Carnival Corp. has boosted its earnings outlook after another quarter of rising profit and revenue, showing that the cruise industry’s rebound still has wind in its sails. The Miami-based operator expects strong demand and higher onboard spending to carry through into next year.

Earnings Outlook Increased

The company now projects full-year adjusted earnings of $2.93 billion, or $2.14 per share, a noticeable jump from its previous guidance of $2.69 billion, or $1.97 per share. Analysts had anticipated $2.79 billion, or $2.02 per share, according to FactSet, meaning Carnival’s new outlook tops Wall Street expectations.

For the three months ending August 31, Carnival earned $1.85 billion, or $1.33 per share, up from $1.74 billion a year earlier. Stripping out one-time items, adjusted earnings came in at $1.43 a share, surpassing analyst forecasts of $1.32. Revenue rose 3.3% year-over-year to $8.15 billion, slightly higher than estimates.

Looking ahead, the company expects fourth-quarter adjusted earnings of about $300 million, or $0.23 per share—again above projections.

Strong Bookings Into 2026

CEO Josh Weinstein told analysts that nearly half of 2026 bookings are already locked in at historically high prices, adding confidence that demand momentum will carry over. “We feel pretty good about next year,” he said.

Shares of Carnival fell 4.6% to $29.22 after the announcement, likely a result of profit-taking following the stock’s nearly 60% surge over the past year. Analysts at Melius Research said the pullback looks more like a buying opportunity than a red flag.

Celebration Key Driving Growth

A major factor in Carnival’s recent success has been the launch of Celebration Key, the company’s new private island destination that opened this summer. Guest feedback has been overwhelmingly positive, and management expects the destination to attract 2.8 million visitors in 2026.

Weinstein noted that the site already supports heavy traffic: “High utilization rates mean a ship in port almost every day of the year, with at least two ships present 85% of the time.” A pier extension is underway that will allow up to four ships at a time by next fall.

Analyst Views

Research firms continue to take a bullish stance despite the short-term share decline.

William Blair analysts pointed out that Carnival’s resilience in the face of economic and geopolitical uncertainty is noteworthy.
Jefferies reiterated its positive outlook, saying the company’s financial performance supports a longer-term growth story.

Bottom Line for Investors

Carnival’s rising profits, stronger-than-expected bookings, and the success of Celebration Key suggest the cruise industry’s recovery is on firmer ground than skeptics assumed. While the stock may face volatility after a year of strong gains, the company’s fundamentals appear solid, leaving many analysts convinced that weakness in the share price could offer an entry point for long-term investors.