Royal Caribbean Cruises Ltd. (RCCL), the world’s second largest cruise shipping group, said its booked position for 2018 is better than last year's record high and at higher rates.
“North American and European consumers continue to drive strong demand for all of our main products. These trends, coupled with strong onboard spend and a positive outlook for our Asia Pacific products, are positioning the company for a ninth consecutive year of yield growth,” the company said in a statement.
Taking into account current fuel pricing, interest rates, currency exchange rates and the factors detailed above, the company estimates 2018 Adjusted EPS will be in the range of $8.55 to $8.75 per share. The corresponding figure for 2017 was $7.53
“We are also very excited about the 2018 introduction of both Symphony of the Seas and Azamara Pursuit in Europe, in April and August respectively, and the introduction of Celebrity Edge in Fort Lauderdale in November. These new ships will be important contributors to 2018yield growth,” RCCL said.
The company expects a net yield increase in the range of 1.5% to 3.5% on a constant currency basis and 2.75% to 4.75% on an as reported basis for the full year.
"Our yields are increasing on top of an exceptional 6.4% Net Yield growth experienced in 2017," said Jason T. Liberty, executive vice president and CFO. "This is quite extraordinary and a testament to the strength in the demand for cruising and our brands," he added.
Net cruise costs excluding fuel are expected to rise 1.5% to 2.0% on a constant currency and 2.0% to 2.5% on an as reported basis.