Royal Caribbean Raises Annual Forecast on Robust Booking Momentum

The company now projects adjusted annual earnings between $17.85 and $17.95 per share, surpassing its previous guidance and current analyst expectations. This performance follows a third-quarter profit of $1.73 billion, or $6.45 per share, up from $1.58 billion during the same period last year. Revenue climbed 9% to $5.59 billion, though this figure fell slightly behind Wall Street estimates.

Investors reacted positively to the update, sending shares up 4.7% to $293.83 in Tuesday's premarket session. While the broader cruise industry has faced headwinds from rising fuel prices linked to conflict in the Middle East, Royal Caribbean appears to be distancing itself from these market-wide concerns. Chief Executive Jason Liberty noted that early interest in 2027 travel is already outpacing historical benchmarks.

Strategic expansion remains a priority for the firm, which finalized a $3 billion agreement last month to acquire a 50% stake in the Sandals and Beaches Resorts chain. This acquisition is slated to close in early 2027, marking a significant step in the company’s push to diversify beyond traditional cruising into the broader all-inclusive vacation market.