Carnival Corporation& plc, the world’s largest cruise shipping group, said that bookings for the rest of the year were lower at much lower prices, while ship deliveries were likely to be delayed due to the COVID-19 epidemic.
The company said as of 15 March, cumulative advanced bookings for the remainder of 2020, are meaningfully lower than the prior year at prices that are considerably lower than the prior year on a comparable basis, reflecting the impact of COVID-19.
It also said it expects a net loss for the financial year to 30 November 2020.
“The Corporation previously announced a voluntary, temporary pause of its global fleet operations across all brands. The Corporation believes the ongoing effects of COVID-19 on its operations and global bookings will have a material negative impact on its financial results and liquidity,” the company said in a statement.
Carnival said it also believes the effects of COVID-19 on the shipyards where its ships are under construction, will result in a delay in ship deliveries. “The Corporation is taking additional actions to improve its liquidity, including capital expenditure and expense reductions, and pursuing additional financing,” Carnival stated.
“Given the uncertainty of the situation, the Corporation is currently unable to provide an earnings forecast, however it expects a net loss on both a U.S. GAAP and adjusted basis for the fiscal year ending November 30, 2020," Carnival said.
