Carnival booking volumes increase 45% in second quarter as cruise industry emerges from pandemic

  • Carnival Corporation said its booking volumes on future cruises increased 45% compared to Q1.
  • Carnival also said its cumulative advanced bookings for 2022 are ahead of its 2019 bookings.
  • However, Carnival reported an adjusted net loss of $2 billion.
  • It expects a net loss on adjusted basis for the third quarter and full year as well.
  • Carnival has resumed sailing or announced plans to resume sailing 42 ships from eight of the company's nine cruise brands by the end of November this year.

Carnival Corporation saw booking volumes increase 45% in the second quarter of this year compared to the first quarter, the cruise operator announced in a business update on Thursday

Carnival also said its cumulative advanced bookings for 2022 are ahead of its 2019 bookings, indicating the company expects a solid return to business after the pandemic shut down the cruise industry.

However, Carnival reported an adjusted net loss of $2 billion for the second-quarter of 2021. It expects a net loss on an adjusted basis for the third quarter and full year as well.

The company's monthly cash burn rate for the first half of 2021 was $500 million.

Due to several outbreaks aboard cruise ships last year, the cruise industry was one of the last sectors allowed to resume operations.

The Centers for Disease Control and Prevention allowed cruises to return this year with strict safety protocols and requirements in place to prevent outbreaks from occurring onboard.

Carnival has resumed sailing or announced plans to resume sailing 42 ships from eight of the company's nine cruise brands by the end of November this year.

"We are working aggressively on our path to return our full fleet to operations by next spring. So far, we have announced that 42 ships, representing over half of our capacity, have been scheduled to return to serving guests by this fiscal year end," Carnival Corporation President and CEO Arnold Donald said in a press release.

Cruise line stocks are slowly rebounding this year after suffering huge losses during the pandemic.

Shares of Carnival fell more than 2% on Thursday. Carnival's stock has risen 28% this year, putting its market cap at just over $27 billion.

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