-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, AyNT3GuXKvreO7uJc8jGf2t1wMdkzEea4lJkjK298QyKjMXRg/UMItyuOu5V5rS9 oPgiFtrvu/JrtMop6h7MDQ== 0000950144-98-011847.txt : 19981103 0000950144-98-011847.hdr.sgml : 19981103 ACCESSION NUMBER: 0000950144-98-011847 CONFORMED SUBMISSION TYPE: 6-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19981030 FILED AS OF DATE: 19981102 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ROYAL CARIBBEAN CRUISES LTD CENTRAL INDEX KEY: 0000884887 STANDARD INDUSTRIAL CLASSIFICATION: WATER TRANSPORTATION [4400] IRS NUMBER: 980081645 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 6-K SEC ACT: SEC FILE NUMBER: 001-11884 FILM NUMBER: 98735925 BUSINESS ADDRESS: STREET 1: 1050 CARIBBEAN WAY CITY: MIAMI STATE: FL ZIP: 33132 BUSINESS PHONE: 3055396000 MAIL ADDRESS: STREET 1: 1050 CARIBBEAN WAY CITY: MIAMI STATE: FL ZIP: 33132 6-K 1 ROYAL CARIBBEAN CRUISES LTD. FORM 6-K 1 FORM 6-K SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULES 13a-16 OR 15d-16 OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE MONTH OF OCTOBER, 1998 ------------------------- ROYAL CARIBBEAN CRUISES LTD. - -------------------------------------------------------------------------------- 1050 CARIBBEAN WAY, MIAMI, FLORIDA 33132 - -------------------------------------------------------------------------------- (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) [INDICATE BY CHECK MARK WHETHER THE REGISTRANT FILES OR WILL FILE ANNUAL REPORTS UNDER COVER FORM 20-F OR FORM 40-F.] FORM 20-F X FORM 40-F ----- ----- [INDICATE BY CHECK MARK WHETHER THE REGISTRANT BY FURNISHING THE INFORMATION CONTAINED IN THIS FORM IS ALSO THEREBY FURNISHING THE INFORMATION TO THE COMMISSION PURSUANT TO RULE 12g3-2(b) UNDER THE SECURITIES EXCHANGE ACT OF 1934.] YES NO X ----- ----- [IF "YES" IS MARKED INDICATE BELOW THE FILE NUMBER ASSIGNED TO THE REGISTRANT IN CONNECTION WITH RULE 12g-3-2(b): 82 _____]. 2 News From Royal Caribbean Cruises Ltd. - ------------------------------------------------------------------------------- Public Relations Office 1050 Caribbean Way, Miami, Florida 33132 305/539-6573 Contact: Lynn Martenstein or Rich Steck (305) 539-6573 FOR IMMEDIATE RELEASE --------------------- ROYAL CARIBBEAN CRUISES LTD. DOUBLES PROFITS IN THE THIRD QUARTER MIAMI - (October 22, 1998) - Royal Caribbean Cruises Ltd. (NYSE, OSE:RCL) today reported record third quarter revenue, operating income and net income. Third quarter net income jumped 98% to $150.0 million, or $0.82 per share on a diluted basis, from $75.9 million, or $0.48 per share in 1997. The net income improvement was the result of increased capacity, improved yields, and lower operating costs as a percent of revenues. Operating income increased 57.0% to $183.6 million for the third quarter of 1998 from $116.9 million for the same period in 1997, driving the operating income margin to a record 24.6%, versus 19.1% in 1997, a jump of 5.5 percentage points. Third quarter revenue increased 21.6% to a record $744.9 million on a 13.4% increase in capacity, compared to $612.5 million for the same period in 1997. Both brands continued to expand their customer base while improving yield performance. Occupancy levels reached a record 109.4%, compared to 107.6% for the same period in 1997, while rates (per diems) increased 5.5%, resulting in a yield improvement of 7.2%, versus 1997. "The third quarter was simply outstanding," said Richard D. Fain, Chairman and Chief Executive Officer. "It marked yet another record financial performance for the Company, one fueled by both excellent revenue management and expense control. Complemented by the fundamental strength of the cruise industry, our merger of Celebrity Cruises with Royal Caribbean International has now proved to be one of the best marriages in the cruise industry." MORE. . . 3 ROYAL CARIBBEAN REPORTS RECORD THIRD QUARTER RESULTS 2-2-2-2 For the nine-month period ended September 30, 1998, revenue increased 46.1% to $2.1 billion, compared to $1.4 billion in 1997, surpassing the $1.9 billion generated for all of 1997. Operating income was $424.6 million compared to $244.9 million in 1997, an improvement of 73.3%. Net income increased more than 100% to $307.3 million or $1.70 per share on a diluted basis, compared to $152.8 million or $1.06 per share in 1997. Included in the 1997 results is an extraordinary charge of approximately $0.05 per share, associated with the early extinguishment of debt. "These results reflect the hard work and dedication of all of our employees. Our employees are, and will remain, the most important asset of this Company. I congratulate all of them on this outstanding performance," said Richard D. Fain. Royal Caribbean is a global cruise company operating two cruise brands, Royal Caribbean International and Celebrity Cruises. The brands' combined fleet consists of 17 vessels in service with a capacity of over 31,000 berths. Six ships are on order, for an additional capacity of 15,200 berths, which include: three Eagle-class ships, the first of which, VOYAGER OF THE SEAS is scheduled for service in the fall of 1999, followed by two sister vessels scheduled for delivery in 2000 and 2002; one Vantage-class vessel scheduled for delivery in 2001 and two Millennium-class vessels scheduled for delivery in 2000 and 2001. The ships currently visit Alaska, the Bahamas, Bermuda, Canada, the Caribbean, Europe, Hawaii, Mexico, New England, the Panama Canal and Scandinavia. For additional information about Royal Caribbean, visit the line's Internet site on the World Wide Web at http://www.royalcaribbean.com, http://www.celebrity-cruises.com or http://www.rclinvestor.com. Certain statements in this news release are forward-looking statements. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performances or achievements to differ materially from future results, performance or achievements expressed or implied in such forward-looking statements. Such factors include general economic and business conditions, changes in cruise industry competition, weather and other factors described in further detail in Royal Caribbean's filings with the Securities and Exchange Commission. (Financial Tables Follow) 4 ROYAL CARIBBEAN CRUISES LTD. CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited, in thousands, except per share data)
THIRD QUARTER ENDED NINE MONTHS ENDED SEPTEMBER 30, SEPTEMBER 30, ----------------------------- ----------------------------- 1998 1997 1998 1997 ------------- ------------- ------------- ------------- REVENUES $ 744,910 $ 612,542 $ 2,061,143 $ 1,410,599 ------------- ------------- ------------- ------------- EXPENSES Operating 415,106 362,980 1,214,101 868,687 Marketing, selling and administrative 94,238 85,567 275,497 196,450 Depreciation and amortization 51,974 47,084 146,959 100,517 ------------- ------------- ------------- ------------- 561,318 495,631 1,636,557 1,165,654 ------------- ------------- ------------- ------------- OPERATING INCOME 183,592 116,911 424,586 244,945 ------------- ------------- ------------- ------------- OTHER INCOME (EXPENSE) Interest income 5,528 1,576 12,449 2,538 Interest expense, net of capitalized interest (42,162) (43,198) (128,380) (86,444) Other income (expense) 3,080 642 (1,310) (709) ------------- ------------- ------------- ------------- (33,554) (40,980) (117,241) (84,615) ------------- ------------- ------------- ------------- INCOME BEFORE EXTRAORDINARY ITEM 150,038 75,931 307,345 160,330 EXTRAORDINARY ITEM -- -- -- (7,558) ------------- ------------- ------------- ------------- NET INCOME $ 150,038 $ 75,931 $ 307,345 $ 152,772 ============= ============= ============= ============= BASIC EARNINGS PER SHARE* Income before extraordinary item $ 0.87 $ 0.50 $ 1.78 $ 1.14 Extraordinary item -- -- -- (0.06) ------------- ------------- ------------- ------------- Net income $ 0.87 $ 0.50 $ 1.78 $ 1.08 ============= ============= ============= ============= DILUTED EARNINGS PER SHARE* Income before extraordinary item $ 0.82 $ 0.48 $ 1.70 $ 1.11 Extraordinary item -- -- -- (0.05) ------------- ------------- ------------- ------------- Net income $ 0.82 $ 0.48 $ 1.70 $ 1.06 ============= ============= ============= ============= Weighted average shares outstanding 182,484,976 158,831,766 180,821,437 144,389,760 ============= ============= ============= =============
* Earnings per share is computed after giving effect to the two-for-one stock split effective July 31, 1998. Prior year amounts have been restated. - ------------------------------------------------------------------------------- STATISTICS
Third Quarter Year to Date ----------------------------- ----------------------------- 1998 1997 1998 1997 ------------- ------------- ------------- ------------- Occupancy as a percentage of total capacity 109.4% 107.6% 106.4% 105.6% Passenger Cruise Days 3,099,564 2,689,141 8,796,604 6,144,095
### 5 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. ROYAL CARIBBEAN CRUISES LTD. ---------------------------- (Registrant) Date: October 30, 1998 By: /s/ RICHARD J. GLASIER --------------------------------- Richard J. Glasier Executive Vice President and Chief Financial Officer -----END PRIVACY-ENHANCED MESSAGE-----