RCCL reports mixed third quarter results

By
|

MIAMI -- Royal Caribbean Cruises Ltd. reported a third quarter net income of $191.9 million, down from $193.5 million in third-quarter 2002.

Third quarter revenue, on the other hand, increased 8.6% to $1.1 billion, from $1 billion in third-quarter 2002.

Royal Caribbean's management said revenue was driven up by an increase in capacity, but net income was pushed back down by lower prices and occupancy levels. Net yields were down 2.1% from third-quarter 2002.

Although bookings rebounded in April following the Iraq war downturn, the company still had a "big hole" to fill, according to chief financial officer Luis Leon.

The resurgence has continued, he said, but fourth quarter bookings look softer than expected.

The company estimates net yields for the fourth quarter to decline 1% to 3% from the previous year, but its earlier estimate of a 1% to 2% decline in net yield for the year still holds.

Predicting yield continues to be hampered by the close-in booking trend.

Bookings made within 90 days of departure now represent 47% of the total, a percentage that has increased every year since 2000, when the percentage was 31%.

But the company reported that preliminary indicators for 2004 are encouraging.

To contact reporter David Cogswell, send e-mail to [email protected].

Comments

From Our Partners

2020 Elite Island Webinar
More Family Fun in St. Lucia @ St. James’s Club Morgan Bay
Register Now
HAL_AlaskaCruising_Hero
Capitalizing on a Peak Year for Alaska Cruising
Read More
2020 Expo 2020 Feb
The World’s Greatest Show - EXPO 2020, DUBAI & ABU DHABI
Register Now

JDS Travel News JDS Viewpoints JDS Africa/MI