Royal Caribbean ends Q1 strong

The shares of Miamibased Royal Caribbean Cruises Ltd. ended the week sharply higher Friday after management reported spikes in first quarter earnings and revenues.

“Our progress continues on a steady upward path toward our’ Double-Double’ goals,” said Richard D. Fain, chairman and chief executive officer. “The year started off with a very positive tone and the tone has only continued to please. We are looking forward to our fifth consecutive year of double-digit earnings growth.”

The chairman’s remarks and the financial results caused the stock to jump by $6.10 or 6.1 percent to $106.60 in trading Friday on the New York Stock Exchange. Royal Caribbean shares have climbed 23 percent since the start of this year and by 29 percent over the last 12 months..

Adjusted net Income for the first quarter of 2017 was $214.7 million, or 99 cents per share, more than double the level of earnings per share in the same period of 2016. The company recorded revenues of nearly $2 billion for the quarter, up roughly five percent year over year.

In moves that cheered shareholders, the company increased its per share earnings guidance to a range of $7 to $7.20. Those figures exceed the company’s previously stated goal in 2014 of doubling its earnings per share by the end of this year, which is $6.80.

The company also announced Friday that its board of directors authorized a $500 million share buyback program.

Looking forward to the remainder of the year, the company said its bookings expectations remain largely unchanged from the guidance it provided three months ago. It said that strength in Europe would offset the impact of geopolitical tensions in Korea.

Fain added that costs continue to remain under control.