Royal Caribbean Cruises Ltd. · NYSE:RCL
Royal Caribbean Cruises — Q2 2024 Earnings Presentation
16 slides from Royal Caribbean Cruises's earnings presentation, Jul 25, 2024
Slide 1: Earnings Call
2 24 EARNINGS CALL 1
Slide 2: Forward Looking Statements and Non-GAAP Financial Information
FORWARD LOOKING STATEMENTS AND NON-GAAP FINANCIAL INFORMATION Certain statements in this presentation relating to, among other things, our future performance estimates, forecasts and projections constitute forward-looking statements under the Private Securities Litigation Reform Act of 1995. These s
Slide 3: Our Mission: Deliver the Best Vacation Experiences Responsibly
Salt Lab, Silver RaySM OUR MISSION DELIVER THE BEST VACATION EXPERIENCES RESPONSIBLY 3
Slide 4: Q2 2024 Highlights
Q2 2024 HIGHLIGHTS NET YIELDS* STRONG DEMAND DRIVING CASH GENERATION +13.3% Net Yield Growth in constant currency vs. ‘23 Robust booking volumes Operating Cash Flow Continued strength in new-to- $1.6B Stronger cash flow driven by robust 108% Load Factor brand and new-to-cruise growth demand STRONG I
Slide 5: Achieved Trifecta, Increasing 2024 Guidance, Reinstated Dividend
ACHIEVED TRIFECTA, INCREASING 2024 GUIDANCE, REINSTATED DIVIDEND CAPACITY GROWTH STRONG STRONG COST CONTROLS YIELD GROWTH Capacity growth ~6.0% 8.0% vs. ‘2023 10.4% to 10.9% NCCx per APCD growth in constant currency vs. ‘23 3 new ships delivered in 2024: Icon of In-line with prior guidance when Net
Slide 6: Q3 2024 Guidance
Q3 2024 GUIDANCE APCDs 13.4M Net Yields vs. 2023 (in Constant Currency) 6.5% to 7.0% NCCx vs. 2023 (in Constant Currency) 4.7% to 5.2% Fuel Approximately $293M D&A $405M - $415M Net Interest Expense $275M - $285M Adjusted Earnings Per Share $4.90 to $5.00 Crowns Edge—Icon of the SeasSM 6
Slide 7: 2024 Full Year Guidance
2024 Full Year Guidance APCDs 50.7M Net Yields vs. 2023 (in Constant Currency) 10.4% to 10.9% NCCx vs. 2023 (in Constant Currency) Approximately 6.0% Fuel Approximately $1,169M D&A $1,600M - $1,610M Net Interest Expense $1,130M - $1,140M Adjusted Earnings Per Share $11.35 - $11.45 7 Medallion Suite
Slide 8: Expecting 68% Year over Year Adj. EPS Growth
Expecting 68% Year over Year Adj. EPS Growth April 2024 Guidance $10.70 - $10.90 Fuel Rates and Foreign Exchange Rate $0.06 Rest of Year Stock Compensation ($0.08) Q2 2024 business outperformance (excl. timing of costs) $0.33 Better Outlook for Rest of the Year 2024 $0.28 July 2024 Guidance $11.35 -
Slide 9: Our Proven Formula Delivers
OUR PROVEN FORMULA DELIVERS + + Moderate Capacity Growth Moderate Yield Growth Strong Cost Control 9
Slide 10: Appendix: Definitions and Non-GAAP Information and Reconciliation
APPENDIX– Definitions and Non-GAAP JG0 Information and Reconciliation The presentation of adjusted financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP. These measures
Slide 11: Definitions
Definitions • Adjusted EBITDA is a non-GAAP measure that represents EBITDA (as defined below) excluding certain items that we believe adjusting for is meaningful when assessing our profitability on a comparative basis. • Adjusted Earnings (Loss) per Share ("Adjusted EPS") is a non-GAAP measure that
Slide 12: Definitions
Definitions • Net Cruise Costs (“NCC”) and NCC excluding Fuel are non-GAAP measures that represent Gross Cruise Costs excluding commissions, transportation and other expenses and onboard and other expenses and, in the case of Net Cruise Costs excluding Fuel, fuel expenses. In measuring our ability t
Slide 13: Selected Statistical Information
IS1 IS0 SELECTED STATISTICAL INFORMATION 13
Slide 14: Non-GAAP Reconciliation Information
NON-GAAP RECONCILIATION INFORMATION (UNAUDITED) Gross Margin Yields, Net Yields and Adjusted Gross Margin per PCD were calculated by dividing Gross Margin and Adjusted Gross Margins by APCD, and Adjusted Gross Margin by PCD as follows (in millions, except APCD, PCD, Yields, and Adjusted Gross Margin
Slide 15: Non-GAAP Reconciliation Information
NON-GAAP RECONCILIATION INFORMATION (UNAUDITED) EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin were calculated as follows (in millions, except APCD and per APCD data. Reported per APCD and Margin amounts may vary from amounts calculated based on accompanying financial tables due to rounding.): 1
Slide 16: Non-GAAP Reconciliation Information
NON-GAAP RECONCILIATION INFORMATION (UNAUDITED) Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. and Adjusted Earnings per Share were calculated as follows (in millions, except shares and per share data): 16
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