Royal Caribbean Cruises Ltd. (NYSE: RCL) posted its results for the fourth quarter of 2017 on Wednesday, and provided guidance for the fiscal year 2018. With both earnings and revenue beating estimates, shares of the company increased 5.92% to $134.75 per share today.
According to the company, net revenue for the fourth quarter increased 10% to $2 billion, which beat analysts’ estimate of $1.97 billion. Additionally, net income was up from $261.1 million, or $1.21 per share, for the same period last year, to $288 million, or $1.34 per share. Excluding certain items, earnings per share was $1.34 for the quarter, also surpassing estimate of $1.20 per share.
“Our teams worked hard to achieve the Double-Double goals and now they have done it”, Richard D. Fain, Chairman and CEO of the company, said in the statement on Wednesday.
“Each of the brands performed excellently during the past year raising their guest satisfaction and employee engagement scores to new heights. This augurs well as we focus on our previously announced 20/20 Vision,” he added.
For full year 2018, the company expected better results. Royal Caribbean Cruises expected a net yield increase in the range of 1.5% to 3.5% on a Constant-Currency basis and 2.75% to 4.75% on an as-reported basis, according to the company. “This is quite extraordinary and a testament to the strength in the demand for cruising and our brands,” said Jason T. Liberty, the executive vice president and CFO of the company.
In the statement, the company also provide guidance for the first quarter of 2018. The company expected net yields to rose 3.0% to 3.5% on a constant-currency basis and around 5.5% on an as-reported basis. Adjusted earnings per share was expected to be around $0.95 per share for the first quarter.