Royal Caribbean Cruises Ltd (RCL)

Net profit margin

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	1,697,004	919,725	-56,387	-1,036,730	-2,155,960	-3,012,724	-4,470,242	-5,295,920	-5,260,500	-5,270,470	-5,192,680	-5,484,710	-5,797,470	-4,157,394	-1,927,394	184,726	1,878,887	1,921,454	1,848,605	1,842,070
Revenue (ttm)	US$ in thousands	12,414,050	11,585,330	10,405,410	9,125,500	7,401,090	5,987,446	3,376,651	1,548,055	808,989	152,491	93,378	136,469	1,919,945	4,403,217	7,502,405	10,106,000	10,634,430	10,449,320	10,180,010	9,820,010
Net profit margin		13.67%	7.94%	-0.54%	-11.36%	-29.13%	-50.32%	-132.39%	-342.10%	-650.26%	-3,456.25%	-5,560.92%	-4,019.02%	-301.96%	-94.42%	-25.69%	1.83%	17.67%	18.39%	18.16%	18.76%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $1,697,004K ÷ $12,414,050K
= 13.67%

The net profit margin of Royal Caribbean Group has shown significant variability over the past eight quarters. In Q4 2023, the net profit margin improved to 12.21%, indicating that the company generated a profit of 12.21 cents for every dollar of revenue. This improvement is a positive sign compared to the negative net profit margins observed in the previous quarters, with Q3 2022 and Q2 2022 showing particularly steep declines at -95.46% and -207.74%, respectively.

It is crucial to note that the negative net profit margins in Q2 2022 and Q1 2022 indicate substantial losses relative to the revenue earned in those periods. However, the company managed to improve its performance in subsequent quarters, showcasing resilience and potential for recovery.

Overall, the positive net profit margin in Q4 2023 suggests that Royal Caribbean Group has regained profitability and is on a more stable financial footing. Analysts and investors may view this improvement positively as the company continues its efforts to navigate challenges and enhance its financial performance.