Royal Caribbean Group (NYSE:RCL) reported first-quarter 2026 results that surpassed its own guidance and analyst estimates, signaling a sustained boom in the global cruise industry.
The Miami-based company posted total revenue of $4.5 billion, an 11% increase compared to the same period last year, as high load factors and increased onboard spending bolstered the top line.
Profitability metrics showed significant strength, with GAAP earnings per share reaching $3.48 and adjusted EPS hitting $3.60.
Adjusted EBITDA climbed to $1.7 billion for the quarter.
Management attributed the outperformance to a combination of stronger revenue yields, disciplined cost control, and favorable performance from its joint ventures.
The company’s ability to drive pricing power amid record demand helped offset broader inflationary pressures seen across the travel sector.
Capital allocation remained a core focus during the quarter, as the company returned approximately $1.1 billion to shareholders.
This included the continued reduction of debt and strategic share repurchases, reflecting a strengthened balance sheet following several years of post-pandemic recovery.
While the operational outlook remains bright, the company noted that higher energy costs represent a headwind for the remainder of the year.
Royal Caribbean now expects total fuel expenses for 2026 to reach approximately $1.3 billion, net of its hedging positions.
Despite this pressure, the company increased its full-year 2026 adjusted EPS guidance to a range of $17.10 to $17.50, up from previous projections.