Cuba Cruise Ban Dents Royal Caribbean’s Profit Outlook
Royal Caribbean Cruises has lowered its profit outlook following the Trump Administration’s latest move to ban cruise ships from docking in Cuba.
The Miami-based cruise major said that the financial impact of the regulatory change would mean a reduction to the adjusted EPS for 2019 in the range of USD 0.25 to USD 0.35 per share.
“While the affected sailings impact only 3 percent of our 2019 capacity, the extremely short notice period for this high yielding destination amplifies the earnings impact,” said Jason T. Liberty, executive vice president and CFO.
Liberty added that the result of the policy change “has created a short-term impact to our guests, operations and earnings.”
Earlier in June, the U.S. government announced that authorized travel to Cuba under the people-to-people program is rescinded and travel to Cuba via cruise ships is prohibited effective June 5.
Subsequently, Royal Caribbean Cruises changed the itineraries for its June 5 and June 6 departures and is determining alternate destinations for future sailings.
The U.S. Department of State earlier explained the move by stating that “veiled tourism has served to line the pockets of the Cuban military, the very same people supporting Nicolas Maduro in Venezuela and repressing the Cuban people on the island.”
List of related news articles
-
Posted: about 1 month ago
Quantum of the Seas returns to Singapore after COVID-19 case
An 83-year-old male Singaporean on board Royal Caribbean International’s Quantum of the Seas tested ...
Posted: about 1 month ago -
- video
Posted: about 1 month agoGallery: Odyssey of the Seas floated out
German shipbuilder Meyer Werft has floated out Odyssey of the Seas, Royal Caribbean’s second Quantum...
Posted: about 1 month ago -
Posted: 4 months ago
Chantiers de l’Atlantique floats out Wonder of the Seas
The new Oasis-class cruise ship, Wonder of the Seas, being built by French shipbuilder Chantiers de ...
Posted: 4 months ago -
Posted: about 1 month ago
Ports of Stockholm to connect cruise ships to onshore power
Ports of Stockholm has been awarded funding from the Swedish Environmental Protection Agency and the...
Posted: about 1 month ago