Royal Caribbean Cruises Ltd.'s Stock Analysis

Royal Caribbean Issues $1.5 Billion in Senior Notes

Royal Caribbean Cruises Ltd. completed an offering of $1.5 billion in 5.375% Senior Notes due 2036 on October 1, 2025. The offering was facilitated by BofA Securities, Goldman Sachs, and Morgan Stanley, with net proceeds of approximately $1.484 billion intended for financing the delivery of Celebrity Xcel and for redeeming or refinancing existing debt obligations.

Interest on the Notes will accrue from October 1, 2025, at a rate of 5.375% per annum, payable semi-annually starting January 15, 2026. The Notes will mature on January 15, 2036, unless redeemed or repurchased earlier. Further details are available in the Company’s Prospectus Supplement filed with the Securities and Exchange Commission on September 24, 2025.

Oct 01, 2025 16:20:58

Royal Caribbean Announces $1.5 Billion Senior Notes Offering

Royal Caribbean Cruises Ltd. has entered into an underwriting agreement for the issuance of $1.5 billion in 5.375% Senior Notes due 2036. This public offering is set to close on October 1, 2025, pending customary closing conditions, and is being underwritten by BofA Securities, Goldman Sachs, and Morgan Stanley.

The company plans to use the net proceeds from this offering to finance the delivery of Celebrity Xcel and to manage existing debt, including repaying amounts under its revolving credit facilities. The details of the underwriting agreement include standard representations and covenants.

Sep 23, 2025 17:27:57

Royal Caribbean Reports Strong Q2 Results and Guidance Increase

Royal Caribbean Group reported a second quarter net income of $1.2 billion, or $4.41 per share, which is an increase from $0.9 billion, or $3.11 per share, in the same quarter last year. The company's total revenues for the quarter were $4.5 billion, with adjusted earnings per share also rising to $4.38 from $3.21 year-over-year. The company has increased its full-year 2025 adjusted EPS guidance to a range of $15.41 to $15.55 due to better-than-expected performance driven by strong demand and lower costs.

In terms of operational metrics, Royal Caribbean achieved a load factor of 110% and reported a gross margin yield increase of 11.0%. The company noted a 5.8% increase in capacity year-over-year and served 2.3 million guests, reflecting a 10% increase in guest numbers with high satisfaction scores. The company also highlighted strong demand for new ships and destinations, with bookings accelerating for 2025 and 2026. As of June 30, 2025, Royal Caribbean's liquidity position was $7.1 billion, and it has plans for capital expenditures of approximately $5 billion for the year, primarily for new ship orders.

Jul 29, 2025 06:33:51

Royal Caribbean Secures Financing for New Ship Delivery

Royal Caribbean Cruises Ltd. has entered into a credit agreement to finance its sixth Edge-class ship, which is set to be delivered in the fourth quarter of 2028. This agreement includes a U.S. dollar-denominated term loan, guaranteed 100% by BpiFrance Assurance Export, and will amortize semi-annually over a twelve-year period. The interest on this loan is expected to be based on a floating rate plus an additional percentage per annum.

The credit agreement includes standard provisions for events of default and prepayment, which cover various scenarios such as non-payment and breaches of covenants. Additionally, some lenders involved in this agreement also provide other financial services to the Company and will continue to receive customary fees for these services.

Jun 27, 2025 16:31:53

Royal Caribbean Group Announces Leadership Transition Plans

Royal Caribbean Group has announced that Richard Fain will step down as Chairman of the Board in Q4 2025, a position he has held since 1988. He will continue to serve as a Director on the Board. Jason Liberty, who has been the President and CEO since January 2022, has been elected to succeed Fain as Chairman and CEO, also effective in Q4 2025. John Brock will take on the role of Independent Lead Director, bringing experience from his previous leadership roles in major companies.

The leadership transition aims to position the company for future growth. Liberty expressed his commitment to enhancing shareholder value and delivering quality vacation experiences. Fain noted the importance of passing leadership to the next generation and expressed confidence in Liberty's capabilities. The company continues to operate a global fleet of 67 ships across its brands, serving millions of guests annually and maintaining a focus on innovation in the vacation industry.

Jun 06, 2025 08:22:35

Royal Caribbean Group Increases Credit Facilities by $2.28 Billion

Royal Caribbean Group has announced an amendment and upsizing of its two unsecured revolving credit facilities, increasing commitments by $2.28 billion. This adjustment raises the total commitments for the revolving credit facilities to $6.35 billion, enhancing the company's financial flexibility. The maturity of one facility has been extended from October 2026 to October 2030, while the other facility will mature in October 2028.

The company's Chief Financial Officer, Naftali Holtz, indicated that this development reflects the strength of their credit profile and support from lending partners. Royal Caribbean Group operates a global fleet of 67 ships and aims to deliver responsible vacation experiences. The company continues to focus on strategic growth initiatives and aims to provide long-term value to shareholders.

May 15, 2025 17:13:46

Royal Caribbean Group Reports Q1 Results and Raises EPS Guidance

Royal Caribbean Group announced its first quarter results for 2025, reporting an Earnings per Share (EPS) of $2.70 and an adjusted EPS of $2.71, surpassing previous guidance due to strong pricing and reduced costs. The company has raised its full year 2025 adjusted EPS guidance to between $14.55 and $15.55, citing better-than-expected revenue performance and favorable currency exchange rates. The first quarter also showed a 109% load factor and total revenues of $4.0 billion, with net income of $0.7 billion, reflecting a significant increase from the prior year.

The company experienced record bookings during the first quarter and anticipates a 6% capacity increase in the second quarter of 2025. Net yields are expected to rise by 4.4% to 4.9% compared to the same period last year, driven by strong demand across all products. Royal Caribbean's liquidity position was reported at $4.5 billion, and the company has been upgraded to investment grade by S&P Global Ratings. Additionally, the company is focusing on reducing debt and enhancing shareholder returns while continuing to invest in growth and innovation.

Apr 29, 2025 06:31:39

Royal Caribbean Secures Financing for New Oasis-Class Ship

Royal Caribbean Cruises Ltd. has entered into a credit agreement to finance its seventh Oasis-class ship, which is set for delivery in the second quarter of 2028. The agreement includes a US dollar-denominated term loan guaranteed by BpiFrance Assurance Export, with a repayment period of twelve years and semi-annual amortization. The interest rate is based on Term SOFR plus 0.85% per annum, and the agreement outlines standard conditions related to defaults and prepayments, among other terms.

However, the credit agreement also indicates potential risks, including events of default related to non-payment, breaches of covenants, or changes in company control. Additionally, some lenders involved in the agreement provide various financial services to the company, which may lead to conflicts of interest due to customary fees received for these services.

Apr 01, 2025 16:39:04

Royal Caribbean Group Completes Exchange of Convertible Senior Notes

Royal Caribbean Group has completed its exchange transactions involving approximately $213 million of its 6.000% convertible senior notes due in 2025. In exchange, the company issued about 3.3 million shares of common stock and paid approximately $214 million in cash to the holders of the notes. This action resulted in the cancellation of the exchanged notes and a reduction of the company's outstanding shares by 1.0 million on a fully diluted basis. The cash portion was funded using the company's available liquidity, leaving around $110 million of the 2025 notes still outstanding.

On the negative side, the press release highlights various risks and uncertainties that could impact the company's business, including economic conditions, demand for cruises, operational costs, and potential adverse publicity. The company also faces challenges such as competition in the vacation industry, issues with shipyard operations, and uncertainties related to global business practices. These factors may affect the company's ability to manage costs and secure financing for future needs.

Mar 19, 2025 16:58:53

Royal Caribbean Group Announces Exchange of Convertible Senior Notes

Royal Caribbean Cruises Ltd. has entered into exchange agreements with some holders of its 6.000% Convertible Senior Notes due 2025, involving a combination of cash and shares of common stock. This exchange will affect approximately $200 million of the outstanding principal amount of the notes, leaving about $123 million remaining after the transaction. The cash portion will be funded from the company's available liquidity, and the transaction is expected to close on March 18, 2025.

The exchange is anticipated to reduce the company's weighted average shares outstanding on a fully diluted basis. However, the press release highlights various risks and uncertainties that could impact the company's business, including economic conditions, operational costs, and public perception of the cruise industry. It also notes potential challenges related to global operations, competition, and regulatory changes that could affect future performance.

Mar 13, 2025 06:43:15