From Bloomberg.: 2024-03-27 09:40:10

Carnival (NYSE:CCL) reported Q1 CY2024 results in line with analyst expectations, showing a 22% increase in revenue to $5.41 billion and a non-GAAP loss of $0.14 per share. The company’s CEO praised the strong quarter, highlighting record booking volumes and higher prices. Carnival, known for its luxurious amenities like on-board planetariums, operates in the competitive leisure travel industry. With an annualized revenue growth rate of 3.2% over five years, the company must innovate to stay relevant in a market shifting towards experiences. Despite cash burn of $370 million in Q1, the company beat revenue expectations and maintains solid full-year guidance.

While Carnival’s Q1 results were strong, investors should consider valuation and business qualities before investing. The stock is currently trading at $17.1 per share, and analysts anticipate 10.5% sales growth over the next 12 months. As the world emerges from COVID restrictions, Carnival’s annualized revenue growth of 154% over the last two years indicates positive momentum. However, the company’s free cash flow margin has been negative, suggesting ongoing challenges with cash flow management. For a detailed analysis of Carnival’s investment potential, access a free full research report.



Read more at Bloomberg.: Carnival (NYSE:CCL) Posts Q1 Sales In Line With Estimates