Royal Caribbean Cruises posted strong results for the first quarter ended March 31, 2016, with net income of $99.1 million, or $0.46 per share, on revenues of $1.9 billion, up from net income of $45.2 million, or $0.20 per share, on revenues of $1.8 billion for the same quarter last year.
The results were driven by several factors, including significantly higher net revenue and lower operating costs per passenger day.
Royal Caribbean reported net revenue per passenger day at $154.18 this year, compared to $149.21 last year.
Gross revenues were up approximately $1.52 per passenger day, while operating expenses were down about $4.14 per passenger day from last year.
On the expense side reduced fuel costs were offset by higher payroll, food and other operating costs.
Operating income was $16.89 per passenger day this year, up from $11.47 last year.
Net income per passenger day was $10.26 this year, up from $4.91 last year.
Royal Caribbean also adjusted its earnings guidance per share for the year to be in the range of $6.15 to $6.35 - up $0.25 from its previous guidance.
The increase is driven mainly by the strength in North American products and onboard revenue trends as well as stronger foreign currencies, according to a company statement.
The strong performance did not help Royal’s stocks, however, as they dropped along with Carnival and Norwegian in a market-wide retreat on Friday morning.