Sales Performance - Tommy Bahama accounted for 56% of the company's net sales in Fiscal 2025, with 95% of its sales generated in the United States[50]. - Direct to consumer operations for Tommy Bahama represented 85% of its net sales in Fiscal 2025, with e-commerce contributing $203 million, or 25% of total sales[51][52]. - Lilly Pulitzer's direct to consumer distribution channel represented 83% of its net sales in Fiscal 2025, with e-commerce operations generating $164 million, or 49% of total sales[67]. - Tommy Bahama's wholesale sales accounted for 15% of its net sales in Fiscal 2025, with 11% of sales coming from its 10 largest wholesale customers[63]. - Wholesale operations accounted for 17% of Lilly Pulitzer's net sales in Fiscal 2025, with 33% of wholesale sales going to off-price retailers[74]. - Johnny Was generated $72 million in net sales from its website, representing 43% of its total net sales in Fiscal 2025[77]. - Emerging Brands, including Southern Tide and TBBC, achieved total net sales of $142.9 million in Fiscal 2025[87]. - Approximately 82% of net sales in Fiscal 2025 were direct-to-consumer sales, indicating a strong focus on this sales channel[126]. Retail Operations - The company operated 102 Tommy Bahama full-price retail stores and 28 food and beverage locations as of January 31, 2026[58]. - Lilly Pulitzer had 67 full-price retail stores as of January 31, 2026, with 51% of sales generated from Florida[71]. - Tommy Bahama's outlet stores generated 8% of total sales in Fiscal 2025, playing a key role in inventory management[56]. - The average cost to build a Tommy Bahama Marlin Bar location exceeds $5 million, reflecting significant capital investment requirements[61]. - In Fiscal 2026, the company plans to open three new full-price retail locations and one outlet store, while potentially closing underperforming locations[60]. - Lilly Pulitzer opened a total of 7 new full-price retail stores in Fiscal 2025, ending the year with 67 stores, and plans to open at least 4 new stores in Fiscal 2026[73]. - Southern Tide opened 6 new stores during Fiscal 2025, increasing its total to 34 stores by year-end[90]. Financial Performance - Advertising expenses for the company were $104 million, or 7% of net sales, in Fiscal 2025[96]. - The company aims to improve gross profit and margin performance through effective merchandising strategies, focusing on inventory productivity and consumer demand alignment[103]. - As of January 31, 2026, the company had $116 million of borrowings outstanding under its U.S. Revolving Credit Agreement, with a weighted average interest rate of 5%[408]. - A 100 basis point increase in interest rates would increase interest expense by $1 million based on the current variable-rate debt[408]. - The company expects to decrease debt levels during Fiscal 2026, utilizing expected cash flows from operations to reduce borrowings[408]. - Planned capital expenditures are expected to be significantly reduced in Fiscal 2026 compared to Fiscal 2025[408]. Supply Chain and Sourcing - In Fiscal 2025, the company purchased products from approximately 360 suppliers, a significant increase from Fiscal 2024, with the 10 largest suppliers accounting for about 25% of product purchases[107]. - The sourcing from China decreased to 29% in Fiscal 2025 from an initial projection of 40%, with an annualized run rate for China production reduced to approximately 15% going into Fiscal 2026[108]. - The company has made significant progress in diversifying its sourcing footprint, with 24% of products sourced from Vietnam and 10% from Indonesia in Fiscal 2025[110]. Market and Economic Conditions - Total duties and tariffs paid on products imported into the U.S. increased to $95 million in Fiscal 2025, up from $60 million in Fiscal 2024, with an average duty rate of approximately 30%[116]. - The global trade environment remains dynamic, with potential for additional tariff increases or trade restrictions that could impact operations and costs[118]. - Inflation risks are managed through negotiating product prices in advance and selective price increases[411]. - Future product costs could increase due to fluctuations in the exchange rate between the U.S. dollar and local currencies of suppliers[409]. Digital and Marketing Strategies - The company continues to enhance its digital marketing strategies to engage consumers and drive traffic to its e-commerce platforms[97]. - The company’s information systems incorporate advanced data analytics and AI tools to support demand forecasting and inventory management[128]. Employment and Workforce - As of January 31, 2026, the company employed over 6,000 individuals globally, with 96% based in the U.S.[140].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended February 28, 2026 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-9610 Commission file number: 001-15136 Carnival Corporation Carnival plc (Exact name of registrant as specified in its chart ...

Revenue Performance - Passenger ticket revenues increased by $191 million, or 5.0%, to $4.0 billion in 2026 from $3.8 billion in 2025, accounting for 65% of total revenues[93] - Onboard and other revenues rose by $164 million, or 8.3%, to $2.1 billion in 2026 from $2.0 billion in 2025, representing 35% of total revenues[94] - The North America segment's passenger ticket revenues were $2.4 billion in both 2026 and 2025, with a 0.7% increase[95] - The Europe segment's passenger ticket revenues increased by $172 million, or 12%, to $1.6 billion in 2026 from $1.4 billion in 2025[98] Operating Expenses - Operating expenses increased by $173 million, or 4.6%, to $3.9 billion in 2026 from $3.8 billion in 2025[103] - Selling and administrative expenses rose by $76 million, or 9.0%, to $924 million in 2026 from $848 million in 2025[104] - Depreciation and amortization expenses increased by $42 million, or 6.4%, to $696 million in 2026 from $654 million in 2025[105] Profitability - Consolidated operating income increased by $64 million to $607 million in 2026 from $543 million in 2025[115] - North America segment's operating income rose by $54 million to $569 million in 2026, while Europe segment's operating income increased by $30 million to $170 million[115] - The company anticipates that changes in fuel costs and regulatory requirements related to greenhouse gas emissions will impact profitability in the short and long term[89] Financial Position - As of February 28, 2026, the company had $5.9 billion of liquidity, including $1.4 billion in cash and cash equivalents[117] - Working capital deficit improved slightly to $8.7 billion as of February 28, 2026, compared to $8.9 billion as of November 30, 2025[118] - Interest expense decreased by $85 million, or 23%, to $291 million in 2026 from $377 million in 2025 due to lower average interest rates[116] Cash Flow - Net cash flows from operating activities increased to $1.3 billion during the three months ended February 28, 2026, up from $0.9 billion in the same period in 2025[121] - Net cash used in investing activities was $597 million, primarily for capital expenditures related to ship improvements[122] - Net cash used in financing activities was $1.2 billion, driven by repayments of $945 million of long-term debt and $208 million in cash dividends[124] Debt Composition - As of February 28, 2026, the company had a debt composition of 52% fixed rate and 5% floating rate[128] - Future export credit facilities are projected to be $1.4 billion in 2027 and $1.5 billion in 2030[126] Operational Metrics - Fuel cost per metric ton consumed decreased to $559 in 2026 from $643 in 2025[91] - The occupancy percentage remained stable at 103% for both 2026 and 2025[91]

Financial Performance - In 2025, TotalEnergies reported IFRS net income of $13.1 billion and adjusted net income of $15.6 billion, with cash flow from operating activities of $27.3 billion[41]. - TotalEnergies reported sales of $201,196 million in 2025, a decrease of 6% from $214,550 million in 2024 and a 15% decline from $237,128 million in 2023[59]. - Net income attributable to TotalEnergies shareholders was $13,127 million in 2025, down 17% from $15,758 million in 2024 and 39% from $21,384 million in 2023[68]. - Adjusted net income for TotalEnergies was $15,587 million in 2025, a decrease of 15% compared to $18,264 million in 2024[69]. - Cash flow from operating activities was $27,343 million in 2025, reflecting an 11% decrease from $30,854 million in 2024[71]. - Adjusted EBITDA for 2025 was $40,555 million, a decrease from $43,143 million in 2024[126]. - TotalEnergies' net income for 2025 was $13,127 million, down from $15,758 million in 2024, with special items affecting net income totaling $1,185 million[124]. Production and Operations - Exploration & Production segment generated adjusted net operating income of $8.4 billion, benefiting from the start-up of seven major projects, maintaining operating costs at $5/b[42]. - TotalEnergies' hydrocarbon production averaged 2,529 kboe/d in 2025, an increase of nearly 4% from 2,434 kboe/d in 2024[68]. - The company expects to increase oil and gas production by 3% in 2026, supported by new project start-ups, with hydrocarbon production expected to exceed 2.6 Mboe/d in Q1 2026[52]. - Hydrocarbon production in the Exploration & Production segment was 1,990 kboe/d in 2025, slightly increasing from 1,947 kboe/d in 2024[89]. - The Integrated LNG segment's overall LNG sales reached 43.9 million tons in 2025, compared to 39.8 million tons in 2024[96]. - The Integrated Power segment achieved an adjusted net operating income of $2,215 million in 2025, up 2% from $2,173 million in 2024[105]. Investments and Acquisitions - The company completed acquisitions totaling $3,923 million in 2025, primarily for offshore blocks in Malaysia and renewable projects[71]. - TotalEnergies' cash flow used in investing activities was $(18,131) million in 2025, compared to $(17,332) million in 2024[72]. - Total net investments for 2025 were $17,091 million, including acquisitions net of asset sales of $279 million[128]. - Net investments in Exploration & Production increased to $9,259 million in 2025, up from $8,853 million in 2024, representing a growth of 4.6%[129]. - The Marketing & Services segment's net investments were $609 million in 2025, recovering from a negative $138 million in 2024[134]. Dividends and Shareholder Returns - The Board proposed a final 2025 dividend of €0.85/share, bringing the full-year dividend to €3.40/share, a 5.6% increase from 2024[47]. - TotalEnergies bought back 122,637,294 shares in 2025, representing 5.56% of the share capital as of December 31, 2025[70]. - TotalEnergies repurchased a total of 144,700,577 shares in 2023, with a total allocation of $9.00 billion for cancellation[157]. Financial Ratios and Capital Structure - TotalEnergies anticipates cash flow above $26 billion under a scenario of $60/b Brent and $10/MBtu TTF, while maintaining a targeted gearing ratio of around 15% at end-2026[57]. - The Gearing ratio for TotalEnergies increased to 14.7% in 2025 from 8.3% in 2024, indicating a rise in financial leverage[142]. - The net-debt-to-capital ratio increased to 14.7% in 2025, up from 8.3% in 2024 and 5.0% in 2023, primarily due to changes in net debt[158]. Market Conditions and Pricing - The average Brent price decreased by 14% to $69.1/b in 2025 from $80.8/b in 2024[75]. - TotalEnergies' average liquids price realization fell by 14% to $66.2/b in 2025 from $77.1/b in 2024[75]. - The average price of LNG was $9.14 per Mbtu in 2025, down from $9.80 per Mbtu in 2024[96]. Environmental and Future Goals - TotalEnergies plans to increase overall energy production by 5% in 2026, targeting a 70% reduction in methane emissions compared to 2020[51]. - Adjusted net operating income for the company in 2025 is projected to be $17,827 million, with the highest contribution from Exploration & Production at $8,399 million[143]. Impairments and Provisions - TotalEnergies recorded a $4.1 billion impairment charge in 2022 related to the Arctic LNG 2 project due to sanctions and uncertainties[173]. - The total impact of impairments and provisions recorded in 2022 due to the Russo-Ukrainian conflict amounted to $(14,756) million in TotalEnergies' net result[186]. Tax and Regulatory Considerations - This section summarizes U.S. federal income tax and French tax consequences for U.S. Holders of TotalEnergies SE shares[227]. - The discussion does not cover Medicare tax on net investment income or U.S. federal estate or gift taxes[228].

Financial Performance - Seabridge reported a net loss of $53.2 million ($0.53 per share) for the year ended December 31, 2025, compared to a net loss of $31.2 million ($0.35 per share) in 2024[3]. - A non-cash loss of $60.1 million was recorded due to the remeasurement of Secured Note liabilities, which are subject to changes in fair value[4]. - As of December 31, 2025, net working capital was $109.8 million, up from $44.8 million at the end of 2024[3]. Investment and Projects - The company invested $137.0 million in mineral interests, property, and equipment in 2025, an increase from $106.3 million in 2024[3]. - Seabridge plans to spin out 100% of the Courageous Lake project to shareholders through a new company, Valor Gold Corp., expected to be publicly listed[5]. - The company aims to secure a partner for the KSM project in 2026, focusing on technical, financial, and social skills necessary for production[5]. - Seabridge holds a 100% interest in several North American gold projects, including the KSM and Iskut projects located in British Columbia's "Golden Triangle"[6]. - The company confirmed a new large gold-copper deposit at Snip North within the Iskut project[5]. Regulatory and Reporting - Seabridge's Form 40-F will be filed with the SEC, and shareholders can request hard copies of the audited financial statements[2]. - The company emphasizes the importance of regulatory approvals and successful negotiations for future projects and partnerships[9].

Reserves and Acquisitions - As of December 31, 2025, Epsilon Energy Ltd. reported total estimated net proved reserves of 156,037 MMcfe, an 86% increase from December 31, 2024, primarily due to reserves acquired from the Peak acquisition[219] - Total estimated net proved developed reserves were 109,444 MMcfe as of December 31, 2025, reflecting a 69% increase from the previous year[218] - Epsilon Energy Ltd. acquired Peak Exploration and Production LLC, adding 284 gross (60 net) wells and 60,945 gross (39,566 net) acres in Wyoming[216] - The company divested Dewey Energy Holdings, LLC, which included approximately 964 Mcfe/d of production and 8,600 net acres of leasehold in Oklahoma[217] Financial Performance - Revenues for the year ended December 31, 2025, increased by $20.1 million, or 64%, reaching $51.6 million compared to $31.5 million in 2024[221] - The company realized a net loss of $5.8 million in 2025, compared to a net income of $1.9 million in 2024, which included a $19.3 million loss in Q4 2025 from the sale of Anadarko Basin assets[218] - The standardized measure of discounted future net cash flows increased to $156.1 million as of December 31, 2025, up from $50.7 million in 2024[219] - Adjusted EBITDA for the year ended December 31, 2025 was $30.7 million, compared to $17.6 million in 2024[249] Revenue Breakdown - Natural gas revenue for the year ended December 31, 2025, was $28.01 billion, a significant increase from $10.24 billion in 2024, reflecting a growth of approximately 174%[223] - Total PA revenue reached $34.69 billion, up from $15.77 billion in the previous year, indicating a growth of about 120%[223] - Oil and condensate revenue was reported at $9.61 billion, compared to $12.77 billion in the prior year, showing a decrease of around 24%[223] - Upstream natural gas revenue for the year ended December 31, 2025 increased by $18.3 million, or 170%, from 2024[224] - Upstream natural gas liquids revenue for the year ended December 31, 2025 increased by $0.5 million, or 34% from 2024[225] - Upstream oil and condensate revenue for the year ended December 31, 2025 increased by $0.1 million, or 1% over 2024[226] - Gathering system revenue for the year ended December 31, 2025 increased by $1.2 million, or 21% over 2024[227] Costs and Expenses - Upstream operating costs increased by $5.3 million, or 72% from 2024, primarily due to increased gas production[229] - General and administrative expenses for the year ended December 31, 2025 increased by $2 million, or 29%, compared to 2024[241] - Interest expense increased by $0.6 million, or 1245%, during the year ended December 31, 2025 from 2024[244] - The Company recorded an impairment of $3.2 million on Canadian wells and $0.7 million on New Mexico wells for the year ended December 31, 2025[237] Cash Flow and Investments - For the year ended December 31, 2025, operating activities generated $20.6 million, a 23% increase from $16.8 million in 2024, primarily due to higher production and throughput volumes in Pennsylvania[254] - The company used $61.6 million for investing activities in 2025, a 270% increase from $16.7 million in 2024, mainly due to a $49.8 million payment for the Peak acquisition[255] - Financing activities provided $43.7 million in 2025, compared to a $7.3 million outflow in 2024, reflecting a $51 million decrease primarily due to a $50.5 million draw on the credit facility for the Peak acquisition[256] Capital Structure and Commitments - As of December 31, 2025, the company had a working capital surplus of $7.6 million, up from $7.1 million at the end of 2024, due to an increase in current assets[253] - The company closed a new senior secured revolving credit facility with a borrowing base of $80 million, maturing on October 10, 2029, with interest charged at the 3-month Term SOFR rate plus a margin of 3-4%[257] - The company is required to hedge 50% of its forecasted Proved Developed Producing production over an 18-month period under the terms of the new credit facility[258] - The company authorized a new share repurchase program on February 18, 2026, for up to 3,014,986 common shares at a maximum purchase price of $15.0 million[259][260] - As of December 31, 2025, total future commitments amounted to $24.1 million, including $18.8 million in asset retirement obligations and $3.8 million in capital expenditure commitments[268] Risk Management and Hedging - The company has entered into hedging arrangements to mitigate the impact of natural gas and oil price volatility, which may limit potential benefits from price increases[264] - The company employs a hedging strategy to manage risks associated with commodity price fluctuations, stabilizing cash flows and supporting capital spending[288] Regulatory and Accounting Considerations - Changes in tax regulations in the U.S. and Canada may impact the company's income tax provision, which is computed using the asset-and-liability method[280] - The company accounts for business combinations using the acquisition method, recognizing identifiable assets and liabilities at their estimated fair values at the acquisition date[282] - Estimated fair values assigned to acquired assets significantly impact future operations, with higher fair values leading to increased depreciation, depletion, and amortization (DD&A) expenses[284] - The company's earnings and cash flow are significantly affected by fluctuations in commodity prices, which can impact asset values and future exploration activities[286] Operational Focus - The company is focusing on expanding its market presence and enhancing its product offerings in the natural gas sector[223] - Future guidance indicates a continued emphasis on operational efficiency and strategic investments in new technologies[223] - The Auburn GGS gathering system benefits from historically high recoverable reserves and low production costs, with short-term low commodity prices expected to have minimal impact on revenue[287]

Financial Performance - Revenue for the year ended December 31, 2025, was $247 thousand, a decrease of approximately 76.3% from $1,041 thousand in 2024[468] - Gross loss for 2025 was $(2,864) thousand, compared to $(486) thousand in 2024, indicating a deterioration in gross margin[468] - Net loss for the year ended December 31, 2025, was $(55,589) thousand, compared to $(10,990) thousand in 2024, representing an increase in net loss of approximately 406%[468] - Net loss for 2025 was $55,589,000, compared to a net loss of $10,990,000 in 2024, representing an increase of 406.5%[509] Operating Expenses - Cost of revenue increased to $3,111 thousand in 2025 from $1,527 thousand in 2024, reflecting a significant rise of approximately 103.8%[469] - Total operating expenses surged to $50,267 thousand in 2025, up from $10,050 thousand in 2024, marking an increase of approximately 399.5%[471] - General and administrative expenses rose significantly to $14,908 thousand in 2025, up from $3,664 thousand in 2024, an increase of approximately 307%[481] - Research and development expenses decreased to $3,742 thousand in 2025 from $5,062 thousand in 2024, a reduction of approximately 26%[473] Cash Flow and Liquidity - Cash flows used in operating activities increased by approximately $3,856 thousand from $9,928 thousand in 2024 to $13,784 thousand in 2025, mainly due to higher general and administrative expenses[502] - Cash flows used in investing activities increased by approximately $122,187 thousand, from $159 thousand provided in 2024 to $122,028 thousand used in 2025, primarily due to investments in digital assets[503] - Cash flows provided by financing activities increased by approximately $143,801 thousand, from $10,727 thousand in 2024 to $154,528 thousand in 2025, attributed to proceeds from a Private Placement[504] - As of December 31, 2025, ZOOZ had cash and cash equivalents of approximately $27,028 thousand, up from approximately $7,532 thousand as of December 31, 2024[492] - ZOOZ's cash balance is expected to be sufficient to continue operations for at least 12 months from the date of approval of the audited consolidated financial statements[491] Inventory Management - The company recorded an inventory write-off of $2,888 thousand in 2025, reflecting challenges in managing inventory levels[457] - Inventory write-offs increased to $2,888,000 in 2025 from $457,000 in 2024, highlighting potential issues with inventory management[509] Funding and Grants - ZOOZ's principal sources of funding include approximately $52 million from its initial public offering and follow-on public offering, and approximately $153 million from a Private Placement[488] - The total grants received by ZOOZ until December 31, 2025, amounted to approximately $2.2 million, financed through various governmental institutions[493] - The Company generated limited revenues from its ongoing operations and continues to depend on fundraising from investors to finance its activities[499] Bitcoin and Digital Assets Strategy - Digital assets held as of December 31, 2025, amounted to $91,628,000, reflecting the company's strategic entry into the digital asset treasury business[514] - ZOOZ's strategy includes acquiring bitcoin with proceeds from equity and debt capital market transactions to benefit from broader adoption[555] - The Company plans to continue purchasing bitcoin through multiple liquidity providers using various execution methodologies, including TWAP and VWAP, to minimize market impact[567] - The Company holds all its bitcoin in custodial accounts at U.S.-based institutional-grade custodians, ensuring regulatory compliance and information security[570] Regulatory and Compliance - ZOOZ intends to adopt material changes to equity incentive plans without requiring shareholder approval, following Israeli corporate governance practices[557] - ZOOZ is expected to qualify as a foreign private issuer until January 1, 2026, allowing it to be exempt from certain U.S. domestic public company provisions[549] - The Company may engage additional custodians in the future to diversify its custodial arrangements[570] Market Trends and Future Outlook - There are no known trends or uncertainties that could materially adversely affect the Company's revenues or financial conditions since December 31, 2025[573]

Financial Performance - Carnival Corporation & plc reported record revenues of $6.2 billion for Q1 2026, with gross margin yields up nearly 10% and record net yields increasing 2.7% in constant currency[7]. - The company achieved a net income of $258 million and an adjusted net income of $275 million, reflecting a 50% increase in diluted EPS to $0.19 compared to the prior year[8]. - Total revenues for the three months ended February 28, 2026, were $6,165 million, an increase of 6.1% compared to $5,810 million for the same period in 2025[31]. - Net income attributable to Carnival Corporation & plc for the three months ended February 28, 2026, was $258 million, compared to a net loss of $78 million for the same period in 2025[38]. - Adjusted EBITDA for the three months ended February 28, 2026, was $1,267 million, up from $1,205 million in the same period of 2025, reflecting a year-over-year increase of 5.2%[38]. - Adjusted EBITDA is projected to be approximately $7.19 billion for the full year 2026, with adjusted net income expected to be around $3.07 billion[17]. Customer Metrics - Bookings for 2026 were up double digits, contributing to a record booked position at historically high prices, with customer deposits reaching nearly $8 billion, a 10% increase year-over-year[9]. - Customer deposits increased to $7,923 million as of February 28, 2026, compared to $7,246 million as of November 30, 2025[35]. Operational Costs - The company anticipates a 4.1% increase in net yields and a 4.4% rise in adjusted cruise costs excluding fuel per ALBD for the full year 2026[17]. - Total cruise and tour operating expenses for the three months ended February 28, 2026, were $3,939 million, an increase from $3,766 million in the same period of 2025[31]. - Fuel costs are forecasted to average $90 per barrel for April and May, $85 for Q3, and $80 for Q4, impacting overall operational costs significantly[12]. - Fuel cost per metric ton consumed (excluding emission allowances) decreased to $559 in the three months ended February 28, 2026, from $643 in the same period of 2025[35]. Shareholder Returns - The share buyback program of $2.5 billion was announced, reflecting strong free cash flow generation and a commitment to return value to shareholders[14]. Future Outlook - Carnival Corporation expects an operational improvement of nearly $150 million in adjusted net income for the full year 2026, partially offsetting the impact of rising fuel prices[7]. - The company introduced PROPEL, a new set of long-term targets aimed at achieving continued earnings growth and higher returns by 2029, including a 2.75x net debt to adjusted EBITDA ratio[11]. Capacity and Utilization - The occupancy percentage for the three months ended February 28, 2026, was 103%, consistent with the same period in 2025[35]. - The number of ALBDs remained stable at 23.7 for both 2026 and 2025, indicating consistent capacity utilization[40]. Financial Ratios - Adjusted gross margin for the same period was $4,675 million, compared to $4,495 million in 2025, reflecting an increase of 4.0%[40]. - Gross margin yields per ALBD increased to $64.63 in 2026 from $58.99 in 2025, marking a rise of 9.0%[40]. - Net yields per ALBD rose to $197.44 in 2026, up from $189.86 in 2025, indicating an increase of 2.8%[40]. - Adjusted cruise costs per ALBD were $141.01 in 2026, compared to $136.58 in 2025, showing a rise of 3.5%[42]. - Adjusted cruise costs excluding fuel per ALBD increased to $124.22 in 2026 from $119.81 in 2025, reflecting a growth of 3.7%[42]. - The company reported cruise costs per ALBD of $204.63 in 2026, up from $194.99 in 2025, an increase of 4.2%[42]. Currency Impact - The company utilizes constant currency reporting to mitigate the impact of foreign exchange fluctuations on financial results[53]. - Adjusted EBITDA margin is defined as adjusted EBITDA divided by total revenues, providing insight into core operating profitability[45].

Financial Performance - Carnival Corporation & plc reported record revenues of $6.2 billion for Q1 2026, with a gross margin yield increase of nearly 10% and record net yields in constant currency, outperforming guidance [7]. - The company achieved a net income of $258 million and an adjusted net income of $275 million, reflecting a 50% increase in diluted EPS to $0.19 compared to the prior year [8]. - Total revenues for the three months ended February 28, 2026, were $6,165 million, an increase of 6.1% compared to $5,810 million for the same period in 2025 [31]. - Adjusted EBITDA for the three months ended February 28, 2026, was $1,267 million, up from $1,205 million in the same period of 2025, reflecting a year-over-year increase of 5.2% [38]. - Adjusted EBITDA for 2026 is projected to be approximately $7.19 billion, with adjusted net income expected to reach approximately $3.07 billion [17]. - The company anticipates a greater than 16% return on invested capital and more than 50% adjusted EPS growth from 2025 [13]. Customer Demand and Bookings - Bookings for 2026 were up double digits, contributing to a record booked position at historically high prices, with customer deposits reaching nearly $8 billion, a 10% increase year-over-year [6][9]. - Customer deposits increased to $7,923 million as of February 28, 2026, compared to $7,246 million as of November 30, 2025, indicating strong demand for future cruises [35]. - The company carried 3.1 million passengers in the three months ended February 28, 2026, slightly down from 3.2 million in the same period of 2025 [35]. Operational Improvements and Costs - Carnival expects an operational improvement of nearly $150 million in adjusted net income for the full year 2026, partially mitigating the impact of rising fuel prices [7][12]. - Fuel costs are projected to average $90 per barrel for April and May, $85 for Q3, and $80 for Q4, with a total fuel expense expected to be $2.15 billion for the year [17]. - The average fuel cost per metric ton consumed (excluding emission allowances) decreased to $559 in the three months ended February 28, 2026, from $643 in the same period of 2025 [35]. Shareholder Returns and Capital Expenditures - The company announced an initial $2.5 billion share buyback program, reflecting strong free cash flow generation and a commitment to return value to shareholders [14]. - Capital expenditures for 2026 are estimated at $2.4 billion, including $0.6 billion for newbuilds and $1.8 billion for non-newbuilds [19]. Financial Metrics and Ratios - Adjusted gross margin for the same period was $4,675 million, compared to $4,495 million in 2025, indicating an increase of about 4.0% [40]. - Gross margin yields per ALBD were $64.63 in 2026, up from $58.99 in 2025, reflecting a growth of approximately 9.0% [40]. - Net yields per ALBD increased to $197.44 in 2026 from $189.86 in 2025, marking a rise of about 4.2% [40]. - Adjusted cruise costs per ALBD were $141.01 in 2026, compared to $136.58 in 2025, which is an increase of approximately 3.1% [42]. - The company reported cruise costs per ALBD of $204.63 in 2026, up from $194.99 in 2025, indicating an increase of approximately 4.2% [42]. Debt and Cash Flow - The company reported a decrease in current portion of long-term debt from $2,603 million as of November 30, 2025, to $1,502 million as of February 28, 2026 [33]. - Cash from operations for the three months ended February 28, 2026, was $1,263 million, compared to $925 million for the same period in 2025, indicating a significant improvement in cash generation [35]. Strategic Initiatives - The company introduced PROPEL, a new set of long-term targets aimed at achieving continued earnings growth and higher returns by 2029, including a 2.75x net debt to adjusted EBITDA ratio [10][11]. - The company utilizes non-GAAP financial measures to provide insights into performance, including adjusted net income and adjusted EBITDA [43]. - The company emphasizes the importance of constant currency reporting to mitigate the impact of foreign exchange fluctuations on financial results [54].

Financial Performance - The company generated $3.7 million in grant revenue for bidirectional power switch development [15]. - The discrete B-TRAN® and SymCool® Power Module generated commercial revenues of $37,728 and $86,032, respectively, for the years ended December 31, 2025 and 2024 [16]. - The company issued and sold 3,505,855 shares at $2.75 per share in February 2026, raising estimated net proceeds of $12.6 million for commercialization and development of B-TRAN® technology [23]. - The estimated present value of future payments under licensing agreements was $1,036,538, with $150,000 due in 2026 [44]. - The company amended a licensing agreement in 2023, reducing annual payments from $100,000 to $50,000 [44]. Product Development and Partnerships - The company completed the first phase of a product development agreement with Stellantis for a custom B-TRAN® power module targeting EV applications [20]. - A first design win for solid-state circuit breakers (SSCBs) was announced in late 2024, leading to a multi-year strategic cooperation agreement with a major circuit protection equipment manufacturer [22]. - The company is currently working on multiple engagements with large companies, including Stellantis and other global automakers, for testing and evaluating its technology [21]. - The company expects significantly higher volume orders from customers once design wins are secured, with a typical timeline of 12 to 18 months from design win to OEM product sales [19]. - In 2025, the company secured an order from Stellantis for custom development and packaged devices targeting multiple EV applications, with the first of five deliverables completed in the same year [20]. - The company announced its first design win for solid-state circuit breakers with a major Asian manufacturer, leading to a multi-year strategic cooperation agreement expected to yield additional design wins in 2026 [22]. Technology and Innovation - The B-TRAN® technology can reduce power losses by 50% or more compared to conventional power switches like IGBTs, leading to lower thermal management requirements [35]. - B-TRAN®'s symmetric bidirectional operation reduces the number of components by 75% compared to conventional bidirectional switches, enhancing efficiency [35]. - The company has qualified two foundries for B-TRAN® wafer fabrication, achieving electrical losses at less than 50% of conventional power switches [36]. - Prototype discrete B-TRAN® devices began shipping to large companies in mid-2023, with shipments of SymCool® Power Modules starting in early 2024 [38]. - The company is leveraging existing silicon processing infrastructure to focus on the development and commercialization of B-TRAN® technology [40]. Market Outlook - The global power semiconductor market is driven by demand from automotive, industrial, and renewable energy sectors, with significant growth expected in electric vehicle applications [30]. - Asia Pacific is the leading region for power semiconductor consumption, primarily driven by China’s automotive market [31]. - The power electronics market is forecasted to grow to $37.7 billion by 2028, with the company targeting segments such as AI data centers and electric vehicles [41]. - Target markets for B-TRAN® include AI data centers, solid-state circuit protection, and electric vehicles, with the power electronics market forecasted to grow to $37.7 billion by 2028 [41]. Intellectual Property - The company has 52 U.S. and 47 foreign issued patents related to B-TRAN® technology, with additional pending applications [42]. - As of December 31, 2025, the company holds 52 U.S. and 47 foreign issued patents, along with 76 pending patent applications related to its B-TRAN® technology [42]. - The company is focused on enhancing its intellectual property portfolio through exclusive royalty-free licenses related to semiconductor technologies [43]. Workforce and Operations - As of February 28, 2026, the company had 17 full-time employees, with no collective bargaining agreements in place [49]. - As of February 28, 2026, the company has 17 full-time employees, with no collective bargaining agreements in place [49]. Competitive Landscape - The competitive landscape includes well-established suppliers with greater financial resources and broader market presence, particularly in the unidirectional power switch market [45]. - Government support for semiconductors and target markets like electric vehicles could significantly impact the company's business, especially if B-TRAN® technology is commercialized successfully [48].