Royal Caribbean 2026 Q2 Results Strong; Company Raises Full Year Guidance

Royal Caribbean 2026 Q2 Results Strong; Company Raises Full Year Guidance

Royal Caribbean Group (NYSE: RCL) today reported second quarter Earnings per Share (“EPS”) of $4.20 and Adjusted EPS of $4.21.

These results were better than the company’s guidance, driven by strong close-in demand, lower costs, and favorable performance from joint ventures, the company said in a press release.

The company now expects full year Adjusted EPS to be in the range of $17.73 to $17.87.

The increase in earnings expectations reflects the stronger-than-expected second quarter performance and an improved outlook for the remainder of the year. This outlook incorporates a modest booking impact for select itineraries primarily due to prolonged geopolitical activity.

“The strong second quarter performance demonstrates the continued strength of our brands, the appeal of our vacation experiences, and the momentum in our business,” said Jason Liberty, Chairman and CEO, Royal Caribbean Group. “We expect another year of approximately double-digit growth in revenue and earnings, driven by consumers’ preference for our leading brands and supported by our strong booked position, leading margin profile, and fortified balance sheet.”

“We continue to expand, elevate and differentiate our portfolio of vacation experiences,” Liberty added. “Legend of the Seas, which launched earlier this month as the third ship in our Icon class, is part of a platform that is reshaping the cruising experience and delivering exceptional returns. Its successful debut represents another important milestone in the execution of our innovation pipeline as we continue to redefine the vacation experience. At the same time, we are deepening guest engagement through our loyalty and technology platforms – strengthening our relationships with guests, increasing repeat rates, and positioning us to capture a greater share of the growing $2 trillion global vacation market.”

Second Quarter 2026:
• Total revenue was $4.8 billion, a 6% increase year over year. Load factor in the second quarter was 110%.
• Gross Margin Yields decreased 5.6% as-reported. Net Yields increased 1.9% as-reported and 1.2% in Constant Currency.
• Gross Cruise Costs per Available Passenger Cruise Days (“APCD”) increased 4.5% as-reported. Net Cruise Costs (“NCC”), excluding Fuel, per APCD increased 4.4% as-reported and 3.9% in Constant Currency.
• Net Income was $1.1 billion or $4.20 per share, Adjusted Net Income was $1.1 billion or $4.21 per share, and Adjusted EBITDA was $1.8 billion.

Full Year 2026 Outlook:
• Revenue is expected to grow 9% year over year. Net Yields are expected to increase 2.35% to 2.85% as-reported and 1.75% to 2.25% in Constant Currency.
• NCC, excluding Fuel, per APCD are expected to increase approximately 0.4% as-reported and be approximately flat in Constant Currency.
• Adjusted EPS is expected to be in the range of $17.73 to $17.87, representing 14% year over year growth, and a 23% CAGR over the first two years of the company’s Perfecta program, which targets a 20% earnings CAGR from 2024 to 2027 and ROIC in the high teens by 2027.

Second Quarter 2026 Results

Net Income for the second quarter of 2026 was $1.1 billion or $4.20 per share compared to Net Income of $1.2 billion or $4.41 per share for the same period in the prior year. Adjusted Net Income was $1.1 billion or $4.21 per share for the second quarter of 2026 compared to Adjusted Net Income of $1.2 billion or $4.38 per share for the same period in the prior year. The company also reported total revenues of $4.8 billion and Adjusted EBITDA of $1.8 billion.

Capacity for the second quarter was up 5% year over year and the company delivered memorable vacations to 2.4 million guests, a 6% increase year over year. Total revenue increased 6% year over year. Gross Margin Yields decreased 5.6% as-reported, and Net Yields increased 1.9% as-reported (1.2% in Constant Currency), when compared to the second quarter of 2025. Load factor for the quarter was 110%. Net Yield growth exceeded the company’s guidance primarily driven by better than expected close-in demand.

Gross Cruise Costs per APCD increased 4.5% as-reported, compared to the second quarter of 2025. NCC, excluding Fuel, per APCD increased 4.4% as-reported (and 3.9% in Constant Currency), when compared to the second quarter of 2025. The better-than-expected cost performance in the second quarter was primarily driven by favorable timing of expenses.

Update on Bookings and Onboard Revenue

The overall demand environment remains strong, supported by consumers’ continued preference for the company’s differentiated experiences. Since the last earnings call, the company has experienced a modest, near-term impact on bookings for select itineraries, primarily due to prolonged geopolitical activity. The company remains booked at record prices, booking volumes are above last year’s levels, and load factors remain robust across its vacation portfolio. The company continues to benefit from strong guest engagement and demand for onboard and destination experiences, supported by ongoing enhancements to its product offerings and more targeted pre-cruise engagement.

“Consumer demand for our vacation experiences is strong, and guests continue to demonstrate a desire to spend on memorable experiences with us,” said Naftali Holtz, Chief Financial Officer, Royal Caribbean Group. “As we build a broader vacation platform, we are giving guests more reasons to vacation with Royal Caribbean across more occasions, while reinforcing our ability to drive higher engagement and spend over time. While still very early, booking trends for 2027 are encouraging and pacing ahead of historical levels, including for itineraries where demand was impacted by geopolitical developments this year.”

Third Quarter 2026

Net Yields are expected to be approximately flat as-reported and in Constant Currency as compared to 2025, reflecting continued healthy demand and pricing at record levels leading to expected total revenue growth of 8%.

NCC, excluding Fuel, per APCD, is expected to decrease 1.7% to 1.2% as-reported and 1.6% to 1.1% in Constant Currency as compared to 2025.
Based on current fuel pricing, interest rates, currency exchange rates and the factors detailed above, the company expects third quarter Adjusted EPS to be in the range of $6.26 to $6.36.

Royal Caribbean Inks Shanghai Rolex Masters Sponsorship

Royal Caribbean Inks Shanghai Rolex Masters Sponsorship

Royal Caribbean International has solidified its commitment to the Chinese market by renewing its partnership with the Shanghai Rolex Masters tennis tournament.

The cruise line will continue as the Official Cruise Line Partner for the 2026 and 2027 editions of the event, marking a strategic extension of its high-profile sports marketing initiative in the region.

The renewed multi-year deal sees Royal Caribbean retaining its title sponsorship of the “Royal Caribbean Masters Practice Court” at the Qizhong Forest Sports City Arena and maintaining its exclusive branded skybox, offering guests premium viewing and interactive experiences.

This collaboration aims to fuse the world of elite sports with the brand’s signature “Live. Love. Cruise.” vacation lifestyle.

Benjamin Bouldin, Vice President and Managing Director, Greater China at Royal Caribbean International, stated that the partnership aligns with the brand’s mission to create deep connections with consumers’ passions.

“As an international brand also rooted in Shanghai, we are honored to renew our partnership with this iconic tennis event,” Bouldin said. “We believe exceptional experiences are not just about ‘arriving,’ but about resonating deeply with what people love”.

Michael Luévano, Tournament Director of the Shanghai Rolex Masters, welcomed the continued alliance, noting Royal Caribbean’s success in integrating its vacation concept into the event last year and creating memorable fan interactions.

Carnival Corp. Sets 2024 Q2 Earnings Date

Carnival Corp. Sets 2024 Q2 Earnings Date

Carnival Corporation has scheduled a conference call with analysts for Tuesday, June 25, 2024, at 10 a.m. (EDT); 3 p.m. (BST) to discuss the company’s second-quarter financial results which are expected to be released that morning.

The call will allow company executives to go over the quarter, talk about an all-important third quarter and then take questions from Wall Street analysts.

A simulcast of the call will be available via the company’s websites at www.carnivalcorp.com and www.carnivalplc.com.

Cruise Lines Under Pressure to Significantly Raise Ticket Prices

Cruise companies may be eyeing a significant increase in ticket prices in the near future as demand surges and sailings sell out in record time.

“Wall Street is not happy,” said one source familiar with the situation. “If cruises are flying off the shelves, the message from big investors has been to raise prices if inventory is selling too quickly … the companies are leaving too much money on the table.”

Cruise lines have widely reported strong pent-up demand and record sales volumes in media announcements, leading to a backlash from the investment community.

Carnival said sales were solid due to pent-up demand in late February, and a few weeks earlier, Oceania saw its world cruise sell out in a single day.

Victory Cruise Lines and American Queen Steamboat said that January and February 2021 bookings are over 35 percent higher than November and December 2020 bookings, according to a press release.

The story is also good at Royal Caribbean Group, with bookings up 30 percent.

"Despite the lack of marketing spends, we have seen a 30% increase in new bookings since the beginning of the year when compared to November and December," said Jason Liberty, CFO, speaking on the company’s recent business update and fourth-quarter earnings call.

Among other examples, Norwegian Cruise Line Holdings has seen a demand uptick recently with new cash bookings.

"And while still early in the booking cycle, we are very encouraged and very pleased by the strong booking activity driven by pent-up demand across all three brands for 2022 voyages. Volumes during January and February sequentially improved by over 40 percent from November and December 2020, and as an added bonus over 80 percent of these bookings were new cash bookings," said Frank Del Rio, president, and CEO, speaking on the company's fourth-quarter and year-ending earnings call.

Oil Billionaire Says It’s Time to Move Focus to Renewables

By Mikael Holter (Bloomberg) — Norwegian billionaire Kjell Inge Rokke, who built most of his fortune on oil and gas, says the time has come to start investing more heavily in renewable energy.

The 61-year-old suggested that a tipping point had now been reached in the energy industry while underscoring his conviction that the world will continue to need fossil fuels for years to come.

“A good hunter is a patient hunter,” Rokke said during a webcast panel discussion. He also said that investors who started “too early” has “burned through cash.”

Rokke’s investment company Aker ASA took steps earlier this year to spin off clean-energy units, joining a whirlwind of change that’s sweeping the global oil industry. The new companies have since surged in line with other renewable stocks as investors flock around sustainable assets.

In a rare public appearance at Pareto Securities AS’s Energy Conference on Wednesday, Rokke said he had discussed the timing with Aker Chief Executive Oyvind Eriksen for years.

“The key thing for us is to listen, when you are wrong, admit it, and change direction,” Rokke said. “That’s something that has served us well in this extraordinary shift in the energy sector.”

Aker’s 40% stake in oil producer Aker BP ASA, where BP Plc owns 30%, still makes up more than half of the holding company’s value. Rokke dismissed “doomsday sayers” and said Norway shouldn’t stop producing oil and gas. But he also predicted that other businesses will rapidly rise to make up most of his empire.

In as little as five years, Aker’s exposure to digital solutions and IT, primarily through its majority stake in Cognite AS, could make up between half and two-thirds of the company’s value, Rokke predicted. “Quote me on that five years from now,” he said.

“What we’re doing in the green space is also exciting,” he said. “Less than 10% of offshore wind has been installed so far. We are in the infancy.”

Aker is also working on establishing a separate unit dedicated to hydrogen, Eriksen said in a presentation before Rokke spoke.

Port of Miami Set to Continue Record-Shattering Growth Pace

PortMiami Set to Continue Record-Shattering Growth Pace

Norwegian Getaway turning in Miami port.

“We do have space. I want that to be very clear, that we have space for growth here at PortMiami,” said Juan Kuryla, port director. “We are growing and need to continue investing.”

Miami is coming off a record year, with 5.3 million cruise passengers, and a similar, slightly better year is expected in 2017-2018. After that, Kuryla is forecasting a continued pattern of record-breaking cruise traffic.

Going from 4.9 million to 5.3 million passengers in a year, the most ever recorded anywhere; Kuryla is juggling multiple projects for a 20 percent bump up in 2019, and even more growth behind that.

“We will likely be at 6.4 million passengers,” he added.

Multiple Projects

The biggest bump up in numbers last year came from Royal Caribbean, with 350,000 more passengers. That figure will grow exponentially when the company opens Terminal A for its Oasis-class ships come 2018.

Talking to Cruise Industry News on a November Monday, there were a staggering seven cruise vessels docked and Kuryla was weeks away from the grand opening of Terminal F, a new facility developed for MSC Cruises and the MSC Seaside.

That terminal is only the beginning, as MSC has bigger plans, including the deployment of the Meraviglia in the Caribbean, sailing from Miami alongside the Seaside in summer 2019.

Discussions are ongoing with Virgin and Norwegian for new terminals.

“Both would be additional to the terminals we have,” Kuryla said. “We are taking some land on the north side from the cargo operations to create a footprint for additional terminals.”

Not to be overlooked, Carnival Cruise Line has been the port’s largest customer dating back to the 1970s and accounted for more than 2 million passenger movements last year. This year the new Carnival Horizon will homeport in Miami after a brief summer in New York.

“We are also in discussions with them on how to work together to accommodate further growth,” explained Kuryla.

‘Total Commitment’

He attributed the growth to a total commitment to the cruise industry not only by the port but by the willingness of elected officials to accept the port’s and cruise line’s recommendations on investments.

New terminal projects must consider not only the space for the terminal, but land infrastructure ranging from parking to utilities, apron needs, traffic patterns and more, Kuryla said.

“The speed at which we need to grow to accommodate new ships is unprecedented,” he continued, “and we are moving quickly.”

Various studies have been conducted on LNG, and the port is moving toward a solution regarding whether bunkering would be a land or water-side operation. Kuryla said he expects Miami to receive its first LNG-powered ship in 2022.

Piraeus Port to invest €294 million to upgrade cruise facilities

Piraeus Port to invest €294 million to upgrade cruise facilities

Piraeus Port Authority aims to grow its homeporting business by expanding its facilities (Image: Piraeus Port Authority)

Piraeus Port Authority is to invest €294 million over a five-year period to upgrade its existing cruise infrastructure and boost its appeal to operators sailing in the East Mediterranean.

Currently, Piraeus can berth between nine and eleven cruise ships simultaneously, using a total of 2.8 kilometres of quay.’s expansion plans include adding four new 400-metre cruises berths, adding a total of 1.65 kilometres of quay length and boosting the port’s capacity by roughly 50%.

Other plans include building hotels, shopping malls, restaurants and other auxiliary services to enable Piraeus to become a homeport.

“The planned infrastructure improvements will benefit the cruise sector overall by providing best-in-class customer service experience to the operators of the cruise ships as well as by enhancing the overall experience of their guests,” said Theodora Riga, PPA’s manager of strategic planning and marketing. “New value-added services for the cruise lines and passengers are at the core of PPA's vision to promote overall product awareness in the Chinese market, and act as a facilitator to capture higher volumes of tourists from the Far East.”

MSC Cruises Plans to Build World’s Largest LNG-Powered Cruise Ships for $4.5 Billion

Laurent Castaing (R), President of French shipyard STX France, shakes hands with Mediterranean Shipping Company (MSC) Chairman Gianluigi Aponte (L) as French President Francois Hollande (C) looks on after signing a letter of intention for the order of four more ships from STX France, April 6, 2016. REUTERS/Charles Platiau

Swiss-based MSC Cruises has revealed major plans to build up to four new LNG-powered cruise ships exceeding more than 200,000 gross tons.

The announcement was made as the company, the largest privately-owned cruise line in the world, signed a letter of intent (LOI) for the construction of the ships with STX France at the company’s shipyard in Saint-Nazaire, France.

The four ships provided under the LOI include two firm orders and two options with delivery planned in 2022, 2024, 2025 and 2026. MSC Cruises confirmed that the new order would represent a nearly $4.5 billion investment, which would bring the company’s 10-year investment plan to an “unprecedented” $10.2 billion and eleven next-generation newbuilds by 2026.

The vessel’s, to be known as the “World Class”, will be based on a new next-generation LNG-powered prototype featuring a GRT in excess of 200,000 tonnes, more than 2,700 staterooms and approximately 5,400 lower berths occupancy, making them the biggest LNG-powered cruise ships planned to date and the most environmentally friendly. 

A ceremony for the signing of the letter of intent was held at the Élysée Palace in France and attended by French President Francois Hollande François Hollande, as well as MSC Group’s Founder and Executive Chairman, Gianluigi Aponte, and STX France’s CEO Laurent Castaing.

“Today’s announcement is further proof, if needed, of our view that this industry presents significant opportunities for additional growth going forward for both our brand and product, as well as of our firm commitment to be best-positioned to capture them to the fullest,” said Pierfrancesco Vago, MSC Cruises Executive Chairman. “For this reason, our ten-plus year investment plan now encompasses up to eleven new MSC Cruises ships, coming into service between 2017 and 2026. It is also a reflection of our constant commitment to innovation, as we will partner with STX France to design yet again a completely new prototype – already the sixth in our history.”

Including the four ships announced Wednesday, a total of 20 ships will have been designed and built by STX France in Saint-Nazaire for MSC Cruises. 

MSC Splendida (Fantasia Class)

“We have just signed an unprecedented agreement with MSC Cruises which will give us a vision of our industrial capacity for the next ten years! We have had a good relationship with MSC Cruises for many years now, and this new agreement strengthens this further,” commented Laurent Castaing, STX Frances Chief Executive Officer. “We have already designed four different classes for MSC Cruises – Lirica, Musica, Fantasia and Meraviglia – each with four ships, and now we are working together on this new generation of “World Class” ships.”

MSC Cruises informs that in addition to the four ships just ordered, its current investment plan includes orders with STX France for two Meraviglia and two further Meraviglia-Plus Class ships as well as orders with Fincantieri in Italy for up to three next-generation Seaside Class ships. The plan also includes the $227 million Renaissance Program, in which four ships out of 12 of the company’s fleet were enhanced and enlarged at the Fincantieri shipyards.

MSC Cruises’ announcement follows some big cruise industry news over the weekend as Carnival Corp. finalized its contracts with Italian shipbuilder Fincantieri to build five new cruise ships costing more than $3.4 billion. Delivery of those ships are scheduled for 2019 and 2020. 

In June 2015, Carnival became the first to order ocean-going cruise ships powered by liquefied natural gas, the world’s cleanest fossil fuel, with its order for four ships. Those ships will be built by Meyer Werft and split between their yards in Papenburg, Germany and Turku, Finland. Carnival Corporation, the world’s largest cruise company, currently has a total of 16 new ships scheduled to be delivered across several of its portfolio of brands between 2016 and 2020.

Cruise must provide shareholder value to invest and grow

By Lee Hayhurst 

Shareholder return is a vitally important part of the cruise industry if it is to attract more investment to allow it to grow, says Celebrity Cruises chief executive Michael Bayley.

Bayley told the Clia Columbus Day in Liverpool that profitability was a core component for cruise operators that need to invest billions of dollars to build new vessels.

"It's incredibly important that we are providing an adequate return to shareholders and investors who put literally billions of dollars into the product. The marketplace for capital is very competitive. It's not just available anywhere, people want to know that when they invest in whatever sector that they can get the return associated with any risk.

"We need to be able to encourage more investment. We need to introduce new brands and products and certainly need to introduce new ships. To achieve that we must achieve more revenue and reduce costs."

Bayley, for instance, called for a more collaborative approach to port development in emerging cruise markets, the costs of which are currently passed on to the cruise lines which in turn pass them on to customers. "That's really something that needs to be worked on," he said.

Bayley added that the cruise industry must look to develop new sources of passengers like in the fast-growing markets of South East Asia, China and South America.

Tui places £4bn order for new-generation B737s

By Lee Hayhurst

Tui Travel has today unveiled a multi billion-pound investment in new-generation aircraft.

Europe’s largest travel group is to order 60 Boeing 737 MAX aircraft worth £4 billion with options on a further 90 of the narrow-body type.

Deliveries will start in January 2018 and run until March 2023.

The 737 MAX aircraft utilises a new-technology engine type claimed to result in a 13% improvement in fuel efficiency and a 40% reduction in noise over today’s main competitors.

The new 737s will provide lower per seat costs than current-generation aircraft, according to Tui.

Around 80% of the group’s passenger flew on 114 narrow-body aircraft across six airline brands including Thomson Airways in the last financial year.

“In order to maintain cost competitiveness and support Tui Travel’s aim to minimise the environmental impact of its activities, the existing narrow-body aircraft will need to be replaced in the next decade,” the company said.

“The proposed transaction will ensure that the group has sufficient aircraft to fulfil its long-term plans and that the expected accrued value justifies the cost of the purchase.”

Chief executive Peter Long said: "A major part of Tui Travel's strategy is to provide our customers with unique holiday experiences they can only get from us.

“This multi billion-pound investment in the B737 MAX - representing the future generation of more fuel-efficient aircraft for our short and medium-haul programmes - will be a further driver in delivering this.

“It comes as the first of our Boeing 787s touches down in the UK to commence replacement of our long-haul fleet with best-in-class aircraft.

“We are leading the way in redefining mainstream holidays, and putting our customers at the heart of everything we do is integral to our continued growth.

“I can confidently say that being able to offer our customers the most advanced, comfortable aircraft, whether they are travelling with us to short or long-haul destinations, while reducing our environmental impact, will only strengthen our position.”

Thomson Airways' first Boeing 787 Dreamliner is due to arrive at Manchester airport this morning. It has flown from the Boeing Everett Factory in Seattle and will be followed with the delivery of a further three Thomson 787 aircraft this summer.

View a timelapse video of Tui's Dreamliner production

 http://bcove.me/y2fphluo

Thomson will fly the aircraft from Gatwick, Manchester, East Midlands and Glasgow airports on long-haul routes to Sanford, Florida and Cancun in Mexico.

Chris Browne, managing director of Thomson Airways, said: “After much anticipation we are very excited to welcome the 787 Dreamliner to our fleet, and as the first airline in the UK to take delivery we hope our customers will enjoy the unique experience of this revolutionary aircraft.

“The introduction of the Dreamliner is a major milestone in our journey of modernising the holiday experience. Customers will be amazed at the unique look, feel and service – all of which will ensure the unique Thomson holiday experience starts as soon as they step on board this fabulous new aircraft.

“The extended flying range of the Dreamliner also unlocks a host of new and exciting holiday options for our customers, increasing the range of long-haul destinations available with Thomson Airways, from four UK airports this summer.

“This winter we’ll fly the Dreamliner direct to Phuket in Thailand and from summer 2014 we will be introducing holidays to Mauritius and Puerto Vallarta, flying direct on our new 787 aircraft.”

The Thomson 787 Dreamliner will carry 291 passengers.

Thomson Airways will be taking delivery of eight Boeing 787 Dreamliners in total, up to May 2015.