Carnival raises annual profit forecast as demand grows

Sept 29 (Reuters) - Carnival Corp CCL.N on Tuesday raised its annual profit forecast and said it expects strong booking trends for 2027, sending shares of the cruise operator up nearly 12% in premarket trading.

The company has been benefiting from affluent travelers who continue to prioritize experiences, particularly sea voyages and bucket-list adventures, despite an uncertain environment stemming from the ongoing Middle East conflict.

Carnival, which is the only major US cruise line that typically does not hedge fuel, has cushioned the impact from elevated fuel costs as well as higher investments by hiking ticket prices and increasing sales from pre-cruise perks.

"Our booking trends continued to strengthen throughout the quarter, with volumes meaningfully ahead of last year and far outpacing capacity growth. This momentum underscores the effectiveness of our demand generation efforts and the enduring appeal of our cruise lines," CEO Josh Weinstein said.

The company now expects full-year adjusted earnings of about $2.24 per share, compared with its prior forecast of about $2.22.

It also beat quarterly revenue of $8.44 billion, compared with analysts' average estimate of $8.30 billion, according to data compiled by LSEG.