Can you please help me with PART 4, CONCLUSIONS AND RECOMMENDATIONS for CARNIVAL AND ROYAL CARIBBEAN Than you PART 1, COMPANY OVERVIEW a Brief description of the company Carnival Cruise Line is the largest cruise company in the world The company operates 101 cruise ships that travel to popular destinations in North America, Europe, Australia, and Asia under ten brands It has a global market share of 47 Carnival Cruise Line is part of a family of companies owned by Carnival Corporation, which includes sister lines Princess Cruises, Holland America Line and Cunard Line, among others b Company history Carnival Corporation was founded as Carnival Cruise Line in 1972 The company grew steadily throughout the 1970s and 1980s, making an initial public offering on the New York Stock Exchange in 1987 The name Carnival Corporation was adopted in 1993, to distinguish the parent company from its flagship cruise line subsidiary 2003 A combination of Carnival Corporation and P O Princess Cruises which includes Princess Cruises, P O Cruises, AIDA Cruises, P O Cruises Australia and tour operator Princess Tours is completed, creating the first global cruise company In 2003 Carnival Corporation leaders ring the closing bell at the NYSE on April 22, signaling the end of the first day of trading of Carnival Corporation and Carnival plc shares (symbol CCL) on the New York and London stock exchanges 2009 In Almere, Netherlands, Carnival Corporation's Center for Simulator Maritime Training (CSMART) is opened CSMART establishes itself as a world class training center, featuring the most advanced simulator equipment, technology and instructional tools to provide its deck and technical officers with a superior maritime training experience In 2013, Carnival Corporation plc announced on June 25 its plan to split the roles of chairman and chief executive officer, effective July 3, 2013, with Micky Arison serving as Chairman of the Board of Directors and Arnold W Donald, a member of the Board of Directors, assuming the role of CEO In 2016, Carnival Corporation CEO Arnold Donald makes history as the first travel industry executive to deliver the opening keynote at CES, the world's largest consumer technology event He uses his speech to announce OceanMedallion the world's first interactive guest experience platform capable of transforming vacation travel with a highly personalized and elevated level of customized service on a large scale In 2017, Carnival Corporation announces the expansion of its global Fleet Operations Centers with the opening of a new facility in Seattle The company's first Fleet Operations Center opened in Hamburg, Germany in 2015 works in conjunction with the Seattle facility to provide real time support for its 100 ship fleet, the largest in the cruise industry It also announces that a third Fleet Operations Center will open in Miami In 2018, Carnival Corporation plc's portfolio features global brands that include nine of the world's leading cruise lines operating in North and South America, Europe, Australia and Asia Its cruise ship fleet, the largest in the world, consists of over 100 ships with 22 new vessels scheduled for delivery between 2018 and 2025 c Organization Carnival Corporation plc is a dual listed company, Carnival is composed of two companies, Panama incorporated US headquartered Carnival Corporation and UK based Carnival plc, which function as one entity Carnival Corporation is listed on the New York Stock Exchange and Carnival plc is listed on the London Stock Exchange Board of Directors Micky Arison Chairman of the Board Carnival Corporation plc Sir Jonathon Band Former First Sea Lord and Chief of Naval Staff Jason Glen Cahilly Former Chief Strategic and Financial Officer Helen Deeble Former Chief Executive Officer Arnold W Donald President and Chief Executive Officer Jeffrey J Gearhart Former Executive Vice President and Global Governance Katie Lahey Former Chair Korn Ferry Australasia d Main products and services Carnival Cruise Line offers cruises generally from three to eight days Carnival Cruise make their revenue from tickets, on board shore excursions, casinos, alcohol, gift shops, spas, photos, as well as travel insurance (sold through the cruise line) and other services e Geographic area of operations Carnival Cruise Line offers cruises with almost all of its ships departing from 20 convenient U S homeports located along the East and West Coasts, Gulf of Mexico, Puerto Rico and Hawaii Carnival Cruise Line is the leading provider of year round cruises in The Bahamas, the Caribbean and Mexico and also operates seasonal cruises in Canada, New England, Alaska, Hawaii, Bermuda, and Europe In addition, Carnival Cruise Line deploys two ships in Australia f Recent developments Carnival Cruise Line could cruising again with some ships in North America later this year, while other itineraries and ships are projected to start service again later in 2021 or beyond A look at the expected first sailing of each Carnival ship as the cruise industry gets back into service (all information is subject to change due to the COVID 19 crisis) These outbreaks have placed the $45 billion cruise line industry in peril, as the virus is forcing companies like Royal Caribbean and Carnival to cancel trips and adjust itineraries The travel industry isn't the only one affectedon Monday, stocks tumbled globally after reports that coronavirus outbreaks were increasing outside China, reaching South Korea and Italy, among other countries PART 2, FINANCIAL OVERVIEW A Sales and Income Record, to include sales and net income figures for 2015 2019 and a graph displaying the trends a Sales and Income Record Fiscal Years 20152016201720182019 Sales15 71B$16 39B$17 51B$18 88B$20 82B Percent change in4 30 6 84 7 83 10 30 sales each year Net Income$1 76B$2 78B $2 61B$3 15B$2 99B Percent change in net income each year58 17 6 23 20 95 5 14 Comments Sales between 2015 and 2019 steadily increased while net income dropped in 2016 and 2019 The company has increased sales over the five years, but made very little improvement on net income in 2019 Overall the company seems to be showing signs of prosperity and continuous growth A list of the company's major expenses for FY 2019 and a pie chart showing the Expense Distribution b Expense Distribution FY 2019 Major Expenses Commissions, transportation and other 2720 Onboard and other 2101 Payroll and related 2249 Interest and other, net 483 Fuel and Food 2645 Depreciation, Amortization 2,160 Selling and Administrative 2,480 Other ship operating 2925 Comments The Company's expense distribution for 2019 indicates that other ship operating expenses are the largest expense, however selling and administrativeonboard and other, payroll, commissions and transportation and depreciation amortization are similar in amount Interest expenses is relatively small which tells me that they do not have a large sum of outstanding debt The expenses are proportional and no significant anomalies A list of the company's major assets for FY 2019 and a pie chart showing the Assets Distribution c Assets Distribution Year end FY 2019 Assets Cash 518 Accounts receivable 444 Inventory 427 Property and Equipment 38131 Prepaid and other 2628 Goodwill 2912 Comments Most of the assets are property and equipment which is very common in a capital intensive business The company maintains relatively low inventory and cash on hand The Company holds significant inventory on hand and has a lot invested into equipment A list of the company's major capital accounts for FY 2019 and a pie chart showing the Capital Structure c Capital Structure Year end FY 2019 Capital Structure Accounts Payable 756 Other current liabilities 8,371 Long Term Debt 10,565 Shareholders Equity 25,365 Comments The capital structure shows that current liabilities seem high when compared to current assets in the asset chart The company has a lot of outstanding debt with accounts payable and long term debt while maintaining a very high common equity Carnival may have difficulty in meeting their short term liabilities PART 3, RATIO ANALYSIS Use the most recent 2 years Carnival Cruise Lines and Royal Caribbean (1) LIQUIDITY FY 2018FY 2019 Current Ratio Carnival 0 240 23 Royal C 0 170 15 Quick Ratio Carnival 0 19 0 18 Royal C0 15 0 13 Comments On The Company's Liquidity There is very little change between the two years for Royal Caribbean and Carnival Cruise Lines which limits the analysis that can be done with this information In regards to the quick ratio for the companies, Carnival Cruise linesseems to have a greater ability to pay off its current debt using its quick assets than Royal Caribbean (2) ASSET MANAGEMENT FY 2018FY 2019 Total Asset Turnover Carnival 0 45 0 46 Royal C0 34 0 36 Average Collection Period Carnival 6 9 7 Royal C 0 000 00 Comments On The Company's Asset Management Both companies are doing well at getting revenue out of their assets Carnival Cruise Lines has a slight advantage over Royal Caribbean in this area for both years CCL also saw an increase in their TA turnover from one year to the next The ACP for CCL remained constant while RCL saw a decrease This could be due to the company restricting the granting of credit to customers or possibly reducing payment terms (3) DEBT MANAGEMENT FY 2018FY 2019 Total Debt to Total Assets Carnival 42 4 43 7 Royal C59 9 59 9 Times Interest Earned Chosen Co 17 149 9 Competitor5 8 3 3 Comments On The Company's Debt Management Royal Caribbean leveraged a greater percentage than Carnival Cruise Lines This as a greater financial risk since more of the company's assets are financed by debt than equity Both companies saw a decrease in interest rates (4) PROFITABILITY FY 2018FY 2019 Net profit Margin Carnival 16 7 14 4 Royal C19 1 17 2 Return on Assets Carnival 7 4 6 6 Royal C6 5 6 2 Return on Equity Carnival 12 9 11 8 Royal C16 3 15 4 Modified Du Pont Equation, FY 2019 Carnival Royal C Net Profit Margin14 4 17 2 Total Asset Turnover0 460 36 Equity Multiplier1 782 49 Comments On The Company's Profitability In regards to net profit margin, Royal Caribbean leads Carnival Cruise Lines Royal Caribbean also has a higher ROA and ROE This could be an indication that Royal Caribbean is using investors' money efficiently and that the management could be slightly more effective overall (5) MARKET VALUE RATIOS FY 2018FY 2019 PE Ratio Carnival 27 018 9 Royal C11 113 99 Market to Book Ratio Carnival 1 631 20 Royal C1 77 2 26 Comments On The Company's Market Value Ratios Carnival Cruise Lines saw a decrease in PE from one year to the next which could be concerning to investors Royal Caribbean has shown a higher PE which is really good for investors PART 4, CONCLUSIONS AND RECOMMENDATIONS Summarize your analysis Review your comments in the financial analysis section and provide your assessment of the overall status of the firm Include any recommendations you think are appropriate List any other recommendations you have for the firm in view of your analysis

Question

Can you please help me with PART 4, CONCLUSIONS AND RECOMMENDATIONS for CARNIVAL AND ROYAL CARIBBEAN   Than you     PART 1, COMPANY OVERVIEW  a  Brief description of the company Carnival Cruise Line is the largest cruise company in the world  The company operates 101 cruise ships that travel to popular destinations in North America, Europe, Australia, and Asia under ten brands  It has a global market share of  47   Carnival Cruise Line is part of a family of companies owned by Carnival Corporation, which includes sister lines Princess Cruises, Holland America Line and Cunard Line, among others  b  Company history Carnival Corporation was founded as Carnival Cruise Line in 1972  The company grew steadily throughout the 1970s and 1980s, making an initial public offering on the New York Stock Exchange in 1987 The name Carnival Corporation was adopted in 1993, to distinguish the parent company from its flagship cruise line subsidiary  2003 A combination of Carnival Corporation and P O Princess Cruises   which includes Princess Cruises, P O Cruises, AIDA Cruises, P O Cruises Australia and tour operator Princess Tours   is completed, creating the first global cruise company  In 2003 Carnival Corporation leaders ring the closing bell at the NYSE on April 22, signaling the end of the first day of trading of Carnival Corporation and Carnival plc shares (symbol  CCL) on the New York and London stock exchanges  2009 In Almere, Netherlands, Carnival Corporation's Center for Simulator Maritime Training (CSMART) is opened  CSMART establishes itself as a world class training center, featuring the most advanced simulator equipment, technology and instructional tools to provide its deck and technical officers with a superior maritime training experience  In 2013, Carnival Corporation   plc announced on June 25 its plan to split the roles of chairman and chief executive officer, effective July 3, 2013, with Micky Arison serving as Chairman of the Board of Directors and Arnold W  Donald, a member of the Board of Directors, assuming the role of CEO  In 2016, Carnival Corporation CEO Arnold Donald makes history as the first travel industry executive to deliver the opening keynote at CES, the world's largest consumer technology event  He uses his speech to announce OceanMedallion   the world's first interactive guest experience platform capable of transforming vacation travel with a highly personalized and elevated level of customized service on a large scale  In 2017, Carnival Corporation announces the expansion of its global Fleet Operations Centers with the opening of a new facility in Seattle  The company's first Fleet Operations Center   opened in Hamburg, Germany in 2015   works in conjunction with the Seattle facility to provide real time support for its 100  ship fleet, the largest in the cruise industry  It also announces that a third Fleet Operations Center will open in Miami  In 2018, Carnival Corporation   plc's portfolio features global brands that include nine of the world's leading cruise lines operating in North and South America, Europe, Australia and Asia  Its cruise ship fleet, the largest in the world, consists of over 100 ships with 22 new vessels scheduled for delivery between 2018 and 2025  c  Organization Carnival Corporation   plc is a dual listed company, Carnival is composed of two companies, Panama incorporated US headquartered Carnival Corporation and UK based Carnival plc, which function as one entity  Carnival Corporation is listed on the New York Stock Exchange and Carnival plc is listed on the London Stock Exchange  Board of Directors  Micky Arison  Chairman of the Board  Carnival Corporation   plc Sir Jonathon Band  Former First Sea Lord and Chief of Naval Staff      Jason Glen Cahilly  Former Chief Strategic and Financial Officer      Helen Deeble  Former Chief Executive Officer Arnold W  Donald  President and Chief Executive Officer Jeffrey J  Gearhart  Former Executive Vice President and Global Governance Katie Lahey  Former Chair Korn Ferry Australasia d  Main products and services Carnival Cruise Line offers cruises generally from three to eight days   Carnival Cruise make their revenue from tickets, on board shore excursions, casinos, alcohol, gift shops, spas, photos, as well as travel insurance (sold through the cruise line) and other services  e  Geographic area of operations Carnival Cruise Line offers cruises with almost all of its ships departing from 20 convenient U S  homeports located along the East and West Coasts, Gulf of Mexico, Puerto Rico and Hawaii  Carnival Cruise Line is the leading provider of year round cruises in The Bahamas, the Caribbean and Mexico and also operates seasonal cruises in Canada, New England, Alaska, Hawaii, Bermuda, and Europe  In addition, Carnival Cruise Line deploys two ships in Australia  f  Recent developments Carnival Cruise Line could cruising again with some ships in North America later this year, while other itineraries and ships are projected to start service again later in 2021 or beyond  A look at the expected first sailing of each Carnival ship as the cruise industry gets back into service (all information is subject to change due to the COVID 19 crisis)  These outbreaks have placed the $45 billion cruise line industry in peril, as the virus is forcing companies like Royal Caribbean and Carnival to cancel trips and adjust itineraries  The travel industry isn't the only one affectedon Monday, stocks tumbled globally after reports that coronavirus outbreaks were increasing outside China, reaching South Korea and Italy, among other countries  PART 2, FINANCIAL OVERVIEW A Sales and Income Record, to include sales and net income figures for 2015 2019 and a graph displaying the trends  a  Sales and Income Record                 Fiscal Years               20152016201720182019 Sales15 71B$16 39B$17 51B$18 88B$20 82B Percent change in4 30 6 84 7 83 10 30  sales each year Net Income$1 76B$2 78B $2 61B$3 15B$2 99B Percent change in net income each year58 17 6 23  20 95 5 14  Comments   Sales between 2015 and 2019 steadily increased while net income dropped in 2016 and 2019  The company has increased sales over the five years, but made very little improvement on net income in 2019  Overall the company seems to be showing signs of prosperity and continuous growth  A list of the company's major expenses for FY 2019 and a pie chart showing the Expense Distribution  b  Expense Distribution   FY 2019 Major Expenses  Commissions, transportation and other 2720 Onboard and other 2101 Payroll and related 2249 Interest and other, net 483 Fuel and Food 2645 Depreciation, Amortization 2,160 Selling and Administrative 2,480 Other ship operating 2925 Comments  The Company's expense distribution for 2019 indicates that other ship operating expenses are the largest expense, however selling and administrativeonboard and other, payroll, commissions and transportation and depreciation amortization are similar in amount Interest expenses is relatively small which tells me that they do not have a large sum of outstanding debt  The expenses are proportional and no significant anomalies  A list of the company's major assets for FY 2019 and a pie chart showing the Assets Distribution  c  Assets Distribution   Year end FY 2019 Assets  Cash 518 Accounts receivable 444 Inventory 427 Property and Equipment 38131 Prepaid and other 2628 Goodwill 2912 Comments  Most of the assets are property and equipment which is very common in a capital intensive business The company maintains relatively low inventory and cash on hand  The Company holds significant inventory on hand and has a lot invested into equipment  A list of the company's major capital accounts for FY 2019 and a pie chart showing the Capital Structure  c  Capital Structure   Year end FY 2019 Capital Structure  Accounts Payable 756 Other current liabilities 8,371 Long Term Debt 10,565 Shareholders Equity 25,365 Comments  The capital structure shows that current liabilities seem high when compared to current assets in the asset chart  The company has a lot of outstanding debt with accounts payable and long term debt while maintaining a very high common equity  Carnival may have difficulty in meeting their short term liabilities  PART 3, RATIO ANALYSIS Use the most recent 2 years Carnival Cruise Lines and Royal Caribbean (1) LIQUIDITY  FY 2018FY 2019 Current Ratio  Carnival  0 240 23  Royal C  0 170 15  Quick Ratio  Carnival 0 19 0 18  Royal C0 15 0 13  Comments On The Company's Liquidity  There is very little change between the two years for Royal Caribbean and Carnival Cruise Lines which limits the analysis that can be done with this information  In regards to the quick ratio for the companies, Carnival Cruise linesseems to have a greater ability to pay off its current debt using its quick assets than Royal Caribbean  (2) ASSET MANAGEMENT FY 2018FY 2019 Total Asset Turnover  Carnival 0 45 0 46 Royal C0 34 0 36  Average Collection Period  Carnival  6 9 7  Royal C 0 000 00 Comments On The Company's Asset Management  Both companies are doing well at getting revenue out of their assets  Carnival Cruise Lines has a slight advantage over Royal Caribbean in this area for both years  CCL also saw an increase in their TA turnover from one year to the next  The ACP for CCL remained constant while RCL saw a decrease  This could be due to the company restricting the granting of credit to customers or possibly reducing payment terms  (3) DEBT MANAGEMENT  FY 2018FY 2019 Total Debt to Total Assets  Carnival 42 4  43 7  Royal C59 9  59 9   Times Interest Earned  Chosen Co 17 149 9 Competitor5 8   3 3 Comments On The Company's Debt Management  Royal Caribbean leveraged a greater percentage than Carnival Cruise Lines  This as a greater financial risk since more of the company's assets are financed by debt than equity  Both companies saw a decrease in interest rates  (4) PROFITABILITY  FY 2018FY 2019 Net profit Margin  Carnival 16 7 14 4  Royal C19 1 17 2  Return on Assets  Carnival 7 4 6 6  Royal C6 5 6 2  Return on Equity  Carnival 12 9 11 8  Royal C16 3 15 4  Modified Du Pont Equation, FY 2019  Carnival Royal C Net Profit Margin14 4 17 2  Total Asset Turnover0 460 36 Equity Multiplier1 782 49  Comments On The Company's Profitability  In regards to net profit margin, Royal Caribbean leads Carnival Cruise Lines  Royal Caribbean also has a higher ROA and ROE  This could be an indication that Royal Caribbean is using investors' money efficiently and that the management could be slightly more effective overall  (5) MARKET VALUE RATIOS  FY 2018FY 2019 PE Ratio  Carnival 27 018 9 Royal C11 113 99 Market to Book Ratio  Carnival 1 631 20 Royal C1 77 2 26 Comments On The Company's Market Value Ratios  Carnival Cruise Lines saw a decrease in PE from one year to the next which could be concerning to investors  Royal Caribbean has shown a higher PE which is really good for investors  PART 4, CONCLUSIONS AND RECOMMENDATIONS Summarize your analysis Review your comments in the financial analysis section and provide your assessment of the overall status of the firm Include any recommendations you think are appropriate  List any other recommendations you have for the firm in view of your analysis

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Can you please help me with PART 4, CONCLUSIONS AND RECOMMENDATIONS for CARNIVAL AND ROYAL CARIBBEAN .

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