ROYAL CARIBBEAN CRUISES LTD
For the period ended Mar 31, 2025. Filed Apr 29, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2025 · Filed Apr 29, 2025
RCL$327.16+1.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-09-30; filed 2024-10-29.
0000884887-24-000147
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-03-31; filed 2025-04-29.
0000884887-25-000095
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 153 previous paragraphs and 122 current paragraphs.
65 unchanged; 42 reworded; 14 added; 45 removed; 1 previous and 1 current paragraphs rearranged.
Tables are not compared: 9 previous and 8 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (14)
Current report
Revenues
Current report
Cruise Operating Expenses
Current report
Adjusted Operating Income represents operating income including income from equity investments and income taxes but excluding certain items for which we believe adjusting for is meaningful when assessing our operating performance on a comparative basis. We use this non-GAAP measure to calculate ROIC (as defined below).
Current report
Constant Currency is a significant measure for our revenues and expenses, which are denominated in currencies other than the U.S. Dollar. Because our reporting currency is the U.S. Dollar, the value of these revenues and expenses in U.S. Dollar will be affected by changes in currency exchange rates. Although such changes in local currency prices are just one of many elements impacting our revenues and expenses, it can be an important element. For this reason, we also monitor our revenues and expenses in "Constant Currency" - i.e., as if the current period's currency exchange rates had remained constant with the comparable prior period's rates. For the 2025 period presented, we calculate "Constant Currency" by applying the average for 2024 period exchange rates for each of the corresponding months, so as to calculate what the results would have been had exchange rates been the same throughout both periods. We do not make predictions about future exchange rates and use current exchange rates for calculations of future periods. It should be emphasized that the use of Constant Currency is primarily used by us for comparing short-term changes and/or projections. Over the longer term, changes in guest sourcing and shifting the amount of purchases between currencies can significantly change the impact of the purely currency-based fluctuations.
Current report
Invested Capital represents the most recent five-quarter average of total debt (i.e., Current portion of long-term debt plus Long-term debt) plus the most recent five-quarter average of Total shareholders' equity. We use this measure to calculate ROIC (as defined below).
Current report
Perfecta Program refers to the multi-year Adjusted EPS and ROIC goals we are seeking to achieve by end of 2027. Under our Perfecta Program, we are targeting 20% compound annual growth rate in Adjusted EPS compared to 2024 and ROIC of 17% or higher by the end of 2027.
Current report
Return on Invested Capital ("ROIC") represents Adjusted Operating Income divided by Invested Capital. We believe ROIC is a meaningful measure because it quantifies how efficiently we generated operating income relative to the capital we have invested in the business.
Current report
(1) These amounts are included in Other expense within our consolidated statements of comprehensive income (loss).
Current report
Revenues
Current report
•$125 million driven by yield growth as a result of higher load factors and higher pricing on both existing ships and new hardware in 2025 compared to the same period in 2024; and
Current report
•$77 million driven by 3.0% capacity growth as a result of the additions of Utopia of the Seas and Silver Raycompared to same period in 2024.
Current report
•$36 million driven by 3.0% capacity growth as a result of the additions of Utopia of the Seas and Silver Raycompared to same period in 2024; and
Current report
•$33 million driven by yield growth as a result of higher load factors and higher pricing on both existing ships and new hardware in 2025 compared to the same period in 2024.
Current report
Net cash used in financing activitieswas $1.2 billion for the three months ended March 31, 2025, compared to $1.1 billion for the same period in 2024. The change of $0.1 billion was primarily attributable to cash used of $389 million related to payment of dividends and purchase of treasury stock, offset by a decrease of $187 million primarily related to net repayment of debt, and a decrease of $102 million of premium on repayments of debt in 2025 compared to the same period in 2024.
Removed paragraphs (45)
Previous report
Net Income attributable to Royal Caribbean Cruises Ltd. and Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. for the nine months ended September 30, 2024 was $2.3 billion and $2.8 billion, compared to Net Income and Adjusted Net Income of $1.4 billion and $1.5 billion, respectively, for the nine months ended September 30, 2023
Previous report
•In March 2024, we issued $1.25 billion aggregate principal amount of 6.25% senior notes due 2032. Upon closing, we redeemed all of the outstanding $1.25 billion aggregate principal amount of 11.63% Senior Notes Due 2027.
Previous report
•During the second quarter of 2024, we repaid $839 million of outstanding deferred amounts under our export credit facilities.
Previous report
•In May 2024, we took delivery of Silver Ray. Refer to Note 6. Debtto our consolidated financial statements for further information on the financing of the ship
Previous report
•In June 2024, we took delivery of Utopia of the Seas. Refer to Note 6. Debtto our consolidated financial statements for further information on the financing of the ship.
Previous report
•In August 2024, we issued $2.0 billion aggregate principal amount of 6.00% senior notes due 2033. Upon closing, we redeemed all of the outstanding $1.0 billion aggregate principal amount of 9.25% Senior Notes Due 2029, and all of the outstanding $1.0 billion aggregate principal amount of 8.25% Senior Secured Notes Due 2029.
Previous report
•In September 2024, we issued $1.5 billion aggregate principal amount of 5.63% senior unsecured notes due 2031. Upon closing, we redeemed of the outstanding $700 million aggregate principal amount of 7.25% Senior Notes Due 2030.
Previous report
•In September 2024, we submitted an irrevocable notice to execute the bargain purchase option on the Silver Dawn finance lease for approximately $232 million.
Previous report
•In September 2024, we entered into agreements to acquire the Port of Costa Maya and adjacent land in Mahahual, Mexico for approximately $292 million. The transaction is expected to close in the first half of 2025, subject to regulatory approval and customary closing conditions.
Previous report
(4)For 2024, represents adjustments to tax impacts on the 2023 PortMiami sale of noncontrolling interest. For 2023, represents tax on the PortMiami sale of noncontrolling interest. These amounts are included in Other expense in our consolidated statements of comprehensive income (loss).
Previous report
(5)For 2023, represents the release of the deferred tax liability subsequent to the execution of the bargain purchase option for the Silver Whisper. These amounts are included in Other (expense) income within our consolidated statements of comprehensive income (loss).
Previous report
(6)For 2024, represents property and equipment impairment charges related to certain construction in progress assets which we determined would no longer be completed. For 2023, represents asset impairments and credit losses recoveries for notes receivables for which credit losses were previously recorded. These amounts are included in Other operating within our consolidated statements of comprehensive income (loss).
Previous report
(9)Weighted-Average Shares Outstanding - Diluted - for the quarter ended September 30, 2024, includes the add-back of 14.7 million shares that are anti-dilutive for diluted EPS purposes, but included for adjusted diluted EPS.
Previous report
(1)These amounts are included in Other (expense) income within our consolidated statements of comprehensive income (loss).
Previous report
(3)For 2023, represents gain on sale of controlling interest in cruise terminal facilities in Italy. These amounts are included in Other operating within our consolidated statements of comprehensive income (loss).
Previous report
(4)For 2024, represents property and equipment impairment charges related to certain construction in progress assets. For 2023, represents asset impairments and credit losses recoveries for notes receivables for which credit losses were previously recorded. These amounts are included in Other operating within our consolidated statements of comprehensive income (loss).
Previous report
(1)Represents gain on sale of controlling interest in cruise terminal facilities in Italy. These amounts are included in Other operating within our consolidated statements of comprehensive income (loss).
Previous report
(2)For 2024, represents property and equipment impairment charges related to certain construction in progress assets. For 2023, represents asset impairments and credit losses recoveries for notes receivables for which credit losses were previously recorded. These amounts are included in Other operating within our consolidated statements of comprehensive income (loss).
Previous report
•a $320 million driven by an increase in capacity of 10.9% due to the additions of Utopia of the Seas, Icon of the Seas, Celebrity Ascent, and Silver Raycompared to the addition of Silver Nova during the same period in 2023; and
Previous report
•a $210 million increase driven by higher load factors and ticket prices on a per passenger basis on existing ships as well as the benefit of new ships, compared to the same period in 2023.
Previous report
•$132 million driven by increased capacity noted above due to the addition of new ships; and
Previous report
•$63 million primarily driven by improved pricing and an increase in load factors in 2024 compared to the same period in 2023.
Previous report
Total Cruise operating expenses for 2024 increased $254 million to $2.4 billion from $2.1 billion in 2023. The increase was primarily due to the 10.9% increase in capacity noted above which increased cruise operating expenses by $232 million in 2024 compared to the same period in 2023.
Previous report
Marketing, Selling and Administrative Expenses
Previous report
Marketing, selling and administrative expenses for 2024 increased $58 million, or 14.8%, to $451 million from $393 million in 2023. The increase was primarily due to an increase in payroll and benefits expense driven by an increase in headcount and higher stock price related to our performance share awards in 2024 compared to the same period in 2023, and higher spending on advertisement and media promotions.
Previous report
Nine Months Ended September 30, 2024 Compared to Nine Months Ended September 30, 2023
Previous report
Total revenues for 2024 increased $2.2 billion to $12.7 billion from $10.6 billion in 2023.
Previous report
Passenger ticket revenues comprised 70% of our 2024 total revenues. Passenger ticket revenuesfor 2024 increased by $1.6 billion, or 22% to $8.9 billion from $7.3 billion in 2023. The increase was primarily due to:
Previous report
•an increase of $1 billion driven by increases in ticket prices on a per passenger basis on existing ships as well as the benefit of new ships, compared to the same period in 2023; and
Previous report
•an 8.2% increase in capacity, which increased Passenger ticket revenues by $600 million, primarily due to the additions of Utopia of the Seas, Icon of the Seas, Celebrity Ascent, and Silver Raycompared to the addition of Silver Nova during the same period in 2023.
Previous report
The remaining 30% of 2024 total revenues was comprised of Onboard and other revenues, which increased $537 million, or 16.3% to $3.8 billion in 2024 from $3.3 billion in 2023. The increase was primarily due to:
Previous report
•a $271 million increase driven by an 8.2% increase in capacity due to the additions of new ships noted above in 2024 compared to the same period in 2023; and
Previous report
•a $186 million increase driven by improved pricing and an increase in load factors of 3.1% in 2024 compared to the same period in 2023.
Previous report
Total Cruise operating expenses for 2024 increased $715 million to $6.6 billion from $5.9 billion in 2023. The increase was primarily due to:
Previous report
•the 8.2% increase in capacity noted above increased cruise operating expenses by $485 million; and
Previous report
•an increase of $190 million driven by various factors including an increase in higher drydock and maintenance related expenses; and commissions due to the increases in ticket prices noted above in 2024 compared to the same period in 2023.
Previous report
Marketing, Selling and Administrative Expenses
Previous report
Marketing, selling and administrative expenses for 2024 increased $163 million, or 13%, to $1.5 billion from $1.3 billion in 2023. The increase was primarily due to an increase in payroll and benefits expense driven by an increase in headcount and higher stock price related to our performance share awards in 2024 compared to the same period in 2023, and higher spending on advertisement and media promotions.
Previous report
Other Income (Expense)
Previous report
Interest expense, net of interest capitalized for 2024 increased $269 million, to $1.3 billion from $1.1 billion in 2023. The increase was primarily due to loss on extinguishment of debt of $337 million associated with the full redemption of our 11.63%, 9.25%, 8.25%, and 7.25% Senior Notes, and $119 million inducement expense on the partial settlement of our 2025 Convertible notes in 2024 compared to loss on extinguishment of debt of $81 million during the same period in 2023. The increase was partially offset by a decrease of $147 million lower interest expense in 2024 compared to the same period in 2023, resulting from the 2024 refinancings.
Showing the first 40 of 45 passages. Open the source sections for the rest.
Reworded paragraphs (42)
Previous wording
•a discussion of our results of operations for the quarter and nine months ended September 30, 2024, compared to the same period in 2023; and
Current wording
•a discussion of our results of operations for the quarter ended March 31, 2025, compared to the same period in 2024; and
Previous wording
Adjusted EBITDA is a non-GAAP measure that represents EBITDA (as defined below) excluding certain items that we believe adjusting for is meaningful when assessing our profitability on a comparative basis. For the periods presented, these items included (i) other expense (income); (ii) gain on sale of controlling interest; (iii) equity investment impairment and recovery losses; (iv) restructuring charges and other initiative expenses, and (v) impa irment and credit losses (recoveries). A reconciliation of Net Income (Loss) attributable to Royal Caribbean Cruises Ltd. to Adjusted EBITDA is provided below under Results of Operations.
Current wording
Adjusted EBITDA is a non-GAAP measure that represents EBITDA (as defined below) excluding certain items that we believe adjusting for is meaningful when assessing our profitability on a comparative basis. For the periods presented, these items included (i) other (income) expense, and (ii) restructuring charges and other initiative expenses. A reconciliation of Net Income attributable to Royal Caribbean Cruises Ltd. to Adjusted EBITDA is provided below under Results of Operations.
Previous wording
Adjusted Gross Margin represent Gross Margin, adjusted for payroll and related, food, fuel, other operating expenses, and depreciation and amortization. Gross Margin is calculated pursuant to GAAP as total revenues less total cruise operating expenses, and depreciation and amortization.
Current wording
Adjusted Gross Margin represent Gross Margin, adjusted for payroll and related, food, fuel, other operating, and depreciation and amortization expense. Gross Margin is calculated pursuant to GAAP as total revenues less total cruise operating expenses, and depreciation and amortization.
Previous wording
Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. is a non-GAAP measure that represents Net Income attributable to Royal Caribbean Cruises Ltd. excluding certain items that we believe adjusting for is meaningful when assessing our performance on a comparative basis. For the periods presented, these items included (i) loss on extinguishment of debt and inducement expense; (ii) the amortization of the Silversea Cruises intangible assets resulting from the Silversea Cruises acquisition; (iii) gain on sale of controlling interest; (iv) tax on the sale of PortMiami noncontrolling interest; (v)Silver Whisper deferred tax liability release; (vi) restructuring charges and other initiative expenses; (vii)equity investment impairment and recovery losses; and (viii) impairment and credit losses (recoveries). A reconciliation of Net Income attributable to Royal Caribbean Cruises Ltd. to Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. is provided below under Results of Operations.
Current wording
Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. is a non-GAAP measure that represents net income less net income attributable to noncontrolling interest, excluding certain items that we believe adjusting for is meaningful when assessing our performance on a comparative basis. For the periods presented, these items included (i) loss on extinguishment of debt and inducement expense; (ii) the amortization of the Silversea Cruises intangible assets resulting from the Silversea Cruises acquisition; and (iii) restructuring charges and other initiative expenses. A reconciliation of Net Income attributable to Royal Caribbean Cruises Ltd. to Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. is provided below under Results of Operations.
Previous wording
Net Cruise Costsand Net Cruise Costs Excluding Fuel are non-GAAP measures that represent Gross Cruise Costs excluding commissions, transportation and other expenses, and onboard and other expenses and, in the case of Net Cruise Costs Excluding Fuel, fuel expenses (each of which is described above under the Description of Certain Line Items heading). In measuring our ability to control costs in a manner that positively impacts net income, we believe changes in Net Cruise Costs and Net Cruise Costs Excluding Fuel to be the most relevant indicators of our performance. A reconciliation of Gross Cruise Costs to Net Cruise Costs and Net Cruise Costs Excluding Fuel is provided below under Results of Operations. For the periods presented, Net Cruise Costs and Net Cruise Costs Excluding Fuel excludes(i) the gain on sale of controlling interest; (ii) impairment and credit losses (recoveries); and (iii) restructuring and other initiative expenses.
Current wording
Net Cruise Costsand Net Cruise Costs Excluding Fuel are non-GAAP measures that represent Gross Cruise Costs excluding commissions, transportation and other expenses, and onboard and other expenses and, in the case of Net Cruise Costs Excluding Fuel, fuel expenses (each of which is described above under the Description of Certain Line Items heading). In measuring our ability to control costs in a manner that positively impacts net income, we believe changes in Net Cruise Costs and Net Cruise Costs Excluding Fuel to be the most relevant indicators of our performance. A reconciliation of Gross Cruise Costs to Net Cruise Costs and Net Cruise Costs Excluding Fuel is provided below under Results of Operations. For the periods presented, Net Cruise Costs and Net Cruise Costs Excluding Fuel excludes restructuring and other initiative expenses.
Previous wording
Passenger Cruise Days represent the number of passengers carried for the period multiplied by the number of days of their respective cruises.
Current wording
Passenger Cruise Days ("PCD") represent the number of passengers carried for the period multiplied by the number of days of their respective cruises.
Previous wording
Net Income attributable to Royal Caribbean Cruises Ltd. and Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. for the third quarter of 2024 was $1.1 billion and $1.4 billion, compared to Net Income and Adjusted Net Income of $1.0 billion and $1.1 billion, respectively, for the third quarter of 2023.
Current wording
Net Income attributable to Royal Caribbean Cruises Ltd. and Adjusted Net Income attributable to Royal Caribbean Cruises Ltd. for the first quarter of 2025 was $730 million and $744 million, compared to Net Income and Adjusted Net Income of $360 million and $478 million, respectively, for the first quarter of 2024.
Previous wording
Significant items for the quarter and nine months ended September 30, 2024 include:
Current wording
Significant items for the quarter ended March 31, 2025 include:
Previous wording
•Total revenues, increased $726 million and $2.2 billion for the quarter and nine months ended September 30, 2024 as compared to the same period in 2023. The increase was primarily due to an increase in capacity, ticket prices and onboard spending in 2024, compared to same periods in 2023.
Current wording
•Total revenues, increased $271 million for the quarter ended March 31, 2025 as compared to the same period in 2024. The increase was primarily due to an increase in capacity, ticket prices and onboard spending in 2025, compared to same period in 2024.
Previous wording
•Total cruise operating expenses, increased $254 million and $715 million for the quarter and nine months ended September 30, 2024 as compared to the same period in 2023. The increase was primarily due to an increase in capacity in 2024 compared to the same period in 2023.
Current wording
•Total cruise operating expenses, increased $23 million for the quarter ended March 31, 2025 as compared to the same period in 2024. The increase was primarily due to an increase in capacity in 2025 compared to the same period in 2024.
Previous wording
•In June 2024, TUI Cruises, our 50% joint venture, took delivery of Mein Schiff 7.
Current wording
•In February 2025, TUI Cruises, our 50% joint venture, took delivery of Mein Schiff Relax.
Previous wording
•In August 2024, we completed privately negotiated exchange with certain holders of 6.00% Convertible Senior Notes due 2025 to exchange approximately $827 million in aggregate principal amount for approximately 11.4 million shares of common stock and $827 million in cash.
Current wording
•In March 2025, we completed privately negotiated exchange with certain holders of 6.00% Convertible Senior Notes due 2025 to exchange approximately $213 million in aggregate principal amount for approximately 3 million shares of common stock and $214 million in cash.
Previous wording
For further information regarding the debt transactions discussed above, refer to Note 6. Debt, Note 7. Leases, and Note 8. Commitments and Contingencies, respectively, to our consolidated financial statements.
Current wording
For further information regarding the debt transaction discussed above, refer to Note 6. Debtto our consolidated financial statements under Item 1. Financial Statements.
Previous wording
Operating results for the quarter and nine months ended September 30, 2024 compared to the same periods in 2023 are shown in the following tables (in millions, except per share data):
Current wording
Operating results for the quarter ended March 31, 2025 compared to the same periods in 2024 are shown in the following tables (in millions, except per share data):
Previous wording
(1)For 2024, includes $119 million of inducement expense related to the partial settlement of our 6.00% convertible notes due 2025. Refer to Note 6. Debt to our consolidated financial statements for further information.
Current wording
(1)For 2025, includes $10 million of inducement expense related to the partial settlement of our 6.00% convertible notes due 2025. These amounts are included in Interest expense, net of interest capitalized within our consolidated statements of comprehensive income (loss). Refer to Note 6. Debt to our consolidated financial statements under Item 1. Financial Statements for further information.
Previous wording
(7)Diluted EPS includes the add-back of dilutive inducement and interest expense related to our convertible notes of $169 million for the nine months ended September 30, 2024, and $20 million and $68 million for the quarter and nine months ended September 30, 2023, respectively. For the quarter ended September 30, 2024 the impact of our convertible notes was anti-dilutive. Refer to Note 4. Earnings Per Share to our consolidated financial statements for further information.
Current wording
(4)Diluted EPS includes the add-back of dilutive inducement and interest expense related to our convertible notes of $15 million for the three months ended March 31, 2025, and $19 million for the three months ended March 31, 2024, respectively. Refer to Note 4. Earnings Per Share to our consolidated financial statements under Item 1. Financial Statements for further information.
Previous wording
(8)Adjusted Diluted EPS includes the add-back of dilutive interest expense related to our convertible notes of $13 million and $51 million, and $20 million and $68 million for the quarter nine months ended September 30, 2024 and 2023, respectively.
Current wording
(5)Adjusted Diluted EPS includes the add-back of dilutive interest expense related to our convertible notes of $5 million, and $19 million for the three months ended March 31, 2025 and 2024, respectively.
Previous wording
(2)Represents net non-operating expense. The amount excludes income tax expense, included in the EBITDA calculation above.
Current wording
(2) Represents net non-operating expense. The amount excludes income tax expense, included in the EBITDA calculation above.
Previous wording
(3)For 2023, represents gain on sale of controlling interest in cruise terminal facilities in Italy. These amounts are included in Other operating within our consolidated statements of comprehensive income (loss).
Current wording
(3) These amounts are included in Marketing, selling and administrative expenses within our consolidated statements of comprehensive income (loss).
Previous wording
Total revenues for 2024 increased $726 million to $4.9 billion from $4.2 billion in 2023.
Current wording
Total revenues for 2025 increased $271 million to $4 billion from $3.7 billion in 2024.
Previous wording
Passenger ticket revenues comprised 71% of our 2024 total revenues. Passenger ticket revenuesfor 2024 increased by $530 million, or 18.0% to $3.5 billion from $2.9 billion in 2023. The increase was primarily due to:
Current wording
Passenger ticket revenues comprised 69% of our 2025 total revenues. Passenger ticket revenuesfor 2025 increased by $202 million, or 7.9% to $2.7 billion from $2.5 billion in 2024. The increase was primarily due to:
Previous wording
The remaining 29% of 2024 total revenues was comprised of Onboard and other revenues, which increased $196 million, or 16.1% to $1.4 billion in 2024 from $1.2 billion in 2023. The increase was primarily due to:
Current wording
The remaining 31% of 2025 total revenues was comprised of Onboard and other revenues, which increased $69 million, or 5.8% to $1.3 billion in 2025 from $1.2 billion in 2024. The increase was primarily due to:
Previous wording
Interest expense, net of interest capitalized for 2024 increased $263 million, to $603 million from $340 million in 2023. The increase was primarily due to loss on extinguishment of debt of $204 million associated with the full redemption of our 9.25%, 8.25%, and 7.25% Senior Notes, and $119 million inducement expense on the partial settlement of our 2025 Convertible notes in 2024 compared to loss on extinguishment of debt of $38 million during the same period in 2023. The increase was partially offset by a decrease of $42 million lower interest expense in 2024 compared to the same period in 2023, resulting from the 2024 refinancings.
Current wording
Interest expense, net of interest capitalized for 2025 decreased $175 million, to $249 million from $424 million in 2024. The decrease was primarily due to the 2024 loss on extinguishment of debt of $116 million, compared to $10.2 million inducement expense on the partial settlement of our 2025 Convertible notes in 2025. Additionally, interest expense decrease of $51 million in 2025 compared to the same period in 2024, due to proactive refinancing of certain indebtedness.
Previous wording
Other comprehensive loss was$(99) million in 2024 compared to Other comprehensive income of $36 million for the same period in 2023. The decrease of $(135) million was primarily due to a Loss on cash flow derivative hedges in 2024 of $95 million compared to a Gain on cash flow derivative hedges in 2023 of $20 million, mostly as a result of a significant decrease in the fair value of our fuel swaps in 2024 compared to 2023.
Current wording
Other comprehensive income was$107 million in 2025 compared of $57 million for the same period in 2024. The increase of $50 million was primarily due to a Gain on cash flow derivative hedges in 2025 of $128 million compared to $44 million in 2024, mostly as a result of a significant increase in the fair value of our FX forward swaps in 2025 compared to 2024.
Previous wording
Refer to Note 2. Summary of Significant Accounting Policies to our consolidated financial statements.
Current wording
Refer to Note 2. Summary of Significant Accounting Policies to our consolidated financial statements under Item 1. Financial Statements.
Previous wording
Cash flow generated from operations provides us with a significant source of liquidity. Net cash provided by operating activitieswas $3.8 billion and $3.4 billion for the nine months ended September 30, 2024, and 2023, respectively. Cash flows from operating activities increased $0.4 billion primarily driven by an increase in operating income.
Current wording
Cash flow generated from operations provides us with a significant source of liquidity. Net cash provided by operating activitieswas $1.6 billion and $1.3 billion for the three months ended March 31, 2025, and 2024, respectively. Cash flows from operating activities increased $0.3 billion primarily driven by an increase in operating income.
Previous wording
Net cash used in investing activities was $2.8 billion for the nine months ended September 30, 2024, compared to $1.3 billion for the same period in 2023. Cash flows used in investing activities were primarily attributable by an increase in capital expenditures of $1.4 billion during 2024, compared to the same period in 2023 due to the delivery of Utopia of the Seasand Silver Rayin 2024, compared to the delivery of Silver Nova during the same period in 2023.
Current wording
Net cash used in investing activities was $0.4 billion for the three months ended March 31, 2025, compared to $0.3 billion for the same period in 2024. Cash flows used in investing activities were primarily attributable by an increase in capital expenditures of $0.2 billion during 2025, compared to the same period in 2024.
Previous wording
Our future capital commitments consist primarily of new ship orders. As of September 30, 2024, the dates that the ships on order by our Global and Partner Brands are expected to be delivered, subject to change in the event of construction delays, and their approximate berths are as follows:
Current wording
Our future capital commitments consist primarily of new ship orders. As of March 31, 2025, the dates that the ships on order by our Global and Partner Brands are expected to be delivered, and their approximate berths are as follows:
Previous wording
In addition, during 2024, we entered into an agreement with Meyer Turku Oy and Chantiers de l' Atlantique to build a fourth Icon class ship and a seventh Oasis class ship for delivery 2027 and 2028, respectively. Both agreements are contingent upon completion of certain conditions precedent including financing.
Current wording
In addition, during 2024, we entered into an agreement with Meyer Turku Oy and Chantiers de l'Atlantique to build a fourth Icon-class ship for delivery in 2027 and a sixth Edge-class ship for delivery in 2028. The agreements are contingent upon completion of certain conditions precedent including financing.
Previous wording
Our future capital commitments consist primarily of new ship orders. As of September 30, 2024, the aggregate expected cost of our ships on order presented in the table above, excluding any ships on order by our Partner Brands, was $5.9 billion, of which we had deposited $619 million. Approximately 39.6% of the aggregate cost was exposed to fluctuations in the Euro exchange rate at September 30, 2024. Refer to Note 8. Commitments and Contingenciesand Note 11. Fair Value Measurements and Derivative Instrumentsto our consolidated financial statement.
Current wording
Our future capital commitments consist primarily of new ship orders. As of March 31, 2025, the aggregate expected cost of our ships on order presented in the table above, excluding any ships on order by our Partner Brands, was $7.9 billion, of which we had deposited $1.0 billion. Approximately 36.5% of the aggregate cost was exposed to fluctuations in the Euro exchange rate at March 31, 2025. Refer to Note 8. Commitments and Contingenciesand Note 11. Fair Value Measurements and Derivative Instrumentsto our consolidated financial statements under Item 1. Financial Statements for further information.
Previous wording
As of September 30, 2024, we anticipate overall full year capital expenditures, based on our existing ships on order, will be approximately $3.4 billion for 2024. This amount does not include any ships on order by our Partner Brands.
Current wording
As of March 31, 2025, we anticipate overall 2025 capital expenditures of approximately $5 billion, primarily related to our existing ships on order, and land-based destination initiatives. This amount does not include any ships on order by our Partner Brands.
Previous wording
(3)Amounts are based on contractual installment and delivery dates for our ships on order. Included in these figures are $3.7 billion in final contractual installments, which have committed financing with sovereign guarantees covering approximately 80% of the cost of the ships on order for our Global Brands. Amounts do not include potential obligations which remain subject to cancellation at our sole discretion or any agreements entered for ships on order that remain contingent upon completion of conditions precedent.
Current wording
(3)Amounts are based on contractual installment and delivery dates for our ships on order. Included in these figures are $5.1 billion in final contractual installments, which have committed financing with sovereign guarantees covering approximately 80% of the cost of the ships on order for our Global Brands. Amounts do not include potential obligations which remain subject to cancellation at our sole discretion or any agreements entered for ships on order that remain contingent upon completion of conditions precedent.
Previous wording
Refer to Note 6. Debtfor maturities related to debt.
Current wording
Refer to Note 6. Debtto our consolidated financial statements under Item 1. Financial Statements for maturities related to debt.
Previous wording
Refer to Note 7. Leasesfor maturities related to lease liabilities.
Current wording
Refer to Note 7. Leasesto our consolidated financial statements under Item 1. Financial Statements for maturities related to lease liabilities.
Previous wording
Refer to Note 5. Investments and Other Assetsfor ownership restrictions related to TUI Cruises.
Current wording
Refer to Note 5. Investments and Other Assetsto our consolidated financial statements under Item 1. Financial Statementsfor ownership restrictions related to TUI Cruises.
Previous wording
Refer to Note 3. Revenuefor credit card processor agreements for export credit agency guarantees.
Current wording
Refer to Note 3. Revenueto our consolidated financial statements under Item 1. Financial Statementsfor credit card processor agreements for export credit agency guarantees.
Previous wording
Refer to Note 8. Commitments and Contingencies for other agreements.
Current wording
Refer to Note 8. Commitments and Contingencies to our consolidated financial statements under Item 1. Financial Statementsfor other agreements.
Previous wording
As of September 30, 2024, other than the items referenced above, we are not party to any other off-balance sheet arrangements, including guarantee contracts, retained or contingent interest, certain derivative instruments and variable interest entities, that either have, or are reasonably likely to have, a current or future material effect on our financial position.
Current wording
As of March 31, 2025, other than the items described above, we are not party to any other off-balance sheet arrangements, including guarantee contracts, retained or contingent interest, certain derivative instruments and variable interest entities, that either have, or are reasonably likely to have, a current or future material effect on our financial position.
Previous wording
We have significant contractual obligations of which our debt service obligations and the capital expenditures associated with our ship purchases represent our largest funding needs. As of September 30, 2024, we had $4.1 billion of committed financing for our ships on order. As of September 30, 2024, our obligations due through September 30, 2025 primarily consisted of $1.6 billion related to debt maturities, $1.0 billion related to interest on debt and $1.9 billion related to progress payments on our ship orders and, based on the expected delivery date, the final installment payable due upon the delivery. We have historically relied on a combination of cash flows provided by operations, draw-downs under our available credit facilities, the incurrence of additional debt and/or the refinancing of our existing debt and the issuance of additional shares of equity securities to fund our obligations.
Current wording
We have significant contractual obligations of which our debt service obligations and the capital expenditures associated with our ship purchases represent our largest funding needs. As of March 31, 2025, we had $6.1 billion of committed financing for our ships on order. As of March 31, 2025, our obligations due through March 31, 2026 primarily consisted of $1.4 billion related to debt maturities, $0.9 billion related to interest on debt and $2.5 billion related to progress payments on our ship orders and, based on the expected delivery date, the final installments payable due upon the delivery of Star of the Seas and Celebrity Xcel. We have historically relied on a combination of cash flows provided by operations, draw-downs under our available credit facilities, the incurrence of additional debt and/or the refinancing of our existing debt and the issuance of additional shares of equity securities to fund our obligations.
Previous wording
As of September 30, 2024, we had liquidity of $3.9 billion, including cash and cash equivalents of $0.4 billion, and $3.5 billion of undrawn revolving credit facility capacity.
Current wording
As of March 31, 2025, we had liquidity of $4.5 billion, including cash and cash equivalents of $0.4 billion, and $4.1 billion of undrawn revolving credit facility capacity.
Showing the first 40 of 42 pairs. Open the source sections for the rest.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
(1) These amounts are included in Marketing, selling and administrative expenses within our consolidated statements of comprehensive income (loss).
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
In this section, references to 2024 refer to the nine months ended September 30, 2024 and references to 2023 refer to the nine months ended September 30, 2023.