Royal Caribbean raises annual profit forecast as cruise demand thrives

MIAMI — Royal Caribbean raised its annual profit forecast today for the third time this year on higher ticket pricing and persistent demand for cruise vacations.

Cruise operators have raised ticket prices over the last two years, capitalizing on record demand as Americans splurge on experiences. “Exceptional demand for our vacation experiences has accelerated our performance by generating significant yield growth over the past several years,” Royal Caribbean CEO Jason Liberty said.

The company also said it met its financial targets 18 months earlier than expected.

Shares of Royal Caribbean have risen 27% so far this year following a 161% rise in 2023.

The company forecast annual adjusted earnings per share between $11.35 and $11.45, compared with its earlier expectations of $10.70 to $10.90.

The Silversea Cruises parent also topped market expectations for second-quarter revenue and profit, and forecast current quarter adjusted profit above analysts’ estimates.