Royal Caribbean Cruises (RCL) Q2 2025 Earnings
How Did RCL Stock React to Q2 2025 Earnings?
S&P 500 over the same 30 days: +2.15%.
Did RCL Beat Earnings? Q2 2025 Results
Yes. Royal Caribbean Cruises reported Q2 2025 earnings of $4.38 a share on Jul 29, 2025, beating the $4.08 consensus estimate by 7.4%. Revenue was $4.5B against a $4.5B estimate.
Royal Caribbean Cruises delivered a standout second quarter, posting adjusted EPS of $4.38 against a consensus estimate of $4.07, a beat of 7.42%, as the cruise giant capitalized on stronger-than-expected close-in demand across all key products alongside favorable cost timing and better-than-anticipated contributions from TUI Cruises. Revenue of $4.54 billion came in essentially in line with the $4.55 billion estimate, rising 10.4% year over year, with net income climbing to $1.21 billion compared to $854 million in the year-ago period. Load factor hit 110.3%, up roughly two percentage points year over year, as the company served 2.3 million guests. Despite the earnings strength, <a href="https://247wallst.com/investing/2025/07/29/live-royal-caribbean-rcl-drops-after-q2-earnings/">shares fell after the results</a>, with some investors citing evolving traveler preferences and the slim revenue miss. Looking ahead, management raised full-year 2025 adjusted EPS guidance to $15.41 to $15.55, representing approximately 31% year-over-year growth, keeping the company firmly on track toward its Perfecta Program targets of 20% adjusted EPS CAGR and 17%-plus ROIC by end of 2027.
- Strong close-in demand across all key products driving Net Yield outperformance
- Net Yield growth split evenly between new and like-for-like hardware, driven by both ticket pricing and onboard spend
- Load factor of 110.3%, up ~2 percentage points YoY driven by new ships with higher load factors
- Better-than-expected income from TUI Cruises joint venture
- Lower net interest expense
- Cost timing shift of ~180 bps from Q2 into second half of year
- Digital commercial channels performing exceptionally well for bookings and pre-cruise purchases
- Guest onboard and pre-cruise spending exceeding prior years with greater participation at higher prices
“Demand for our portfolio of brands and our industry-leading experiences continues to accelerate. Grounded in our mission to deliver the best vacations responsibly, we remain keenly focused on delivering exceptional value for our guests and shareholders - not just by executing today, but by staying ahead of where demand is going.”
Royal Caribbean Cruises CEO, on the earnings call
What Was Royal Caribbean Cruises's Outlook in Q2 2025?
Royal Caribbean raised its full year 2025 Adjusted EPS guidance to $15.41–$15.55, representing approximately 31% year-over-year growth, up from prior guidance due to stronger-than-expected Q2 performance, lower costs, and continued favorability below the line. Full year Net Yields are expected to increase 3.5%–4.0% as-reported and in Constant Currency. NCC excluding Fuel per APCD is expected to increase approximately 0.5% as-reported (0.3% CC). For Q3 2025, Adjusted EPS is guided at $5.55–$5.65, with Net Yields expected to increase 2.3%–2.8% as-reported (2.0%–2.5% CC) and NCC ex-Fuel per APCD expected to increase 6.4%–6.9% as-reported (6.0%–6.5% CC), partially driven by timing of Star of the Seas delivery and Q2 cost shifts. Full year capacity growth is expected at 5.5%, with capital expenditures of approximately $5 billion. The company continues progressing toward its Perfecta Program targets of 20% CAGR in Adjusted EPS and 17%+ ROIC by end of 2027.
RCL YoY Financials
| Metric | Q2 2025 | Q2 2024 | Year over year |
|---|---|---|---|
| Revenue | $4.5B | $4.1B | +10.4% |
| Operating Income | $1.3B | $1.1B | +20.9% |
| Net Income | $1.2B | $854.0M | +41.7% |
RCL Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.