GROWTH CONTINUES BUT BREXIT LOWERS PACE
• Revenue up 10% and EBITDA up 8% in H1 2019
• Exceptional uncertainty on Brexit is currently reducing UK trade and visibility
• 2019 EBITDA outlook lowered 6%
• Revenue up 9% to DKK 4.2bn
• EBITDA up 4% to DKK 989m
• Negative Q2 impact from reversal of UK stockpiling in Q1
• 6-8% revenue growth (previously 10-12%)
• EBITDA-range lowered 6% to DKK 3.5-3.8bn (previously DKK 3.8-4.0bn)
“Brexit is an exceptional situation currently lowering volumes in our ferry and logistics network. In spite of this headwind, we are still on track to continue our growth this year. The work to deliver on our new strategic and financial ambitions has started and progress is well under way,” said DFDS CEO, Torben Carlsen.
In Q2, revenue increased 9% to DKK 4.2bn and EBITDA before special items increased 4% to DKK 989m.
In H1, revenue increased 10% to DKK 8.1bn and EBITDA before special items increased 8% to DKK 1.7bn.
The growth in revenue and earnings in Q2 was mainly driven by the expansion in the Mediterranean and higher passenger revenue. A reversal of the UK stockpiling in Q1 lowered freight revenue and earnings in Q2 for most activities linked to UK trade. The latter was mitigated by income from an agreement with UK Department for Transport.
The exceptional uncertainty on the outcome of Brexit is currently reducing UK trade and visibility.
Therefore, expected revenue growth is lowered to 6-8% (previously: 10-12%) and EBITDA before special items is lowered 6% to a range of DKK 3.5-3.8bn (previously: DKK 3.8-4.0bn), (2018 restated to IFRS 16: DKK 3,589m).
Sea News, August 14