Carnival warned that revenues could rise to $10 million by 2024 due to the Baltimore bridge collapse, which will leave the line without access to the Port of Maryland.

Carnival chief Josh Weinstein told investors Wednesday during the company’s first-quarter earnings call that the ships will temporarily dock in Norfolk, Virginia, “which should help keep operational changes to a minimum,” The Wall reported Street Journal earlier.

The Carnival Legend ship left Sunday for a seven-day cruise in the Bahamas — two days before the Francis Scott Key Bridge collapsed when it was struck by a container ship around 1:30 a.m. ET Tuesday in what was quickly declared a mass casualty event.

Instead of returning to Baltimore this weekend, Carnival Legend will end its trip in Norfolk, “and guests will receive complimentary bus service back to Baltimore,” the company said in a news release.

The next seven-day voyage, scheduled for March 31, will also depart from Carnival’s port in Virginia.

Carnival Cruise Line warned Wednesday that 2024 revenues could rise as much as $10 million due to the collapse of the Francis Scott Key Bridge in Baltimore. MALCOLM DENMARK/FLORIDA TODAY / USA TODAY NETWORK

“Guests on current and upcoming cruises will be informed of this change,” Carnival said.

Despite expecting an eight-figure disruption to annual adjusted earnings as a result of this diversion, Carnival has not yet factored the $10 million hit into its full-year adjusted earnings guidance, which it has raised marginally to $5.63 billion for 2024.

Carnival previously expected to bring in about $5.6 billion in adjusted earnings before interest, taxes, depreciation and amortization, while analysts had estimated $5.64 billion.

Carnival CEO Josh Weinstein told investors Wednesday during the company’s first-quarter earnings call that its ships will temporarily dock in Norfolk, Virginia, “which should help minimize operational changes.” REUTERS

A press release issued last month by Maryland Governor Wes Moore celebrated the Port of Baltimore as “the best port in the country” and one of Maryland’s largest economic generators.

More than 444,000 people left the port in 2023, creating about 15,300 direct jobs and nearly 140,000 jobs related to port operations, Moore said.

The cruise sector is on the rise post-pandemic.

The Key Bridge collapsed after being hit by container ship Dali on March 27. National Transportation Safety Board / Youtube / AFP via Getty Images

In the past year alone, Carnival’s stock is up more than 95%.

The Miami-based cruise line also reported Wednesday that revenue for the first quarter of 2024 rose 22% to a record $5.4 billion.

Weinstein said the company is managing to raise its prices for customers without hurting demand, according to The Journal.

He added that customers have also booked more in advance this year than they have in the past, boosting Carnival’s confidence that it can maximize the capacity of its ships this summer without last-minute discounts.

“Because our assets (our ships) are mobile, we can be very agile and our team moved quickly to secure a temporary homeport in Norfolk for as long as necessary,” a Carnival spokesperson told The Post. “We will continue to actively monitor the situation and look forward to returning to Baltimore as soon as possible.”

Instead of returning to Baltimore this weekend, Carnival Legend will end its journey in Norfolk. (Image: Carnival cruise ship passing under Key Bridge.) Michael Walker/Facebook

Royal Caribbean — which has its own itinerary with a scheduled return to Baltimore from the Caribbean on April 4 — is close to erasing its pandemic losses and boasts 40% more pre-cruise revenue as of March 2024, according to the Journal booked than in the same period. period of 2023.

However, the cruise line has not yet commented on how the Key Bridge collapse could affect that momentum.

Royal Caribbean has said only that it is “closely monitoring the situation” ahead of April 4, when Vision of the Seas returns to Baltimore from its 12-day Caribbean voyage.

“Our port logistics team is currently working on alternatives for current and upcoming Vision of the Seas sailings,” added Royal Caribbean, which will depart from Baltimore again on April 12.

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