Good news for Royal Caribbean investors, Royal Caribbean Cruises Ltd. today announced improved earnings for 2010's second quarter as well as providing higher guidance for the third quarter and full year 2010.

Royal Caribbean Cruises reported a net income for the second quarter 2010 of $60.5 million, or $0.28 per share, compared to a net loss of $35.1 million, or ($0.16) per share, in second quarter of 2009.  In addition, revenues improved to $1.6 billion in the second quarter of 2010 compared to $1.3 billion in the second quarter of 2009, as a result of capacity increases and yield improvements. Net Yields for the second quarter of 2010 increased 4.9% despite the impact of the stronger US Dollar.

Improved fuel consumption efforts resulted in significantly better fuel consumption of 318,000 metric tons during the second quarter. At-the-pump pricing (including the benefit of the company's hedging) was virtually unchanged. Altogether, the quarter's fuel expenditures were approximately $6 million better than previous calculations.

• Business conditions have remained on target in each of the company's main markets while improved cost control has enabled the company to raise its earnings guidance for the year
• Operating costs were lower than expected due mainly to strong cost control, energy conservation measures, expense timing and currency fluctuations
• Second quarter Net Yields increased 4.9%, (5.4% on a Constant Currency basis)
• Second quarter Net Cruise Costs per APCD, "NCC", declined 2.8%, (2.0% on a Constant Currency basis)
• Net Yields are expected to increase approximately 4% in the third quarter and 3% - 4% for the year as a whole, (7% and 4% - 5% respectively on a Constant Currency basis)
• NCC are expected to be down 1% for the third quarter and down approximately 1% - 2% for the full year
• EPS expectation for the full year 2010 has been increased by $0.10 to $2.25 to $2.35. Third quarter 2010 EPS is expected to be in the range of $1.52 to $1.57.

Royal Caribbean Chairman and Chief Executive Officer Richard D. Fain, also commented on the progress for the quarter, "What a difference a year makes. It is gratifying to post another solid quarter with improvement in yields and strong cost control. Despite ongoing uncertainty with the economy, our profitability continues to improve and our booking environment continues to be remarkably stable. We remain focused on strengthening our financial position and I am encouraged about the tremendous global response to our brands."

Brian J. Rice, Executive Vice President and Chief Financial Officer talked about the reasons for a good second quarter, "Demand for our cruises remains on track with our earlier projections. The strengthening of the US Dollar will clearly result in a reduction of our reported yields, but also provides a corresponding reduction in expenses. Most importantly, our continued focus on cost controls and efficiency is driving improved earnings."

For those interested, a quick reminder that Royal Caribbean will announce their second quarter 2010 financial earnings report Thursday, July 22 at 10am Eastern time.  Analysts consensus calls for a profit of $0.18 a share on $1.62 billion revenue.  For comparison, a year ago for the quarter, Royal Caribbean reported $-0.16 a share.

The report should take about an hour and you can listen to it live on the Royal Caribbean Investor web site or by phone, please dial (877) 663-9606 in the US and Canada. International phone calls should be made to (706) 758-4628. There is no passcode or meeting number. 

Do you consider yourself a foodie?  Or maybe you're just a fan of great food?  Well, Royal Caribbean is launching a new series of themed cruises that is right up your alley. There will be 12 specialty voyages onboard Freedom of the Seas that are part of the cruise line’s “Epicurean Discovery” series.

Designed for culinary enthusiasts, the package features a variety of special events throughout the week devoted to cuisine and fine dining.

Each cruise is by a different celebrity chef for the cruise. Here is the schedule of celebrity chefs:

• Chef Cindy Hutson - September 19, 2010 
• Chef Johnny Vinczencz - October 3, 2010
• Chef Tim Andriola - October 17, 2010
• Chef Carlos Fernandez - October 31, 2010
• Chef Lauren De Rouen - November 7, 2010
• Chef Roberto Treviño November 14, 2010
• TBD - December 5, 2010
• TBD - December 12, 2010
• Chef Michael Schwartz - January 2, 2011
• Chef Nick Weber - January 9, 2011
• Chef Spike Mendelsohn - February 6, 2011
• TBD - February 20, 2011

By booking into this package, here are the exclusive options you can look forward to:

• Participate in Exclusive Culinary Experiences
• Enjoy a Cocktail Reception Meet & Greet Photo Opportunity with Celebrity Chefs
• Receive Special In-Suite Gifts
• Private Dining Experience with Celebrity Chef in our Specialty Restaurants
• Take a VIP Behind the Scenes Tour of our Private Galley
• Sample Appetizers in a Private Tapas Welcome
• Savor Succulent Vintages in a Special Wine Tasting Event
• Attend a Question & Answer Session with Celebrity Chef and Ship's Executive Chef
• Receive a Special Kit with Photos, Recipes, Menus and Guest Chef Signature
• Learn Cooking Tips from the Pros
• Take Home a Commemorative Epicurean Discovery Apron & Chef's Hat
   

The Epicurean Discovery is available exclusively to guests booking suite accommodations or higher.  Price begins at $1,874 per person, based on double occupancy.

Royal Caribbean and China Youth Travel Group have opened their first cruise showroom in Beijing's Asian Games Village.  In the booth, Royal Caribbean is offering visitors several packages, including an eight days and seven nights cruise to Japan and South Korea aboard Legend of the Seas.

These cruises that are being showcased depart from Tianjin, northern China's first cruise home port.  This showroom is part of the Asian Games, also called the Asiad, which is a multi-sport event held every four years among athletes from all over Asia. The Asian Games are the world's second largest multi-sport event after the Olympic Games.

Like many industries, cruising and maritime work has been dominated by men but lately there's been a change in that as more and more women are looking to become sailors.  According to the International Maritime University of Panama, cruising crews have opened doors to women.

Luis Fabrega, director of International Maritime University Panama (PICU) confirmed that the integration of women into the maritime area is growing.  Why the influx of women now?  Fabrega attributes the change to the impulse to create working places for cruise companies.

"We have noticed that the female cadets increasingly embark on cruise ships, which are ships that many prefer and are frequently asking for more personal," described Fabrega, adding "this does not limit the participation of women in other vessels" .

Royal Caribbean is helping in this endeavor to open up maritime jobs to women by having an agreement with the International Maritime University Panama to provide students an opportunity to do internships on their ships.  The results have produced 15 female cadets since 2008 and of the approximately 1,200 students at PICU, 25% are now women.

CruiseLineFans posted an article that is looking at the effects of cruising on Europe and the overall trend that cruise lines are experiencing to move their ships to Europe to meet the growing demand there.  In the article, there's a mention about Royal Caribbean's strategy of increasing their presence in Europe and competing against not only their traditional counterparts (NCL, Carnival) but also stalwarts of European cruising such as P&O, Thomson and others. 

Royal Caribbean International will have eleven ships in Europe in 2011, with the latest addition being Mariner of the Seas, having left Los Angeles for Rome. Mariner will sail from March to November 2011, while the Liberty of the Seas will be based in Barcelona and the Independence of the Seas now will sail year-round from Southampton, England.

Royal Caribbean will also base a ship in Palma, the traditional base for tour operator ships (such as TUI/Thomson, with whom they halve a half interest in TUI Cruises) and also to take on Aida Cruises.

Quick note for anyone sailing on Liberty of the Seas, comedian Lewis Black will be headlining a seven-day cruise on Royal Caribbean's Liberty of the Seas on Nov. 7, sailing out of Miami.

Joining Lewis will be some other comedians including

• John Pinette
• Dom Irrera
• Kathleen Madigan
• John Bowman
• Larry Wilmore
• Ted Alexandro
• Joe Grifasi
• Mark Linn-Baker
• Vic Henley

Today it seems like every cruise ship has lots of different amenities to choose from like water slides, pools or other fun recreational activities.  HospitalityNet wrote an article about the advent of water based fun on cruise ships and looks back to Royal Caribbean pioneering the idea of physical entertainment on a cruise ship when they debuted rock climbing walls, mini-golf and ice-skating rinks in 2005.  Then in 2006, Royal Caribbean launched the industry’s largest passenger ship at the time, Freedom of the Seas, with an onboard surf simulator called a FlowRider and an H2O Zone aqua park. Ever since then, it's been a competition among the cruise lines to out do each other.

The article talks about what the different cruise lines have, but here is the write up on Oasis of the Seas.

A South African woman, only known as "Taryn" claims she was raped by a coworker aboard a Royal Caribbean ship.  She worked as a beauty therapist and says that she was raped by a fellow South African, a fitness instructor, and sent home after reporting the incident.  This week she hired Lipcon, Margulies, Alsina & Winkelman, who specialize in maritime law and cases involving passengers and crew injured on ships worldwide.

Taryn reports that after she reported the case, the cruise captain told her: "There are two stories, his and yours, but his sounds more believable, because you had been drinking."

She said she was advised to drop the matter or face an FBI investigation into the incident since the alleged rape had taken place on a US-registered vessel. After she decided to drop the matter, "I was given two hours to pack my bags and say goodbye."

Our friends at Cruise Critic alerted us to the newest cleanliness report on Oasis of the Seas.  The Centers for Disease Control and Prevention, a government agency in the United States gave Oasis of the Seas a perfect 100 on its vessel sanitation inspection.  This inspection is a very stringent cruise ship cleanliness exam conducted twice a year and is done by surprise.

There were some minor infractions, but nothing large enough to cause the ship to lose points. An example is at the Buffet Solarium Center Island, "There was no serving utensils for the container of apples or containers of pears.".  Royal Caribbean responded to this by instructing the crew to ensure that there is a utensil for each food container on the buffet.

You can view the report in it's entirety on the CDC website.