Thursday 29 June 2023

Weinstein: More Carnival Cruise Line Capacity Generating Outsized Returns

Weinstein: More Carnival Cruise Line Capacity Generating Outsized Returns


Moving two former Costa Cruises ships originally built for sailing Asia to the Carnival Cruise Line brand in North America has been an instant success, said John Weinstein, CEO of Carnival Corporation, speaking on the company’s second-quarter earnings call.

Weinstein said that Carnival Cruise Line will amount to about a third of Carnival Corporation capacity in 2023 and 2024, compared to approximately 25 per cent pre-pandemic.

The Venezia debuted in New York earlier in June and is the first of two ships that will operate under the ‘Fun Italian Style’ branding, with the Firenze set to join the fleet next year, sailing from Long Beach.

“These transfers are part of our portfolio management strategy, which is contributing to Carnival Cruise Lines's capacity, growing 22 per cent more than pre-pause expectations. And Costa’s capacity is reduced by 36 per cent, compared to pre-pause expectations,” Weinstein explained.

“The added capacity to Carnival Cruise Line will not only generate outsized returns for the company but rightsizing the Costa brand is also having these desired effects of supporting its revenue profile confirmed by recent booking and pricing trends,” he said.

“We remain committed to our strategy of owning a portfolio of world-class brands, many of which are truly dedicated to specific markets and it’s clear the strength of this portfolio is now shifting into high gear.”

Photo: Antonio Silva

No comments:

Post a Comment