| Royal Caribbean looks to the future

ROYAL Caribbean Group (RCG) Chief Executive Officer Richard Fain gave an investor update overnight, confirming while the COVID-19 pandemic was having a “painful and profound impact on our world and our business…we are encouraged to see the sharp decline in cases and the growing availability of vaccines”.

“We can’t wait to get back to the business of showing people the world and making great memories,” he said, saying RCG remained confident in its ability to recover and return to the positive trajectory it was on prior to the pandemic.

RCG reported a full year loss of US$5.8 billion – compared to a US$1.9 billion profit for the prior year.

The company continues to work and collaborate with the Healthy Sail Panel, epidemiologists, health authorities and various governments around the world to ensure a healthy and safe return to cruising for guests, crew and the communities visited, according to the update.

“While the situation remains highly fluid, knowledge of the virus and how it spreads continues to improve.”

The limited operations currently under way, including Quantum of the Seas in Singapore (CW 11 Feb 2021), were achieving “very positive reviews,” Fain said, noting a higher proportion of first-time cruisers than had been anticipated.

“We believe that these cruises, even before the availability of vaccines, are helping us learn and demonstrate to others how we can operate successfully under the current COVID-19 environment,” he added.

While RCG continues to develop its plan to meet the United States Centers for Disease Control’s (CDC) Framework for Conditional Sailing, “many uncertainties remain as to the specifics, timing and cost of implementing its requirements.

“Overall, and due to the challenges posed by the pandemic, the Company expects to re-start its global cruise operation in a phased manner, with the initial cruises having reduced guest occupancy, modified itineraries and enhanced health and safety protocols,” the RCG Chief Executive Officer said.

After the formal results announcement, a media conference saw Royal Caribbean International Chief Executive Officer Michael Bayley saying he believed new CDC regulations may now be “just around the corner”.

Bayley noted the next step was likely to be trial sailings, with over 250,000 people having already volunteered to take part.