Royal Caribbean Beats and Raises Despite Record Oil Prices

| About: Royal Caribbean (RCL)

Royal Caribbean Cruises reported before Monday's market open that third-quarter net income increased 14% to $395 million, or $1.84/share, beating analyst expectations of $1.77/share. Revenues climbed 19% to $1.95B, also exceeding analyst estimates of $1.79B. Royal Caribbean offered EPS guidance of $0.32 to $0.37 for Q4 and $2.80 to $2.85 for the full-year. Analysts on average were expecting $0.34/share and $2.76/share, respectively. Royal Caribbean credited its better-than-expected Q3 earnings to "stronger late bookings." Royal Caribbean also benefited from 14% higher capacity in Q3 and a 4.1% increase in net yields, reflecting higher average pricing. CEO Richard Fain commented, "It was a very encouraging finish for the quarter and augurs well for upcoming periods. It is very satisfying that, despite higher fuel prices and other challenges, we produced record results." Shares of Royal Caribbean Cruises were last up 2.7% to $40.30 in thin pre-market trading. Royal Caribbean lost 1.6% on Friday to $39.25.

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Tagged: , General Entertainment, Earnings
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