RCCL cuts 2020 EPS forecast by up to 6.3% on coronavirus

Royal Caribbean Cruises Ltd (RCCL), the world’s second largest cruise shipping group, has warned the effects of the coronavirus outbreak so far would cut its earnings per share (EPS) by up to 6.3% from its earlier forecast.

“As a result of the travel restrictions in place and related circumstances, the company has now cancelled a total of 18 sailings in Southeast Asia and has also modified several itineraries,” the company said in a statement.

Taken together, the measures taken so far have an estimated impact on the company's financial performance for 2020 of approximately $0.65 per share,.

In its 2019 earnings release that it published earlier this month, RCCL estimated its full year 2020 EPS to reach the range of $10.40 to $10.60

“While not currently planned, if the company was to cancel all of its remaining sailings in Asia through the end of April, it would impact 2020 financial performance by an additional $0.55 per share,” the company said. 

Fincantieri delivers Scarlet Lady for Virgin Voyages

Scarlet Lady, the first of four ships which Virgin Voyages (new cruise operator and a brand part of Sir Richard Branson’s Virgin Group), ordered from Fincantieri, was delivered today at the shipyard in Genoa Sestri Ponente.

The ceremony was attended, among others, by the President and CEO of Virgin Voyages Tom McAlpin, by the Governor of the Liguria Region Giovanni Toti, by the Mayor of Genoa Marco Bucci, welcomed by the Chairman of Fincantieri Giampiero Massolo, and its CEO Giuseppe Bono.

Scarlet Lady registers about 110,000 gross tons, is 278 meters long and 38 wide. Virgin Voyages second ship, Valiant Lady, currently under construction in the same yard, will be delivered in 2021, while the third and the fourth units, still unnamed, will set sail respectively in 2022 and 2023. They will all feature over 1,400 guest cabins designed to host more than 2,770 passengers, accompanied by 1,160 crew members on board to deliver the famed Virgin service. The quality of life on board is guaranteed by the "comfort class" certification, testifying minimum levels of noise and vibration, as well as by an extensive use of home automation. Thanks to this, by installing an app on their smartphones, guests are able to manage a wide range of cabin functions (air conditioning, lightening, opening and closing of blinds, music, and television).

The development of Scalet Lady stands out for her design, as well as for the particular attention paid to energy recovery, featuring cutting-edge alternative technologies that reduce the ship’s overall environmental impact. For example, the ship is equipped with an energy production system of approximately 1 MW, which uses the diesel engine’s waste heat. In addition to a scrubber system for the waste management of sulfur dioxides, the new unit is also fitted with a catalytic converter, which reduces nitrogen oxides. “Scarlet Lady” is entirely equipped with led lights to reduce energy consumption, while the hydrodynamic design of the hull provides excellent performance with consequent fuel saving.

Havila Voyages adds two orders at Tulsan

Havila Voyages, the Norwegian company that wull start operations on the west coast of the country next year, said it has signed a contract with the Turkish shipyard Tersan for the construction of the last two coastal route vessels.

The same builder already has two 15,800 gross ton ships on order from the Norwegian company and the construction of the second batch of two ships would commence in just a few weeks, Havila Voyages said in a statement.

The 468 passenger capacity ships had been planned to be built at the Barreras shipyard in Spain, but the company ran into financial problems and this has led to challenges for Havila Voyages that will affect early operations.

“Two new vessels will be delivered and are scheduled to sail from January 2021. These will give our passengers the most environmentally-friendly voyages along the Norwegian coast. While we wait for the next two vessels, we will use replacement vessels, and provide good and safe transport and meet our customers’ expectations,” CEO of Havila Voyages Arild Myrvoll said in a statement.

From 2021, Havila Voyages will operate four vessels on the voyage between Bergen and Kirkenes on the west coast of the country.