Carnival Corporation & plc, the world's largest cruise operator with 9 brands, reported a record-setting first quarter for 2025, with operating profit reaching $543 million and revenue at $5.8 billion, surpassing the December guidance and beating analyst estimates of $5.74 billion. The company also raised its full-year 2025 guidance, reflecting strong consumer demand and a 7.3% yield increase across both ticket and onboard segments. Despite a net loss of $78 million for the quarter, adjusted earnings per share were $0.13, significantly higher than the expected $0.02. Adjusted EBITDA stood at $1,200 million, and the company is on track to achieve its SeaChange targets, including a 12% return on invested capital (ROIC) and over 50% improvement in EBITDA per available lower berth day (ALBD) potentially a year ahead of schedule. Margins were also helped by refinancing efforts. Carnival's CEO highlighted that the booking curve is the farthest out on record, with record pricing and robust onboard spending, which has shown a 10% year-over-year acceleration into March. The company sees no signs of waning cruise demand, despite broader travel industry concerns, and has launched aggressive marketing campaigns during Wave season, including high-profile sponsorships that generated over 5 billion media impressions to fuel future demand. However, Carnival shares dropped after the company's key quarterly earnings forecast trailed estimates, raising concerns about a potential travel slowdown affecting even the most robust sectors of the market. The company is also set to enhance operations with the opening of five new guest portals at Celebration Key in July. Analysts from Stifel, Loop Capital, and Truist Securities have adjusted their price targets and ratings accordingly, with Carnival still able to pass on price increases to help its bottom line.