Cruise operator Carnival Corporation & plc (CCL, CCL.L) on Monday lowered its full year 2013 earnings guidance, mainly citing lower net revenue yield expectations.
The company said it now expects full year 2013 earnings to be in the range of $1.45 to $1.65 per share, compared to its prior guidance of $1.80 to $2.10 per share.
Analysts polled by Thomson Reuters currently expect the company to earn $1.97 per share for the full year 2013.
The company said its current cruise ticket pricing has driven higher booking volumes, but it has led to lower than anticipated net revenue yields.
The company now expects full year 2013 net revenue yields to be down 2% to 3% compared to the previous flat yield guidance.
Also, voyage cancellations beyond those incorporated in the company's previous earnings guidance, as well as increased selling and administrative costs, are expected to reduce full year earnings by about $0.10 per share, the company said. Higher fuel costs and unfavorable exchange rates will also hurt earnings.
However, Carnival said it still expects second quarter earnings to be in the range of $0.04 to $0.08 per share despite slightly lower yield expectations. Analysts currently expect the company to earn $0.07 per share for the second quarter.
The company said it will announce second quarter results and more details of its 2013 full year guidance during its regularly scheduled earnings conference call to be held in late June.
Carnival shares closed Monday's regular trading session at $35.32, up 32 cents, but lost $1.37 or 3.88% in after hours trading.
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