Royal Caribbean Will Profit Share With Employees As Long As It Hits Its Goals …’Equity Rewards’
MIAMI — After achieving its ambitious three-year goals to double earnings and record a double-digit return on invested capital, Royal Caribbean Cruises told employees today that they will receive five percent bonuses.
Employees will receive equity awards equal to five percent of their 2017 salaries in what it called the “Thank You, Thank You Bonus.” The awards, which vest over three years, will go to the company’s 66,000 employees, excluding corporate officers.
In addition to the five percent equity awards, the company said it will contribute to a fund that upgrades crew living and recreational areas.
Royal Caribbean Cruises reported fourth-quarter profit and revenue that beat Wall Street estimates, helped by higher onboard spending and lower cruise operating expenses in the crucial holiday season.
However, the No. 2 U.S. cruise operator’s 2018 first quarter earnings per share forecast of 95 cents fell short of the average analyst estimate of $1.02.
Shares of the Miami, Florida-based company which is set to debut the world’s largest cruise ship, Symphony of the Seas, rose 1 percent to $128.50 in premarket trading.
The company’s onboard revenue, which makes up more than one-fourth of its total revenue, rose 5 percent to 584.1 million in the quarter.
Net income attributable to the company’s shareholders rose to $288 million, or $1.34 per share, in the quarter ended Dec. 31 from $261.1 million, or $1.21 per share, a year earlier.
Excluding items, the company earned $1.34 per share. Analysts on average had expected a profit of $1.20 per share, according to Thomson Reuters.
Net revenue rose 10 percent in the quarter to $2 billion, beating the analyst average estimate of $1.97 billion.
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