Carnival Cruises 2014 Annual Report Download - page 61

(a) Represents impairment charges of $22 million for Grand Celebration and $31 million for Grand Holiday,
partially offset by gains of $37 million from the sale of Costa Voyager and $14 million from the sale of
Ocean Princess.
(b) Substantially due to $176 million of impairment charges related to Costa Classica and Costa Voyager,
partially offset by a $15 million gain in our Tour and Other segment from the sale of a former Holland
America Line ship, which was on charter to an unaffiliated entity.
(c) Represents impairment charges of $34 million for Costa Allegra and $23 million for two Seabourn ships,
partially offset by an $8 million gain on the sale of Pacific Sun.
(d) Represents impairment charges of $14 million for an investment and $13 million for Ibero’s remaining
trademarks’ carrying value.
(e) Represents impairment charges for Ibero’s goodwill and trademarks.
Net cruise revenues increased by $447 million, or 3.6%, to $12.9 billion in 2014 from $12.4 billion in 2013. This
increase was caused by our 2.7% capacity increase in ALBDs, which accounted for $330 million, the 2014 net
currency impact, which accounted for $92 million, and a slight increase in constant dollar net revenue yields,
which accounted for $24 million. The increase in net revenue yields on a constant dollar basis was caused by a
3.4% increase in net onboard and other revenue yields, partially offset by a slight decrease in net passenger ticket
revenue yields. The 3.4% increase in net onboard and other revenue yields resulted from a 3.7% increase from
our North America brands and a 2.8% increase from our EAA brands, which included increases in primarily all
the net onboard revenue categories. The slight decrease in net passenger ticket revenue yields was driven by our
North America brands’ promotional pricing environment in the Caribbean resulting from the large increase in
cruise industry capacity, partially offset by improvements at our continental European brands. Gross cruise
revenues increased by $423 million, or 2.8%, to $15.7 billion in 2014 from $15.2 billion in 2013 for largely the
same reasons as discussed above.
Net cruise costs excluding fuel increased by $294 million, or 4.1%, to $7.4 billion in 2014 from $7.1 billion in
2013. The increase was caused by our 2.7% capacity increase in ALBDs, which accounted for $190 million, a
slight increase in constant dollar net cruise costs excluding fuel per ALBD, which accounted for $55 million, and
the 2014 net currency impact, which accounted for $49 million.
Fuel costs decreased by $175 million, or 7.9%, to $2.0 billion in 2014 from $2.2 billion in 2013. This was caused
by lower fuel prices, which accounted for $126 million, and lower fuel consumption per ALBD, which accounted
for $107 million, partially offset by our 2.7% capacity increase in ALBDs, which accounted for $59 million.
Gross cruise costs decreased slightly by $63 million to $12.3 billion in 2014 from $12.4 billion in 2013 for
principally the same reasons as discussed above.
2013 Compared to 2012
Revenues
Consolidated
Cruise passenger ticket revenues made up 75% of our 2013 total revenues. Cruise passenger ticket revenues
decreased slightly by $10 million to $11.6 billion in 2013 from $11.7 billion in 2012.
This decrease was caused by:
– $358 million – decrease in cruise ticket pricing and
– $42 million – decrease in occupancy.
These decreases were offset by:
– $333 million – 2.9% capacity increase in ALBDs and
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