Royal Caribbean Group is confident about its earnings outlook for 2024, thanks to strong demand for cruises and the popularity of its new ships and itineraries.
Q4 Earnings Report
In the fourth quarter, the cruise operator reported earnings of $278 million, or $1.06 per share, compared to a loss of $500 million, or $1.96 per share, in the same period last year. Adjusted earnings stood at $1.25 per share, beating analysts’ expectations of $1.14 per share.
Moreover, sales increased from $2.6 billion to $3.33 billion year-over-year, although slightly below the projected $3.36 billion.
Upbeat Outlook for 2024
Looking ahead to 2024, Royal Caribbean aims for adjusted earnings between $9.50 and $9.70 per share, surpassing analysts’ expectation of $9.21 per share.
Booking trends remain positive for the company, in part due to the introduction of their Icon of the Seas ship and the expansion of their private island offering, Perfect Day at CocoCay.
Healthy Onboard Spending
Royal Caribbean emphasized that onboard spending, often used as an indicator of consumer health in the industry, has remained robust. This is attributed to increased participation and price hikes.
