Royal Caribbean Cruises .(US:RCL)2024-10-29 20:35Financial Performance - Net Income attributable to Royal Caribbean Cruises Ltd. for Q3 2024 was $1.1 billion, compared to $1.0 billion in Q3 2023[155] - Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. for Q3 2024 was $1.4 billion, compared to $1.1 billion in Q3 2023[155] - Net Income attributable to Royal Caribbean Cruises Ltd. for Q3 2024 was $1,111 million, a 10.1% increase from $1,009 million in Q3 2023[162] - Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. for Q3 2024 was $1,435 million, up 34.6% from $1,066 million in Q3 2023[166] - Net Income attributable to Royal Caribbean Cruises Ltd. for the nine months ended September 30, 2024, was $2,325 million, a 63.7% increase from $1,420 million in the same period in 2023[164] - Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. for the nine months ended September 30, 2024, was $2,794 million, up 86.6% from $1,497 million in the same period in 2023[166] - Net Income attributable to Royal Caribbean Cruises Ltd. for Q3 2024 increased to $1.111 billion from $1.009 billion in Q3 2023[174] - Adjusted EBITDA for Q3 2024 increased to $2.148 billion from $1.728 billion in Q3 2023[174] Revenue Growth - Total revenues increased by $726 million in Q3 2024 compared to Q3 2023, driven by higher capacity, ticket prices, and onboard spending[156] - Total revenues for Q3 2024 increased to $4,886 million, up 17.5% from $4,160 million in Q3 2023[162] - Total revenues for the nine months ended September 30, 2024, were $12,724 million, a 20.4% increase from $10,569 million in the same period in 2023[164] - Total revenues for Q3 2024 increased by $726 million to $4.9 billion compared to $4.2 billion in Q3 2023[184] - Passenger ticket revenues for Q3 2024 increased by $530 million (18.0%) to $3.5 billion, driven by a 10.9% increase in capacity and higher ticket prices[185] - Onboard and other revenues for Q3 2024 increased by $196 million (16.1%) to $1.4 billion, driven by increased capacity and improved pricing[186] - Total revenues for the nine months ended September 30, 2024 increased by $2.2 billion to $12.7 billion compared to $10.6 billion in the same period in 2023[191] - Passenger ticket revenues for the nine months ended September 30, 2024 increased by $1.6 billion (22%) to $8.9 billion, driven by higher ticket prices and an 8.2% increase in capacity[192] - Onboard and other revenues for the nine months ended September 30, 2024 increased by $537 million (16.3%) to $3.8 billion, driven by increased capacity and improved pricing[193] Operating Expenses - Total cruise operating expenses increased by $254 million in Q3 2024 compared to Q3 2023, primarily due to increased capacity[157] - Total Cruise operating expenses for Q3 2024 increased by $254 million to $2.4 billion, primarily due to a 10.9% increase in capacity[187] - Total cruise operating expenses for 2024 increased by $715 million to $6.6 billion, driven by an 8.2% capacity increase ($485 million) and higher drydock, maintenance, and commission expenses ($190 million)[194] - Marketing, selling, and administrative expenses rose by $163 million (13%) to $1.5 billion in 2024, primarily due to increased payroll, benefits, and advertising costs[195] - Depreciation and amortization expenses grew by $103 million (9.5%) to $1.2 billion in 2024, driven by new ship additions[197] Debt and Financing - The company issued $1.25 billion in 6.25% senior notes due 2032 in March 2024, redeeming $1.25 billion in 11.63% Senior Notes Due 2027[157] - The company issued $2.0 billion in 6.00% senior notes due 2033 in August 2024, redeeming $1.0 billion in 9.25% Senior Notes Due 2029 and $1.0 billion in 8.25% Senior Secured Notes Due 2029[159] - The company issued $1.5 billion in 5.63% senior unsecured notes due 2031 in September 2024, redeeming $700 million in 7.25% Senior Notes Due 2030[160] - Interest expense, net of interest capitalized for Q3 2024 increased by $263 million to $603 million, driven by debt extinguishment and inducement expenses[188] - Interest expense increased by $269 million to $1.3 billion in 2024, mainly due to a $337 million loss on debt extinguishment and a $119 million inducement expense[196] Capital Expenditures and Investments - The company took delivery of Silver Ray in May 2024 and Utopia of the Seas in June 2024[158] - The company entered into agreements to acquire the Port of Costa Maya and adjacent land in Mahahual, Mexico for approximately $292 million, expected to close in the first half of 2025[161] - Net cash used in investing activities rose to $2.8 billion in 2024, primarily due to a $1.4 billion increase in capital expenditures for new ship deliveries[201] - Future capital commitments for new ship orders total $5.9 billion, with $619 million already deposited and 39.6% exposed to Euro exchange rate fluctuations[204] - Anticipated full-year capital expenditures for 2024 are approximately $3.4 billion, excluding partner brand orders[205] - Material cash requirements for ship purchase obligations total $4.4 billion, with $3.7 billion in final contractual installments covered by committed financing[206][207] Liquidity and Cash Flow - Net cash provided by operating activities increased by $0.4 billion to $3.8 billion for the nine months ended September 30, 2024, compared to the same period in 2023[200] - The company has $3.9 billion in liquidity, including $0.4 billion in cash and $3.5 billion in undrawn revolving credit facility capacity[213] Passenger and Occupancy Metrics - Passengers Carried in Q3 2024 reached 2,310,220, a 15.5% increase from 1,999,764 in Q3 2023[173] - Occupancy rate for Q3 2024 was 111.0%, up from 109.7% in Q3 2023[173] - Passengers Carried for the nine months ended September 30, 2024, reached 6,404,844, a 12.2% increase from 5,706,843 in the same period in 2023[173] - Occupancy rate for the nine months ended September 30, 2024, was 108.8%, up from 105.7% in the same period in 2023[173]