Carnival Sails Past First-Quarter Profits

Carnival Corp. enjoyed a first-quarter earnings surge of 70 percent, thanks to higher ticket prices and improving business. However, the world´s largest cruise company warned earlier this week that soaring oil prices could make it hit a few snags in the future.

For the past three months, the Miami-based company earned $345 million, compared to $203 million netted in the first quarter of 2004.

“The only concern for Cruise Corp. right now is fuel. The rest of the basic business indicators are rock solid,” said Tim Conder, an analyst of A.G. Edwards & Sons.

Execs from Carnival Corp. said Monday that it turned a profit of 42 cents a share compared with earnings of 25 cents a year earlier. Several analysts had forecast a profit of 40 cents a share.

Carnival also said that while fuel costs went up during the quarter, they were offset by lower administrative costs. The company operates 12 brands, including Princess Cruises, Cunard Line and Carnival Cruise Lines. It has 77 ships with 13 more on order.