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Royal Caribbean's Q3 Numbers Good, but Future Not as RosyOctober 28, 2008 By: David Eisen
Royal Caribbean Cruises Ltd. reported that its third-quarter net income rose to a record $411 million compared to $395 million at the same time last year. That said, the company commented that "there has been a significant deterioration recently in new bookings due to economic and financial turmoil."
Royal Caribbean's chairman and CEO Richard Fain noted that the face of the cruise environment had been altered in a short period of time. "While we are pleased with our third-quarter results, the operating environment has changed dramatically in recent weeks," Fain said. "We are focused on responding to this challenge, but it is reassuring to know that our liquidity is good, that we entered this period with a solid order book, and that we have a business model that has proven resilient during tough times."
Last week, Royal Caribbean announced it had ended its fuel supplement for all its three brands due to "recent reductions in global fuel prices."