Royal Caribbean Cruises Ltd. more than doubled its profit in the first quarter, aided in part by strong last-minute demand for its Caribbean cruises and increased spending on board.
The world’s second-largest cruise company, based in Miami, posted net income of $99.1 million, or 46 cents a share, compared with $45.2 million, or 20 cents a share, in the same period last year.
Quarterly revenue totaled $1.92 billion, up from $1.82 billion a year ago. Revenue was boosted from passenger spending on beverages and internet services among other extras, and also higher ticket prices.
Revenue from cruise tickets climbed to $1.38 billion from $1.31 billion in the period.
“What an exciting quarter in an exciting year,” Richard D. Fain, company chairman and chief executive office, said in an earnings statement Friday. “Our brands continue to excel and produce gratifying results.”
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Those brands include Royal Caribbean International, Celebrity Cruises and Azamara Club Cruises.
Looking to the rest of the year, Royal Caribbean boosted its guidance on adjusted earnings per share. It now expects earnings to be in the range of $6.15 to $6.35, up from $5.90 to $6.10.
The improved earnings outlook is fueled by the strength of North American cruises, higher onboard revenue trends and stronger foreign currencies, Royal Caribbean said.
The company said its number of bookings is in line with last year’s record levels. However, travelers in China, where Royal Caribbean continues to grow, are waiting closer to sailing dates to book, making it harder to compare annual trends.
Excluding China, bookings are well ahead of last year’s pace, Royal Caribbean said.
The increase in first-quarter revenue and higher demand for cruises from North America is more than offsetting weaker demand in other key markets, the cruise company said.
“The first quarter has given our year momentum, which is more than offsetting some headwinds from the Mediterranean,” said Jason T. Liberty, chief financial officer. “This performance is positioning us for the highest earnings in company history.”
For the second quarter, the cruise company said it expects adjusted earnings per share of about $1.
Royal Caribbean shares rose 1.8 percent to $77.40 in trading Friday on the New York Stock Exchange.
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