Will Royal Caribbean Cruise Line Survive Coronavirus?
While February may seem like a lifetime ago, it was actually only about three months ago when Royal Caribbean (NYSE: RCL) reported earnings. The company delivered $8.95 in earnings per share (EPS) and predicted 2020 earnings would come in even higher at $10.40 to $10.70 per share.
The company did acknowledge that the coronavirus was not being accounted for in those numbers. But at the time, while disruptions seemed possible, our current reality did not seem plausible. This was a company that recorded nearly $2 billion in profit while introducing a plan to more than double that by 2025.
Now, all cruises have been stopped for an unknown amount of time and Royal Caribbean has gone from thriving to struggling to survive. It's a worst-case scenario that has the company scrambling for answers and looking for liquidity.
Source Fool.com
