Royal Caribbean Group (RCL) posted better-than-expected second quarter results, raised its full-year guidance, and reinstated its dividend. The stock, however, was trading lower on cost concerns.

Royal Caribbean Group CFO Naftali Holtz says the increase in costs is related to stock-based compensation, which is higher due to the stock's performance.

When it comes to how the business is doing, "demand has continued to be very, very strong," with Holtz crediting the earnings beat to strong pricing. Customers are "thirsting" for the experiences Royal Caribbean provides, Holtz argues, adding that occupancy is back to normalized levels.

The cruise company reinstated its quarterly dividend, which will be $0.40 per share. Why bring it back now? Holtz says it's because the company has reached its major financial goals and reduced its leverage, which frees Royal Caribbean to return cash to shareholders.

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This post was written by Stephanie Mikulich.