Carnival Corporation  announced financial results for the third quarter 2025 and provided an updated outlook for the full year and an outlook for the fourth quarter 2025.

• Achieved all-time high net income of $1.9 billion and adjusted net income of $2.0 billion.
• Raised full year 2025 adjusted net income guidance for the third quarter in a row due to improved net yields and effective cost & balance sheet management; now expected to be up nearly 55 percent year over year.
• Delivered record revenues of $8.2 billion, a record for the tenth consecutive quarter, and all-time high net yields (in constant currency) outperforming June guidance due to strong close-in demand.
• Cumulative advanced booked position for 2026 remains strong, in line with 2025 record levels and at historical high prices (in constant currency).
• Refinanced $4.5 billion of debt during the quarter, simplifying its capital structure and prepaid an additional $0.7 billion of debt.

“This was a phenomenal quarter delivering all-time high net income and our tenth consecutive quarter of record revenues. Strong demand and onboard spending drove a 4.6% improvement in net yields (in constant currency), all of which was achieved on a same ship basis,” commented Carnival Corporation & plc’s Chief Executive Officer Josh Weinstein.

“Adjusted return on invested capital^2,3 reached 13% for the first time in nearly 20 years, a clear testament to the continued improvement in our operational execution—driven not only by consistently strong performance from Carnival Cruise Line and AIDA, but also great advancement across the rest of our portfolio of world class brands,” Weinstein added.

“We also welcomed our game changing new exclusive destination, Celebration Key, to rave guest reviews and overwhelming media coverage. It joins our unparalleled footprint of seven Caribbean gems that are set to host eight million guest visits next year. And as beaches are the number one preferred destination for vacationing Americans, our miles upon miles of some of the most beautiful beaches in the world are well-positioned to attract even more first-time cruisers while offering our loyal guests yet another great reason to come back soon,” Weinstein continued.

“Even with our rapid progress, we believe we have ample opportunity to increase same ship net yields and further close the unbelievable price-to-value gap versus land based vacation alternatives, pushing margins and returns even higher over time,” Weinstein said.

Third Quarter 2025 Results

• Record net income of $1.9 billion, or $1.33 diluted EPS, an improvement of $116 million compared to 2024, surpassing the previous record set in 2019.
• Record adjusted net income of $2.0 billion, or $1.43 adjusted EPS, outperformed June guidance by $182 million led by strong close-in demand and effective cost management, surpassing the previous record set in 2019 by nearly 10 percent.
• Record adjusted EBITDA of $3.0 billion.
• Record revenues¹ of $8.2 billion, up over $250 million compared to the prior year on lower capacity.
  • Gross margin yields were 6.4 percent higher than 2024.
  • All-time high net yields (in constant currency) were 4.6 percent higher than 2024 and outperformed June guidance by 1.1 points.
• Cruise costs per available lower berth day (“ALBD”) increased 4.6 percent compared to 2024. Adjusted cruise costs excluding fuel per ALBD² (in constant currency) increased 5.5 percent compared to 2024, 1.5 points better than June guidance.
• Fuel consumption per ALBD decreased 5.2 percent compared to the prior year due to the company’s efforts and investments to continuously improve the energy efficiency of its operations.
• Record third quarter customer deposits of $7.1 billion surpassed the previous record at August 31, 2024.

Bookings

“Since May, booking trends have continued to strengthen with higher booking volumes than last year and far outpacing capacity growth. This momentum affirms the success of our brands’ demand generation efforts and the amazing experiences we continue to deliver, driving excess demand and ongoing pricing strength. With nearly half of 2026 booked, which is in line with 2025 record levels (at the same time last year) but now at historical high prices (in constant currency) for both our North America and Europe segments, we have built a strong base of business for next year. Looking further ahead, 2027 is already off to a great start, achieving record booking volumes during the third quarter,” Weinstein noted.

2025 Outlook

For the full year 2025, the company expects:

• Net yields (in constant currency) up approximately 5.3 percent compared to 2024, 0.3 percentage points better than June guidance.
• Adjusted cruise costs excluding fuel per ALBD (in constant currency) up approximately 3.3 percent compared to 2024, better than June guidance.
• Adjusted net income up nearly 55 percent compared to 2024 and better than June guidance by $235 million.
• Adjusted EBITDA of approximately $7.05 billion, up 15 percent compared to 2024 and better than June guidance.

For the fourth quarter of 2025, the company expects:

• Net yields (in constant currency) up approximately 4.3 percent compared to record 2024 levels, consistent with the company’s prior expectation.
• Adjusted net income up over 60 percent compared to the fourth quarter 2024.

See “Guidance” for additional information on the company’s 2025 outlook, “Non-GAAP Financial Measures” and “Reconciliation of Forecasted Data.”

Financing

“With our current refinancing strategy nearly complete, we’ve continued taking decisive actions to strengthen our balance sheet by simplifying our capital structure, reducing interest expense and managing our future debt maturities,” commented Carnival Corporation & plc’s Chief Financial Officer David Bernstein. “This year alone, we’ve opportunistically refinanced over $11 billion of debt and prepaid another $1 billion. With that and today’s redemption notice for all our outstanding convertible notes—which if converted will be settled with a mix of cash and equity—we’re closing in on our near-term target of reaching investment grade leverage metrics. Our focus is now on driving our net debt to adjusted EBITDA ratio to under 3x as we continue boosting our financial strength.”

During the quarter, the company continued its refinancing strategy to reduce interest expense and manage its maturity towers, while reducing secured debt by nearly $2.5 billion. The company successfully issued two senior unsecured notes: $1.2 billion at 4.125 percent due in 2031 and $3.0 billion at 5.75 percent due in 2032. In addition, the company entered into a $400 million loan. The combined proceeds from these financings, together with cash on hand, were used to repay over $5 billion of debt. These transactions reflect the company’s continued focus on strengthening its capital structure and enhancing its financial flexibility.

During the quarter, Moody’s upgraded the company’s credit rating and maintained a positive outlook. The company believes this is a reflection of its improved leverage metrics and its strong momentum.

The company ended the quarter with $26.5 billion of total debt. As of August 31, 2025, the company’s debt maturities for the fourth quarter of 2025 and full year 2026 are $0.3 billion and $1.4 billion. The company achieved a 3.6x net debt to adjusted EBITDA¹ ratio as of August 31, 2025, an improvement from 4.7x as of August 31, 2024.