Royal Caribbean Group announced a $1.00 per‑share quarterly dividend, payable on January 14, 2026 to shareholders of record as of December 26, 2025. The company also approved a new $2 billion share‑repurchase program, following the completion of a prior $1 billion program that retired 3.5 million shares and returned $1.9 billion to shareholders since July 2024.
The dividend and buyback come after a period of strong earnings. In the third quarter of 2025, Royal Caribbean reported adjusted earnings per share of $5.75, up from $4.38 in the second quarter, and raised its full‑year 2025 adjusted EPS guidance to $15.58‑$15.63. The company’s robust cash flow and investment‑grade balance sheet give management the flexibility to return capital while funding growth initiatives such as fleet expansion and land‑based vacation experiences.
Management cited the company’s liquidity and cost discipline as the basis for the capital‑return decisions. CFO Naftali Holtz said the strong financial position “allows us to introduce a new $2 billion share repurchase program” and that the program “reinforces our commitment to delivering long‑term shareholder value through the execution of our strategic growth priorities and capital return to shareholders.” The dividend increase signals confidence in ongoing cash‑generating operations and a desire to reward investors in a market where dividend yields are attractive.
Analysts noted that the dividend and buyback are consistent with Royal Caribbean’s recent earnings beat and guidance lift. The company’s Q3 2025 results exceeded expectations by $0.24 per share, driven by higher operating margins and a favorable mix of cruise itineraries. The new buyback program is the largest in the company’s history and reflects a strategic shift toward maximizing shareholder value while maintaining a strong balance sheet.
The announcement is expected to reinforce investor confidence in Royal Caribbean’s long‑term strategy. By returning capital through dividends and share repurchases, the company signals that it has sufficient cash flow to support both shareholder returns and future growth, including fleet expansion and diversification into land‑based vacation offerings. The move also positions Royal Caribbean to maintain a competitive dividend yield in a sector where many peers have reduced or suspended dividends during the pandemic recovery.
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