Dfds A/s · OMXCOP:DFDS
Dfds A/s — Q3 2022 Earnings Presentation
16 slides from Dfds A/s's earnings presentation, Nov 17, 2022
Slide 1: Outlook raised by strong Q3
Outlook raised by strong Q3 Q3 2022 investor call 17 November 2022
Slide 2: Agenda
Content • Q3 overview • Q3 numbers Agenda • 2022 outlook 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
Slide 3: Strong Q3 moves ROIC above 8% target & leverage back in target range
Strong Q3 moves ROIC above 8% target & leverage back in target range • Freight ferry Q3 demand held steady Q3 revenue up Earnings raised significantly EBITDA, LTM Q3 64% as growth picture becomes more DKK bn mixed 5.0 1.0 • Logistics EBITDA at DKK 1bn for Q3 to DKK 7.2bn 4.0 last-twelve-months (LTM)
Slide 4: Q3 EBITDA boosted by passenger recovery and improved logistics result
Q3 EBITDA boosted by passenger recovery and improved logistics result • DFDS Group revenue up 64%; EBITDA DKK m Q3 EBITDA before special items up 88% to DKK 1.59bn 2022 1,591 2021 848 • Ferry freight EBITDA increased 13% 2020 846 to DKK 741m driven by North Sea and Mediterranean; Channel lower 2019
Slide 5: Revenue lifted by acquisitions, passenger recovery, BAF & logistics
Revenue lifted by acquisitions, passenger recovery, BAF & logistics • Passenger up DKK 845m driven DKK m Change in revenue, Q3 2022 vs Q3 2021 by Passenger and Channel 7,250 32 6,750 977 • Freight ferry increase mainly due to pass-through of bunker costs 6,250 325 5,750 • Logistics growth reflects p
Slide 6: Q3 2022 income statement – margins improved
Q3 2022 income statement – margins improved • EBITDA up 88% primarily driven by passenger DFDS Group P/L DKK m Q3 21 Q3 22 Δ Δ recovery, improved logistics results, and addition Revenue 4,406 7,205 2,799 64% of HSF Logistics Group EBITDA* 848 1,591 742 88% Margin 19.3% 22.1% 2.8% • Depreciation up D
Slide 7: Financial leverage reduced to 2.9x - back in target range
Financial leverage reduced to 2.9x - back in target range • Operating cash flow up 16% to DKK 1.3bn DKK m Q3 21 Q3 22 Δ Δ despite seasonal negative cash impact Cash flow from working capital Operating cash flow 1,147 1,335 188 16% Investments, total -1,106 -987 119 -11% Operating -190 -436 -246 129%
Slide 8: Debt refinancing ongoing
Debt refinancing ongoing Interest-bearing debt, excl. lease liabilities, Q3 2022 • Interest-bearing debt of DKK 11.6bn, excluding IFRS 16 lease liabilities • Debt with fixed interest around 40% of total 36% 42% • Bond financing expired in Q3 2022, replaced with bridge until end 2023 4% 2% • Investme
Slide 9: All Ferry business units increased EBITDA
All Ferry business units increased EBITDA • North Sea up 45% driven by DKK m EBITDA* per business unit higher revenue from rates and 450 standage fees in port terminals 413 and lower operating costs 350 362 250 284 276 • Mediterranean up 31% driven by 7% volume growth that was 150 207 165 lowered by
Slide 10: All Ferry business units increased EBITDA
All Ferry business units increased EBITDA • Baltic Sea up 22% as lower DKK m EBITDA* per business unit operating costs and higher 450 passenger earnings offset 413 lower freight volumes 350 362 284 • Passenger up DKK 250m 250 276 following the recovery in 150 207 165 passenger volumes and 118 144 in
Slide 11: Logistics EBITDA up 91% to DKK 297m
Logistics EBITDA up 91% to DKK 297m EBITDA* per business unit DKK m • Dry Goods up 55% as margin 175 150 improvement of previous quarters was 125 144 153 sustained in Q3 100 93 • Most Nordic and Continent activities 75 50 63 improved earnings 25 • UK & Ireland on level with 2021 0 Dry Goods Cold Cha
Slide 12: Key ESG actions
Key ESG actions • Ferry CO2 emissions reduced 4% in Q3 across the ferry network • Sailing schedules adapted to allow for further slow steaming • First batch of biofuel (B100) being tested on Vlaardingen-Immingham • 2 eTrucks running in Ghent and Got. 20 additional eTrucks in Dec/Jan • 1m kWh of clea
Slide 13: Outlook
Current situation 2022 OUTLOOK Click icon to add picture
Slide 14: Outlook 2022 – EBITDA and revenue growth raised, again
Outlook 2022 – EBITDA and revenue growth raised, again • Revenue growth raised to around DKK m Outlook 2022 Previous 2021 45% (previously around 40%) Revenue growth Around 45% Around 40% 17,869 EBITDA before special items 4,800-5,000 4,400-4,800 3,411 • Increase mainly due to higher Per division: re
Slide 15: Key current priorities
Key current priorities • Continuous adaptation of capacity to demand changes – DFDS strategy as always • Organic growth • Inorganic growth through M&A and other initiatives • Automotive • Easy access for • Mediterranean • Develop on • Climate Action Plan customers business plan board customer • Deve
Slide 16: Q&A
Q&A