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Carnival Corporation & plc issues profit warning on coronavirus

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 13 February 2020 13 February 2020

Carnival Corporation & plc, the world’s largest cruise shipping group, has issued a profit warning due to the coronavirus outbreak and currently estimates that the virus could wipe up to $0.65 per share of its earnings in the financial year to 30 November 2020.

“Since the situation continues to evolve, the company is currently unable to determine the full financial impact on its fiscal year 2020. However, while not currently planned, if the company had to suspend all of its operations in Asia through the end of April, this would impact its fiscal 2020 financial performance by $0.55 to $0.65 per share, which includes guest compensation. In addition, the impact on global bookings will further affect the company's financial performance,” the company said in a statement.

In its 2019 result statement issued in December, the company estimated that ull year 2020 earnings are expected to include $0.12 to $0.17 per share incremental impact from prior year events and previously announced voyage disruptions, including ship delivery delays. “Based on the above factors, the company expects full year 2020 adjusted earnings per share to be in the range of $4.30 to $4.60 compared to 2019 adjusted earnings per share of $4.40,” Carnival said at the time.

In its profit warning, the company said travel restrictions as a result of coronavirus necessitated the suspension of cruise operations from ports in China, as was previously announced, and are now resulting in the cancellation of voyages in other parts of Asia.

Significant events affecting travel typically have an impact on booking patterns, with the full extent of the impact generally determined by the length of time the event influences travel decisions. As a result of Coronavirus, the company believes the impact on its global bookings and cancelled voyages will have a material impact on its financial results which was not anticipated in the company's previous 2020 earnings guidance.

“The company is currently evaluating contingency plans to mitigate the impact and will provide an update with its first quarter 2020 earnings release in late March,” Carnival said.

Celebrity Apex returns from sea trials

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Top Headlines Top Headlines; Published: 11 February 2020 11 February 2020

Celebrity Apex returned to the Chantiers de l’Atlantique shipyard in Saint Nazaire, France, over the weekend following a very successful first sea trial. "As anticipated, the Celebrity Cruises ship followed in the footsteps of its Edge Series sister ship, the award-winning Celebrity Edge, far surpassing performance expectations," Celebrity said in a statement.

The trial, conducted between February 4 – 8, 2020, in the Bay of Biscay near the shipyard, was overseen by more than 50 crew members, including engineers and nautical experts. Despite the optimal trial conditions, including strong winds and waves, the second-in-series ship showcased a superior level of comfort and fuel efficiency thanks to the revolutionary design of the Parabolic Ultrabow.

“The purpose of a sea trial is to test the functionality of the ship, but this wasn’t just any sea trial – and Celebrity Apex isn’t just any ship,” said Lisa Lutoff-Perlo, President and CEO, Celebrity Cruises. “In typical Edge Series-fashion, the ship absolutely exceeded our expectations, performing perfectly in line with our above-and-beyond operating standards.”

“It was an absolute honor to stand at the helm of Celebrity Apex for her highly successful first sea trial,” said Celebrity Apex Captain Dimitris Kafetzis. “Celebrity Apex is truly a beautiful and highly advanced vessel.”

Celebrity Apex encores the transformational look and feel of the line’s first Edge Series ship, Celebrity Edge, with such distinctive features as the floating Magic Carpet cantilevered off the ship's side inviting guests to eat, drink and soar up to 16 decks above the sea; the all-exclusive experience for all suite guests in The Retreat; dramatically expanded staterooms with Infinite Verandas; soothing indoor and outdoor garden escapes; magnificent two-story Edge Villas with their own private terrace and plunge pool; and high-style spaces throughout public areas, keeping focus on the contemporary design elements that are a highlight of the Edge Series of ships.

It then adds new culinary, spa and wellness, and entertainment features and experiences guaranteed to make Celebrity Apex the industry’s “it” ship. Celebrity Apex will also debut new, all-inclusive amenities and pre-cruise concierge services in The Retreat for all suite guests.

Celebrity Apex will begin its inaugural season on April 1, 2020, with a mini-season of five sailings to Northern Europe destinations and then spend the summer sailing seven-to-12-night itineraries in the Mediterranean. In November, Celebrity Apex will reposition to Fort Lauderdale for a winter season of week-long Caribbean sailings.

[Celebrity Apex will be featured in the Spring issue of CruiseBusiness.com Magazine]

Dream Cruises suspends World Dream operations until 22 March

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 11 February 2020 11 February 2020

Dream Cruises, which is part of the Genting Hong Kong group, said it would cancel the itinerary of World Dream from Guangzhou in China until 22 March due to the coronavirus outbreak.

“In view of the recent outbreak of the 2019 novel coronavirus, Dream Cruises has been working closely with authorities and to support their various precautionary measures. As part of our continuous initiative, apart from cancelling our call to Guangzhou (Nansha) starting 26 January 2020, kindly be advised that Dream Cruises will suspend the operation of World Dream in Hong Kong and Guangzhou.”

“Hence, World Dream’s cruise departing from 9 February 2020 to 22 March 2020 from Hong Kong and Guangzhou will be cancelled,” the company said in a statement to passengers placed on its website