Royal Caribbean Group’s Q1 2026 earnings call revealed strong results to analysts and investors, which exceeded the company’s revised guidance estimates.
Royal Caribbean Group had revised its full-year net yield guidance to between 1.5% and 2.5%, down from previous estimates of 1.5% to 3.5%. The Group managed to deliver earnings per share of $3.48, with adjusted EPS coming in at $3.60.
This was largely due to several factors, including 109% load factor across all vessels for Q1, $4.5 billion in revenue (up around 11% year-on-year), and adjusted EBITDA of $1.7 billion.
RCG said that bookings remain strong, even at the close of Q1. It also saw continued strength in close-in bookings, reflecting demand for more last-minute reservation patterns from consumers.
Demand for Mediterranean and Mexican Riviera itineraries softened somewhat due to geopolitical tensions in these areas, but overall demand for RCG’s itineraries remains strong, meeting or exceeding past levels. Onboard revenue remains strong as well, with spend continuing to exceed year-on-year levels.
Carnival Corporation announced its Q1 2026 earnings during an investor call on 27 March 2026. The company reported record adjusted EBITDA of $1.3 billion, a strong booked position with continued emphasis on close-in bookings, and a 10% increase in gross margin yields.
Other lines have seen similar year-on-year growth in EBITDA, onboard revenue, and booked position. Norwegian small-ship and expedition operator Hurtigruten recently announced an increase in EBITDA of 80% year-on-year, reporting €90.2 million for its 2025 fiscal year compared to €49.8 million for 2024.
Multiple brands, including Viking, are set to release their Q1 2026 results in the coming weeks. The true litmus test, however, will likely be seen in the Q2 earnings calls presented in early summer, which will better reflect the current market climate of fuel surcharges and geopolitical tensions and expenses.
Of the major cruise brands, Carnival Corporation is the only one that does not actively hedge fuel. Royal Caribbean Group announced that its hedged fuel portfolio, scheduled to run into 2029, averages a cost per metric ton of approximately $408 to $475.
