Carnival Corp. & plc (NYSE:CCL)

Total assets

The total assets exhibited an overall upward trend from 2018 to 2020, increasing from 42,401 million US dollars in 2018 to a peak of 53,593 million US dollars in 2020. Following this peak, there was a slight decline in total assets, with values decreasing to 53,344 million in 2021, then further to 51,703 million in 2022, and continuing down to 49,120 million in 2023.

Adjusted total assets

Adjusted total assets closely followed the same pattern as total assets during the observed period. The adjusted figures increased steadily from 42,764 million in 2018 to 53,593 million in 2020, matching total assets at this point. Subsequently, adjusted total assets decreased in 2021 to 53,344 million, then declined to 51,703 million in 2022, and further to 49,120 million in 2023.

Trend analysis

Both total and adjusted assets demonstrated growth until 2020, indicating potential asset accumulation or acquisition activity leading up to that year. The peak in 2020 was followed by a gradual decline through 2023, suggesting a period of asset reduction, divestment, or depreciation exceeding asset additions. The close alignment between total and adjusted assets values throughout the period implies consistency in asset adjustments, with no significant discrepancies observed between reported total and adjusted figures. Overall, the asset base appears to have contracted modestly after 2020, which may warrant further investigation on underlying operational or market factors influencing asset changes.

The financial data reveals notable trends in the total and adjusted total liabilities of the entity over a six-year period ending November 30, 2023.

Total Liabilities

From November 2018 to November 2019, total liabilities increased modestly from 17,958 million US dollars to 19,693 million US dollars, indicating a moderate rise in obligations. Between 2019 and 2020, liabilities surged significantly to 33,038 million US dollars, reflecting a major increase in debt or other liabilities, potentially associated with substantial financial developments or strategic shifts. The upward trend continued, reaching a peak of 41,200 million US dollars by November 2021. In the subsequent year, total liabilities grew further to 44,638 million US dollars, representing the highest level within the dataset. However, by November 2023, there was a decline to 42,238 million US dollars, suggesting some reduction in obligations or liabilities management after the peak.

Adjusted Total Liabilities

The adjusted total liabilities closely follow the pattern seen in total liabilities. Starting at 18,321 million US dollars in 2018, there was a consistent increase through 2019 (21,582 million US dollars) and 2020 (33,038 million US dollars), aligning precisely with total liabilities for the latter year and thereafter. Similar to total liabilities, adjusted liabilities reached 41,200 million US dollars in 2021, increased further to 44,638 million US dollars in 2022, then decreased to 42,238 million US dollars in 2023. The parallel movement signifies that the adjustments accounted for do not materially diverge from the reported total liabilities in the latter years.

Overall, the data indicates a considerable expansion of liabilities from 2018 to 2022, peaking in 2022 before experiencing a moderate reduction in the final year. This pattern may reflect strategic financing decisions, increased leverage during the period, or responses to external financial pressures, followed by partial deleveraging or liability restructuring in the most recent year reported.

Total Reported Debt

The total reported debt exhibits a notable upward trend from 2018 to 2022, increasing from approximately $10.3 billion to a peak of about $34.5 billion. However, in 2023, there is a decrease to roughly $30.6 billion, indicating some deleveraging after several years of rising debt levels.

Shareholders’ Equity

Shareholders’ equity declines consistently over the period analyzed. Starting at $24.4 billion in 2018, it decreases each year, reaching a low of approximately $6.9 billion in 2023. This downward trend points to a significant reduction in net asset value, possibly reflecting cumulative losses or other equity-reducing events.

Total Reported Capital

Total reported capital, which combines debt and equity, increases from $34.8 billion in 2018 to a high of $47.5 billion in 2020. Subsequently, it decreases steadily through 2023, ending at about $37.5 billion. This pattern suggests the company expanded its capital base aggressively until 2020, followed by a gradual contraction.

Adjusted Total Debt

The adjusted total debt metric mirrors the trend of total reported debt, rising sharply from $10.7 billion in 2018 to approximately $35.9 billion in 2022. It then declines to around $31.9 billion by 2023, reinforcing the observation of recent deleveraging activities.

Adjusted Total Capital

Adjusted total capital increases from roughly $35.1 billion in 2018 to a peak near $48.9 billion in 2020, followed by a steady decrease to about $38.8 billion in 2023. This dynamic aligns closely with the pattern seen in total reported capital, indicating that the broader capital structure expanded significantly before contracting again.

General Insights

Overall, the company experienced significant increases in both debt and total capital through 2020 and into 2022, likely reflecting efforts to raise funds possibly for investment or to manage operational needs. The simultaneous decline in shareholders’ equity raises concerns about profitability or asset impairments over this timeframe. The recent reduction in debt levels and total capital from 2022 to 2023 may indicate a strategic shift towards reducing leverage and possibly stabilizing financial risk. Continuous monitoring of equity trends would be essential to assess the company’s ongoing financial health and sustainability.

The financial data reveals significant fluctuations in net income and adjusted net income over the six-year period ending in 2023.

Net Income (Loss)

This metric demonstrates a positive performance in 2018 and 2019 with net incomes of $3,152 million and $2,990 million respectively. However, a marked decline occurs from 2020 onward, with substantial losses recorded each year: a loss of $10,236 million in 2020, followed by $9,501 million in 2021, $6,093 million in 2022, and a near break-even loss of $74 million in 2023. This trend indicates a sharp deterioration in profitability starting in 2020, with gradual improvement observed in subsequent years, though the net income remains negative through 2023.

Adjusted Net Income (Loss)

The adjusted net income follows a similar trajectory to the net income figures, confirming the losses were not significantly altered by adjustments. Positive earnings in 2018 and 2019 decline into negative territory in 2020 with a loss of $9,606 million, remaining negative in 2021 (-$9,567 million), 2022 (-$6,574 million), and 2023 (-$30 million). The adjusted figures illustrate consistent material losses from 2020 onwards, with diminishing losses in the two most recent years, closely approaching break-even by 2023.

Overall, the data highlights a sharp downturn beginning in 2020, likely influenced by extraordinary circumstances or operational challenges. Despite severe losses during the initial years of this period, the company exhibits a recovery trend with decreasing losses through 2022 and 2023, signaling potential stabilization or an improving financial position as it nears a neutral income status.