RCCL booking volumes rise; Caribbean, Western Med strong, China outpaces forecasts
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- Written by Kari Reinikainen Kari Reinikainen
- Category: Top Headlines Top Headlines
- Published: 20 April 2015 20 April 2015
Royal Caribbean Cruises Ltd, (RCCL), the world's second largest cruise shipping company, said first quarter booking volumes have risen compare to the same period year-on on broad based strength of the market.
"Overall booking volumes during the first quarter were higher than prior year levels even after adjusting for our increase in capacity. Caribbean itineraries enjoyed particularly strong demand, and bookings were also up year-over-year for Europe and China itineraries," RCCL said in a sratement.
As previously discussed, the company has taken actions to extend its booking curve, as a result of which booked load factors and APDs are higher than historical levels. More recently, the company has taken further steps to improve the integrity of its pricing model including steps to eliminate last minute discounting.
Overall, European itineraries are booked at a higher load factor and APD than last year. Western Mediterranean itineraries have been booking well, while trends have been a little weaker for Eastern Mediterranean itineraries, particularly those that turn in Turkey. Demand for China remains strong and bookings have been outpacing expectations despite the significant capacity growth in the region.
RCCL trims 2015 EPS forecast on strong dollar
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- Written by Kari Reinikainen Kari Reinikainen
- Category: Top Headlines Top Headlines
- Published: 20 April 2015 20 April 2015
Royal Caribbean Cruises Ltd (RCCL), the world’s second largest cruise shipping group, has reduced its 2015 earnings per share (EPS) forecast on strength of the US dollar.
“The company has updated full year Adjusted EPS guidance to a range of $4.45 to $4.65 from $4.65 to $4.85. The strengthening of the US Dollar and the increase in fuel prices since our January guidance is expected to negatively impact earnings by $0.36,” RCCL said in a statement.
Constant currency net yields are expected to be in the range of up 2.5% to 4.0%, a slight reduction from previous guidance mainly due to the impact of the stronger US Dollar on the purchasing power of our non-US guests.
Net cruise costs excluding fuel are expected to be flat to down 1% on a constant currency basis, better than previous guidance of 1% or better. The fundamentals of the business as well as the company's focus on the targets associated with the Double-Double program remain on track and are unchanged.
"The business continues to perform well, despite the currency volatility," said Jason T. Liberty, chief financial officer. "Our unwavering commitment to cost consciousness has helped us identify further efficiencies that are driving a significant shift in our cost guidance for the full year. This type of operational focus throughout all facets of our business is a core enabler of our continued financial success."
RCCL first quarter exceeds forecast on strength of major products
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- Written by Kari Reinikainen Kari Reinikainen
- Category: Top Headlines Top Headlines
- Published: 20 April 2015 20 April 2015
Royal Caribbean Cruises Ltd (RCCL), the world’s second largest cruise shipping group, has reported first quarter net profit of $45.2 million, a marked increase from $26.4 million in the same period a year earlier. Revenues fell slightly, to $1.82 billion from $1.88 billion.
Earnings per share rose to $0.20 compare to the company’s own forecast of $0.10 to $0.15.
“Commercially the year is turning out as expected, with strong booking trends and yield growth for all major products. The strengthening of the US Dollar and the rise in fuel prices are negatively affecting earnings, but cost efficiencies are mitigating a large portion of the impact,” the company said in a statement.
Net yields fell by 1.0% on a constant currency basis (down 5.4% As-Reported). “Strong close-in pricing on Caribbean sailings drove the better than anticipated performance.
Net cruise costs excluding fuel increased 0.9% on a constant currency basis (down 1.7% As-Reported), significantly better than guidance driven by further efficiencies,” RCCL said.
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