Royal Caribbean Profits Halved

Wednesday, April 25, 2001
Royal Caribbean Cruises Ltd., the world's number two cruise operator, said that first quarter net profits halved amid an economic slowdown and that earnings were likely to stay weak in 2001. Royal Caribbean said net income fell to $52.5 million in the first three months of 2001 from $105.5 in the same period of 2000. Revenues rose to $726.9 million from $707.8 million, mainly due to higher capacity. Earnings per share fell to $0.27 from $0.55. "Although this year's booking period started out strong, we are disappointed that the momentum did not continue as long as we would have liked," said chairman and chief executive Richard Fain. "As we all know, the slowdown of the economy is affecting consumer spending. This impact, coupled with increased industry capacity, continues to put pressure on pricing," Fain said. "As a result, we now forecast yields for the last nine months of 2001 to be down two percent on a year-over-year basis," he added. Yields are net revenues per available passenger cruise day. But Fain added that, while there would be pressures on prices: "We believe the long-term fundamentals of the industry remain intact." "We firmly believe our young, innovative fleet is competing aggressively in this market. Our product offering is effectively attracting first-time cruisers and providing new options to our large base of loyal guests," he said. Royal Caribbean said that the rise in first quarter revenues was mainly due to an increase in capacity, offset by a decline in yields. But yields were down 11 percent in the quarter, mainly because of high bookings for the Millennium at the start of 2000. "Excluding the impact of the Millennium event, yields were down four percent," it said. - (Reuters)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter January 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Cruise Ship Trends

SS United States to Sail Again

Crystal Cruises reaches deal to restore the record-breaking and storied SS United States to a fully operational modern luxury cruise ship   Crystal Cruises has

Royal Caribbean Posts 4Q Profit

Royal Caribbean Cruises Ltd reported 2015 results and provided guidance for 2016. Continuing on its Double-Double trajectory, the company’s adjusted earnings for 2015 were $4.

Woman Medevaced from Cruise Ship East of Cape Hatteras, NC

The Coast Guard medevaced a 61-year-old woman Monday from a cruise ship 230 miles east of Cape Hatteras. Fifth Coast Guard District watchstanders received a report at 1 p.

Navy

Russia Confirms Tanker Seized by Niger Delta Militants

Russia’s embassy in Nigeria confirmed on Thursday that the Greek-owned oil tanker Leon Dias has been hijacked in the Gulf of Guinea, reports TASS.   There are

India, China Open Maritime Talks

Amid enduring tensions over the South China Sea, India and China held inaugural round of talks on maritime cooperation on February 04 in New Delhi.    The meeting

HMAS Melbourne Makes Fifth Drug Bust

The crew of HMAS Melbourne have completed a fifth drug seizure for Operation MANITOU after seizing about 65kg of heroin from a dhow in the Indian Ocean.    The

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Pipelines Pod Propulsion Salvage Ship Electronics Ship Repair Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0533 sec (19 req/sec)