Carnival Corp. reports record Q2 results, though forward guidance softens

Carnival Corporation has posted record Q2 results, although its 2026 profit outlook for the third quarter came in below analysts’ expectations.

The company reported a record adjusted net income of $569 million and record first-half revenue of $6.7 billion, according to financial results released Tuesday (June 23).

Carnival also reached all-time high customer deposits of $9.0 billion (up over $450 million compared to the prior year), all the while “overcoming extreme geopolitical headwinds and nearly 30 per cent higher fuel costs,” said Josh Weinstein, the company’s chief executive officer, in a press release.

“Continued commercial execution and a step up in our cost efficiency efforts enabled us to exceed our March guidance by $100 million,” said Weinstein. “These results reflect the strong demand for our portfolio of world-class cruise lines and the continued progress we are making across the business.”

Carnival says it is 93 per cent booked for the year and has less inventory available than it did at the same point last year.

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According to Weinstein, this strong demand comes “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,” he said.

He added that the company remains on pace to achieve record net yields in the second half of 2026.

“Looking further out, demand for 2027 and beyond remains strong,” he said.

However, the company projects third-quarter adjusted earnings of $1.35 per share, falling short of analysts’ expectations of $1.42.

While Carnival lowered its full-year adjusted EBITDA forecast to approximately $7.11 billion from $7.19 billion, it slightly increased its full-year adjusted EPS outlook to $2.22, up one cent from its previous guidance.

Strategic initiatives

Carnival Corporation – inclusive of Carnival Cruise Line, Princess Cruises, Holland America Line, Seabourn, Cunard, Costa Cruises, AIDA Cruises and P&O Cruises – continued to advance several long-term strategic initiatives during the quarter.

The company says it completed the unification of its dual-listed corporate structure under a single entity and relocated its legal incorporation to Bermuda.

The operator also strengthened its future growth pipeline by ordering three new LNG-powered ships for Princess.

Scheduled for delivery in 2035, 2038 and 2039, the vessels will introduce the new Voyager class and become the largest ships in the Princess fleet.

Carnival further expanded its fleet modernization efforts, building on the success of its existing programs.

Holland America Line launched its Evolution Program, which is designed to enhance the guest experience through expanded onboard offerings and redesigned public spaces.

At the same time, AIDAbella became the third ship to complete upgrades under AIDA Cruises’ Evolution modernization initiative.

The company also continued investing in its Paradise Collection destinations.

Celebration Key, an exclusive cruise destination located on the south side of Grand Bahama Island, welcomed more than two million guests since opening in July 2025 and completed a pier extension that enables four ships to dock simultaneously.

At RelaxAway, Half Moon Cay, Carnival also completed a new pier capable of accommodating two cruise ships at once while maintaining tender operations.

Meanwhile, Mahogany Bay was rebranded as Isla Tropicale and expanded with a new 48,000-square-foot recreational area featuring a resort-style pool, swim-up bar, splash pad and additional guest amenities.

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