Carnival earnings for the company’s fiscal first quarter of 2019 have CCL stock falling hard on Tuesday.
The bad news for Carnival (NYSE:CCL) stock has to do with its outlook for its fiscal full year of 2019. The company says that it is now expecting earnings per share for for the fiscal year to range from $4.35 to $4.55. This is a drop from its previous earnings per share guidance of $4.50 to $4.80 for the period. It was also a blow to CCL stock by being below Wall Street’s earnings per share estimate of $4.78 for the year.
The most recent Carnival earnings report also includes guidance for its fiscal second quarter of 2019. The company is expecting earnings per share for the quarter to come in between 56 cents and 60 cents. This will be below earnings per share of 68 cents from its fiscal second quarter of 2018. It will also have it missing analysts’ earnings per share estimate of 72 cents for the quarter.
So what exactly is it that has Carnival lowering earnings per share in fiscal 2019? The company says that these lower forecasts for the year are due to changes in fuel prices, as well as changes in currency exchange rates.
The poor outlook in the Carnival earnings report for its fiscal first quarter of 2019 drags down an otherwise solid quarter. This includes earnings per share of 49 cents on revenue of $4.67 billion. These are both above Wall Street’s estimates of 44 cents and $4.32 billion for the quarter.
CCL stock was down 8% as of noon Tuesday.
As of this writing, William White did not hold a position in any of the aforementioned securities.