Shares of Royal Caribbean Group rallied 3.0% in premarket trading Thursday, as investors cheered a narrower-than-expected first-quarter loss and notification from the Centers for Disease Control and Prevention (CDC) that could pave the way for U.S. sailings to restart this summer. Net losses for the quarter narrowed to $1.13 billion, or $4.66 a share, from $1.44 billion, or $6.91 a share, in the year-ago period. Excluding nonrecurring items, adjusted per-share losses came to $4.44, beating the FactSet loss consensus of $4.61. Total revenue dropped 97.9% to $42.0 million, below the FactSet consensus of $43.9 million. The average monthly cash burn during the quarter was $300 million, slightly higher than expectations. “Last night, the CDC notified us of some clarifications and amplifications of their Conditional Sail Order which addressed uncertainties and concerns we had raised,” said Chief Executive Richard Fain. “Although this is only part of a very complex process, it encourages us that we now see a pathway to a healthy and achievable return to service, hopefully in time for an Alaskan season.” The stock has rallied 34.6% over the past three months through Wednesday, while the S&P 500 has gained 12.6%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
