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Royal Caribbean Stock Hits All-Time High on Higher Pricing, Onboard Revenue

Celebrity Equinox, a 121,878 GT Solstice-class cruise ship owned by Royal Caribbean Cruises Ltd. and operated by Celebrity Cruises, sails the Tagus River after leaving Lisbon cruise terminal on August 31, 2024, in Lisbon, Portugal

Horacio Villalobos / Corbis via Getty Images

Key Takeaways

  • Higher prices and more onboard revenue helped lift profit at Royal Caribbean.
  • The cruise line said demand remained strong, with a record-setting number of bookings over a five-week period.
  • Royal Caribbean will start offering river cruises in 2027.

Royal Caribbean Group (RCL) led 澳洲幸运5官方开奖结果体彩网:S&P 500 gaineꦏrs Tuesday morning, with shares rising more than 12% to hit an all-time high, after the cruise ship operator posted b🍸etter-than-expected profit and gave strong guidance, boosted by price hikes and purchases by passengers on its ships.

The carrier reported fourth-quarter 澳洲幸运5官方开奖结果体彩网:earnings per share (EPS) of $2.02, while analysts surveyed by Visible Alpha were looking for $1.50. Revenue increased 13% year-over-year to $3.76 billion, basically in line with forecasts.

Royal Caribbean said it benefited from "higher pricing across all key products and better onboard revenue." It added that close-in demand "remained strong on both a rate and volume basis." In addition, the company noted that bookings have accelerated since the last earnings call, "resulting in the best five booking weeks in the company's history."

CFO Naftali Holtz explained that Royal Caribbean's focus on "moderate capacity growth, ꦡmoderate yield growth, and strong cost discipline—is expected to deliver 23% adjusted earnings growth in 2025."

The company also announced that ꧟it would begin taking bookings this year on its new river cruises, which are set to start on 10 new ships in 2027.

Royal Caribbean Group shares recently traded up nearly 13% at $267.

RCL

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