Royal Caribbean Cruises Ltd. (RCL) - Get Report climbed 8% to close at $120.98 by the close of trading on Wednesday after the cruise ship company beat Wall Street's fourth-quarter earnings and revenue expectations.
The Miami-based company reported fourth-quarter adjusted net income of $322.1 million, or $1.53 a share, up from $288 million, or $1.34 a share, a year ago and above analysts' forecasts of $1.51 a share.
Revenue totaled $2.33 billion, up from $2 billion last year, and beat Wall Street's expectations of $2.31 billion.
For the full year, Royal Caribbean reported adjusted net income of $1.9 billion, or $8.86 a share, compared with $1.6 billion, or $7.53 a share, a year ago, beating the January 2018 mid-point guidance by 21 cents a share share and equating to 17.5% year-over-year growth in adjusted earnings per share.
The company said the result was achieved despite the unfavorable impact from currency and fuel which affected earnings by about $123 million, or 58 cents a share, compared with the January 2018 guidance. Revenue totaled $9.49 billion.
For the current quarter ending in April, Royal Caribbean said it expects earnings of $1.10 a share, while analysts had forecast earnings of $1.15. The company expects full-year 2019 earnings in the range of $9.75 to $10 a share.
"Our yield outlook for 2019 is very encouraging," Jason T. Liberty, executive vice president and chief financial officer, said in a statement. "Demand for our brands continues to accelerate and we are well positioned for another year of double-digit growth in our earnings per share."