New Outdoor Movie Screen

Rhapsody of the Seas’ guest can now enjoy a poolside movie with the addition of an outdoor LED screen.

via RoyalCaribbean Flickr

The Board of Directors of Royal Caribbean Cruises Ltd.(NYSE, OSE: RCL) today declared a quarterly dividend of $0.10 per share payable on June 06, 2012, to shareholders of record at the close of business on May 22, 2012.

via RCCL:

Vacationers also can choose seven-night Bahamas cruises, featuring calls at Nassau , Bahamas; Port Canaveral, Fla.; and Royal Caribbean’s private island CocoCay. The December 22 and 29 departure will see guests celebrating Christmas and New Year’s Day, respectively, at Nassau; while the Mar. 21, 2014 sailing will offer guests an eighth night at sea.

NCL has been pioneering the 7-night NYC to Bahamas and Florida since the Norwegian Sea first started sailing it back in 2001. I’m surprised it took this long for another cruise line to give NCL some strong competition on these short Bahamas routes.

The twin 4,100 passengers, 158,000grt ships will have Azipod propulsion. The $60-million deal calls for ABB podded propulsion, dubbed Azipods, as well as ABB manufactured power plants. When completed, the first ship will launch Fall of 2014.

Royal Caribbean Cruises reported net income of $47.0 million, or $0.21 per share, on revenues of $1.8 billion for the first quarter ended March 31, 2012, compared to net income of $78.4 million, or $0.36 per share, on revenues of $1.7 billion for the same period last year.

Q1 2012 results included a $0.01 per share mark-to-market gain on the company’s fuel option portfolio versus a $0.11 per share gain in the first quarter of 2011. Except for fuel pricing, all operational metrics for the first quarter were in line with or better than its previous guidance, the company stated.

Revenues improved to $1.8 billion in the first quarter of 2012 compared to $1.7 billion in the first quarter of 2011 as a result of capacity increases and yield improvements. Net Yields increased 7.0% on a Constant-Currency basis (+6.4% As-Reported). NCC excluding fuel increased 5.7% on a Constant-Currency basis (+5.1% As-Reported). Approximately 350 basis points of the Net Yield improvement and approximately 500 basis points of the NCC increases during the quarter relate to previously announced deployment initiatives and changes to the company’s distribution system.

The company said that “as expected, booking activity has continued to gradually improve over the last several months. Since the company’s earnings announcement on February 2, 2012, the price of oil has risen which, at current levels and net of hedging, would increase bunker expenses $0.15 per share for the year.

Taking into account current fuel pricing and currency exchange rates, and the factors detailed above, the company currently estimates 2012 earnings will be in the range of $1.80 to $2.10 per share.

2012 Outlook: Royal Caribbean reported that overall, booking trends and pricing have been consistent with prior guidance. Cumulative bookings since early February have been down mid single digits, although gradual improvement continues. Bookings from the United States have been running ahead of same time last year for the past four weeks.

As expected, pricing reductions within the range of the company’s previous guidance have been implemented to address booking shortfalls on certain products through the end of the third quarter. Nevertheless, Constant-Currency booked APD’s remain ahead of the same time last year in all quarters. Overall, pricing remains in line with or higher than the same time last year for all major itinerary groups with the exception of Europe.

Bookings for the fourth quarter of 2012 and for 2013 sailings remain strong, with both load factors and pricing running ahead of same time last year. In addition, the company has seen an increase in summer demand for its Pullmantur brand’s tour product.

"Despite the extraordinary disruptions to our booking patterns this year, thus far the recovery is consistent with our forecasts," said Brian J. Rice, executive vice president and chief financial officer. Rice continued, "The Caribbean and Alaska remain healthy and as expected, a wide range of outcomes still persist regarding Europe this summer. While the marketplace is still volatile and uncertain, we are narrowing our yield and EPS ranges to reflect our best estimates at this time."

Taking into account current fuel pricing and currency exchange rates, and the factors detailed above, the company currently estimates that second quarter 2012 EPS will be within a range of ($0.05) to $0.05.

And taking into account current booking patterns, the company has narrowed its range of guidance for full year 2012 Net Yield increases to +2% to +5% on a Constant-Currency basis and +1% to +4% on an As-Reported basis. Excluding deployment initiatives and changes to the company’s distribution system, Net Yields are projected to be flat to up 3% on a Constant-Currency basis for the full year 2012.

Expenses: For the second quarter of 2012, NCC excluding fuel are expected to increase 10% to 11% on a Constant-Currency basis (+8% to +9% As-Reported). Approximately half of the NCC excluding fuel increase in the quarter relates to the previously referenced deployment initiatives and changes to the company’s distribution system. NCC excluding fuel are higher than normal in the second quarter due to marketing and related cost shifts from the first quarter and increased drydock days and related maintenance.

For the full year, NCC excluding fuel are expected to increase approximately 5% on a Constant-Currency basis (approximately +4% As-Reported). Excluding deployment initiatives and changes to the company’s distribution system, Constant-Currency NCC excluding fuel are expected to increase approximately 2% on a comparable basis to prior year. Versus February guidance, increased sales in the Pullmantur brand’s tour product are modestly increasing full year cost estimates by 50 basis points.

Allure’s sister, Oasis is currently docked in Port Everglades.

Last night news broke via CruiseLaw and the AP that a small fire in the engine room broke out on Royal Caribbean’s Allure of the Seas. The Allure, which shares the title of worlds largest cruise ship, was sailing back to Florida from St. Maarten on the last leg of a 7-night Eastern Caribbean cruise. She will arrive Sunday morning.

A Royal Caribbean spokes person stated shortly thereafter, that the fire was “small and short-lived.” The ship onboard fire suppressant kicked in extinguished the fire almost instantly.

While the fire was short lived, it did allow enough time for this black smoke to be seen coming from the ships funnels. CruiseLaw was reporting that there was some panic onboard, but that can be expected given the recent events in the cruise industry. It should be noted that people’s perception of the term panic differs greatly.

Cruise Critic is reporting that a current passenger on Oasis of the Seas is reporting that the vessel just stopped after Capt. Trym Selvag spotted a disable fishing boat.

Captain Trym Selvag stopped Oasis and sent two engineers to fix the problem (after a security team checked out the fishing boat). The Captain said Oasis’ crew provided the fishing boat with a fresh battery, fresh water, and got the engine working again.

photo via CruiseCritic

Going on live right now…

via Portfever

Royal Caribbean’s Rhapsody of the Seas just emerged from a month long drydock at Singapore’s Sembawang Shipyard. The new Rhapsody of the Seas features new dining options, revamped entertainment and unique amenities. She will sail Alaska in the summer and Asia/Pacific in the fall.

The all-encompassing renovations Range from the Royal Babies and Tots Nursery to a Diamond Lounge for Crown & Anchor Society loyalty members, a Concierge Lounge for suite guests and top-tier loyalty guests. RCI is really emphasizing their repeat guest services.

Cabins have also received upgrades including modern technology.
  
The real highlights, in my opinion, are their revamped dinning options:

·         Giovanni’s Table: An Italian trattoria featuring Italian classics served family-style (open for lunch, $15, and dinner, $20)
·         Izumi Asian Cuisine: Featuring mouthwatering flavors and a sushi bar with hot-rock cooking, the pan Asian cuisine restaurant is a no-hassle, authentic dining experience (open for lunch and dinner, $3.00 cover charge for lunch and $5.00 for dinner plus a la carte menu pricing)  
·         Park Café: An indoor/outdoor gourmet market featuring salads, sandwiches, soups and pastries (open for breakfast, lunch and dinner, complimentary)
·         Chops Grille: Royal Caribbean’s signature steakhouse offering premium cuts and quality meats (open for dinner, $30 per person)  
·         Chef’s Table: An exclusive and private experience co-hosted by the executive Chef and Sommelier for a wine pairing dinner of five courses (open for dinner, $95 per person). 

Entertainment-wise, the Centrum has been “re-invented,”  and features daytime and nighttime entertainment with acrobatics.

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