UPDATE: Carnival Posts Upbeat FQ3 Earnings, Raises FY14 Outlook

Carnival CCL reported better-than-expected fiscal third-quarter earnings and raised its FY14 forecast. The Miami, Florida-based company posted a quarterly fiscal third-quarter profit of $1.25 billion, or $1.60 per share, versus a year-ago profit of $934 million, or $1.20 per share. On an adjusted basis, Carnival earned $1.58 per share in the quarter. Its revenue climbed to $4.95 billion from $4.73 billion. However, analysts were expecting a profit of $1.44 per share on revenue of $4.93 billion. On a constant dollar basis, net revenue yields rose 1.8% in the quarter, while net cruise costs excluding fuel per ALBD climbed 0.5% in constant dollars. Fuel prices slipped 3.5% to $650 per metric ton, while fuel consumption per ALBD dropped over 3%. Carnival Corporation & plc President and Chief Executive Officer Arnold Donald said, "Strong close-in demand and higher onboard spending helped drive significantly better than expected third quarter results and 15 percent year-over-year earnings improvement. Our Asia operations performed particularly well during the quarter, driven by a double-digit yield increase in our China program, further solidifying our industry leading presence in this important emerging cruise market.” Carnival expects Q4 earnings of $0.15 to $0.19 per share, versus analysts' estimates of $0.21 per share. It now projects FY14 earnings of $1.84 to $1.88 per share, versus its earlier forecast of $1.60 to $1.75 per share. Analysts expected FY14 earnings of $1.75 per share. Carnival shares rose 0.94% to $40.72 at 10:00 a.m. ET.