Overview

• Cruise operator's Q4 adjusted EPS meets analyst expectations

• Net income for Q4 rose significantly compared to prior year

• Company expands vacation portfolio with new Discovery Class ships and river cruise fleet

Outlook

• Royal Caribbean expects 2026 adjusted EPS between $17.70 and $18.10

• Company anticipates double-digit revenue and EPS growth in 2026

• Royal Caribbean plans to expand vacation portfolio with new Discovery Class ships

Result Drivers

• STRONG DEMAND - Co reported strong demand and high occupancy rates, with a load factor of 108% in Q4

• COST CONTROL - Gross Cruise Costs per APCD decreased 4.5% as-reported, contributing to improved margins

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 22 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the hotels, motels & cruise lines peer group is "buy"

• Wall Street's median 12-month price target for Royal Caribbean Cruises Ltd is $328.00, about 12.5% above its January 28 closing price of $291.60

• The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nPn2h82kva

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