Royal Caribbean announced better than expected fourth quarter and full year 2010 results. Its fourth-quarter net income climbed to $42.7 million or $0.20 per share from $3.4 million or $0.02 per share a year ago.
Royal Caribbean revenues for the fourth quarter were up to $1.6 billion, compared to $1.5 billion in the 2009 fourth quarter. Royal Caribbean attributes this increase to additional ship capacity and yield improvements.
Royal Caribbean also mentioned that during the fourth quarter, weather issues affected some of the ships and that affected the Net Yields a little bit as it increased 3.2%, but if you take away the weather issues, Net Yields on a Constant Currency basis would have increased 4.7%, in line with previous guidance.
Thanks to better energy consumption innovations, Royal Caribbean's quarter's fuel expenditures were about $4 million better than initially predicted.
In addition to the fourth quarter results, 2010 yearly results were in and net income for 2010 was $547.5 million, compared to net income of $162.4 million for the year 2009. Moreover, 2010 revenues increased to $6.8 billion, a 15% increase, compared to 2009 revenues of $5.9 million. Royal Caribbean's net cruise costs excluding fuel declined for the third year in a row.