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Dec 02
2

Irish Continental Group Reports a Robust Financial Performance

By | 2024 Newsletter week 48 | No Comments

Irish Continental Group reports a robust performance in its Ferries Division, reflecting strong growth in passenger and freight volumes.

  • Key Highlights (Year to 23 November 2024):
  • Passenger Cars: 657,000 carried (+11.0% vs 2023)
  • RoRo Freight: 702,800 units (+7.8% vs 2023)
  • Revenue for the Ferries Division to 31 October 2024 was €375.8 million, a 6.5% increase compared to €352.9 million in the same period in 2023. This growth was supported by strong performance across Irish Ferries’ routes connecting Ireland, Britain, and Continental Europe.

Revenue figures include surcharges tied to fuel price changes and emission allowances under the EU Emission Trading System (ETS).

The acquisition of the OSCAR WILDE under a lease purchase arrangement (with P&O Ferries) contributed to higher net debt on an IFRS basis (from €143.7m to €189.4 million).

Overall Group Performance:

Group revenue for the period to 31 October 2024 reached €521.0 million (+6.0% vs 2023).

May 12
0

Irish Continental Group (ICG) : trading statement 11 May 2023

By | 2023 Newsletter week 19 | No Comments

Financial information for the first four months of 2023

  • Consolidated Group revenue +1.4% / €163.4 million
  • Ferries Division +8.7% / €106.9 million (2022: €98.3 million)
  • Container and Terminal Division -2.9% / €69.6 million (2022: €71.7 million)

Recent Developments

  • On 5 May 2023, the Group took delivery of OSCAR WILDE (ex Tallink STAR) from Tallink Grupp. Long-term bareboat charter 20 months, charter option 2 + 2 years, purchase option.

Winston Framework

ICG expects 2023 will see a continuation of the trend of freight customers returning to the landbridge and we are hopeful that the Windsor Framework will remove the distortion from the non-implementation of the Northern Ireland Protocol.

ICG welcomes recent calls for the establishment of Green Lanes on ferry routes between the UK and the Republic of Ireland, for traffic destined for Northern Ireland. ICG believes that the arrangements proposed for Northern Ireland – Great Britain trade can be equally applied to allow trade to route via the Republic of Ireland. If a trader can be trusted to enter Northern Ireland and not enter the Republic of Ireland, then it would appear logical that the trader can be equally trusted to enter via the Republic of Ireland and go directly to Northern Ireland. This would allow Northern Ireland goods to travel via the shortest, most efficient, and environmentally friendly route. ICG has written to both the Irish Government and the European Union to urge them to consider the introduction of this proposal.

May 2023

Nov 25
0

Irish Continental Group: lifting of travel restrictions and Calais-Dover service, revenue up 79%

By | 2022 Newsletter week 47 | No Comments

As every year, Irish Continental Group (ICG) issues a trading update which covers carryings for the year to date to 19 November 2022 and financial information for the first ten months of 2022.

Consolidated Group revenue in the period was €500.5 million, an increase of 78.9% compared with last year and a 62.1% increase on 2019.

Net debt figures were €175.7 million compared to €142.2 million at year end. The increase is primarily derived from strategic capital expenditure mainly comprising the acquisition of two vessels.

Ferries Division (Irish Ferries)

+133.9% revenues to €338.0 million (first 10 months)

The increase was principally due to the easing of travel restrictions as compared to the same period last year, increased fuel surcharges and the new Dover – Calais service which commenced in June 2021.

For the year to 19 November, Irish Ferries carried 525,600 cars, an increase of 198.0% on the previous year. Freight carryings were 618,100 RoRo units, an increase of 143.8% compared with 2021.

Excluding volumes on the Dover – Calais route, Irish Ferries carried 272,900 cars (an increase of 91.5% on 2021) and 257,000 RoRo freight units (an increase of 10.0%).

Outlook

The world is facing higher inflation and higher interest rates, both of which pose a challenging backdrop for economic growth.

Deep sea container movements are usually a leading indicator for economic slowdown and the recent weakness here is not unexpected.

The level of inflation faced by the business and our customers is concerning.

While fuel prices may ease versus earlier in the year with the expected slowdown in economic activity, other costs in the business have increased.

Confidence: “well placed to compete in this emerging tougher environment and to tap into whatever interesting opportunities might emerge.”

Aug 29
0

Irish Continental Group, 2022, H1 results: significant improvement

By | 2022 Newsletter week 34 | No Comments

Financial summary (EUR)

Revenue 263.1m  +85.8%

EBITDA 47.3m +272.4%

Operating profit 17.4m (was -10.3m)

Profit before tax 15.4m (was -12.2m)

Volume movements (,000)           

Cars 214.2 +618.8%

RoRo freight  330.2 +160.6%

Containers shipped (teu) 169.3 +4.2%

Port lifts 164.9 +0.4%

The performance of the ferries operations in HY 2022 was significantly improved on HY 2021 as travel patterns gradually returned towards pre-pandemic levels after the disruption caused by Covid-19 across 2020 and 2021.

The impact of the Dover – Calais operations, which commenced on 29 June 2021, can also be seen in the result for the period as the service moved to a three vessel operation with the addition of the ISLE OF INISHEER.

Outlook

The trading performance for the year to date across all our business has been strong. Despite significant cost pressures in both divisions, we have managed to maintain and grow profitability. The Group’s cost base has been affected by higher global prices, in particular fuel prices and charter rates. The Group so far has been successful on passing these costs through to customers. It is essential that the Group continues to do so.

The Ferries Division has enjoyed the benefit of a return to more normal travel patterns although Irish Ferries are yet to reach pre-pandemic levels.

Cars volumes increased on the legacy routes by 190.8% versus the same period in the prior year.

Trading in the key summer months of July and August was ahead of expectations.

RoRo freight business, despite the disruption of Brexit has continued to grow. RoRo volume growth on the legacy routes has increased by 12.9% year to date. This has been primarily driven by a return of freight traffic to the landbridge routes at the expense of the direct European routes.

Following the entry of the ISLE OF INISHEER to service on the Dover – Calais route in April 2022, Irish Ferries have been operating a full service with three vessels on the route. Performance on the route continues to match expectations.

Source: Rederiabeckero.ax (pdf)
May 12
5

Irish Continental Group trading update (11 May)

By | 2022 Newletter week 19 | No Comments

ICG financial information for the first four months of 2022

  • Consolidated Group revenue €161.2 million, an increase of 80.5% compared with last year and a 57.6% increase on 2019.
  • Increase in net debt: primarily derived from strategic capital expenditure mainly comprising the acquisition of two vessels (ISLE OF INNISFREE, ISLE OF INISHEER). Including IFRS 16 lease obligations, net debt figures were €174.2 million compared to €142.2 million at year end.

Ferries Division

  • Total revenues recorded in the first four months amounted to €98.3 million (2021: €37.1 million) (including intra-division charter income), a 165.0% increase on the prior year (90.1% increase on 2019).
  • The increase was principally due to the easing of travel restrictions as compared to the same period last year, increased fuel surcharges and the new Dover – Calais service which commenced in June 2021.
  • For the year to 7 May, Irish Ferries carried 123,600 cars, an increase of 682.3% on the previous year.
  • Freight carryings were 223,900 RoRo units, an increase of 170.7% compared with 2021. Excluding volumes on the Dover – Calais route, Irish Ferries carried 65,300 cars (an increase of 313.3% on 2021) and 100,800 RoRo freight units (an increase of 21.9%).
  • Performance against the prior year in the period since last trading update to 5 March shows strong growth, with car carryings and RoRo freight (excluding Dover – Calais carryings) up 442.4% and 17.2% respectively on the same period in 2021.
Irish Continental Group trading update (11 May)
Mar 17
4

Irish Continental Group: 20% higher revenues in a challenging year

By | 2022 Newsletter week 11 | No Comments

Financial Summary for the full year 2021   

+20.7% Revenue €334.5m (€277.1m)

+24.2% EBITDA (pre non-trading items) €52.3m (€42.1m), principally due to increased revenues and a continued focus on cost optimisation

+98.1% EBIT (including non-trading items) €-0.2m (-10.4m)

+74.5% Basic earnings per share

In 2021, the Group commenced Irish Ferries’ services on the new Dover – Calais route. The services commenced on the 29 June 2021 with the deployment of THE ISLE OF INISHMORE, followed by ISLE OF INNISFREE onto the route on the 16 December 2021.

The Group purchased a third ship for the route, the ISLE OF INISHEER. (H1, 2022)

In 2020, the Group was successful in the public tender to operate a container depot at the new Dublin Inland Port.

Dublin Ferryport Terminals placed an order for five new electric rubber-tyred gantry cranes which will be delivered and commissioned in the second half of 2022. This is in addition to four similar units previously commissioned. The deployment of these electric cranes will allow to meet the target of reducing emissions in the container terminals by 70% in 2025 (versus 2020) and reaching net zero emissions in the container terminals by 2030.

Furthermore, the delivery of these cranes and the relocation of the empty depot facility to the Dublin Ferryport Inland Depot will increase the capacity of Dublin Ferryport Terminals.

Year-end net debt, after strategic capital expenditure of €41.7 million, was €142.2 million, 2.6 times EBITDA under banking covenant definitions.

The Group is in a strong financial position with available liquidity comprising cash and committed bank facilities of €118.9 million at 31 December 2021.

Source: Irish Continental Group

Nov 25
4

Irish Continental Group has seen its revenue improve 22%

By | 2021 Newsletter week 47 | No Comments

Irish Continental Group

  • Consolidated Group revenue in the period was €279.7 million, an increase of €50.2 million or 21.9% compared with last year.
  • This was partially offset by an increase in costs, primarily fuel which increased by €17m (60%) versus 2020 due to increased sailings and higher global prices.
  • The Group remains in a strong financial position with cash and undrawn committed credit facilities at 31 October of €142.4 million and net debt of €114.4 million (pre-IFRS 16: €64.1 million).

Volumes (Year to date, 20 November 2021)

Ferries Division (Irish Ferries)

  • Improved trading conditions in its passenger business following the easing of travel restrictions across the EU in mid-July with the introduction of the EU Digital Covid Certificate.
  • Brexit negatively impacting freight volumes but positively impacting freight revenue as more freight customers take the longer direct route to France.
  • Total revenues recorded in the period to 31 October were €144.5m, up 24%.
  • On a like for like basis (excluding Dover-Calais) over the same period, compared with 2020: Roro volumes are down 20% but roro revenue is flat as more customers use the Dublin-Cherbourg route where rates are higher given the longer journey time.
  • Car volumes are up 16%
  • The impact of Covid related restrictions has had a significant impact on Passenger traffic with car volumes year to date on a like for like basis (excluding Dover Calais) down 61% compared with 2019 but reassuringly with the easing of restrictions car volumes in the period 22nd Aug to 20th November 21 were only down 22% compared with the same period in 2019.

Volumes (since last Trading Update, 21 August 2021)

Nov 25
4

Irish Continental Group acquires another ferry for Dover – Calais

By | 2021 Newsletter week 47 | No Comments

Irish Continental Group plc will acquire CIUDAD DE MAHON from Trasmed GLE in January 2022.

The vessel will serve the Dover – Calais route operated by Irish Ferries after dry docking and branding changes.

The vessel was built in 2000 as NORTHERN MERCHANT and had Dover as her port of registry at that time.

Passenger capacity 589. Freight unit carrying capacity 91.

Irish Ferries commenced services on the Dover – Calais route on 29 June 2021.

The plan was to have a three-ship operation, with up to 30 sailings per day on the route with sailings in each direction approximately every 90 minutes.

Fleet:

  • ISLE OF INISHMORE
  • ISLE OF INNISFREE (ex CALAIS SEAWAYS) was delivered to the Group on 3 November 2021. She is currently undergoing drydocking and is expected to commence services on the route during December.
  • CIUDAD DE MAHON is expected to commence services in Q1,

The introduction of the two extra vessels represents a total investment of €35.5m

May 13
2

Trading Update From Irish Continental Group

By | 2021 Newsletter week 19 | No Comments

Volumes (Year to date, 8 May 2021)

-62.5% cars

-18.9% roro

+11.4% TEU containers

+11.3% terminal lifts

Financial information for the first four months of 2021

Consolidated Group revenue in the period was €89.3 million, an increase of 0.4% compared with last year and a 12.7% decrease on 2019.

 

Ferries Division

  • Total revenues recorded in the period to 30 April amounted to €37.1 million (including intra-division charter income), -9.4% (-28.3% on 2019). The decrease was principally due to the continued restrictions on non-essential passenger travel. This was partially offset by an increase in freight revenues.
  • Total freight revenues +5.2% over the same period in the prior year and decreased by 1.0% versus the same period in 2019.

Recent Developments

  • ICG welcomes the recent comments made by the Irish Government about the reintroduction of unrestricted travel in the Common Travel Area between Britain and Ireland. Urgent clarity is needed regarding dates so that ICG can ensure it is ready from an operational perspective.
  • On 26 March, ICG subsidiary Irish Ferries announced that it would commence a new ferry service on the Dover – Calais route. Plans are significantly advanced with a view to commencing this service during summer 2021.

(*) note from editor: the Irish Ferries ropax service will be started with ISLE OF INISHMORE. We understand a second vessel has been secured and will be added later.

Access the ICG Trading Update
Mar 18
1

Irish Continental Group Annual Report: RoRo Freight Up, Pax Down

By | 2021 Newsletter week 11 | No Comments
  • Revenue -22.5% to €277.1 million
  • EBITDA -51.5% to €42.1 million principally due to Covid-19 travel restrictions
  • EBIT -116% to -€10.4 million

Year-end net debt after total capital expenditure of €30.1 million was €88.5 million, 2.1 times EBITDA (pre-non-trading items), and 1.7 times under banking covenant definitions.

Strong financial position with available liquidity comprising cash and committed bank facilities of €240.8 million at 31 December 2020.

Ferry Division: -65.8% cars and -66.3% passengers, but roro freight units went up 7.1% (or 335,000 units in total)

Outlook

Covid-19 has had a material impact on ICG’s passenger business, and any recovery is unlikely while government restrictions remain in place, however ICG remains hopeful that the rollout of vaccinations will result in a return to international travel in our markets during 2021.

The current demand on the direct routes to the Continent is expected to decrease as importers, exporters and government agencies become more familiar with new requirements following Brexit.

The ICG report says that decline will be in favour of the landbridge, which has the benefits of cost, frequency, time and reliability.

Source: ICG