Jul 28
0

Finnlines’ Financial review January–June 2023

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 H1, 2023 (January-June)

  • Revenue EUR 336.4 (356.9 in 2022) million, -6%.
  • Shipping and Sea Transport Services generated revenue amounting to EUR 325.3 (343.8) million, of which passenger-related revenue was to EUR 31.5 (25.6) million.
  • The revenue of Port Operations was EUR 21.4 (24.8) million.
  • EBITDA EUR 89.6 (97.7) million, -8%.
  • Result for the reporting period EUR 41.9 (56.3) million, -26%.
  • Interest bearing debt declined by EUR 69.1 million and was EUR 387.8 (456.9) million at the end of the period.

Q2, 2023 (April-June)

  • Revenue EUR 173.2 (199.9 in 2022) million, -13%.
  • EBITDA amounted to EUR 44.1 (62.1) million, -29%.
  • Result for the reporting period EUR 20.3 (41.2) million, -51%.

Tom Pippingsköld, President and CEO, in conjunction with the review:

  • Economic growth is projected to be modest in the EU area in 2023, but some moderate improvement is forecasted for 2024.
  • According to the statistics of the Finnish Customs the total value of exports increased by 1%, but the value of imports decreased by 14.3% year-on-year (January–May 2023 vs. 2022).
  • Due to the war and high interest rate environment consumer and business confidence has remained below long-term average. Inflation is also expected to remain persistently high.
  • Lower import volumes have reduced cargo flows and together with lower bunker surcharge has affected Finnlines Group’s turnover.
  • Lower volumes in some of our routes forced us to either reduce the frequency or the number of vessels in the route. Thus, we decided to charter out one ro-ro to the Grimaldi Group. Moreover, we have reduced capacity where there are lower volumes, and increased capacity where we see and have growth.
  • Growth by opening new routes, the latest is the Sweden–Poland line where one ro-pax vessel is expected to start to operate daily between Malmö and Świnoujście in few weeks’ time.
  • Passenger business has increased very well after the pandemic.
  • The first of these new Superstar ro-pax vessels, FINNSIRIUS, was delivered on 18 July 2023, as scheduled, and will enter the Naantali–Långnäs–Kapellskär route in mid-September.
  • The second vessel, FINNCANOPUS, will follow by the end of the year.
Jul 28
0

Tallink Grupp swings back into profit in Q2, 2023

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Tallink Grupp’s Q2 (April- June) financial results are revealing a swing back into profit following the minor loss in Q1.

Q2

  • -0.7% passengers 1,541,081 (1,552,174 in Q2 2022)
  • -22% cargo units 85,359 (109,380 in Q2 2022).
  • The reason for the decline: less vessels, operating 18% less trips across the routes, thus reducing the overall route capacity.
  • +11.5% revenue EUR 229.7 million (EUR 206.0 million in Q2 2022).
  • +138.7% EBITDA EUR 68.5 million (EUR 28.7 million in Q2 2022).
  • The strong effort and positive results in many areas have resulted in a net profit of EUR 33.4 million (net loss of EUR 0.7 million in Q2 2022).

H1

The strong results of Q2 mean that the company has delivered a profitable first half year for the first time since 2015.

  • +14% pax 2,590,858 (2,272,435 in H1 2022).
  • -18.8% cargo units 172,091 (211,318 in H1 2022).
  • In addition to fewer vessels in regular traffic in 2023 due to charters, there is one cargo vessel less operating on the company’s routes as the vessel SEA WIND was sold in spring 2022.
  • +28.4% Revenue EUR 400.9 million (EUR 312.2 million in H1 2022).
  • +439% EBITDA EUR 95.6 million (EUR 17.7 million in H1 2022).
  • Net profit at the end of H1 2023 was EUR 28.0 million (EUR 40.7 million net loss at the end of H1 2022).

Commenting on the results of the first half year of 2023, Tallink Grupp’s CEO Paavo Nõgene said:

“The results of the first half of 2023 are proof that the decisions we have made over the last few years to speed up our recovery following the Covid crisis with vessel charters, were the right ones. The positive impact of the vessel charters is undeniable, especially at this time when the increased cost of living is still putting pressure on people’s travelling choices. Our current strategy to operate our regular routes with the most optimal number of vessels and charter out other vessels, is helping us on our road to recovery.”

“Our focus now is on maintaining profitability into the next two quarters of 2023 while continuing to reduce our debts accumulated over the crisis periods. The vessels we currently have operating on our four core routes are performing well with some room for growth should passenger numbers from further afield than our home markets see some increases in the year or so ahead. The short-term plan is to continue operating with the same business model of the last few years, with a mix of regular traffic and charter contracts, until such time when demand on our current key routes or elsewhere increases and warrants additional capacity.”

Jul 28
0

Biofuel for Corsica Linea

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In a move to improve its environmental performance, part of the Corsica Linea fleet will now be powered by certified sustainable biofuel as from the 2023 summer season.

The biomolecule chosen – EMAG type, made from a blend of recycled cooking oils – achieves an 85% reduction in pollutant emissions compared with its fossil equivalent.

This step has been achieved without any regulatory constraints, with Petroineos as partner.

Corsica Linea’s ambition is to reduce CO2 emissions by 30% by 2030.

Jul 28
0

Buses and ferries, a good combination

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2023 has started well for the long-distance bus company Kombardo Expressen, a collaboration between Molslinjen and Herning Turist.

From January to June, 376,116 travellers have taken the Kombardo Express buses (=+20% H1 2022)

The Kombardo Expressen runs across the country and passengers travel with Molslinjen’s fast ferries across the Kattegat or across the Baltic Sea to Rønne on Bornholm.

With the ferry trip, Kombardo Expressen differs from the other long-distance bus companies in Denmark.

Jul 21
0

DFDS June volumes: freight in line with expectations, passengers up 19%

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Ferry – freight

Total volumes in June 2023 were 7.5% below 2022.

Volumes were 3.0% below 2022 adjusted for Channel.

North Sea volumes were higher than last year as fresh produce volumes to the UK normalised and automotive volumes remained robust. Mediterranean’s volumes were below last year due to lower exports following an early slowdown in European demand ahead of the summer.

The decrease in Channel volumes was in June still partly caused by market changes in June 2022 following a P&O’s suspension of sailings in the previous months in 2022. Baltic Sea volumes remained below last year as trade sanctions did not fully impact volumes until late in the summer of 2022.

For the last twelve months 2023-22, the total transported freight lane metres decreased 10.9% to 39.0m from 43.8m in 2022-21. The decrease was 4.3% adjusted for Channel.

Ferry – passenger

The number of passengers increased 18.9% driven by continued recovery and more coach passengers on the Channel. The number of passengers equalled 88% of volumes in June 2019, the latest comparable month pre-Covid-19. The number of cars equalled 88% of volumes in 2019.

For the last twelve months 2023-22, the total number of passengers was 4.3m compared to 1.9m in 2022-21 and 5.1m in 2019.

Jul 21
0

Fjord Line AS: an extraordinary year caused by both a global pandemic and an energy crisis

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Highlights of Fjord Line’s annual report:

  • Despite the challenges, Fjord Line’s delivered the best-ever high season turnover.
  • During Q1, 2022, Fjord Line returned to only operating the essential emergency freight-only operation between Norway and Denmark, securing critical infra­structure also during the pandemic.
  • After two years of covid and travel restrictions, Fjord Line finally resumed ordinary operations in March 2022.
  • As Europe gradually emerged from the pandemic, the war in Ukraine caused new challenges to Fjord Line’s business in 2022 due to the extraordinary volatile and increased fuel price development, especially in LNG. In addition, Fjord Line has received no governmental financial energy-aid.
  • Consequently, operations between Vestlandet in Norway, Hirtshals in Denmark and Langesund in Norway was reduced as well as the crossing time was increased to reduce the negative impact of the energy crisis and secure a sustainable financial operation.
  • Fjord Line’s other routes between Sandefjord in Norway and Strömstad in Sweden, and Kristiansand in Norway and Hirtshals in Denmark have been in full operation post-COVID-19.
  • In December 2022, Fjord Line announced the decision to rebuild the two LNG-ships STAVANGERFJORD and BERGENSFJORD from single·fuel LNG-engines to dual-fuel LNG/MGO·engines during first half year 2023.
  • Fjord Line has concluded a refinancing as part of the LNG-ships rebuilding process.
  • The consequences of two LNG·ships being out of operation tor several months are significant but were essential for the sustainability of the operations.
  • Revenue MNOK 1,666 (800)
  • EBT MNOK -407 (-219)
  • EBITDA MNOK 66 (145)
Jul 21
0

DFDS expands transport network in the Netherlands

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DFDS has acquired 100% of the share capital of the Estron Group, a Dutch provider of road transport and warehousing based in Rotterdam, Netherlands.

Estron Group transports dry goods in trailers by road and ferry between mainly the UK and Germany, Benelux, and Poland. Both full- and part-load transports are provided based on a leased fleet of 300 trailers. Haulage is subcontracted.

Warehousing, cross-docking, and logistics services are provided from a 58,000m2 leased warehouse located in the Port of Rotterdam.

The company has 130 employees and the annual revenue in 2022 was EUR 50m.

Estron Group expands DFDS’ transport network by adding road transport capacity to the existing full-load operation to and from the UK that combines road and ferry transport. In addition, Estron Group’s part-load and warehousing operations complements the existing similar operations based in Wijchen, Netherlands. The acquisition thus strengthens customer offerings and is expected to generate both commercial and operational synergies.