Form 8-K ROYAL CARIBBEAN CRUISES For: Apr 20

UNITED STATES

 

FORM 8-K   CURRENT REPORT Pursuant To Section 13 or 15(d) of The Securities Exchange Act of 1934   Date of report (Date of earliest event reported): April 20, 2015   ROYAL CARIBBEAN CRUISES LTD.
(Exact Name of Registrant as Specified in Charter)
Republic of Liberia
(State or Other Jurisdiction of Incorporation)
1-11884	98-0081645
(Commission File Number)	(IRS Employer Identification No.)
1050 Caribbean Way, Miami, Florida	33132
(Address of Principal Executive Offices)	(Zip Code)
Registrant’s telephone number, including area code: 305-539-6000
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)

 

 

	o	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
	o	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
	o	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
	o	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 

 

 

 

 

 

 

 

 

 

		ROYAL CARIBBEAN CRUISES LTD.
Date:	April 20, 2015	By:	/s/ Jason T. Liberty
			Name:	Jason T. Liberty
			Title:	Chief Financial Officer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

		As of
		March 31,				December 31,
		2015				2014
		(unaudited)
Assets
Current assets
Cash and cash equivalents		$	229,705			$	189,241
Trade and other receivables, net			297,073				261,392
Inventories			125,063				123,490
Prepaid expenses and other assets			299,362				226,960
Total current assets			951,203				801,083
Property and equipment, net			18,232,115				18,193,627
Goodwill			405,422				420,542
Other assets			1,280,853				1,297,938
		$	20,869,593			$	20,713,190
Liabilities and Shareholders' Equity
Current liabilities
Current portion of long-term debt		$	1,089,345			$	799,630
Accounts payable			336,869				331,505
Accrued interest			77,848				49,074
Accrued expenses and other liabilities			521,408				635,138
Derivative financial instruments			318,252				266,986
Customer deposits			1,992,569				1,766,914
Total current liabilities			4,336,291				3,849,247
Long-term debt			7,470,260				7,644,318
Other long-term liabilities			1,089,132				935,266
Commitments and contingencies
Shareholders' equity
Preferred stock ($0.01 par value; 20,000,000 shares authorized;
none outstanding)			-				-
Common stock ($0.01 par value; 500,000,000 shares authorized;
233,696,581 and 233,106,019 shares issued, March 31, 2015         and December 31, 2014, respectively)			2,337				2,331
Paid-in capital			3,257,809				3,253,552
Retained earnings			6,554,522				6,575,248
Accumulated other comprehensive loss			(1,190,980	)			(896,994	)
Treasury stock (13,808,683 common shares at        cost, March 31, 2015 and December 31, 2014)			(649,778	)			(649,778	)
Total shareholders' equity			7,973,910				8,284,359
		$	20,869,593			$	20,713,190

 

		Quarter Ended
		March 31,
		2015				2014
Operating Activities
Net income		$	45,230			$	26,457
Adjustments:
Depreciation and amortization			200,468				193,735
Net deferred income tax (benefit) expense			(520	)			2,633
Loss (gain) on derivative instruments not designated as hedges			28,083				(1,890	)
Changes in operating assets and liabilities:
Decrease (increase) in trade and other receivables, net			18,095				(36,332	)
(Increase) decrease in inventories			(2,615	)			6,104
Increase in prepaid expenses and other assets			(67,772	)			(30,565	)
Increase (decrease) in accounts payable			9,341				(13,323	)
Increase (decrease) in accrued interest			28,774				(32,002	)
(Decrease) increase in accrued expenses and other liabilities			(53,681	)			7,579
Increase in customer deposits			208,423				188,367
Other, net			12,601				5,023
Net cash provided by operating activities			426,427				315,786
Investing Activities
Purchases of property and equipment			(304,644	)			(177,791	)
Cash (paid) received on settlement of derivative financial instruments			(45,182	)			4,236
Investments in and loans to unconsolidated affiliates			(54,250	)			(34,260	)
Cash received on loan to unconsolidated affiliate			8,280				11,610
Other, net			(3,780	)			(1,165	)
Net cash used in investing activities			(399,576	)			(197,370	)
Financing Activities
Debt proceeds			749,800				1,560,000
Debt issuance costs			(16,493	)			(22,641	)
Repayments of debt			(587,111	)			(1,638,146	)
Dividends paid			(131,745	)			(76,264	)
Proceeds from exercise of common stock options			4,615				46,630
Cash received on settlement of derivative financial instruments			-				22,835
Other, net			587				81
Net cash provided (used) in financing activities			19,653				(107,505	)
Effect of exchange rate changes on cash			(6,040	)			910
Net increase in cash and cash equivalents			40,464				11,821
Cash and cash equivalents at beginning of period			189,241				204,687
Cash and cash equivalents at end of period		$	229,705			$	216,508
Supplemental Disclosure
Cash paid during the period for:
Interest, net of amount capitalized		$	33,664			$	94,205

		Quarter Ended March 31,
		2015				2015 On a Constant Currency basis				2014
Passenger ticket revenues		$	1,306,779			$	1,378,845			$	1,348,203
Onboard and other revenues			508,820				519,085				539,021
Total revenues			1,815,599				1,897,930				1,887,224
Less:
Commissions, transportation and other			324,418				339,430				325,865
Onboard and other			116,239				119,264				123,032
Net Revenues including divested businesses			1,374,942				1,439,236				1,438,327
Less:
Net Revenues related to divested businesses prior to sales transaction			-				-				35,656
Net Revenues		$	1,374,942			$	1,439,236			$	1,402,671
APCD			8,778,945				8,778,945				8,473,250
Gross Yields		$	206.81			$	216.19			$	222.73
Net Yields		$	156.62			$	163.94			$	165.54

 

		Quarter Ended March 31,
		2015				2015 On a Constant Currency basis				2014
Total cruise operating expenses		$	1,222,617			$	1,255,029			$	1,303,980
Marketing, selling and administrative expenses			286,832				296,331				290,307
Gross Cruise Costs			1,509,449				1,551,360				1,594,287
Less:
Commissions, transportation and other			324,418				339,430				325,865
Onboard and other			116,239				119,264				123,032
Net Cruise Costs including divested businesses			1,068,792				1,092,666				1,145,390
Less:
Net Cruise Costs related to divested businesses prior to sales transaction			-				-				47,854
Other initiative costs included within Marketing, selling and administrative expenses			-				-				5,234
Net Cruise Costs			1,068,792				1,092,666				1,092,302
Less:
Fuel			205,276				206,508				244,459
Net Cruise Costs Excluding Fuel		$	863,516			$	886,158			$	847,843
APCD			8,778,945				8,778,945				8,473,250
Gross Cruise Costs per APCD		$	171.94			$	176.71			$	188.16
Net Cruise Costs per APCD		$	121.74			$	124.46			$	128.91
Net Cruise Costs Excluding Fuel per APCD		$	98.36			$	100.94			$	100.06

		As of
		March 31,				December 31,
		2015				2014
Long-term debt, net of current portion		$	7,470,260			$	7,644,318
Current portion of long-term debt			1,089,345				799,630
Total debt			8,559,605				8,443,948
Less: Cash and cash equivalents			229,705				189,241
Net Debt		$	8,329,900			$	8,254,707
Total shareholders' equity		$	7,973,910			$	8,284,359
Total debt			8,559,605				8,443,948
Total debt and shareholders' equity		$	16,533,515			$	16,728,307
Debt-to-Capital			51.8	%			50.5	%
Net Debt		$	8,329,900			$	8,254,707
Net Debt and shareholders' equity		$	16,303,810			$	16,539,066
Net Debt-to-Capital			51.1	%			49.9	%

 

 

		Quarter Ended
		March 31,
		2015				2014
Adjusted Net Income		$	45,230			$	46,119
Net income			45,230				26,457
Net Adjustments to Net Income-Increase		$	-			$	19,662
Adjustments to Net Income:
Restructuring charges		$	-			$	1,736
Other initiative costs			-				6,913
Estimated impact of divested businesses prior to sales transaction			-				11,013
Net Adjustments to Net Income-Increase		$	-			$	19,662
Adjusted Earnings per Share - Diluted		$	0.20			$	0.21
Earnings per Share - Diluted			0.20				0.12
Net Adjustments to Net Income-Increase		$	-			$	0.09
Adjustments to Earnings per Share:
Restructuring charges		$	-			$	0.01
Other initiative costs			-				0.03
Estimated impact of divested businesses prior to sales transaction			-				0.05
Net Adjustments to Net Income-Increase		$	-			$	0.09
Weighted-Average Shares Outstanding - Diluted			220,842				222,671

 

 

 

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