.

Release Date: December 19, 2025

For the full earnings call, please see: full earnings call transcript.

Carnival Corp (NYSE:CCL) achieved record results for the full year 2025, with revenues, returns, operating income and EBITDA reaching historic highs in the fourth quarter.
The company achieved a 60% increase in net income by 2024, exceeding the initial forecast by 30%.
Carnival Corp (NYSE:CCL) successfully managed costs, increasing unit costs by more than 1 percentage point compared to initial estimates, despite inflation and higher dry dock expenses.
The company reinstated its dividend with an initial rate of $0.15 per quarter, reflecting confidence in cash generation and balance sheet improvements.
Carnival Corp (NYSE:CCL) reached investable leverage of 3.4x at year-end, ahead of schedule, and plans to continue reducing leverage while allowing opportunistic share buybacks.

Carnival Corp (NYSE:CCL) faces increased volatility and geopolitical uncertainties, which is impacting distribution changes and potentially impacting future performance.
The company expects a 3.25% increase in fuel-free cruise costs per ALBD in 2026 due to inflation, higher advertising spend and dry dock costs.
The implementation of Carnival Cruise Line’s new loyalty program is expected to negatively impact returns in 2026.
The company is targeting a 14% increase in non-Carnival Corporation capacity in the Caribbean, which could put pressure on pricing and occupancy.
Carnival Corp (NYSE:CCL) is dealing with regulatory costs related to emissions reductions and higher income taxes that impact net income.