Royal Caribbean Q2 2026: EPS beat, guidance raised, margins thinner
Royal Caribbean beat on the bottom line and lifted full-year earnings guidance, so the demand story still reads well even though revenue growth came with a thinner gross margin. EPS of $4.21 topped the $4.02 consensus, but it was below last year's $4.38 adjusted figure, and free cash flow was negative $877 million. Read this as a beat-and-raise quarter carried by pricing and bookings, not by cost efficiency.
1 · Expected vs. Actual
Free preview belowGAAP EPS was $4.20 and adjusted EPS was $4.21, ahead of the $4.02 consensus estimate. It was still a step down from last year's $4.41 GAAP and $4.38 adjusted, so the beat is against expectations rather than against the prior year. Net income of $1.13 billion compares with $1.21 billion a year ago.
Revenue rose 6.5% to $4.83 billion from $4.54 billion a year earlier, on capacity up 5.0% and a load factor of 110.2%. The quality of that growth was mixed: gross margin slipped to 47.3% from 49.7%, and fuel expense alone jumped to $355 million from $279 million. Gross margin yields per available passenger day fell 5.6% while net yields rose just 1.9%.
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Figures on this page come from the company's original SEC filings. The analysis is generated automatically and checked against validation rules, but may still contain errors or omissions. Not investment advice. · Generated 2026-09-17
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