DFDS: Increasing Freight Earnings
- Q3 freight earnings are above 2019 levels
- Efficiency enhanced by adaptation of operations and business structure to market changes
- Travel restrictions lowered passenger numbers significantly (-70%)
- EBITDA 2020 outlook raised to DKK 2.5-2.7bn on 23 October
Q3, key figures (in DKK billion)
- -19.6% Revenue (3,598)
- -29.2% EBITDA before special items (846)
- -46.0% EBIT before special items (388)
- -49.9% Profit before tax and special items (324)
- -59.4% Profit before tax (262)
EBITDA for freight ferry and logistics activities was DKK 126m above 2019 in Q3. The ongoing adaptation of operations and the business structure to market conditions post Covid-19 has been instrumental in achieving the increase. Besides higher margins, some activities also succeeded in raising volumes.
The continued tightening of travel restrictions during Q3 lowered, on the other hand, the passenger result below expectations. In Q3, EBITDA for passenger services was thus DKK 445m below 2019. This result includes passenger services in three business units that provide such services – Passenger, Channel and Baltic Sea.
On 23 October 2020, the outlook for 2020 was raised as freight volumes have developed more positively than expected during and after Q3.
EBITDA before special items is expected to be DKK 2.5-2.7bn in 2020 up from the previous outlook of DKK 2.2-2.5bn included in the Q2 2020 report.