Capital Structure and distribution policy

Capital distribution to shareholders is based on a target leverage of an NIBD/EBITDA-multiple between 2.0 and 3.0.

Dividend is paid semi-annually to facilitate a faster return of capital to shareholders and to align payments with DFDS’ seasonal cash flow that peaks during the third quarter, the high season for passenger travel.

After distribution of dividend, excess capital is determined based on the leverage target, including future investment requirements, and distributed through share buybacks.

To maintain financial flexibility after the acquisition of U. N. Ro-Ro was announced in April 2018, both the ongoing share buyback program and the second dividend planned for distribution in August were suspended. For 2019, the Board of Directors have proposed to resume dividend with DKK 4.00 per share.

Distribution to shareholders

DKK 409m was distributed to shareholders in 2018 of which DKK 219m was dividend paid in March and DKK 190m was distributed through share buybacks.

	2018	2019	2020	2021	2022
Dividend paid per share, DKK	4.00	4.00	0.00	0.00	8.00
Dividend paid ex. treasury shares, DKKm	219	229	0	0	461
Share buyback, DKKm	190	0	0	0	0
Total distribution to shareholders, DKKm	409	229	0	0	461
FCFE yield, %	5.1	-0.8	2.6	5.2	6.0
Total distribution yield, %	2.7	1.2	0	0	3.1
Cash payout ratio, %	53.2	-152.7	0	0	52.4

	2018	2019	2020	2021	2022
Share price change, %	-20.9	24.0	-15.3	26.8	-26.6
Dividend return, %	1.2	1.5	0.0	0.0	2.3
Total shareholder return, %	-19.6	25.5	-15.3	26.8	-24.4

	2018	2019	2020	2021	2022
Equity/share, DKK	159	180	183	199	227
Price/book value, times	1.6	1.8	1.5	1.8	1.1