The cruise industry as a whole had a great 2024, but Royal Caribbean clearly stood out as having one of its best years ever.
It wasn't too long ago that all the cruise lines were mired in crushing debt, negative profits, and a public perception problem all tied to the events of 2020.
Royal Caribbean's recovery has taken a meteoric path, seeing profits significantly higher than its peers along the way.
In 2024, the cruise line truly flexed its muscles with a series of new ships, bold strategic moves, and it's counting its winnings all the way to the bank.
CEO reflects on the year
With Christmas approaching, Royal Caribbean CEO Michael Bayley posted on LinkedIn his reflections on Royal Caribbean's meteoric year.
Milestone after milestone, accolade after accolade, Mr. Bayley celebrated a big year for the cruise line and is already looking forward to an even bigger year in 2025.
Talk about an iconic year! Or, was it the utopia of all years? However you look at it, 2024 was an extraordinary year for Royal Caribbean, filled with milestones that underscore our commitment to delivering the absolute ultimate vacations. We kicked the year off with the debut of Icon of the Seas, a first-of-its-kind ship combining record-breaking features for every kind of family and vacationer, with Lionel Messi, the Icon of Icon, headlining its naming celebration. We caught our breath and then debuted, Utopia of the Seas, dubbed The World’s Biggest Weekend℠, offering the ultimate short getaway.
We announced exciting new destinations, including Royal Beach Club Paradise Island in The Bahamas and Royal Beach Club Cozumel in Mexico, offering the ultimate beach day experience with stunning beaches, pools, swim-up bars, and local cultural touches. Plus, we celebrated the opening of Hideaway Beach, the first adults-only hideaway escape on Perfect Day at CocoCay.
We also announced the upcoming glow-up of Allure of the Seas, set to redefine European adventures in 2025, and revealed our plans for Star of the Seas, which will soon join our fleet, doubling the world’s best vacation options from Port Canaveral. AND, we signed an agreement for the fourth Icon Class ship, continuing our legacy of revolutionary experiences.
This year, we also continued our strong partnership with Inter Miami CF, creating memorable experiences for families and fans. Together with Make-A-Wish, we had the privilege of granting the wishes of 23 children, offering them unforgettable adventures on Icon of the Seas and the chance to meet the Inter Miami squad and Lionel Messi.
Our Royal Caribbean team, shoreside and shipboard, has achieved so much this year that I can’t even begin to cover it all. Your dedication and hard work have been the driving force behind our success. To our trusted partners, your collaboration has been invaluable. And to our guests, thank you for letting Royal Caribbean be part of your most cherished memories and adventures. Wishing everyone a joyous holiday season and a spectacular new year!
An Iconic start to the year
The new year had barely begun when Royal Caribbean introduced its game-changing cruise ship to the world.
Icon of the Seas was launched in January 2024 and captured the attention of the world.
New cruise ships happen frequently, but the amount of hype, interest, and attention that Icon received was unparalleled. The ship generated so much buzz from all corners of the market, that it dwarfed pretty much every other ship launch since.
In April, Royal Caribbean Group President and CEO Jason Liberty said the launch of Icon of the Seas was a difference maker, "Our existing fleet along with our new ships continue to perform exceptionally well, highlighted by the market response to the launch of Icon of the Seas, which has exceeded all expectations."
At 250,800 gross registered tons, Icon of the Seas carries 5,610 people on a double-occupancy basis and about 7,600 passengers when every berth is filled. That's in addition to 2,350 crew members. It spans 20 decks and has its own water park onboard.
Icon has gone on to claim all sorts of accolades, along with being a popular choice among cruisers.
The introduction of a second ship
Two new Royal Caribbean ships entered service in 2024, which is out of the ordinary for any cruise line.
Utopia of the Seas began offering cruises in July 2024, and it had a different goal in mind compared to Icon.
Whereas Icon of the Seas redefined what a megaship could be, Royal Caribbean wanted to set a new standard for weekend cruises with Utopia.
Unlike every other new ship, Utopia began with just short weekend cruises. Utopia is meant to be the ultimate short getaway. In addition to all the activities onboard, there are shows, parties, and dance events meant to keep passengers in the right vibe every day of the sailing.
The aim is to deliver to customers what they've been telling the cruise line for years: they want first experiences that create family bonding moments with memories they'll take home and cherish.
Utopia of the Seas measures 236,473 gross tons, making her slightly larger than Wonder of the Seas but not quite as big as Icon of the Seas.
Opening of Hideaway Beach
Tied to the launch of Icon of the Seas, Royal Caribbean also opened its first adults-only expansion on its private island.
Hideaway Beach at Perfect Day at CocoCay opened this year, giving cruise ship passengers that wanted a break from the family experience.
Available only to guests at least 18 years old, Hideaway Beach has a giant swim-up bar with DJ, sports bar, crescent-shaped beach, new food options, and more.
It addressed a need to have an adult only space, which was one of the most requested attractions.
Revealed a new private beach in Mexico
Royal Caribbean turned a lot of heads when they announced plans to build its biggest private beach experience ever in Mexico.
Perfect Day Mexico will open in 2027 and will completely overhaul the port of Costa Maya.
Similar to Perfect Day at CocoCay, this will be an all-encompassing offering exclusive to Royal Caribbean ship passengers that will include beaches, pools, a waterpark, helium balloon ride, and many more details that have yet to be revealed.
The total project will encompass 90 hectares, with is about 220 acres. That's roughly double the size of Perfect Day at CocoCay.
Expect more details in Spring 2025.
An incredible year for its stock
The proof of how good Royal Caribbean did as a cruise line came in the financial results for the company.
Royal Caribbean Group had just about the best year you could hope for, with double-digit growth and monster revenue numbers.
Each quarter saw the company bringing in billions in revenue:
- First Quarter: $3.7 billion revenue
- Second quarter: $4.1 billion revenue
- Third quarter: $4.9 billion revenue
The company's financial success was driven by strong demand for cruising, supported by both loyal repeat customers and an increasing number of first-time travelers. Consumer spending onboard, was also a major factor, driving their numbers even higher.
Royal Caribbean (RCL) shares have soared all year long, closing at $240.30 per share before the holiday break.
