Slide 1: Steady Progress – DFDS Group Q2 2017
STEADY PROGRESS DFDS GROUP Q2 2017 17 August 2017
Slide 2: Contents
Contents • Overview • Q2 numbers • Capital distribution • Outlook 2017 • UK trade • Strategic priorities 2017 The statements about the future in this announcement contain risks and uncertainties. This entails that actual developments may diverge significantly from statements about the future. 2 2
Slide 3: Steady earnings growth despite lower Channel result
Steady earnings growth despite lower Channel result • Q2 EBITDA up by 6% to DKK 738m – new Q2 EBITDA before special items Q2 record DKK m 2017 738 • Late Easter impacts freight negatively and passengers positively 2016 699 2015 551 • North Sea result increased mainly driven by 6% higher volumes supp
Slide 4: North Sea continued positive trend in Q2
North Sea continued positive trend in Q2 • North Sea +38m: Positive impact from higher volumes and reversal of BAF lag due to falling oil price. Increase in Q2 2017 DFDS Group: EBIT development vs LY automotive volumes DKK m 510 • Baltic Sea +13m: Positive impact from Easter pax result, reversal of
Slide 5: Q2 2017 in numbers
Q2 2017 in numbers • 2% revenue growth, adjusted*. Currency Change Change impact of DKK -90m. Reported revenue DKK m Q2 17 Q2 16 vs LY % up by 4% REVENUE 3,688 3,553 135 4% EBITDA BEFORE SI 738 699 39 6% • EBITDA increased to DKK 738m and margin margin, % 20.0 19.7 0.3 n.a. increased to 20%. No mate
Slide 6: And H1 2017 in numbers
And H1 2017 in numbers Change Change • Half-year numbers even out late DKK m H1 17 H1 16 vs LY % Easter impact REVENUE 6,908 6,641 268 4% EBITDA BEFORE SI 1,152 1,104 49 4% • Revenue and earnings trend overall margin, % 16.7 16.6 0.1 n.a. in line with Q2 P/L associates 6 -1 7 n.a. Gain/loss asset sa
Slide 7: Current distribution yield of 9%
Current distribution yield of 9% Capital distribution overview • Planned August dividend raised to DKK 7.00 DKK m 2015 2016 2017 from DKK 5.00 per share Actual Actual Current plan Dividend per share, DKK 5.40 6.00 10.00 • New share buyback of DKK 300m launched Dividend, Mar 218 175 168 for completio
Slide 8: EBITDA outlook for 2017 of DKK 2.6-2.8bn unchanged
EBITDA outlook for 2017 of DKK 2.6-2.8bn unchanged • Continued positive outlook for Europe in 2017 OUTLOOK 2017 • Freight markets expected to remain robust • Revenue growth of around 4%, excluding revenue from bunker • UK passenger market at new lower level surcharges due to depreciation of GBP • EB
Slide 9: 2017: Q2 update on major performance drivers for DFDS
2017: Q2 update on major performance drivers for DFDS Certain/Likely Expected Uncertain Macro drivers • Capacity expansion • Some freight shipping • Passenger volume • Uncertain impact of on selected routes volume growth – growth – UK Brexit process on UK strong North Sea, consumers’ economy and tra
Slide 10: Growth in Europe expected to continue – also in UK
Growth in Europe expected to continue – also in UK • EU’s growth scenario set to continue creating UK-EU trade in goods GBP bn favorable environment for UK economy and trade 70 Brexit vote 65 • UK GDP growth expected to continue in 2017 (real 60 GDP growth of 1.7% in Q2 y/y) 55 Continued large trade
Slide 11: We are steadily progressing on strategic priorities in 2017
We are steadily progressing on strategic priorities in 2017 • Customer focus – growing the topline • Continuous improvement: benefits being achieved in line with expectations • Fleet renewal: first chartered freight new building deployed in July, second in October. Four freight new buildings contrac
Slide 12: Gardenia Seaways - Klaipeda
a i Ye “, GARDENIA SEAWAYS - KLAIPEDA
Slide 13: Continuous improvement projects
Continuous improvement projects • Toplight – simplified rate structure and preparing for digital customer solutions and efficiency gains in freight shipping • Carpe Momentum – improve on board sales and spend per passenger on Channel routes • Haulage Drive – improve efficiency of subcontracted haula