Royal Caribbean’s new ships break even at 35% occupancy – Cruise Industry News

What occupancy does Royal Caribbean Group need on its ships to reach breakeven cash flow?

Between 35 and 50%, depending on the ship, according to Jason Liberty, executive vice president and chief financial officer.

“The ships are profitable for us around 35-50%,” he said during the company’s second quarter earnings call.

“And obviously the newer and bigger ships are closer to 35%. And older and smaller ships are closer to that 50%. “

Stepping up operations over the past few months, Liberty also noted that the company is that after a few weeks of commissioning the vessels, they are reaching occupancy levels “in which the vessels are contributing to our overall cash position.” .