Royal Caribbean Cruises Ltd.'s first quarter earnings report exceeded expectations, showing adjusted net income of $214.7 million, or 99 cents per share, compared to $124 million, or 57 cents per share, in the year-ago quarter.
The company, in an earnings call to industry analysts April 28, attributed strong, close-in demand for the Caribbean to its performance.
"The year started off with a very positive tone and the tone has only continued to please. We are looking forward to our fifth consecutive year of double-digit earnings growth," said Richard Fain, chairman and CEO of RCCL, which is the parent company of Royal Caribbean International, Celebrity Cruises and Azamara Club Cruises.
“Our first quarter results were up 74 percent from last year, which also shows that our focus on improving specifically the winter season is working,” added Fain.
Net yields rose by 6 percent in the first quarter while net cruise costs, excluding fuel, fell by 4.4 percent. Overall for 2017, the company said its booked position remains at a record level, better than last year on both a rate and volume basis.
RCCL said that “strength in Europe” is offsetting the effects of itinerary changes in Asia; Royal Caribbean International in March suspended port calls in South Korea due to “recent developments” in the region.
The company also increased its per share earnings guidance to a range of $7 to $7.20 for the year.