DFDS reports first-quarter results in line with outlook
DFDS reported strong revenue growth of 52%, driven by acquisitions, higher freight and passenger volumes. EBITDA increased 9% to DKK 822m
CEO, Torben Carlsen said: “We’re satisfied with DFDS’s Q1 performance, which saw us grow our EBITDA by nine percent. Our freight and passenger businesses are both off to a good start to the year, supported by the acquisition of HSF Logistics and the much-anticipated return of travellers. While European supply chains remain under pressure, our full-year earnings outlook of more than 20% growth remains unchanged.”
In Ferry, revenue increased 30% due to higher freight and passenger activity, as well as a considerable rise in bunker surcharge revenue. In Q1, the Logistics Division’s revenue grew 87% to DKK 2,666m, impacted positively by the acquisitions of HSF Logistics and ICT Logistics. The total freight EBITDA for ferry and logistics activities before special items increased 10% to DKK 926m.
The war in Ukraine reduced freight volumes in the Baltic Sea network, particularly the routes from Germany to Lithuania and from Sweden to Lithuania. DFDS has since the invasion discontinued all activities in Russia and also stopped carrying Russian registered units. DFDS continues to work with international humanitarian organisations to support a steady flow of relief support into Ukraine.
Market situation and outlook
While the war in Ukraine, rising inflation and continued capacity and staff shortages create uncertainty regarding economic growth expectations in 2022, demand for freight services remains robust.
As a result, DFDS’s full-year earnings outlook of more than 20% growth remains unchanged.
Financial highlights Q1