Carnival Corp. lost more than $2 billion in the second quarter as prolonged cruise suspensions caused by COVID-19 paralyzed its business. 

The Miami-based cruise ship operator reported little or no revenue as the company’s ships remained grounded by order of U.S. regulators. 

Ticker Security Last Change Change % CCL CARNIVAL CORP. 27.46 -0.69 -2.45%

Carnival’s cash burn rate averaged $500 million a month during the first half of the year, which was better than the company had anticipated due to the timing of proceeds from ship sales and working capital changes. 

The company ended the quarter with $9.3 billion in cash and short-term investments. It had $11.5 billion at the end of the previous quarter. 

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Carnival posted a net loss of $2.07 billion, smaller than the $4.37 billion loss in the prior year.

Things are looking up for Carnival with eight of nine of its brands having resumed or set to resume operations by the end of November. 

Twenty-seven ships, or 35% of capacity, will be operational by the end of the current quarter. An additional 15 ships will be back before the end of the fiscal year, bringing capacity to over 50%. 

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"We are working aggressively on our path to return our full fleet to operations by next spring," said Carnival CEO Arnold Donald. 

Carnival shares were up 30% this year through Wednesday, outperforming the S&P 500’s 13% gain.

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