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Royal Caribbean Lifts Annual Profit Forecast on Strong Cruise Demand, Price Hikes

TH-Reuters10-29

Oct 29 (Reuters) - Royal Caribbean on Tuesday raised its annual profit forecast for a fourth time this year, boosted by the cruise operator's multiple ticket price hikes and higher demand for cruises to private destinations and cooler spots.

A post-pandemic surge in cruise demand remains strong with customers also spending their dollars on experiences on-board, boosting growth at operators including Royal Caribbean, Norwegian Cruise and Carnival Cruise.

Hotter-than-usual weather is also encouraging more people book travel with these operators at an earlier day for summer next year to much cooler destinations such as Alaska, Utah, Minnesota and Iceland.

The company expects annual adjusted earnings per share of $11.57 to $11.62, compared with its earlier expectations of profit between $11.35 and $11.45.

Shares of the company, which have risen 57% so far this year, were down 4% in premarket trading.

The company expects fourth-quarter adjusted profit per share between $1.40 and $1.45, compared to estimates of $1.58.

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Comment1

  • Henryee18
    ·10-29
    Serves you well, pricing high for the cruise is really not cool!
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