Carnival Reports 32 Percent Drop In 2Q Profit

KRISTEN A. LEE

NEW YORK (AP) — Carnival Corp. reported a better-than-expected second-quarter profit Thursday, as the cruise operator continued to cut costs and began to lift prices from bargain-basement levels.

Carnival shares jumped $1.72, or 7.5 percent, to close at $24.77 Thursday. The stock has traded between $14.85 and $42.39 during the past 52 weeks.

Increasing fuel prices, however, are weighing on Carnival's bottom line and the company lowered its full-year forecast to reflect that rising expense. ...