Carnival braces for another big loss from coronavirus outbreaks: WSJ

0
23


Carnival Corp. said he continues to burn money and expects to record another significant loss after nearly a year since coronavirus outbreaks on board interrupted his trips to the United States.

Teleprinter security Latest Change Change%
CCL CARNIVAL CORP. 20.14 -0,33 -1,61%

The company on Monday reported a preliminary loss of $ 2.22 billion for the fourth quarter ended Nov. 30, compared to a profit of $ 423 million in the comparable quarter a year earlier. The adjusted losses were $ 1.9 billion. The company did not disclose preliminary revenue figures in its press release, but a spokesperson said the revenue was in the tens of millions of dollars.

CARNIVAL, NORWEGIAN AND ROYAL CARIBBEAN EXTEND SUSPENSION OF MOST SAILS UNTIL END OF FEBRUARY

Carnival’s flagship line suspended all cruises to the United States until the end of March, while Princess Cruises and Holland America Line have also canceled some trips this year. The timing of travel to the United States ultimately depends on obtaining a permit from the United States Centers for Disease Control and Prevention, which requires operators to perform simulated crossings and apply for at least a certificate. 60 days before offering passenger cruises.

Carnival Corp. said he continues to burn money and expects to record another significant loss after nearly a year since coronavirus outbreaks on board interrupted his trips to the United States.

The company said it plans to sell 19 less efficient vessels, which is around 13% of pre-break capacity. Carnival said he previously expected to sell the ships in the coming years and that 15 of those ships have already left the fleet.

“With the aggressive actions we have taken, balance sheet management and downsizing, we are well positioned to capitalize on pent-up demand and to emerge a leaner, more efficient business,” said the Managing Director. Arnold Donald on a conference call.

CLICK HERE TO READ MORE STORIES ABOUT FOX BUSINESS

Despite the uncertain timing, Carnival aims to resume operations on all ships by the end of the year, Donald said. “Hopefully what has happened so far in early 2021 here is just a 2020 hangover,” he said. The company is awaiting further advice from the CDC for the specific timing of the crossing simulations. The CDC plans to issue technical instructions for cruise operators’ agreements with port and local health authorities in the coming weeks, a CDC spokeswoman told The Wall Street Journal.

Click to learn more at WSJ.com

LEAVE A REPLY

Please enter your comment!
Please enter your name here