CARNIVAL CORPORATION & PLC
SUMMARY IMPACT OF REVISION TO PRIOR PERIOD FINANCIAL INFORMATION
In the first quarter of 2015, we revised and corrected the accounting for one of our brands' marine and technical spare parts in order to consistently expense and classify them fleetwide. We evaluated the materiality of this revision and concluded that it was not material to any of our previously issued financial statements. However, had we not revised, this accounting may have resulted in material inconsistencies to our financial statements in the future.
The effects of this revision on our Consolidated Statements of Income were as follows (in millions, except per share data):
|
| | | | | | | | | | | |
| Year Ended November 30, 2014 |
| As Previously Reported | | Adjustment | | As Revised |
Other ship operating | $ | 2,445 |
| | $ | 18 |
| | $ | 2,463 |
|
Depreciation and amortization | $ | 1,635 |
| | $ | 2 |
| | $ | 1,637 |
|
Operating income | $ | 1,792 |
| | $ | (20 | ) | | $ | 1,772 |
|
Income before income taxes | $ | 1,245 |
| | $ | (20 | ) | | $ | 1,225 |
|
Net income | $ | 1,236 |
| | $ | (20 | ) | | $ | 1,216 |
|
Earnings per share | | | | | |
Basic | $ | 1.59 |
| | $ | (0.02 | ) | | $ | 1.57 |
|
Diluted | $ | 1.59 |
| | $ | (0.03 | ) | | $ | 1.56 |
|
|
| | | | | | | | | | | |
| Year Ended November 30, 2013 |
| As Previously Reported | | Adjustment | | As Revised |
Other ship operating | $ | 2,589 |
| | $ | 21 |
| | $ | 2,610 |
|
Depreciation and amortization | $ | 1,588 |
| | $ | 2 |
| | $ | 1,590 |
|
Operating income | $ | 1,352 |
| | $ | (23 | ) | | $ | 1,329 |
|
Income before income taxes | $ | 1,072 |
| | $ | (23 | ) | | $ | 1,049 |
|
Net income | $ | 1,078 |
| | $ | (23 | ) | | $ | 1,055 |
|
Earnings per share | | | | | |
Basic | $ | 1.39 |
| | $ | (0.03 | ) | | $ | 1.36 |
|
Diluted | $ | 1.39 |
| | $ | (0.03 | ) | | $ | 1.36 |
|
|
| | | | | | | | | | | |
| Year Ended November 30, 2012 |
| As Previously Reported | | Adjustment | | As Revised |
Other ship operating | $ | 2,233 |
| | $ | 12 |
| | $ | 2,245 |
|
Depreciation and amortization | $ | 1,527 |
| | $ | 1 |
| | $ | 1,528 |
|
Operating income | $ | 1,642 |
| | $ | (13 | ) | | $ | 1,629 |
|
Income before income taxes | $ | 1,302 |
| | $ | (13 | ) | | $ | 1,289 |
|
Net income | $ | 1,298 |
| | $ | (13 | ) | | $ | 1,285 |
|
Earnings per share | | | | | |
Basic | $ | 1.67 |
| | $ | (0.01 | ) | | $ | 1.66 |
|
Diluted | $ | 1.67 |
| | $ | (0.02 | ) | | $ | 1.65 |
|
CARNIVAL CORPORATION & PLC
SUMMARY IMPACT OF REVISION TO PRIOR PERIOD FINANCIAL INFORMATION
(CONTINUED)
The effects of this revision on our Consolidated Statements of Comprehensive Income were as follows (in millions):
|
| | | | | | | | | | | |
| Year Ended November 30, 2014 |
| As Previously Reported | | Adjustment | | As Revised |
Net income | $ | 1,236 |
| | $ | (20 | ) | | $ | 1,216 |
|
Total comprehensive income | $ | 459 |
| | $ | (20 | ) | | $ | 439 |
|
|
| | | | | | | | | | | |
| Year Ended November 30, 2013 |
| As Previously Reported | | Adjustment | | As Revised |
Net income | $ | 1,078 |
| | $ | (23 | ) | | $ | 1,055 |
|
Total comprehensive income | $ | 1,446 |
| | $ | (23 | ) | | $ | 1,423 |
|
|
| | | | | | | | | | | |
| Year Ended November 30, 2012 |
| As Previously Reported | | Adjustment | | As Revised |
Net income | $ | 1,298 |
| | $ | (13 | ) | | $ | 1,285 |
|
Total comprehensive income | $ | 1,300 |
| | $ | (13 | ) | | $ | 1,287 |
|
The effects of this revision on our Consolidated Balance Sheets were as follows (in millions):
|
| | | | | | | | | | | |
| November 30, 2014 |
| As Previously Reported | | Adjustment | | As Revised |
Inventories | $ | 364 |
| | $ | (15 | ) | | $ | 349 |
|
Total current assets | $ | 1,503 |
| | $ | (15 | ) | | $ | 1,488 |
|
Property and equipment, net | $ | 32,773 |
| | $ | 46 |
| | $ | 32,819 |
|
Other assets | $ | 859 |
| | $ | (115 | ) | | $ | 744 |
|
Total assets | $ | 39,532 |
| | $ | (84 | ) | | $ | 39,448 |
|
Retained earnings | $ | 19,242 |
| | $ | (84 | ) | | $ | 19,158 |
|
Total shareholders' equity | $ | 24,288 |
| | $ | (84 | ) | | $ | 24,204 |
|
Total liabilities and shareholders' equity | $ | 39,532 |
| | $ | (84 | ) | | $ | 39,448 |
|
CARNIVAL CORPORATION & PLC
SUMMARY IMPACT OF REVISION TO PRIOR PERIOD FINANCIAL INFORMATION
(CONTINUED)
|
| | | | | | | | | | | |
| November 30, 2013 |
| As Previously Reported | | Adjustment | | As Revised |
Inventories | $ | 374 |
| | $ | (14 | ) | | $ | 360 |
|
Total current assets | $ | 1,937 |
| | $ | (14 | ) | | $ | 1,923 |
|
Property and equipment, net | $ | 32,905 |
| | $ | 46 |
| | $ | 32,951 |
|
Other assets | $ | 760 |
| | $ | (94 | ) | | $ | 666 |
|
Total assets | $ | 40,104 |
| | $ | (62 | ) | | $ | 40,042 |
|
Accrued liabilities | $ | 1,126 |
| | $ | 2 |
| | $ | 1,128 |
|
Total current liabilities | $ | 6,720 |
| | $ | 2 |
| | $ | 6,722 |
|
Retained earnings | $ | 18,782 |
| | $ | (64 | ) | | $ | 18,718 |
|
Total shareholders' equity | $ | 24,556 |
| | $ | (64 | ) | | $ | 24,492 |
|
Total liabilities and shareholders' equity | $ | 40,104 |
| | $ | (62 | ) | | $ | 40,042 |
|
This non-cash revision did not impact our operating cash flows for any period. The effects of this revision on the individual line items within operating cash flows on our Consolidated Statements of Cash Flows were as follows (in millions):
|
| | | | | | | | | | | |
| Year Ended November 30, 2014 |
| As Previously Reported | | Adjustment | | As Revised |
Net income | $ | 1,236 |
| | $ | (20 | ) | | $ | 1,216 |
|
Depreciation and amortization | $ | 1,635 |
| | $ | 2 |
| | $ | 1,637 |
|
Inventories | $ | 1 |
| | $ | — |
| | $ | 1 |
|
Insurance recoverables, prepaid expenses and other | $ | 401 |
| | $ | 21 |
| | $ | 422 |
|
Claims reserves and accrued and other liabilities | $ | (379 | ) | | $ | (3 | ) | | $ | (382 | ) |
|
| | | | | | | | | | | |
| Year Ended November 30, 2013 |
| As Previously Reported | | Adjustment | | As Revised |
Net income | $ | 1,078 |
| | $ | (23 | ) | | $ | 1,055 |
|
Depreciation and amortization | $ | 1,588 |
| | $ | 2 |
| | $ | 1,590 |
|
Inventories | $ | 19 |
| | $ | 2 |
| | $ | 21 |
|
Insurance recoverables, prepaid expenses and other | $ | 402 |
| | $ | 22 |
| | $ | 424 |
|
Claims reserves and accrued and other liabilities | $ | (330 | ) | | $ | (3 | ) | | $ | (333 | ) |
|
| | | | | | | | | | | |
| Year Ended November 30, 2012 |
| As Previously Reported | | Adjustment | | As Revised |
Net income | $ | 1,298 |
| | $ | (13 | ) | | $ | 1,285 |
|
Depreciation and amortization | $ | 1,527 |
| | $ | 1 |
| | $ | 1,528 |
|
Inventories | $ | (16 | ) | | $ | (1 | ) | | $ | (17 | ) |
Insurance recoverables, prepaid expenses and other | $ | 148 |
| | $ | 8 |
| | $ | 156 |
|
Claims reserves and accrued and other liabilities | $ | (192 | ) | | $ | 5 |
| | $ | (187 | ) |