Increased demand for cruising, flocking first time cruisers and a younger market attracted to the short itineraries of a Utopia of the Seas, have all contributed to a 17% increase in sales at Royal Caribbean.
The cruise line on 29OCT reported net third quarter income for 2024 of USD$1.1 billion, up from $1.0 billion in the same period last year.
"Our exceptional third quarter results and increased full year expectations reflect the robust demand for our differentiated vacation experiences," said Jason Liberty, president and CEO, Royal Caribbean Group.
According to Travelweekly, during the company’s earnings call on Tuesday, Liberty indicated the majority of Royal Caribbean Group's guests this year are first-time cruisers or new to the company's brands.
The most notable figure in the company’s third quarter report is that sales were up 17.4% year on year to $4.89 billion, Yahoo Finance reports. Passenger days on board Royal Caribbean ships rose from 13.18 million to 14.79 million; an increase of more than 12%.
Reuters said Royal Caribbean boosted its annual profit forecast for the fourth time this year, driven by high demand for private destinations and cooler cruise travel spots, as well as multiple ticket price hikes.
“The surge in cruise demand is still going strong and customers are also splurging on on-board activities, boosting growth at operators including Royal Caribbean, Norwegian Cruise and Carnival Cruise,” Reuters said.
Yahoo Finance said Royal Caribbean’s shares have risen more than 50% this year, more than double its rivals.
Cruise Industry News reports Royal Caribbean has announced plans to expand its private destinations portfolio with Perfect Day Mexico, expected to open in 2027. The company also announced Silversea’s new 150-room hotel in Puerto Williams, Chile to provide a further-elevated guest experience for its Antarctica expeditions, expected to open in 2025. These new experiences are in addition to the Royal Beach Club Paradise Island, expected to open in 2025, and Royal Beach Club Cozumel expected to open in 2026.
