In 2020 COVID-19 destroyed the entire industry. The cruise industry has been hammered by repeated difficulties and there is still no end in sight. “To date, what is left of the 2019 Carnival is very little. Meanwhile, “COVID-19 difficulties are still persisting.” He writes of the continuing effects of COVID-19 on the cruise line: Carnival ended up incurring over $36,000,000,000 (billion) in debt in the last two years.Įarlier this year, we reported that Carnival was heading into a “perfect storm.”Īn analyst ( Seeking Alpha) concluded several months ago that although revenue increased at Carnival Corporation, the company suffers from a “continuous deterioration” and its financial structure is now “ completely compromised after 2 years of huge losses.” He suggests that Carnival’s debt has more than tripled, and there are stringent covenants limiting corporate maneuvering. Ĭarnival’s current predicament has been slowly, but surely, occuring as the pandemic continues. Obviously involving not just #cruise brand / to be expected with more than $35,000,000,000 in debt it can't reasonably pay, high inflation, and increased costs – despite non-stop marketing as #COVID19 continues. The cruise company also recently (in August) abandoned COVID-19 vaccination and testing protocols which resulted in a rise in bookings, albeit a more dangerous environment on cruise ships. Revenue has now missed expectations for ten (10) straight quarters īefore Carnival announced the disappointing results, there was some hope that the cruise giant would finally return to profitability, but concerns with inflation, and high fuel prices in particular, as well as gargantuan debt of $35,000,000,000 (billion), caused shares of Carnival to plunge to $7.01 before closing at $7.02, a three-decade low.ĬCL stock has plummeted nearly 90% from its high of over $68 back in January of 2018.Ĭarnival’s financial woes continue notwithstanding non-stop advertising and cheaper fares. has reported a loss for every single quarter since fiscal 2Q 2020, with losses wider than expected in all but one of those quarters. Carnival had a net loss of $770 million for the third quarter of 2022.Ĭarnival’s revenue has now missed expectations for the last ten (10) straight quarters dating back to fiscal 2Q in 2020. Last Friday, Carnival Corporation forecast a loss in the fourth quarter after it reported third quarter financial results which fell well short of Wall Street estimates.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |