The Impact of 19 Ship Exits on Carnival Corporation

The selling off of 19 ships has led Carnival Corporation to a greener, leaner and more profitable future.

CEO Arnold Donald, speaking on the company’s business update call on Monday, said that with the exit of 19 less efficient ships, the company will see a 10 percent reduction in unit fuel consumption on an annualized basis.

“Our strategic (move) to accelerate the exit of 19 ships left us with a more efficient and a more effective fleet overall, and it’s lowered our capacity growth to roughly 2.5 percent compounded annually from 2019 through 2025,” Donald said.

“Now that’s down from 4.5 percent annually pre-COVID. While capacity growth is constrained, we will benefit from this exciting roster of new ships spread across our brands, enabling us to capitalize on pent-up demand and drive even more enthusiasm around our restart plan.”

Previously, in 2020, Carnival said that exiting 18 ships (which grew to 19) represented 12 percent of the company’s pre-pause capacity, but only 3 percent of operating income in 2019.

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