01—Abstract
Summary
Summary of the 10-K filed February 11, 2026. Cited figures are marked; the original filing is the authoritative source.
Royal Caribbean Cruises Ltd. (RCL) reported a strong financial performance for the year ended December 31, 2025.
The company saw significant growth in total revenues, reaching $17.9 billiona, an increase driven by robust ticket sales and enhanced onboard revenue performance. This growth was supported by capacity expansion, including the delivery of two new ships, Star of the Seas and Celebrity Xcel, and the continued development of its private destination portfolio. RCL achieved a Net Income of $4.3 billion and an Adjusted EBITDA of $7.0 billion, demonstrating solid profitability.
The company also maintained a strong balance sheet and returned $2.0 billionb to shareholders through dividends and share repurchases. The company is strategically investing in fleet modernization and expansion, with 12 ships on order, including new classes of ships and an expansion into river cruising.
RCL is also focused on sustainability initiatives, aiming for net-zero emissions by 2050. Despite ongoing global economic uncertainties and regulatory developments, RCL's diversified brand portfolio, focus on innovation, and strategic investments in guest experiences position it for continued growth.
02—Key points
Key Highlights
- Total revenues reached a record $17.9 billion, up 8.8% from the previous year, driven by strong ticket and onboard revenues.
- Net Income attributable to Royal Caribbean Cruises Ltd. was $4.3 billion, a significant increase from $2.9 billion in 2024, with Adjusted Net Income also showing strong growth.
- The company took delivery of two new ships: Star of the Seas and Celebrity Xcel, further expanding its fleet capacity and product offerings.
- RCL expanded its private destination portfolio with the opening of Royal Beach Club Paradise Island and the acquisition of Port of Costa Maya.
- The company declared and paid a growing quarterly dividend, returning $2.0 billion to shareholders through dividends and share repurchases.
- Capacity increased by 5.5% with new ship deliveries, contributing to yield growth and higher occupancy rates (109.7%).
- Strategic investments in fleet expansion continue, with 12 ships on order, including new generation and river cruise vessels.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Royal Caribbean Cruises Ltd kept $0.24.
- Revenue$17.93B100.0%
- Cost of revenue−$9.08B50.6%
- Gross profit$8.85B49.4%
- Operating costs−$3.94B22.0%
- Operating income$4.91B27.4%
- Interest, other & tax−$642.0M3.6%
- Net income$4.27B23.8%
Where FY2025 revenue went
$17.93B- Cost of revenue: $9.08B, 51% of revenue
- Net income: $4.27B, 24% of revenue
- SG&A: $2.22B, 12% of revenue
- Other operating costs: $1.72B, 9.6% of revenue
- Interest, other & tax: $642.0M, 3.6% of revenue
Kept 24% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 11, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $17.93B$16.48B | +8.8% |
| Cost of Revenue | $9.08B$8.65B | +5.0% |
| Gross Profit | $8.85B$7.83B | +13.0% |
| SG&A Expenses | $2.22B$2.13B | +4.6% |
| Operating Income | $4.91B$4.11B | +19.6% |
| Net Income | $4.27B$2.88B | +48.3% |
| EPS (Basic) | $15.75$11.00 | +43.2% |
| EPS (Diluted) | $15.61$10.94 | +42.7% |
| Shares Outstanding (Basic) | 271.00M261.00M | +3.8% |
| Shares Outstanding (Diluted) | 274.00M279.00M | −1.8% |
05—Questions
Frequently Asked Questions
What were the key drivers of Royal Caribbean's revenue growth in 2025?
Revenue growth in 2025 was primarily driven by a 5.5% increase in capacity due to the addition of new ships like Star of the Seas and Celebrity Xcel, as well as a full year of operations for recently delivered vessels. Additionally, yield growth, resulting from higher load factors and improved ticket pricing across the fleet, significantly contributed to the revenue increase.
How is Royal Caribbean addressing sustainability and environmental concerns?
Royal Caribbean has a comprehensive sustainability strategy called 'SEA the Future,' aiming for net-zero emissions by 2050 and a net-zero capable ship by 2035. Key initiatives include modernizing the fleet with energy-efficient and alternatively fueled vessels, investing in energy efficiency programs, developing alternative fuel solutions, and optimizing supply chains. They also have programs focused on waste management and partnerships to promote ocean conservation.
What is the company's outlook for fleet expansion and new offerings?
RCL is significantly expanding its fleet with 12 ships on order across its global and partner brands, including new Icon-class and Oasis-class ships for Royal Caribbean, and an Edge-class ship for Celebrity Cruises. Furthermore, Celebrity Cruises is launching a significant river cruise business with an initial order of 20 ships. The company is also growing its portfolio of private land-based destinations, which is expected to expand from 3 to 8 by 2028.
How has the company managed its financial leverage and returned capital to shareholders?
RCL maintained a strong balance sheet and achieved investment-grade ratings across all three major credit rating agencies. The company generated $6.5 billion in operating cash flow and returned $2.0 billion to shareholders in 2025 through dividends and share repurchases. They also managed debt maturities and maintained a strong liquidity position of $7.2 billion as of December 31, 2025.
06—Continue