Slide 1: Growth Set to Continue in 2019 – DFDS Group Q4 & FY 2018
GROWTH SET TO CONTINUE IN 2019 DFDS GROUP Q4 & FY 2018 7 February 2019
Slide 2: Contents
Contents • Overview • Market prospects • 5 performance drivers • FY and Q4 numbers • Capital structure • Outlook 2019 • Priorities The statements about the future in this announcement contain risks and uncertainties. This entails that actual developments may diverge significantly from statements abo
Slide 3: Growth set to continue on the back of record 2018
Growth set to continue on the back of record 2018 DKK bn Revenue • Revenue up 10% in a busy 2018 and EBITDA 18 16 up 11% to DKK 3.0bn (DKK 3.6bn restated 14 for IFRS 16*) 12 10 8 • EBITDA up 20% to DKK 688m in Q4 2018 6 4 2 • Revenue and earnings set to continue to 0 2014 2015 2016 2017 2018 grow in
Slide 4: Market growth prospects 2019
Market growth prospects 2019 Euro Zone 3% 2% 1.9% 1.5% 1.5% 2% Visibility on Europe’s growth prospects 1% below ‘normal’ 1% 0% 2018 2019 2020 • Brexit outcome still not clear United Kingdom 2% 1.5% • Global and European growth outlook 2% 1.3% 1.3% trending down, although still positive 1% 1% 0% • Eu
Slide 5: 5 key DFDS performance drivers will drive growth in 2019
5 key DFDS performance drivers will drive growth in 2019 1. Growth benefits from Mediterranean expansion: Full-year UNRR integration impact and expanded cooperation with Ekol Logistics 2. Well prepared for Brexit, incl. Department for Transport (DfT) contract 3. Route network to be strengthened by t
Slide 6: 20% Q4 EBITDA increase intact on bottom line
20% Q4 EBITDA increase intact on bottom line Change Change DKK m Q4 18 Q4 17 vs LY % • 13% revenue growth mainly driven by UNRR REVENUE 3,955 3,497 458 13% EBITDA BEFORE SI 688 574 114 20% margin, % 17.4 16.4 1.0 n.a. • EBITDA up 20% to DKK 688m mainly P/L associates -3 0 -3 n.a. driven by UNRR as n
Slide 7: 11% EBITDA increase in 2018
11% EBITDA increase in 2018 Change Change DKKm 2018 2017 vs LY % • 10% revenue growth mainly driven by UNRR REVENUE 15,717 14,328 1,389 10% EBITDA BEFORE SI 2,988 2,702 286 11% margin, % 19.0 18.9 0.2 n.a. • EBITDA up 11% to DKK 3.0bn mainly P/L associates 1 6 -5 -86% driven by UNRR and 26% increase
Slide 8: Mediterranean main EBIT driver in Q4 2018
Mediterranean main EBIT driver in Q4 2018 Q4 2018 DFDS Group EBIT development vs LY • North Sea +9m: Lower operating costs DKK m offset 2.3% lower volumes 440 430 4 • Baltic Sea -7m: Freight earnings 420 -28 impacted by engine breakdown 410 10 • Channel -3m: Some loss of ferry 400 -1 market share du
Slide 9: Dividend proposed resumed in 2019
Dividend proposed resumed in 2019 NIBD/EBITDA • Dividend proposed resumed with 3.5 DKK 4.00 per share 3.0 2.9 2.8 • Free cash flow lowered by 2.5 2.7 acquisitions of DKK 3.6bn 2.0 Times 1.5 • Free cash flow increased 23% excluding acquisitions of 1.0 0.9 0.9 DKK 3.6bn 0.5 0.0 • NIBD/EBITDA-multiple
Slide 10: Outlook 2019 – growth set to continue
Outlook 2019 – growth set to continue • ‘Soft’ Brexit likely to support growth and add upside OUTLOOK 2019 • Revenue growth of 10-12% • ‘Hard’ Brexit scenario somewhat mitigated by own preparations and • EBITDA range of DKK 3,800-4,000m DfT contract (2018: restated DKK 3,589m) • Ferry Division: DKK
Slide 11: Priorities going into 2019
Priorities going into 2019 • Adapting to market changes • Mediterranean • Delivering on our 5 DFDS growth performance drivers • Prepared for Brexit • As always, Customer Satisfaction • New freight ferries – grow the topline • Digital goes live • Pursue value-creating M&A and • Improvement and invest
Slide 12: ADs
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