No travel: Royal Caribbean’s lost quarterly cruises exceed $ 1 billion

Royal Caribbean’s fourth quarter revenue fell to $ 34.1 million from $ 2.52 billion last year as the coronavirus pandemic kept ships parked in port.

Royal Caribbean Group lost more than $ 1 billion in the fourth quarter of 2020 as the coronavirus crisis kept its cruise ships ashore, but the company highlighted strong booking trends for 2022.

Cruise operators have consolidated their cash reserves by issuing new shares, selling assets or raising billions of dollars in debt in recent months as the COVID-19 pandemic has brought the industry to a virtual standstill.

With its ships not sailing, Royal Caribbean’s total revenue for the quarter fell to $ 34.1 million, from $ 2.52 billion last year. Analysts had expected revenue of $ 35.6 million, according to data from Refinitiv IBES.

However, the company said bookings for the first half of 2022 were in historical ranges and at higher prices, underscoring strong demand for cruises.

Royal Caribbean, which reported rare negative revenue in the last quarter, said it expected to experience a net loss for its first quarter and fiscal 2021.

Several analysts expect Royal Caribbean and its peers Carnival Corp and Norwegian Cruise Line Holdings Ltd to gradually resume travel during the second half of this year, as governments in the United States and other major markets vaccinate millions of people.

At the end of December, Royal Caribbean had around $ 4.4 billion in cash, up from around $ 3.7 billion at the end of the third quarter, after raising $ 1 billion in a bid shares in the fourth quarter.

The operator of the “Oasis of the Seas” and “Symphony of the Seas” cruises reported a net attributable loss of $ 1.37 billion, or $ 6.09 per share, in the quarter ended Dec. 31, compared with earnings of $ 273.1 million, or $ 1.30 per share, a year earlier.

On an adjusted basis, the company lost $ 5.02 per share, compared to analysts’ estimates of a loss of $ 5.20.

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