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Cruise ship cabins usually fall into four main categories, but some ships feature unique variations that set them apart from the standard options.
While most balcony and inside cabins share similar designs, certain ships offer exclusive cabin layouts tailored to fit the ship's specific design. These distinctive cabins have gained popularity among frequent cruisers due to their extra space, special perks, or unique benefits not typically found in standard rooms.
These extraordinary cabin layouts have become sort of a hidden gem, known only to insiders, and they tend to sell out quickly. It's akin to a "secret menu" at a restaurant that attracts those in the know.
Whether you're interested in booking one of these cabins for yourself or simply curious about their offerings, let's explore a few rare cruise ship cabins that stand out from the rest and are in high demand.
As soon as Royal Caribbean announced an upgraded Junior Suite with better suite perks, it got a lot of attention.
Located in Suite Neighborhood on Icon of the Seas, this is the first Junior Suite that has Sky Class benefits.
Sky Junior Suite benefits include Suite Neighborhood access, all-day dining at two suites-only restaurants, free wifi, and concierge service.
Sky Junior Suites are only available on Icon Class cruise ships, and there are only 8 of them on each ship.
Believe it or not, there is a huge amount of demand for one of Royal Caribbean's most expensive suites.
As an example, the Ultimate Family Townhouse on Icon of the Seas is going for an average price of $80,000 and it's completely sold out of every sailing in 2024.
This cabin is a 1,772-square-foot mega suite that will be three decks high and sleep up to eight people. There's just one on Icon of the Seas.
It features an in-suite slide, movie-viewing room, karaoke machine and a "backyard" with a ping pong table, outdoor seating and a white picket fence leading directly to the Surfside area.
It's super expensive and super in-demand.
On some Royal Caribbean cruise ships, there are a few staterooms meant for someone traveling by themselves.
These studio staterooms are smaller than a traditional cabin, but they have just enough space for one person. Best yet, they do not get charged the single supplement fee.
The single supplement fee is traditionally charged to someone booking a cruise alone, because cabin pricing is based on double occupancy,
When Royal Caribbean added these rooms, they designed them to be respective of the ship's business model and this means solo cruisers do not have to pay double the cost of what the cruise should be.
Depending on the ship, there could be as few as two studio rooms, or as much as a dozen.
You can view a list of which ships have studio cabins and if you want one, book it early.
Most balcony cabins across the fleet look the same, but you might be able to get a larger balcony if your room is positioned perfectly.
The so-called "hump" balcony cabins are the rooms on the outwards part of the curvy outline of the ship. If you look at a deck plan, you'll notice around mid-ship, the hull design jets outward.
On many ships, balcony cabins in these areas are significantly larger than other balcony cabins. And usually the price is the same.
You'll find hump balcony rooms with massive balconies on Radiance Class, Voyager, Freedom, Oasis or Quantum, but look closely at the deck plan to see which balconies are larger.
Similar to the aforementioned hump balcony rooms, some ships have rather large balcony rooms on the back of the ship.
There are aft balcony rooms on every Royal Caribbean ship, but some of the rear-facing cabins on Vision Class, Radiance Class, and Freedom Class cruise ships have very large balcony space.
This means you not only get an interesting vantage point to enjoy, but much more living space outdoors.
People that cruise a lot will book up the aft balcony cabins on an Alaska cruise for the viewing opportunities.
If you have a big family, you might be eyeing one of the biggest suites available on any Royal Caribbean ship.
This is one of the best kept secrets within the Royal Caribbean fleet, because you can get 4 separate bedrooms and 5 different sleeping areas. And it comes with the Star Class benefits, such as a Royal Genie.
The Four Bedroom Family Suite is available on Symphony, Harmony, and Liberty of the Seas, formerly known as the Presidential Suite on some ships.
Surprisingly, some cruisers have found that off-season sailings, combined with certain sales and promotions, can make the Villa Suite pretty affordable. Some have found the sailings for as little as $1,000 per person, which is extremely affordable for a Star Class Royal Suite.
Ever since I learned about the handful of Central Park balcony rooms on Oasis Class ships, I always look to book these first.
There are two Central Park balcony rooms on each deck that have almost double width balconies for the same cost as other Central Park balcony staterooms.
The cabin numbers are on decks 10, 11 and 12:
Why do these rooms have extra space? There's no actual cabin next door because the area is used by Royal Caribbean for something else.
Having that extra balcony space is a very nice benefit during your sailing.
If you have two or three kids with you, it could be a great idea to try out one of the family oceanview and family inside cabins available on select ships.
While these cabins don't have a balcony, they do offer a ton of living space.
First and foremost, these cabins offer a bedroom for the parents, and either an additional bedroom for the kids, or a nook with bunk beds for the kids.
There's also two bathrooms, which can be a godsend for parents sailing with older kids.
These cabins are typically located at the very front or very rear of the ship and offer a ton of living space, meant to be shared by families of 4 or more guests.
Family rooms are cheaper than a suite and in many cases offers more space.
Unfortunately a cruise ship passenger fell overboard after allegedly climbing and sitting on a cruise ship railing meant to keep passengers safe.
The Strait Times reported on Monday a guest from Royal Caribbean's Spectrum of the Seas fell overboard. The ship's security footage captured the guest sitting on the ship's railing at about 4 a.m.
The incident occurred on the last day of a 4-night cruise from Singapore.
The report cited the person is a 64-year-old woman who was traveling with her husband.
The husbands says he woke up in the middle of the night and discovered his wife was not in their cruise cabin.
After notifying the ship's security, video footage was checked to see that the woman was sitting on the ship's railing.
The outlet also reports the ship's overboard detection system alerted that something or someone had fallen overboard the ship.
Royal Caribbean issued a statement regarding the incident, "the ship and crew immediately reported the incident to local authorities and launched a search and rescue operation."
"The shipboard team is working with local authorities and our Care team is now offering assistance and support to the family."
The report indicates the woman who fell overboard was a result of being on top of a safety railing, which is not permitted.
Deck railings on Royal Caribbean cruise ships are at least 42-inches high, which comply Cruise Vessel Security and Safety Act (CVSSA) of 2010.
Royal Caribbean's guest-conduct policy says, "Sitting, standing, laying or climbing on, over or across any exterior or interior railings or other protective barriers, or tampering with ship's equipment, facilities or systems designed for guest safety is not permitted."
Breaking the rules can result in being kicked off the ship at the next port.
In past similar incidents, guests have not only been kicked off the ship but also banned for life from the cruise line.
A woman that stood on her balcony railing in 2019 was banned for life.
Media reports of man overboard situations get shared a lot, but if you aren't familiar with cruises, you may not understand how it could happen.
A 2022 article from The Points Guy points out that cruise ship railings are sufficiently high enough on all decks and balconies to ensure someone does not slip and fall overboard.
"The only way you risk a fall is if you're standing on furniture to peer over the side or climbing somewhere you're not supposed to," the article's author states.
"It's not possible for you to trip over a door frame or slip on a wet deck and fall off of a vessel."
Not being somewhere you're not supposed to, or doing something you're not supposed to, is key to safety at sea, "Play by the rules and remain in control of your actions, and you don't have to worry about inadvertently falling overboard from a cruise ship."
As is the case with the incident this week on Spectrum of the Seas, the first thing the ship's crew will do is attempt to ascertain when the man overboard situation occurred.
The ship will also contact local authorities to help conduct a search.
In the United States, the Coast Guard is contact, but since this occurred in Asia, the Maritime Rescue Coordination Centre Singapore was the agency Royal Caribbean contacted to assist in the search.
The ship and local authorities will attempt to search an area based on where the person likely hit the water, and where they are likely to be.
While there's a lot of advice shared on the internet about how to take a cruise, some of these tips are rooted in a different time and since then, the experience has evolved.
In many cases, cruise tips last a long time because they simply work. As an example, packing layers for an Alaska cruise remains to this day one of the best Alaska planning tips because it's as true today as it was a decade or two ago.
Other pieces of advice may have changed over years, and some tips just don't apply to today's generation of cruise ships. Thanks to bigger ships that have lessons learned applied to them, there are some cruise tips that aren't necessary anymore.
I wanted to point out a few cruise tips I see shared still that just don't apply to modern cruise ships, especially in Royal Caribbean's fleet.
When I took my first Alaska cruise, everyone said I needed to book a balcony cabin because it was the best way to enjoy Alaska's beautiful landscape.
The rationale for booking a balcony stems from two arguments.
First, if you don't have access to your balcony, you'll be relegated to public areas that can get crowded, especially on glacier viewing days.
Second, the convenience of being able able to go out to your balcony is wonderful.
Read more: Best cabins to book for an Alaska cruise
A big reason why I don't think a balcony is as critical as it used to be is ships are bigger, and there's more public space than ever to enjoy the views.
Royal Caribbean has steadily put larger ships in Alaska, and I've found plenty of public space to enjoy the views of glaciers, wildlife, and the surroundings.
Moreover, being on a public deck is easier to go from one side of the ship to another if there's something else to see. In fact, I find the pool deck a much better viewing spot on glacier day because of how much easier it is to go from side to side.
In the Caribbean, while the water is certainly quite pretty, the need for a balcony to enjoy the view is significantly lessened.
I won't argue the merits of being able to enjoy your own balcony, because it is very nice to have a private balcony. But don't book a balcony because you think you'll miss out on seeing the sights otherwise.
No one wants a noisy cabin, so there's often tips about avoiding a cruise ship cabin near the elevator.
In my experience, this is not an issue on any Royal Caribbean ship I've been on to date.
The elevator lobbies on Royal Caribbean are sufficiently far away from the first rooms that I've never heard the "ding" of an elevator arriving, nor have I heard any elevator machine noise.
In fact, I prefer a cabin near an elevator for the convenience it provides.
Being near an elevator lobby makes it faster to get around the ship, especially on Royal Caribbean's biggest cruise ships.
Royal Caribbean only has elevators in the forward and middle parts of the ship. On Oasis Class or Quantum Class ships, this means cabins located towards the back of the ship will have a much longer walk.
While there will be more foot traffic near a cabin closer to an elevator than further away, I've rarely found this to be a problem in terms of being disturbed by it.
Basically, I think the convenience of an elevator is more important than the off chance someone is loud walking past your cabin.
Thanks to Royal Caribbean's partnership with Starlink, I think ship wifi is finally turning the corner to becoming far more useful than in the past.
While I'm not sure we will ever see cruise ship internet become free, I do think the cost is far more affordable on Royal Caribbean than some other lines.
I've read cruise tips that suggest skipping wifi all together as a means of saving money and to avoid frustrations, but I think Royal Caribbean's internet plans are far more useful than ever.
It's not perfect yet, and I do think wifi on Alaska cruises in particular are quite painful still due to the mountains interfering with the signal, but on a Caribbean or European cruise, buying a wifi package makes more sense than ever.
Being online doesn't mean you're working. For a lot of people, being on the internet is a way to keep up with friends and family, and it's as a casual experience similar to reading a magazine or watching TV.
One of the first cruise ship tips I remember reading and applying to my cabin was asking my stateroom attendant to empty the mini bar fridge.
The fridge is tiny, and emptying it means opening up more space to keep bottles of water or other snacks cooled. Plus, it avoids getting accidently charged for a mini bar item I didn't actually consume.
On a Royal Caribbean cruise, the mini bars are now automatically emptied and have been that way for a few years. Instead, there's a form you can fill out to have your stateroom attendant stock your fridge with items you want.
Other cruise lines may still stock their mini bar, but you don't have to worry about this on Royal Caribbean.
More cruise advice
Can you believe it's the last days of July already? It is the middle of Summer and there is a lot of Royal Caribbean news to catch up from during this week.
Royal Caribbean might be considering building a smaller cruise ship.
While they are best known for building the biggest cruise ships in the world, Royal Caribbean is building a new smaller cruise ship is "deeply in our consideration", according to the CEO of the cruise line.
President and CEO Michael Bayley told cruise fans there is a lot of conceptual work going on regarding a new class of smaller ships.
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Have you subscribed to the Royal Caribbean Blog YouTube Channel? We share some great videos there regularly, all about taking a Royal Caribbean cruise! This week, we are sharing our latest video — 5 worst things about cruising with Royal Caribbean: should it stop you from booking? — Plus 1 to break — and don’t forget to subscribe here.
The 506th episode of the Royal Caribbean Blog Podcast is now available, with advice on when to buy those cruise add-ons.
From the drink package to wifi, when is the best time to pre-purchase your cruise add-ons? Matt shares his opinion on when you can get the best price for these extras.
Please feel free to subscribe via iTunes or RSS, and head over to rate and review the podcast on iTunes if you can! We’d appreciate it.
Even though the price of a cruise is probably higher today than in 2019, Royal Caribbean would love to see prices go even higher.
In comparing the "value gap" between a cruise vacation and land vacation, Royal Caribbean International's CEO Jason Liberty thinks there's more room to narrow that gap.
He wants the value of a land-based vacation and cruise vacation to be much closer.
When Icon of the Seas launches next year, expect to find a different looking Royal Promenade.
At 362 feet long, the Royal Promenade onboard Icon of the seas is longer than a football field, and for the first time, it brings ocean views into the ship's main thoroughfare through floor-to-ceiling windows.
You'll also find The Pearl on the Promenade, which is a three-deck high sphere built with 3,000 kinetic tiles.
Is the Royal Amplified program on its way back?
Nothing has been officially announced, but cruise line executives hinted at upgrades for ships that did not get upgrades during the shutdown of 2020 and 2021.
The pool deck food game is about to change with a new food truck coming to Utopia of the Seas.
Known as The Spare Tire, guests will find a food truck-style eatery near the main pools.
While we don't have a menu, expect "handheld favorites" to be served up.
Anthem of the Seas is a popular Royal Caribbean cruise ship because of her innovations and fun itineraries.
If you have a cruise booked on Anthem, here's a full rundown of what to expect onboard!
Know someone that has resisted trying a cruise ship for one reason or another? Wonder of the Seas might be the perfect first cruise ship for them!
Whether they think they'll be bored, overwhelmed, or stuck at sea, Royal Caribbean designed Wonder of the Seas to address all those concerns.
Despite being shutdown for almost two years, Royal Caribbean is doing so well in 2023 that it's already outpacing its previous high water marks.
Royal Caribbean Group reported incredible results for the second quarter 2023 that demonstrate a common theme: demand for cruises is higher than ever, and people are willing to pay more for it.
The company's resurgence is remarkable considering the low point it found itself in during the global health crisis between 2020 and 2021.
Royal Caribbean had already started the year off with good numbers, but the second quarter really saw the resurgence come full circle.
Royal Caribbean Group CEO started off the earnings call with some incredible numbers, highlighting how strong demand is for cruises.
The company saw positive indicators in May, and the second quarter proved to be even more fruitful than anticipated.
"During the second quarter, we delivered a record 1.9 million memorable vacations at exceptional guest satisfaction scores. We achieved record yields that were 12.9% higher than 2019."
Yields refers to revenue coming in, and that means people paid more for their cruises than in 2019.
2019 is an important statistic to Royal Caribbean, because it represents the previous high water mark for demand and profits.
Perhaps the most important segment of cruisers Royal Caribbean wants to see grow are people that have never cruised before, and they did just that.
"In the second quarter, the percent of guests who were either new to brand or new to cruise surpassed 2019 levels by a wide margin."
Getting people that have never cruised before is important because it's how to grow the customer base since the vast majority of the public has never been on a cruise before.
Not only are they attracting new cruisers, these new cruisers are coming back for more.
"And we have seen post-cruise repeat booking rates nearly double 2019 levels," Mr. Liberty said to illustrate that they are booking more cruises after trying their first cruise.
The higher demand coupled with higher prices than in 2019 is at the heart of why Royal Caribbean wants to continue to raise cruise prices.
Perhaps a surprising fact is how strong demand was for European cruises in the second quarter.
"While the Caribbean remains the standout performer this year, we were particularly pleased with the strength and quality of close in demand for European itineraries," Mr. Liberty said near the beginning of the call.
Essentially, more European consumers looking to book a summer cruise vacation came to Royal Caribbean.
Royal Caribbean Group Chief Financial Officer, Naftali Holtz, talked about the increase in revenue from Europe, "The better than expected performance has mostly been driven by our European customers, which underscores our nimble and global sourcing model."
Later in the call, Mr. Liberty said Europeans were ready again to travel and spend, "their willingness to spend was very competitive with the North American consumer."
"We expected Europe to be a little bit lighter versus '19 in terms of load factor. And it came roaring back."
"And that's a story of one of the North American consumer just feeling that they needed to for certainly certainly vacation in Europe. But also the European consumer was very much part of that story."
If you listen to just what Royal Caribbean Group's CFO had to say about the quarter, it pretty much sums up the demand environment.
The company delivered 17% higher adjusted earnings than they expected to with their prediction in May. Capacity overall was at 105% and net yields up 12.9% comparted to 2019 numbers.
In fact, booking volumes since the last earnings call significantly exceeded 2019 for both North American and European consumers.
So what drove this incredibly high demand?
Mr. Holtz said, "half of the yield growth was driven by new hardware and half driven by a significant increase in rates on like for like hardware, despite being a bit behind on load factors."
This translates to new cruise ships brought in more revenue, and there were higher prices on smaller, older cruise ships.
In addition to more revenue, cost cutting seemed to have an effect too.
"Our operational and commercial teams are doing an exceptional job, driving strong top line growth and maintaining focus on operating expenses to expand margins."
Caribbean and European sailings saw strong demand, and Alaska cruise capacity is up about 60% versus 2019.
Royal Caribbean International President and CEO Michael Bayley talked about the company's new strategy to attract new cruisers by positioning impressive cruise ships on itineraries with well-received ports.
"We've been very thoughtful...about the strategy of putting really outstanding hardware combined with excellent destination into the short product market because it truly is the on ramp for new to cruise and also first to brand."
Read more: Royal Caribbean has a plan to dominate short cruises with a new ship and private destinations
"Utopia will be the first Oasis-class ship that will be entirely focused on short cruises in the Caribbean, supporting our strategy of competing with land-based vacation alternatives and driving new-to-cruise customers into our vacation ecosystem as we seek to close the value gap,” Liberty said.
"Demand and pricing for Utopia has far exceeded our expectations."
Royal Caribbean's private island in the Bahamas is certainly doing its part to bring in cruisers.
Mr. Bayley talked about how much customers are clamoring for sailings that visit Perfect Day at CocoCay.
"Perfect Day is that, it really is perfect, and it is driving a lot of the demand and people are booking the ships and the itineraries that sail to Perfect Day."
"We see the repeat rates going back to Perfect Day accelerating."
He also mentioned the plan is to open the new adults-only beach area at the end of December of this year, "that'll come online at the literally in December of this year."
If your cruise is headed to The Bahamas next year, you'll probably need to pay a bit more for your vacation.
Royal Caribbean informed passengers booked on cruises to The Bahamas that due to a change in Bahamian taxes imposed on cruise passengers, the cost will go up.
The Bahamian government has implemented a change to their departure tax amounts for all cruise guests visiting the Bahamas on or after January 1, 2024. As a result, Royal Caribbean will be updating reservations with the new amount.
An email was sent with the update, indicating the exact amount you'll be charged extra will depend on a variety of factors:
"Your adjusted taxes and fees will reflect on your booking before your final payment due date. Your tax amount may have changed from $1 to $14, depending on the itinerary you booked, and your travel partner has been notified of this update. Bookings are being updated in phases based on the sailing date."
If you have a 2024 cruise that visits The Bahamas, there's nothing to do right now.
Royal Caribbean's email is simply to inform passengers of what to expect if the price for final payment goes up a few dollars.
It's likely a lot of cruises will see a change in the taxes given how often Royal Caribbean visits The Bahamas.
Nassau has always been a traditional port stop for many cruises, and the development of Perfect Day at CocoCay has driven many more millions of passengers in recent years.
In fact, more than half of the cruise line's Caribbean sailings visit Perfect Day at CocoCay.
Royal Caribbean International President and CEO Michael Bayley told Wall Street earlier this year that CocoCay receives approximately 11,000 cruise passengers per day. Once the new adults-only beach opens, they will be able to add another 2,500, 3,000 guests per day.
Sister brand Celebrity Cruises will also feel the pinch with the new tax.
For the first time, Celebrity Cruises ships will call at Perfect Day at CocoCay in 2024. Celebrity Beyond and Celebrity Reflection have visits to Royal Caribbean's private island from April through November 2024.
Both ships will sail from Fort Lauderdale, with Beyond's visits to CocoCay will be included across 40 Caribbean itineraries. Reflection will begin sailing short weekend cruises.
While no one likes to pay more in taxes, at least there's some comfort in the fact The Bahamas is taking its port experience more seriously.
Nassau spent $300 million upgrading their cruise port, with the first phase of this redevelopment opened to the public on May 27, 2023.
The revamp includes a new terminal building, Junkanoo museum, 3,500-person amphitheater, living coral exhibit plus more entertainment, food, beverage and retail space. Once complete, the port’s capacity will jump to more than 33,000 passengers per day. It has been around 20,000 a day.
Read more: Nassau, Bahamas opened the first phase of its cruise port revamp. Here's what's new and different
Last year the island had 2 million cruisers visit it, and Mr. Bayley expects to send around 2.5 million passengers to CocoCay this year.
The port is now able to accommodate up to six cruise ships per day, including three Oasis or Icon Class ships.
Nassau set a record on February 27 when 28,554 passengers visited in one day.
The upgraded port is expected to bring in 4 million passengers by the end of 2023 and 4.5 million in 2024.
After having to pause its cruise ship upgrade program in 2020, Royal Caribbean hinted they're re-thinking those improvements.
In 2018, the Royal Amplified program was announced to bring new enhancements to the Oasis, Freedom and Voyager Class cruise ships.
Many cruise ships received upgrades, but a number of vessels did not because the cruise industry shutdown in 2020 and the company had to shore up its finances by cutting costs.
The company hasn't announced a resumption of those upgrades, but executives tip-toed around the idea they might spend more on ship upgrades on vessels that missed their upgrades in 2020 and 2021.
During Royal Caribbean Group's second quarter earnings call with investors, Chief Financial Officer Naftali Holtz talked about an increase in spend on dry docks next year as it relates to costs.
"We are now in the planning process obviously for '24 and we're considering all the the dry docks that we we need to do next year. And that could be more elevated than than than this year, which obviously will will impact some of the costs and a little bit on the yield."
That alone wasn't much of a hint, but then Royal Caribbean Group CEO Jason Liberty jumped in with an additional comment that seemed to point in the direction of more upgrades.
"The elevation on the dry dock is just a reflection of ships that came out of Covid that had missed those windows. And so it will be a little bit more elevated in 2024."
Mr. Liberty did not refer to the Royal Amplified program by name, but he certainly talked about the ships that missed their opportunity to get enhancements. This would likely refer to possibly four ships:
Allure of the Seas was scheduled to undergo a 58-day, $165 million transformation that would have added new features, including the Ultimate Abyss, the tallest slide at sea; The Perfect Storm trio of waterslides, completely redesigned Adventure Ocean kids and teens spaces, the first Giovanni’s Italian Kitchen & Wine Bar, and Music Hall.
Similarly, Explorer of the Seas was planning to get a $110 million amplification that would have added a number of changes from bow to stern.
Specific upgrades were never announced for Liberty or Adventure.
The important takeaway for guests is Royal Caribbean may finally be reconsidering finishing those upgrades.
In comparing cruise ships that were amplified versus those that were not, there is a noticeable experience difference.
The purpose of upgrading these ships was to add back in features and amenities newer cruise ships already had so that the guest experience was more consistent and enjoyable across the fleet.
Amplified ships drove up revenue as a result of higher guest satisfaction with the changes.
In 2019, former Royal Caribbean Group CEO Richard Fain talked about how lucrative the changes were, "Our vessel modernization program is driving strong results. These upgrades are expensive, but our guests love them and reward us accordingly."
It remains to be seen what changes ships going into drydock in 2024 would get, but other ships that were upgraded ended up with quite a number of features.
Royal Caribbean did not apply the same changes to all the ships that were upgraded between 2018 and 2020. It seemed the cruise line took an opportunity with each ship to look at what features and changes would most benefit that particular vessel.
Read more: What was added to each Royal Caribbean ship during its Royal Amplified refurbishment
The program focused on three key areas:
Depending on the ship, there could be new specialty dining added, revamp of the pool deck, new water slides, or completely new retail venues added.
Water slides were one feature every ship received as part of its upgrades. Royal Caribbean adopted water slides as a must-have feature on its ships in recent years. In fact, they managed to add water slides to Explorer of the Seas as part of a regularly scheduled dry dock earlier this year.
Royal Caribbean Group reported its second quarter earnings on Thursday and reported stronger than expected earnings that forced the company to pump up its guidance for the year.
The company had total revenues of a record $3.5 billion, with net income at $458.8 million. Adjusted EBITDA was a record $1.2 billion and Operating Cash Flow was $1.4 billion.
Why the fantastic results? Demand was better all around.
The cruise giant is seeing higher prices for cruise fares for North America and European itineraries, along with a lot of its customers spending on extras, such as drink packages, wifi, shore excursions and more.
Consumer spending onboard, as well as pre-cruise purchases, continue to significantly exceed 2019 levels driven by greater participation at higher prices.
The better-than-expected results compelled the company to make a significant increase in the company's full year outlook for revenue and earnings.
Royal Caribbean Group CEEO Jason Liberty celebrated the results, "Our brands continue to fire on all cylinders, resulting in record yields and second quarter earnings significantly exceeding our expectations."
"Demand for cruising and our brands is exceptionally strong and we have seen another step change in booking volumes and pricing, leading us to now expect double-digit net yield growth for the full year. We also expect to achieve record Adjusted EBITDA per APCD and Return on Invested Capital this year and are well on our way toward achieving our Trifecta goals."
Net Income for the second quarter of $458.8 million compared to a Net Loss of $(0.5) billion for the same period last year.
Higher Caribbean and European cruise fare pricing along with higher shipboard revenue drove the higher revenue. The average capacity for the second quarter was 105%.
Booking volumes in the second quarter remained significantly higher than the corresponding period in 2019 and at record pricing levels.
"Demand for 2023 sailings has significantly exceeded expectations and bookings for 2024 sailings are up significantly versus all prior years at record prices. Demand from the North American consumer has remained incredibly strong throughout the year, and booking volumes from European consumers who are booking European cruises this summer have accelerated."
Between 2020 and 2022, Royal Caribbean Group took out a number of loans to keep the company going during the cruise industry shutdown. Here's an update on paying them back.
As of June 30, 2023, the Group's customer deposit balance was at a record-high $5.7 billion.
As of June 30, 2023, the Group's liquidity position was $3.7 billion, which includes cash and cash equivalents and undrawn revolving credit facility availability.
During the second quarter, the company generated $1.4 billion in operating cash flow and repaid $1.6 billion of debt
As of June 30, 2023, the scheduled debt maturities for the remainder of 2023, 2024, 2025, and 2026 were $1.0 billion, $2.0 billion, $3.3 billion, and $2.8 billion, respectively.
Royal Caribbean Group has plans to spend $4.2 billion on capital expenditures, which usually are related to new ships or new construction projects.
The Silver Nova cruise ship was delivered to Silver Sea, and Icon of the Seas and Celebrity Ascent will be delivered later this year. All ship orders have committed financing in place.
Non-new ship related capital expenditures are expected to be $0.5 billion.
Everyone wants to save money, so when is the best time to buy popular add-ons for your Royal Caribbean cruise?
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