Royal Caribbean Posts Quarterly Loss, Sees Loss for Full Year

Royal Caribbean posts a third-quarter loss as the cruise-ship operator continues to struggle through the coronavirus pandemic shutdown.
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Royal Caribbean  (RCL) - Get Report posted a third-quarter loss as the cruise-ship operator continues to struggle through the coronavirus pandemic shutdown.

And while it can't estimate long-term financial results due to the continued impact of Covid-19, the company expects to incur net losses for the fourth quarter and all of 2020.

Shares of the Miami company at last check slipped 0.2% to $53.01.

Royal Caribbean reported a net loss of $1.35 billion, or $6.29 a share, compared with net income of $883.2 million, or $4.20 a share, in the year-earlier period. 

The latest adjusted loss came to $5.62 a share, missing FactSet's forecast for a loss of $5.12.

Passenger ticket revenue totaled $3.2 million, down from $2.34 billion a year earlier and falling short of FactSet's consensus of $10.9 million.

Total revenue was negative $33.7 million, compared with positive $3.19 billion a year earlier. Onboard and other revenue came to negative $36.9 million, compared with positive $842.1 million. 

The company said its average monthly cash burn ranges from $250 million to $290 million.

Royal Caribbean said that as of Sept. 30 it had liquidity of about $3.7 billion and had raised an additional $1.15 billion during October.

The company said its average monthly cash burn ranges from $250 million to $290 million. 

The cruise-ship industry was hit hard by the coronavirus pandemic. 

Royal Caribbean suspended its operations in March. The company resumed limited cruise operations outside the U.S. in July. 

Royal Caribbean said that it recently received approval to sail from the Singaporean government. The company said it expected the Quantum of the Seas, a ship from the Royal Caribbean International fleet, will resume cruising from Singapore in December.