MIAMI — Cruise vacation naysayers who predicted the industry’s downfall during the pandemic shutdown are learning a valuable lesson: never bet against cruise lines or their loyal fans.
The latest off-the-charts results for a cruise company in these high-demand post-pandemic years come courtesy of Royal Caribbean Group.
Total revenues for 2024 for the group were US$16.5 billion, with net income coming in at $2.9 billion.
Stronger than expected last-minute demand propelled 2024’s Q4 results, and that momentum carried into early 2025 with an exceptional start to Wave season.
The group – which owns Royal Caribbean International, Celebrity Cruises and Silversea Cruises – recently marked the best five booking weeks in its history.
Not only that, but as river cruise clients and their travel advisors await the arrival of Celebrity River Cruises, Jason Liberty, President and CEO, Royal Caribbean Group, said yesterday that Silversea could get its own river cruise line too.
“WE’LL BE LOOKING TO SEE IF THERE’S OPPORTUNITY TO EXPAND FOR OUR OTHER BRANDS”
No one needs to tell travel advisors that the popularity of river cruising has exploded in the past couple of decades.
After years of watching its oceangoing passengers book other cruise lines when it came time to try a river cruise, Royal Caribbean Group is now getting into this booming side of the industry – and it’s going all in.
As reported yesterday, Celebrity River Cruises so far has 10 ships on order, with bookings expect to open later this year.
“We are never satisfied with the status quo, and we are obsessed with delivering the best vacation experiences in the world and driving exceptional shareholder returns. [The] launch of Celebrity River Cruises is an example of our commitment to deliver on that promise and ultimately capture a greater share of the $2 trillion global vacation market,” said Liberty.
During the company’s Q4 earnings call yesterday following the release of Royal Caribbean Group’s latest results, Liberty went even further.
“As we build up this engine for river on Celebrity, it will certainly provide opportunity for our luxury guests to consider a river experience on Silversea,” he said, as reported by Seatrade Cruise News.
Liberty added: “We’re going to start off with Celebrity. We think there is great scale opportunity and we’ll be looking to see if there’s opportunity to expand for our other brands. We have gone into this very prepared, very buttoned up. … We are taking this extremely seriously.”
LOAD FACTORS UP, AND AT HIGHER RATES
With a 12-month look back, and forward, Liberty said: “2024 was exceptional, thanks to our incredible team’s flawless execution, which drove elevated demand across our leading brands, the early achievement of our Trifecta goals, and meaningful progress on our strategic priorities. 2025 is shaping up to be another great year, with expected adjusted earnings growth of 23%, as our commercial and vacation experiences flywheel continues to accelerate the growing preference for our leading brands, the most innovative ships and world-class private destinations.”
Royal Caribbean Group’s full year 2025 outlook included booked load factors in line with prior years – and at higher rates. Net yields are expected to increase as a result.
Naftali Holtz, Chief Financial Officer for Royal Caribbean Group, said the company continues to be encouraged by demand and pricing. Guest spending onboard and pre-cruise purchases continue to exceed prior years.
“Our strong booked position allows us to optimize our yield profile and drive margin expansion and strong financial returns,” said Holtz. “Our formula for success – moderate capacity growth, moderate yield growth and strong cost discipline – is expected to deliver 23% adjusted earnings growth in 2025.”
