Record deposits and record 2027 bookings sent shares up about 13%, even as a $131 million hit from fuel and currency held third-quarter adjusted earnings flat with last year.
Carnival spent the summer paying more for fuel and still beat its own forecast.
The world's largest cruise operator earned $1.43 a share on an adjusted basis in its fiscal third quarter, which ended Aug. 31, matching last year's result and topping the $1.35 analysts expected. Revenue reached a record $8.44 billion, against expectations of $8.39 billion and up from $8.15 billion a year earlier. Net income was $1.9 billion, the highest in the company's history.
Fuel prices and currency moves cost the company $131 million in the quarter, or about 10 cents a share. Adding that back would put adjusted earnings near $1.53.
"We delivered another quarter of top and bottom-line records, with accelerating demand and even stronger cost discipline driving results ahead of our expectations," said Chief Executive Josh Weinstein.
Shares rose about 13% to near $25.10. The stock is still down almost a fifth for 2026.
Pricing versus fuel
Two yield measures show where the pressure landed. In constant currency, net yields climbed 2.4%, beating the June forecast by more than a point. Gross margin yields dropped 1.3%, pulled down by fuel.
Unit costs, measured per available lower berth day, climbed 4.2% in total and 1.8% without fuel, the latter a point under guidance. The fleet burned 3.8% less fuel per berth day.
The forward book
Carnival's demand indicators were stronger than its current-quarter numbers. Deposits from customers totaled $7.6 billion, a record for a third quarter and $500 million above last year's mark, with no growth in capacity. Booked occupancy and pricing for 2027 are both at record levels, and the company said 2028 is running ahead of last year at higher occupancy and prices.
The company has bought back about $1.2 billion of stock so far this year.
The guidance split
For the full year, Carnival now expects adjusted earnings of about $2.24 a share, up from $2.22 in June and above the $2.15 consensus. Carnival said better operations would lift adjusted net income by more than $150 million versus its June plan, offsetting roughly the same amount in extra fuel spending, for a full-year total near $3.08 billion.
The fourth quarter looks softer. Carnival's outlook implies adjusted earnings of about 20 cents a share, against a consensus of 24 cents, with net yields up about 1.7%. The company's full-year cost outlook also includes elevated logistics costs tied to disruption from the Middle East conflict.
What to watch
Oil is the swing factor. Crude fell more than 3% on Tuesday, and Carnival's guidance already includes an estimated $150 million of added fuel cost for the year. The pace of 2027 bookings and the level of fourth-quarter fuel costs will show whether record demand keeps outrunning the energy bill.