Royal Caribbean Reports 18.6% Revenue Growth to $16.5 Billion for Fiscal Year 2024

Royal Caribbean Cruises Ltd. reported a significant increase in financial performance for the fiscal year ending December 31, 2024, with total revenues reaching $16.5 billion, up from $13.9 billion in 2023. This 18.6% growth was primarily driven by a 20.2% increase in passenger ticket revenues, which amounted to $11.5 billion, and a 15.1% rise in onboard and other revenues, totaling $5.0 billion. The company carried approximately 8.6 million passengers, reflecting a 12% increase from the previous year, and achieved an occupancy rate of 108.5%. Net income attributable to Royal Caribbean was reported at $2.9 billion, or $10.94 per diluted share, compared to $1.7 billion, or $6.31 per diluted share, in 2023.

The company's operational expenses also rose, with total cruise operating expenses increasing to $8.7 billion from $7.8 billion in 2023. This rise was attributed to a 7.8% increase in capacity due to the addition of new ships, including Utopia of the Seas and Silver Ray, as well as higher drydock and maintenance costs. Marketing, selling, and administrative expenses also saw an increase of 18.6%, driven by higher payroll and advertising costs. Despite these increases, the company reported a strong operating income of $4.1 billion, reflecting a 24.9% operating margin.

Strategically, Royal Caribbean has made significant investments in expanding its fleet and enhancing its offerings. In 2024, the company took delivery of two new ships and announced plans for additional private destinations, including Royal Beach Club Cozumel and Perfect Day Mexico. The company also successfully refinanced approximately $6.1 billion of high-cost debt, improving its balance sheet and eliminating restrictions on capital returns to shareholders. As of December 31, 2024, Royal Caribbean employed approximately 106,000 employees across its global operations.

Looking ahead, Royal Caribbean anticipates a 5.4% increase in capacity for 2025, with the addition of new ships and a full year of operations for recently launched vessels. The company expects continued growth in net yields and total revenues, supported by optimized deployment and enhanced onboard offerings. The strategic focus on expanding its private destination portfolio and enhancing guest experiences is expected to further drive profitability in the coming years.