We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Royal Caribbean (RCL) Stock Up on Q1 Earnings & Revenue Beat
Read MoreHide Full Article
Royal Caribbean Cruises Ltd. (RCL - Free Report) reported impressive first-quarter 2019 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate. Notably, both the top and bottom line outpaced the consensus mark for the second straight quarter. Following the quarterly results, shares of the company gained nearly 4% in the pre-market trading session.
Adjusted earnings of $1.31 per share surpassed the Zacks Consensus Estimate of $1.11 and also increased 20.2% year over year owing to higher revenues.
Total revenues came in at $2,439.8 million outpacing the consensus mark of $2,375 million and increased 20.3% from the year-ago quarter number. This upside can be attributed to higher passenger ticket as well as onboard and other revenues.
Quarterly Highlights
Passenger ticket revenues jumped 19.9% to $1,709.98 million, and onboard and other revenues increased 21.2% to $729.8 million.
On a constant-currency basis, net yields rose 9.3% year over year. This improvement was driven by solid demand for core products as well as onboard experiential products and activities.
Net cruise costs (NCC), excluding fuel per APCD, rose 9.6% on a constant-currency basis, lower than management’s expectation of 10% increase.
Total cruise operating expenses of $1,413.7 million improved 20.2% on a year-over-year basis. The company witnessed rise in operating expenses at the Payroll and related, Onboard and other, Commissions, transportation and other, and other operating segments. Fuel expenses also increased during the quarter under review.
Royal Caribbean Cruises Ltd. Price, Consensus and EPS Surprise
For the second quarter of 2019, Royal Caribbean expects adjusted earnings per share in the $2.45-$2.50 range. The Zacks Consensus Estimate for second-quarter earnings is pegged at $2.47.
Constant-currency net yields are projected to increase by 9.5%. NCC, excluding fuel, is likely to improve 10% on a constant-currency basis.
Full-year View
For 2019, Royal Caribbean projects earnings of $9.65-$9.85 per share compared with $9.75-$10 anticipated earlier. Markedly, the company’s guidance includes 25 cents negative impact from the incident in the Grand Bahama Shipyard. Also, currency headwinds and fuel price hurt the projection to the tune of nearly 25 cents. The Zacks Consensus Estimate for current-year earnings stands at $9.92. The company expects net yields between 7.5% and 9% on a constant-currency basis.
NCC, excluding fuel, is expected to be up 10% on a constant-currency basis.
Zacks Rank & Peer Release
Royal Caribbean currently carries a Zacks Rank #3 (Hold). Better-ranked stocks worth considering in the same space include Lindblad Expeditions Holdings, Inc. (LIND - Free Report) , The Marcus Corporation (MCS - Free Report) and SeaWorld Entertainment, Inc. , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Lindblad Expeditions Holdings earnings for the current year are likely to grow by 14.2%.
The Marcus reported better-than-expected earnings in each of the trailing four quarters, the average being 34.7%.
SeaWorld Entertainment earnings for the current year are likely to grow by 140.4%.
Biggest Tech Breakthrough in a Generation
Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.
A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 7 stocks to watch. The report is only available for a limited time.
Image: Bigstock
Royal Caribbean (RCL) Stock Up on Q1 Earnings & Revenue Beat
Royal Caribbean Cruises Ltd. (RCL - Free Report) reported impressive first-quarter 2019 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate. Notably, both the top and bottom line outpaced the consensus mark for the second straight quarter. Following the quarterly results, shares of the company gained nearly 4% in the pre-market trading session.
Adjusted earnings of $1.31 per share surpassed the Zacks Consensus Estimate of $1.11 and also increased 20.2% year over year owing to higher revenues.
Total revenues came in at $2,439.8 million outpacing the consensus mark of $2,375 million and increased 20.3% from the year-ago quarter number. This upside can be attributed to higher passenger ticket as well as onboard and other revenues.
Quarterly Highlights
Passenger ticket revenues jumped 19.9% to $1,709.98 million, and onboard and other revenues increased 21.2% to $729.8 million.
On a constant-currency basis, net yields rose 9.3% year over year. This improvement was driven by solid demand for core products as well as onboard experiential products and activities.
Net cruise costs (NCC), excluding fuel per APCD, rose 9.6% on a constant-currency basis, lower than management’s expectation of 10% increase.
Total cruise operating expenses of $1,413.7 million improved 20.2% on a year-over-year basis. The company witnessed rise in operating expenses at the Payroll and related, Onboard and other, Commissions, transportation and other, and other operating segments. Fuel expenses also increased during the quarter under review.
Royal Caribbean Cruises Ltd. Price, Consensus and EPS Surprise
Royal Caribbean Cruises Ltd. Price, Consensus and EPS Surprise | Royal Caribbean Cruises Ltd. Quote
2Q19 Guidance
For the second quarter of 2019, Royal Caribbean expects adjusted earnings per share in the $2.45-$2.50 range. The Zacks Consensus Estimate for second-quarter earnings is pegged at $2.47.
Constant-currency net yields are projected to increase by 9.5%. NCC, excluding fuel, is likely to improve 10% on a constant-currency basis.
Full-year View
For 2019, Royal Caribbean projects earnings of $9.65-$9.85 per share compared with $9.75-$10 anticipated earlier. Markedly, the company’s guidance includes 25 cents negative impact from the incident in the Grand Bahama Shipyard. Also, currency headwinds and fuel price hurt the projection to the tune of nearly 25 cents. The Zacks Consensus Estimate for current-year earnings stands at $9.92. The company expects net yields between 7.5% and 9% on a constant-currency basis.
NCC, excluding fuel, is expected to be up 10% on a constant-currency basis.
Zacks Rank & Peer Release
Royal Caribbean currently carries a Zacks Rank #3 (Hold). Better-ranked stocks worth considering in the same space include Lindblad Expeditions Holdings, Inc. (LIND - Free Report) , The Marcus Corporation (MCS - Free Report) and SeaWorld Entertainment, Inc. , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Lindblad Expeditions Holdings earnings for the current year are likely to grow by 14.2%.
The Marcus reported better-than-expected earnings in each of the trailing four quarters, the average being 34.7%.
SeaWorld Entertainment earnings for the current year are likely to grow by 140.4%.
Biggest Tech Breakthrough in a Generation
Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.
A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 7 stocks to watch. The report is only available for a limited time.
See 7 breakthrough stocks now>>