Royal Caribbean eyes summer restart as losses mount | News

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Royal Caribbean has reported a $1.1 billion adjusted net loss for the first quarter of 2021, compared to a loss of $310 million a year ago.

The cruise giant said first quarter average monthly cash burn was approximately $300 million.

This was slightly higher than the previously announced range, officials confirmed, driven mainly by fleetwide restart expenses and timing.

Revenues for the first three months were $42 million.

However, there was a chink of light on the horizon, with chief executive Richard Fain revealing recent talks with the Centres for Disease Control & Prevention (CDC) giving the company hope it could operate an Alaska cruise season this summer.

“We have had very constructive dialogues with the CDC in recent weeks about resuming cruising in the United States in a safe and healthy manner,” Fain said.

“Last night, the CDC notified us of some clarifications and amplifications of their conditional sail order which addressed uncertainties and concerns we had raised.

“They have dealt with many of these items in a constructive manner that takes into account recent advances in vaccines and medical science.

“Although this is only part of a very complex process,” Fain continued, “it encourages us that we now see a pathway to a healthy and achievable return to service, hopefully in time for an Alaskan season.”

Royal Caribbean said sailings in Europe and Asia have so far tallied just 21 Covid-19 cases among more than 125,000 passengers, equating to a positivity rate of 0.01 per cent.

Fain said this shows the success of mitigation protocols even before vaccination.

Booking activity for the second half of 2021 is aligned with the anticipated resumption of cruising.

Pricing on these bookings is higher than in 2019, both including and excluding the dilutive impact of future cruise credits.





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