Gotlandsbolaget and Viking Line formed a joint company to develop and offer cruises with BIRKA STOCKHOLM, between Stockholm-Mariehamn and Stockholm-Mariehamn-Visby. [in Swedish]
In March 2023, Gotlandsbolaget acquired BIRKA STOCKHOLM for approximately EUR 38 million and has now agreed to sell 50% of the vessel to Viking Line for EUR 19 million.
Viking Line’s Board of Directors has decided to revise the company’s earnings forecast for 2023. Under the condition that energy prices are maintained at the current level, Viking Line’s board of directors assesses that the profit before tax will be better than the previous year.
The previously published earnings forecast was “Under the condition that energy prices are maintained at the current level and taking into account that the realized profits are expected to be lower than in 2022, Viking Line estimates that the result before tax will be slightly lower than the previous year”.
The Half-year Financial Report for January – June 2023 will be published on August 25, 2023.
January-March 2023 (EUR million)
“Provided that energy prices remain at current levels and taking into account that capital gains are expected to be lower than in 2022, it is Viking Line’s view that income before taxes will be somewhat lower than last year, which is the same conclusion as in our last report period.”
“The Swedish investor Jakob Johansson has been Viking Line’s largest individual owner since 2019. Now he is proposed to take over the chairman’s baton from the Åland shipowner Ben Lundqvist,” writes Swedish business newspaper Dagens Industri (paywalled).
Photo: Viking Line
Photo: Brittany Ferries
Photo: Molslinjen
January– December 2022 (compared to January–December 2021)
Outlook for the financial year 2023
Jan Hanses, CEO of Viking Line said;
“Our results for 2022 should be described as good. The new financial year 2023 will be both demanding and engaging. We are closely following economic developments and adapting operations to meet the challenges we face, particularly concerning the new environmental norms. Meanwhile, we are optimistic about the future.”
Fourth Quarter Results 2022 (compared to Fourth Quarter 2021)
During the latter part of Q4, the company’s passenger operations have
performed better than expected, which has improved the company’s results.
In the previous outlook, uncertainty factors such as the geopolitical situation and its impact on energy prices, inflation, interest rates and currencies have been cited as having a negative impact on the result.
These have not had as strong an impact as previously feared.
Viking Line Abp assesses that the operating result for 2022 will be slightly better than 2021
and that the result before taxes is expected to be on par with 2021.
The previous view was that operating income was expected to be somewhat worse than for 2021.
Year 2022, like the previous year, continued to be exceptional for the whole world, as well as for Viking Line:
Negative: pandemic + Ukraine + sky-high fuel prices + market uncertainty.
Positive: a renewed demand to travel, especially locally.
Fleet changes:
Traffic in 2022:
+114% Total passengers 4,945,564 (2,315,137)
+116% Turku – Åland – Stockholm 1,955,988 (904,321). Viking Line’s market share was 64 %.
+236% Route Helsinki – Åland – Stockholm (GABRIELLA) 515,445 (153,183) passengers.
+102% Route Stockholm – Mariehamn (cruise with VIKING CINDERELLA) 517,354 (256,344)
+33% Route Mariehamn – Kapellskär (ROSELLA) 464,375 (348,209)
+116% Route Helsinki – Tallinn (VIKING XPRS) 1,266,642 (586,354)
+42% Total passenger cars 630,651 (442,484)
-9% Total freight units 117,777 (129,278)
Photographer: Joonas Kortelainen
Viking Line has agreed to sell ROSELLA to Greek Aegean Sealines Maritime Co.
The workhorse has served in Viking Line’s fleet since 1980.
ROSELLA will sail under a Greek flag and serve the Aegean Sea.
Viking Line has worked with great focus to modernize its fleet and is evaluating alternative solutions for its short-distance routes between Sweden and Åland.
The sale price is EUR 11,250,000 and will generate an accounting profit of about EUR 8,600,000 during the first quarter of 2023.
The vessel will end its service on January 8, 2023. Delivery will take place during the latter half of January 2023.
Aegean Sea Lines was founded in 2005 as the Aegean Speed Lines operating mainly high speed craft on the Piraeus – Western Cyclades line. In 2006, its shareholders changed and in 2009 they brought the successful Italian build sisters HSC SPEEDRUNNER IΙΙ, SPEEDRUNNER IV on the above line.
In 2016, Aegean Speed Lines sold SPEEDRUNNER IV due to the financial crisis that hit the Hellenic Coastal Shipping as well, while in April 2022 sold its only vessel SPEEDRUNNER III to Seajets but leaving a promise that it will come back!
With the today’s announcement the Aegean Sea Lines makes a dynamic come back on the line that made her great.
Viking Line Abp had decided to register its passenger ship Viking XPRS in the Finnish Register of Ships. The vessel, which began service in 2008, has been registered in Estonia since 2014.
The decision to register the vessel in Finland was made in order to make it easier to recruit staff and enable the company to administer all of its staff without any intermediaries. The goal is to have the reflagging work completed during the first quarter of 2023.
Viking Line will begin the process of filling all the positions on board Viking XPRS under the Finnish flag with a few exceptions. Employees currently working on board the vessel (about 175 people) and employees from the company’s other vessels that sail under a Finnish flag can submit applications.