Royal Caribbean Rises as Loss Narrows, CDC Dialogue 'Constructive'

Royal Caribbean reported a narrower net loss and said it had "constructive" talks with the CDC about resuming cruises.
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Shares of Royal Caribbean Group  (RCL) - Get Report were higher after regulators signaled an end to their no-sail order as soon as July and the company narrowed its first-quarter loss. 

The cruise company reported a loss of $4.44 a share as revenue -- hammered by the shutdown of the travel-and-leisure industry during the pandemic -- dropped 98% to $42 million. 

Analysts were expecting a net loss of $4.61 a share on revenue of $43.9 million, according to FactSet. 

"We are looking forward to resuming operations out of various ports around the world in the coming months," Chief Executive Richard D. Fain said in a statement.

"In addition, we have had very constructive dialogues with the Centers for Disease Control and Prevention in recent weeks about resuming cruising in the U.S. in a safe and healthy manner." 

Read More: Carnival and Cruise Stocks Upgraded as Vaccinations Widen

On Thursday after the Centers for Disease Control said Americans could relax and party on the high seas again as soon as this July -- if they are fully vaccinated.

Cruising from U.S. ports could restart in midsummer in American waters, the CDC said late Wednesday in a letter to the cruise industry obtained by USA Today.

"We acknowledge that cruising will never be a zero-risk activity and that the goal of the (Conditional Sailing Order)’s phased approach is to resume passenger operations in a way that mitigates the risk of COVID-19 transmission onboard cruise ships and across port communities," the CDC said in the letter. 

Since operations were suspended in March 2020, the Miami company has raised about $12.3 billion by issuing bonds, offering common stock and other methods.