Royal Caribbean Cruises, Ltd. (RCCL), the world’s second largest cruise shipping company, says it has raised its 2015 earnings per share (EPS) forecast to $4.80 per share from an earlier forecast of $4.65 to $4.70.
"As we have reiterated throughout the year, we remain ahead on both pricing and volume versus same time last year," said Jason T. Liberty, chief financial officer. "While Latin America is stressing yields in the fourth quarter, strong year-over-year pricing in the Caribbean, and the addition of capacity in China, will solidify this fourth quarter as the best in our company's history."
Taking into account current fuel pricing, interest rates, currency exchange rates and the factors detailed above, the company expects 2015 Adjusted EPS to be approximately $4.80 per share.
The company is experiencing good early booking trends for 2016. Booked load factors and APDs are higher than same time last year and the booking window has extended.
Management is excited by the 2016 introduction of Harmony of the Seas starting in Europe next summer and adding Ovation of the Seas to its Chinese platform to take advantage of the strong reception this class of ships has received there.
While still early in the booking cycle, the view for 2016 is encouraging, and the company expects another year of solid yield and earnings growth.
"As we turn the corner into 2016 we have our sights firmly set on our 2017 Double-Double targets," said Richard D. Fain, chairman and chief executive officer. "Next year represents a positive step on that journey."
