CCL FQ2 2013 YOUTUBE

In preparation for CCL FQ3 2013 earnings release tomorrow, we’ve put together the recent pertinent forward looking company commentary.

EX CARNIVAL BRAND 

  • "Fleet-wide bookings during the last 11 weeks from the end of March covering the next three quarters are running higher year-over-year at higher prices."
    • "North American brands' bookings and pricing during this 11-week period are higher."
      • "Caribbean itinerary booking volumes in the last 11 weeks covering the next three quarters, are slightly lower year-over-year at slightly higher prices."
      • "Alaska bookings, again excluding Carnival, are significantly higher at lower prices."
      • "European itinerary bookings for North America brands, are slightly lower at nicely higher prices."
    • "EAA brands' bookings and pricing are also higher versus the prior year."
      • "European itinerary booking volumes, and that's approximately 50% of EAA capacity, are significantly higher at higher prices."
      • "Caribbean itinerary volumes for EAA brands, which are just under 10% of EAA capacity, are running behind last year, but also at nicely higher prices."

CARNIVAL BRAND 

  • "Bookings and pricing over the last 11 weeks are both lower year-over-year in a high single-digits low double-digits range respectively." 
  • "On recent surveys, consumer perception of the brand has significantly improved since the incidents back in March, and we expect this trend to continue as confidence builds back in the brand. We will need to cycle through a full year before we begin to see positive pricing comparisons, which should begin in the second half of 2014."

3Q TRENDS 

  • "(Ex Carnival) On a fleet-wide basis at the present time, occupancies are slightly behind last year at slightly lower prices."
    • "(Ex Carnival) North American brand occupancies are slightly behind at flattish pricing, Alaska pricing is behind last year and North American brand, the European itinerary pricing, is higher versus last year."
      • "Carnival Cruise Lines' pricing is lower on all of its major itineraries versus last year."
    • "EAA brand occupancies for the third quarter, which are largely in Europe trades, are slightly behind last year at lower pricing.
      • "Occupancies for our Asian and Australian business are nicely higher year-over-year with slightly higher pricing. The performance of Costa in China is particularly encouraging given the doubling of its capacity in Asia during the quarter."

4Q TRENDS

  • "On a fleet-wide basis, excluding Carnival, cumulative occupancies are slightly lower at slightly lower pricing."
    • "For North American brands, excluding Carnival again, occupancies are lower at higher prices."
      • "Carnival Cruise Lines' occupancies for the fourth quarter are also lower at slightly higher prices."
    • "For EAA brands, occupancies are flattish year-over-year at lower prices."
      • "Costa brand occupancies for the fourth quarter are nicely higher at lower prices...This is the first time during the last several quarters that Costa has been ahead of the closer-in booking curve this early in the booking process. We read this as a very positive sign are expecting Costa to have a nice increase in revenue yields in the fourth quarter."

1Q 2014 TRENDS

  • "On a fleet-wide basis, and this includes Carnival, occupancies are lower year-over-year at higher prices. North American brands' occupancies, again including Carnival, are lower year-over-year at nicely higher prices. EAA brands' occupancies are also lower at slightly higher prices."

EUROPE 

  • "A major challenge in Europe right now is the weakened economies, especially in Italy and Spain."
  • "Northern Europe product did have a significant capacity increase this year relative to the Med, and we do not expect that to recur in 2014."

SPENDING COSTS

  • "So beginning in the second half of the year, we are planning to increase marketing spend across all North American brands and expect this to continue into 2014."
  • "We had talked about the vessel enhancements being a multiple year process. So there will be some of that in 2014 as well."

SCRUBBERS

  • "There are some incremental operating expenses relating to the scrubbers, but there really isn't anything significant in the way of fuel consumption changes." 

P&O CRUISES & AIDA

  • "Even though our Northern European brands the yields are going down, the yields in P&O Cruises and AIDA are still some of the highest in our fleet. They're performing incredibly well."