Comparing CCL Corp to RCCL financial outlook

[caribill]

Princess and other CCL Corp brands compete with, among others, Royal Caribbean Corp and its brands, Mainly RCI.

 

Many on this board have cruised on these competing brands.

 

Here are some comments from a recent Royal Caribbean stock analysts call. A number of items (such as booking at higher pricing) are similar to CCL Corp. They also seem to continue to value their existing customers.

 

o Our entire fleet is operating globally in our key destinations, demand for our experiences was very strong, and we achieved 96% load factors overall with the Caribbean at close to 105% at record pricing and high satisfaction scores.

 

o As a result guest mix for the quarter was equally distributed across loyalty, new to cruise, and new to our brand similar to what we saw in 2019.

 

o The positioning of our brands attracts guests across broad demographics, psychographics, and at a median household income above $100,000.

Consumers are engaging earlier in the planning their vacation, with about 60% purchasing onboard experiences before they even set sail. Our guests continue to seek the rich experiences we offer spending significantly more onboard our ships compared to 2019 across nearly all categories.

All four quarters of 2023 are booked well within historical ranges at record prices, with bookings accelerating every week.

 

o We expect to return to overall historical occupancy level by late spring of 2023.

 

o In the third quarter, over 95% of total bookings were new versus Future Cruise credit redemptions.

 

o We need to improve our loyalty programs.

 

o When the Covid protocols fell off, we immediately saw a significant increase in the volume of bookings. And that volume continued to -- just continued and has accelerated. And I think what we've seen is that literally, I think our calculation in the American market was that the addressable market expanded by about 35 million people almost overnight, and we saw that coming through in our booking, so it was a very positive step.

[Kay S]

"We need to improve our loyalty programs."   Good for them.  They seem to recognize that former (read: older) customers are worth something.

Edited November 6, 2022 by Kay S

[PescadoAmarillo]

1 hour ago, caribill said:

o In the third quarter, over 95% of total bookings were new versus Future Cruise credit redemptions.

Any idea what that percentage is for Princess?

[nasa1974]

Just a shout out to you guys. It's been a while.

[caribill]

38 minutes ago, PescadoAmarillo said:

Any idea what that percentage is for Princess?

 

From the most recent CCL Corp stock analysts call:

 

o Pricing impacted in part by limited promotions in opaque channels results in our cumulative book position for fourth quarter 2022 lower compared to 2019 sailings, but primarily due to FCCs.

 

o For the full year 2023, our cumulative advanced book position is slightly above the historical average and at considerably higher prices compared to record 2019 levels normalized for FCCs.

[PescadoAmarillo]

I understand the first point, not sure I understand what “normalized for FCCs” means.