Carnival Corporation announced financial results for the second quarter 2026 and provided an updated outlook.

• Net income of $537 million with record adjusted net income2,3 of $569 million, up over 20 percent compared to the prior year.
• Record revenues of $6.7 billion with record net yields2,3 (in constant currency), demonstrating continued demand strength.
• Reached all-time high customer deposits of $9.0 billion, up over $450 million compared to the prior year record.
• Booked position for the remainder of 2026 ahead of prior year at historically high prices, with demand for 2027 and beyond continuing to exceed prior-year levels

 

“We achieved another quarter of record results, marking our twelfth consecutive quarter of record net yields and delivering over 20 percent more to the bottom line, overcoming extreme geopolitical headwinds and nearly 30 percent higher fuel costs. Continued commercial execution and a step up in our cost efficiency efforts enabled us to exceed our March guidance by $100 million. These results reflect the strong demand for our portfolio of world-class cruise lines and the continued progress we are making across the business,” said Carnival Corporation’s Chief Executive Officer Josh Weinstein.

Second Quarter 2026 Results

• Diluted EPS of $0.39 and adjusted EPS2 of $0.41, up over 15 percent compared to the prior year despite a $0.06 ($73 million) unfavorable impact from fuel prices and currency rates.
• Record adjusted EBITDA2,3 of $1.6 billion.
• Gross margin yields down 3.9 percent driven by higher fuel prices. Record net yields (in constant currency) up 2.2 percent.
• Cruise costs per available lower berth day (“ALBD”) increased 6.0 percent driven by higher fuel prices. Adjusted cruise costs excluding fuel per ALBD2 (in constant currency) were in line with prior year due to sharpened cost discipline.
• Fuel consumption per ALBD improved 5.6 percent, reflecting the company’s efforts and investments to continuously reduce fuel consumption, which helped partially mitigate a nearly 30 percent increase in fuel prices.

 

Advance Sales

“Our booked position for the second half of 2026 is higher than last year, at historically high prices (in constant currency), despite navigating more than a full quarter of extreme geopolitical volatility that primarily impacted booking trends for our European deployments, particularly in the Mediterranean region, which were closest in proximity to the conflict in the Middle East. For those deployments, we leaned into the substantial occupancy advantage we had strategically built to deliberately prioritize pricing integrity. We are now 93 percent booked for the year with less inventory remaining for sale than this time last year and are on track for record net yields in the second half of 2026,” Weinstein said.

“Looking further out, demand for 2027 and beyond remains strong. Since March, booking volumes and prices for these future sailings have been running ahead of prior year levels, including a substantial increase in bookings for our European deployments next year. These trends reinforce our confidence in the longer-term demand environment.”

“Our booking curve remains the furthest out on record, reflecting the power of our world-class portfolio of cruise lines, the durability of our demand generation efforts and the exceptional vacation experiences we deliver. Continued strength in demand is also reflected in higher second quarter onboard revenues, increased pre-cruise onboard sales and record customer deposits,” Weinstein noted.

Customer deposits reached an all-time high of $9.0 billion on flat capacity growth over the next twelve months, surpassing the prior year’s record by over $450 million, a further reflection of demand momentum and reinforcing the company’s strong cash flow profile.

2026 Outlook

“Our second quarter operational outperformance and accelerated cost efficiency efforts have offset the transitory moderation shaped by the prolonged conflict in the Middle East, which is incorporated into our second-half outlook. As conditions continue to normalize, we expect to benefit from the strong demand, pricing and operational improvements embedded throughout our business. Recent booking trends already suggest that we are beginning to see a reversal of these headwinds, reinforcing our confidence in both the near-term outlook and the long-term earnings power of the business,” Weinstein added.

For the full year 2026, the company expects:

• Net yields up approximately 3.2 percent compared to record 2025 levels. Net yields (in constant currency) up approximately 1.75 percent, 2.25 percent after reflecting the impact of the summer 2025 close-in decision to redeploy away from the previously planned first quarter 2026 Arabian Gulf voyages and the impacts of loyalty program accounting for Carnival Cruise Line.
• Adjusted cruise costs excluding fuel per ALBD up approximately 3.7 percent. Adjusted cruise costs excluding fuel per ALBD (in constant currency) up approximately 2.4 percent, 1.3 percent after reflecting the timing of certain expenses between the years, partial year operating expenses from two exclusive destinations and over 30 basis points for certain elevated logistics costs as a result of disruption from the Middle East conflict.
• The net impact of fuel prices and currency on the company’s June guidance compared to prior guidance was less than $0.01 per share. The company’s guidance reflects the current spot prices of fuel.

 

Capital Allocation

“Our strong cash flow growth enabled us to launch our current share buyback program, repurchasing over $450 million of stock to date, reinforcing our commitment to accelerate shareholder returns. At the same time, we continued to responsibly invest in return-generating programs across our fleet and exclusive destinations, while further strengthening our financial position. We achieved a net debt to adjusted EBITDA1 ratio of 3.1x—more than half a point improvement from just one year ago. The continued momentum of our financial performance was recognized by Moody’s with a credit rating upgrade and a continued positive outlook,” commented Carnival Corporation’s Chief Financial Officer David Bernstein.

During the quarter, the company distributed $207 million in dividends, bringing the year to date total to $414 million.