New Megaship to Join Royal Carribean Fleet

Royal Caribbean Cruises announced yesterday that it has placed an order from Germany’s Meyer Werft shipyard for a fourth Quantum-class ship, which will be delivered in 2019.

Two of the Quantum-class vessels, the Quantum of the Seas and Anthem of the Seas, both debuted within the last year in China and the UK respectively. The two vessels are tied as the third largest cruise vessels ever built, weighing in at 168,666 tons with the ability to transport 4,180 passengers at double occupancy. Currently, Royal Caribbean also holds the number one and two largest vessel positions with the Allure of the Seas and Oasis of the Seas.

“[Yesterday’s] announcement is a reflection of the success of the first two Quantum-class ships,” said Richard D. Fain, Chairman and CEO, Royal Caribbean Cruises Ltd.

Royal Caribbean has pegged the Quantum-class vessels as the most technologically advanced cruise ships ever built, with a completely digital check-in process and high speed internet, an industry first.

Speaking on the new features and amenities available on this latest vessel class, Michael Bayley, President and CEO, Royal Caribbean International stated, “Royal Caribbean International is synonymous with adventure, and the icons and amenities on this ship will continue to challenge and expand guests’ expectations of the cruise experience.”

Based upon current ship orders, projected capital expenditures for full year 2015, 2016, 2017, 2018 and 2019 are $1.6 billion, $2.3 billion, $0.4 billion, $2.4 billion and $1.3 billion, respectively.

Capacity increases for 2015, 2016, 2017, 2018 and 2019 are expected to be 5.5%, 6.3%, 3.1%, 3.9% and 6.5%, respectively.  These figures do not include potential ship sales or additions that the company may elect to make in the future.

The order is contingent upon the completion of customary conditions, including financing.