by Mia Taylor
Last updated: 7:50 PM ET, Tue July 28, 2026
During a Q2 earnings call Royal Caribbean executives provided a variety of insights and updates about the company including reporting revenues of $4.8 billion for the quarter. That figure is about $10 million less than forecasts for the quarter, but also represents a 6% year-over-year increase.
Second quarter Earnings per Share (EPS) were $4.20 and Adjusted EPS were $4.21, which was better than the company's guidance.
Overall, company executives said Royal Caribbean experienced broad strength across its brands for Q2, thanks to strong
close-in demand, lower costs, and favorable performance from joint
ventures, all of which helped to offset geopolitical disruptions in Europe.
"The strong second quarter performance demonstrates the continued strength of our brands, the appeal of our vacation experiences, and the momentum in our business," said Jason Liberty, chairman and CEO, Royal Caribbean Group. "We expect another year of approximately double-digit growth in revenue and earnings, driven by consumers' preference for our leading brands and supported by our strong booked position, leading margin profile, and fortified balance sheet."
Broader company outlook
Royal Caribbean executives also revealed during the call that booking trends for 2027 are running ahead of historical levels at record prices.
The company’s many new products and destinations investments, including Legend of the Seas in Europe, Royal Beach Club locations and Celebrity River, may be playing a big role in that growth.
Celebrity River in particular is seen as an important growth vehicle for the company thanks to its premium pricing and crossover interest from ocean cruisers. Liberty described the river cruises as central to a broader strategy of deepening guest loyalty across Royal Caribbean offerings.
“For us to be able to offer… another vacation experience that is typically not a substitute, it’s an additional vacation, we feel very encouraged by that level of demand,” Liberty said.
The company’s new destination experiences, including those offered by Celebrity River, are fueling Royal Caribbean's vision of "transitioning from a vacation of a lifetime to a lifetime of vacations," Liberty said.
Iran war impact
While the war in Iran has dominated headlines for quite some time it hasn’t dampened enthusiasm for cruising in Europe, according to Royal Caribbean executives. "Europe demand is strong," chief financial officer Naftali Holtz said.
"We did, however, experience a modest and near-term impact on 2026 bookings since the last earnings call, primarily due to the prolonged geopolitical activity,” Holtz added.
Liberty offered a similar analysis stating that the war has had "little to no impact on guests that are thinking six months down the road.”
”As long as we're delivering on what our guests expect us to be doing, they're willing to trust their vacation with us, which you see in the bookings on a volume and on a rate basis," Liberty said.
Royal Caribbean's Perfect Day Mexico. (Photo Credit: Royal Caribbean Media)
Perfect Day Mexico update
Royal Caribbean also provided an update on its halted plans for Perfect Day Mexico, a private destination that would be located in Costa Maya, Mexico. The project was halted by Mexican authorities amid environmental concerns.
The company has been able "to maintain a constructive dialog with community leaders and public officials” while working to develop a tourism destination that will create long-term opportunities for the region, for Mexico and for guests,” Liberty explained.
At the same time, the local government is working with local community stakeholders to better understand their concerns about the development and that process will impact Royal Caribbean’s initially proposed timeline.
Perfect Day Mexico had been slated to open in late 2027.
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