L2J Posted March 1, 2005 #1 Share Posted March 1, 2005 ...after all is said and done (fuel, food, booze, salaries etc...) how much profit CCL makes for an average 7 day cruise? Link to comment Share on other sites More sharing options...
Intrudr Posted March 1, 2005 #2 Share Posted March 1, 2005 source: http://www.sec.gov/Archives/edgar/data/1125259/000116923205000926/0001169232-05-000926.txt Carnival reported a $170.32 net revenue yield per "Available Lower Berth Day (ALBD)" and a net cruise cost of $103.31 per ALBD. My degree isn't in accounting and I don't know what other charges they may take - but net revenue yield minus net cruise cost equals $67.01 per ALBD. the 10 K is fascinating reading - I quote a germane passage from the risk factors paragraph: (5) Accidents and other incidents or adverse publicity concerning the cruise industry or us could affect our reputation and harm our future sales and profitability. The operation of cruise ships involves the risk of accidents, passenger and crew illnesses, mechanical failures and other incidents at sea or while in port, which may bring into question passenger safety, health, security and vacation satisfaction and thereby adversely effect future industry performance, sales and profitability. It is possible that we could be forced to cancel a cruise or a series of cruises due to these factors, which would have an adverse affect on sales and profitability. In addition, adverse publicity concerning the vacation industry in general or the cruise industry or us in particular could affect our reputation and impact demand and, consequently, have an adverse affect on our profitability. Link to comment Share on other sites More sharing options...
tef43 Posted March 1, 2005 #3 Share Posted March 1, 2005 And just to muddy the waters further, a brief explanation of Carnival's Generally UNaccepted Accounting Procedures: Carnival Corporation & plc uses net cruise revenue per available lower berth day ("net revenue yields"), and net cruise costs per available lower berth day as significant non-GAAP financial measures of its cruise segment financial performance. Carnival Corporation & plc believes that net revenue yields are commonly used in the cruise industry to measure a company's pricing performance. This measure is also used for revenue management purposes. In calculating net revenue yields, the company uses net cruise revenues rather than gross cruise revenues. Carnival Corporation & plc believes that "net cruise revenues" is a more meaningful measure in determining revenue yield than gross cruise revenues because it reflects the cruise revenues received by the company net of its most significant variable costs (travel agent commissions, cost of air transportation and certain other variable direct costs associated with onboard revenues). Substantially all of the remaining cruise costs are largely fixed once the company's ship capacity levels have been determined. Net cruise costs per available lower berth day are the most significant measure used by the company to monitor its ability to control costs. In calculating this measure, the company deducts the same variable costs as described above, which are included in the calculation of net revenues. This is done to avoid duplicating these variable costs in the non-GAAP financial measures described above because these variable costs are directly associated with the revenues earned by the company. Link to comment Share on other sites More sharing options...
derf5585 Posted March 1, 2005 #4 Share Posted March 1, 2005 "Available Lower Berth Day (ALBD)" What does someone having a birth have to do with it. Sounds like a new holiday, have a merry"Lower Berth Day" Why don't Upper Berth Days count Or is it a Birthday Link to comment Share on other sites More sharing options...
Intrudr Posted March 1, 2005 #5 Share Posted March 1, 2005 nd just to muddy the waters further, a brief explanation of Carnival's Generally UNaccepted Accounting Procedures: Carnival Corporation & plc uses net cruise revenue per available lower berth day ("net revenue yields"), and net cruise costs per available lower berth day as significant non-GAAP financial measures of its cruise segment financial performance. Carnival Corporation & plc believes that net revenue yields are commonly used in the cruise industry to measure a company's pricing performance. This measure is also used for revenue management purposes. In calculating net revenue yields, the company uses net cruise revenues rather than gross cruise revenues. Carnival Corporation & plc believes that "net cruise revenues" is a more meaningful measure in determining revenue yield than gross cruise revenues because it reflects the cruise revenues received by the company net of its most significant variable costs (travel agent commissions, cost of air transportation and certain other variable direct costs associated with onboard revenues). Substantially all of the remaining cruise costs are largely fixed once the company's ship capacity levels have been determined. Net cruise costs per available lower berth day are the most significant measure used by the company to monitor its ability to control costs. In calculating this measure, the company deducts the same variable costs as described above, which are included in the calculation of net revenues. This is done to avoid duplicating these variable costs in the non-GAAP financial measures described above because these variable costs are directly associated with the revenues earned by the company. an excellent job presenting the "fine print":D Link to comment Share on other sites More sharing options...
tef43 Posted March 1, 2005 #6 Share Posted March 1, 2005 And if Harry Belafonte were aboard ship, we could call it a lower berth day-o. :p Link to comment Share on other sites More sharing options...
L2J Posted March 1, 2005 Author #7 Share Posted March 1, 2005 Thanks....got me some figuring to do. Maybe I need to email Jethro:D Link to comment Share on other sites More sharing options...
Intrudr Posted March 1, 2005 #8 Share Posted March 1, 2005 Thanks....got me some figuring to do. Maybe I need to email Jethro:D cipherin' Link to comment Share on other sites More sharing options...
JrMafia90 Posted March 1, 2005 #9 Share Posted March 1, 2005 That's a good question. But I know how much people spend. On the Glory there is 2 ATM's. Both holding $50,000 each! They are filled with money when they come back from the cruise. Well by thursday both ATM's were empty! So $100,000 was taken out in less than a week. Link to comment Share on other sites More sharing options...
L2J Posted March 1, 2005 Author #10 Share Posted March 1, 2005 cipherin' Zactly Uncle Jed ;) The reason for this question is that with all this Glory HooHa I'd like to know (ballpark) what they "put in the bank" after an average cruise on said class ship with all the talk of "full refunds" and all. Would it hurt CCL to refund 100%? NO it wouldn't but I really don't see that happening nor do I think it would be appropriate in this case. Maybe I should saunter over to the Seabourn board as ask my question. Seems at least one poster over there is always "in the know"..... Link to comment Share on other sites More sharing options...
StacyandTim Posted March 2, 2005 #11 Share Posted March 2, 2005 Let's see how much Carnival made off of me. Here's my cruise accounting from last week: Cost of Tickets: $2,700.00 Blew at the Casino (no winnings): $1,500.00 Hubby bought me a diamond and emerald necklace from giftshop: $3,600.00 Hubby paid for brother's engagement ring from giftshop (to be paid back): $2,000.00 S&S Bill slipped under door the last day (not including jewelry & casino): $2,700.00 OH MY! That's the first time I really looked at it all written down in one place :eek: Carnival took me for $12,500.00!!!! I THINK I DESERVE A FREE CRUISE FOR THAT!!! Link to comment Share on other sites More sharing options...
selucrey Posted March 2, 2005 #12 Share Posted March 2, 2005 ...after all is said and done (fuel, food, booze, salaries etc...) how much profit CCL makes for an average 7 day cruise? I'm $ure they make $ome big buck$. If not, how would they pay for all tho$e new $hip$ ? Link to comment Share on other sites More sharing options...
jcrandle Posted March 2, 2005 #13 Share Posted March 2, 2005 Let's see how much Carnival made off of me. Here's my cruise accounting from last week: Cost of Tickets: $2,700.00 Blew at the Casino (no winnings): $1,500.00 Hubby bought me a diamond and emerald necklace from giftshop: $3,600.00 Hubby paid for brother's engagement ring from giftshop (to be paid back): $2,000.00 S&S Bill slipped under door the last day (not including jewelry & casino): $2,700.00 OH MY! That's the first time I really looked at it all written down in one place :eek: Carnival took me for $12,500.00!!!! I THINK I DESERVE A FREE CRUISE FOR THAT!!! Just as the movie theaters realized a few years ago, that the admission charges were the minor part of their profit - The concession sales for popcorn, candy, soft drinks were the major profit item - The cruise lines know that the extras offer a significant profit margin. Just think about it, when you are pricing a cruise, you look for the best combination of price, ship, line, and itinerary. So the cruise line has to be very competitive on cruise fare. However, once you go on board, your opportunities for comparison shopping evaporate. Which bar will you have your before-dinner drinks? They all belong to the cruise line. Dinner at the premium restaurant? It's the cruise line's. Which casino has the loosest slots? single deck blackjack? Uh, theres only one choice. There are only two opportunities to affect this monopoly. You can smuggle your liquor on board (or bring on soft drinks & wine), and you can book your own shore excursions. I often liken the on-board items versus the cruise price to the dishwasher dillemma. When you buy a dishwasher for your home, you will likely do a lot of research to ensure that you choose the best combination of price, useability, function, etc. So the dishwasher manufacturers must hold down their profit margins to be competitive in the market. However, once you've bought a brand, and need to buy parts, you can throw your comparison shopping out of the window, because you only can (usually) buy your parts from one source, the manufacturer. Link to comment Share on other sites More sharing options...
L2J Posted March 2, 2005 Author #14 Share Posted March 2, 2005 Let's see how much Carnival made off of me. Here's my cruise accounting from last week: Cost of Tickets: $2,700.00 Blew at the Casino (no winnings): $1,500.00 Hubby bought me a diamond and emerald necklace from giftshop: $3,600.00 Hubby paid for brother's engagement ring from giftshop (to be paid back): $2,000.00 S&S Bill slipped under door the last day (not including jewelry & casino): $2,700.00 OH MY! That's the first time I really looked at it all written down in one place :eek: Carnival took me for $12,500.00!!!! I THINK I DESERVE A FREE CRUISE FOR THAT!!! And you had an inside cabin too? ;) Link to comment Share on other sites More sharing options...
StacyandTim Posted March 2, 2005 #15 Share Posted March 2, 2005 Hehe...should have bought an inside but ended up getting a 9A wrap-around balcony cabin. Link to comment Share on other sites More sharing options...
L2J Posted March 2, 2005 Author #16 Share Posted March 2, 2005 Hehe...should have bought an inside but ended up getting a 9A wrap-around balcony cabin. Very nice :D Ok, so can anyone give me a "ballpark" on this question? Link to comment Share on other sites More sharing options...
neverenufcruising Posted March 2, 2005 #17 Share Posted March 2, 2005 Maybe you should email Uncle Bob. Even though he wouldn't disclose the percentage of alcohol sales from wine, I'm sure he'd get you the figures you're looking for ASAP.:D Link to comment Share on other sites More sharing options...
bajalover Posted March 2, 2005 #18 Share Posted March 2, 2005 Stacy and Tim, Will you adopt me? I like your style!!:) Link to comment Share on other sites More sharing options...
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